Compared to August 2014, the Americas region reported a 1.5% decrease in occupancy to 70.6%; average daily rate was up 4.1% to US$122.89; and revenue per available room increased 2.6% to US$86.71.
LONDON and HENDERSONVILLE, TENNESSEE – Hotels in the Americas region recorded positive results in two of the three key performance metrics when reported in U.S. dollar constant currency, according to August 2015 data compiled by STR, Inc. and STR Global.
Compared to August 2014, the Americas region reported a 1.5% decrease in occupancy to 70.6%; average daily rate was up 4.1% to US$122.89; and revenue per available room increased 2.6% to US$86.71.
Performance of featured countries for August 2015 (local currency, year-over-year comparisons)
Chile experienced a 7.9% decrease in occupancy to 61.3%. However, ADR was up 12.7% to CLP85,582.04, and RevPAR increased 3.8% to CLP52,466.78. The country hosted Copa America in June and early July, and according to STR Global analysts, the tournament led to the displacement of tourist arrivals in August. However, the rise in ADR favored U.S. Dollar countries, and RevPAR increased as a result.
Ecuador reported decreases in the three key performance metrics: occupancy (-6.6% to 65.8%), ADR (-1.8% to US$99.17) and RevPAR (-8.2% to US$65.26). A 2.4% year-over-year decrease in demand in the country coincided with anti-government protests as well as the awakening of the Cotopaxi volcano.
Peru saw occupancy fall 7.6% to 67.5%, but the country’s ADR (+17.6% to PEN469.07) and RevPAR (+8.6% to PEN316.56) each increased. STR Global analysts cite comparison to a strong August in 2014 as a reason for the occupancy decrease. At the same time, the strength of the Peruvian economy has led to 14 consecutive months of year-over-year increases in ADR.
Performance of featured markets for August 2015 (local currency, year-over-year comparisons)
Lima, Peru, saw a 13.6% decline in occupancy to 68.5%. However, ADR was up 19.3% to PEN501.10, and RevPAR increased 3.1% to PEN343.18. Similar to the August performance of Peru, Lima was unable to match strong occupancy levels from last August. STR Global analysts also note a decline in leisure visitors in the market. However, economic strength allowed for a push in ADR.
Rio de Janeiro, Brazil, reported nearly flat occupancy (+0.6% to 64.7%) along with increases in ADR (+4.9% to BRL450.61) and RevPAR (+5.5% to BRL291.55). The market improved on the performance of August 2014, which produced double-digit declines in both occupancy and RevPAR.
Santiago, Chile, experienced a 9.2% decrease in occupancy to 63.7%. However, ADR was up 14.7% to CLP92,153.60, and RevPAR increased 4.2% to CLP58,697.98. According to STR Global analysts, a dry winter affected the number of ski tourist arrivals in the market. Thus, supply growth (+2.3%) outweighed demand (-7.1%).
The European hotel industry recorded positive results in the three key performance metrics when reported in Euro constant currency.Compared to August 2014, Europe reported a 2.2% increase in occupancy to 77.1%, a 6.4% increase in average daily rate to EUR119.34 and an 8.7% increase in revenue per available room to EUR92.05.
The European hotel industry recorded positive results in the three key performance metrics when reported in Euro constant currency.Compared to August 2014, Europe reported a 2.2% increase in occupancy to 77.1%, a 6.4% increase in average daily rate to EUR119.34 and an 8.7% increase in revenue per available room to EUR92.05.
Performance of featured countries for August 2015 (local currency, year-over-year comparisons)
Belgium reported increases in the three key performance metrics: occupancy (+1.0% to 71.7%), ADR (+5.4% to EUR80.26) and RevPAR (+6.4% to EUR57.57). Year-to-date demand growth (+3.8%) in Belgium has outpaced supply (+0.5%). According to STR Global analysts, demand in the country is expanding beyond Brussels to cities such as Ghent, Bruges and Antwerp. In addition, heavy investments have been made in the country’s hotel industry based on attractive yields and healthy hotel performance.
France experienced a 1.0% increase in occupancy to 73.2%, a 3.2% rise in ADR to EUR179.65 and a 4.2% increase in RevPAR to EUR131.43. August was the third consecutive month in which demand (+1.7%) outperformed supply (+0.6%) in France. After a slow start to the year, the country’s year-to-date occupancy, ADR and RevPAR have all moved into positive growth figures.
Greece saw a 0.8% dip in occupancy to 74.7% but double-digit growth in ADR (+13.7% to EUR163.50) and RevPAR (+12.8% to EUR122.05). According to STR Global analysts, Greece experienced strong ADR performance in both July and August as a result of positive developments with the third European bailout in the country. Greece’s hotel performance did not plummet as some expected this summer as a majority of trips to the country were booked well in advance and were not subject to refund.
Occupancy in Turkey decreased 3.0% to 72.9%, but the country posted double-digit increases in ADR (+19.1% to TRY435.01) and RevPAR (+15.5% to TRY316.94). Year-to-date demand growth (+5.8%) has outpaced supply growth (+2.5%) in the country. According to STR Global analysts, a consistent increase of overnight tourist arrivals over the last several years has contributed to enhanced hotel performance in Turkey.
Performance of featured markets for August 2015 (local currency, year-over-year comparisons):
Barcelona, Spain, experienced a drop in occupancy (-1.5% to 87.7%) and nearly flat performance in RevPAR (+0.1% to EUR115.75). ADR in the market was up 1.6% to EUR131.97. Demand fell 1.3% year over year in the market, while supply (+0.2%) remained nearly flat.
Bucharest, Romania, reported double-digit growth in occupancy (+17.7% to 63.7%) and RevPAR (+21.3% to RON189.55). ADR increased 3.1% to RON297.56. The market experienced a double-digit increase in weekend occupancy, suggesting that domestic visitation was significant during the month.
Helsinki, Finland, posted an increase in occupancy (+1.8% to 80.4%) but declines in ADR (-6.0% to EUR100.17) and RevPAR (-4.4% to EUR80.56). The market saw double-digit growth in occupancy and RevPAR during the previous month.
Rome, Italy, saw occupancy remain nearly flat (-0.2% to 70.2%), but the market reported increases in ADR (+6.3% to EUR134.44) and RevPAR (+6.1% to EUR 94.39). With demand flat in Rome, rate drove RevPAR for the month.
Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.
