The absolute occupancy and RevPAR levels were the highest among first quarters with the most complete samples in STR’s Madrid database. STR analysts attribute a 4.4% rise in demand (room nights sold) to major events hosted in the market, such as Mercedes Benz Fashion Week Madrid (24-29 January), ARCOmadrid (27 February-3 March), World ATM Congress (12-13 March), Motortec Automechnika (13-16 March) and the annual match between Real Madrid and Barcelona (2 March).
LONDON — Europe’s hotel industry reported mostly positive results in the three key performance metrics during Q1 2019, according to data from STR.
Euro constant currency, Q1 2019 vs. Q1 2018
Europe
• Occupancy: -0.2% to 63.7%
• Average daily rate (ADR): +1.6% to EUR101.28
• Revenue per available room (RevPAR): +1.3% to EUR64.56
Local currency, Q1 2019 vs. Q1 2018
Madrid, Spain
• Occupancy: +2.6% to 71.1%
• ADR: +5.7% to EUR106.79
• RevPAR: +8.4% to EUR75.95
The absolute occupancy and RevPAR levels were the highest among first quarters with the most complete samples in STR’s Madrid database. STR analysts attribute a 4.4% rise in demand (room nights sold) to major events hosted in the market, such as Mercedes Benz Fashion Week Madrid (24-29 January), ARCOmadrid (27 February-3 March), World ATM Congress (12-13 March), Motortec Automechnika (13-16 March) and the annual match between Real Madrid and Barcelona (2 March).
Athens, Greece
• Occupancy: -11.0% to 54.5%
• ADR: +1.9% to EUR103.34
• RevPAR: -9.3% to EUR56.32
STR analysts note that a 9.2% decline in demand in the market came in comparison with a strong Q1 in 2018, when the number of rooms sold grew 5.4% and RevPAR jumped 13.2%. At the same time, however, Athens’ absolute occupancy level was its worst for a Q1 since 2014. New inventory played a role in the equation as a 2.0% increase in supply was the largest for a Q1 in the market for quite some time. Additionally, a surge in short-term rentals as outlined by AirDNA, is likely part of the explanation for how airport arrivals are up, yet hotel demand is down.
Middle East and Africa hotel performance for Q1 2019
Hotels in the Middle East reported mixed Q1 2019 performance results, while hotels in Africa posted growth across the three key performance metrics, according to data from STR.
U.S. dollar constant currency, Q1 2019 vs. Q1 2018
Middle East
• Occupancy: +0.9% to 71.0%
• Average daily rate (ADR): -8.8 to US$148.43
• Revenue per available room (RevPAR): -7.9% to US$105.33
Africa
• Occupancy: +1.2% to 59.4%
• Average daily rate (ADR): +2.2% to US$116.64
• Revenue per available room (RevPAR): +3.5% to US$69.31
Local currency, Q1 2019 vs. Q1 2018
Manama, Bahrain
• Occupancy: +12.5% to 58.4%
• ADR: +1.6% to BHD59.78
• RevPAR: +14.3% to BHD34.93
Manama saw its first Q1 increase in RevPAR since 2014 as strong demand (+15.1%) outgrew supply (+2.3%) and boosted performance levels. March was the best month of the quarter with a 17.4% rise in occupancy and a 5.5% lift in ADR, which resulted in a 23.8% jump in RevPAR. STR analysts partially attribute that March performance to the F1 Grand Prix at the end of the month.
Cairo & Giza, Egypt
• Occupancy: +6.8% to 78.2%
• ADR: +6.1% to EGP1,762.14
• RevPAR: +13.3% to EGP1,378.82
Group occupancy (+13.6%) pushed overall market occupancy for the quarter. STR analysts note that increased stability and government campaigns to boost tourism have aided hotel performance recovery in Egypt, with further efforts being planned to attract visitors from Asia and Latin America.
Tatiana is the news coordinator for TravelDailyNews Media Network (traveldailynews.gr, traveldailynews.com and traveldailynews.asia). Her role includes monitoring the hundreds of news sources of TravelDailyNews Media Network and skimming the most important according to our strategy.
She holds a Bachelor's degree in Communication & Mass Media from Panteion University of Political & Social Studies of Athens and she has been editor and editor-in-chief in various economic magazines and newspapers.
