In year-over-year comparisons, the MEA region reported a 4.8-percent increase in occupancy to 67.4 percent. In November 2014, Europe as a region had a revenue-per-available-room growth of almost 6 percent. Compared with November 2013, the Americas region reported a 2.3-percent increase in occupancy to 59.3 percent.
The Middle East/Africa region reported mixed performance during November 2014 when reported in U.S. dollars, according to data compiled by STR Global.
In year-over-year comparisons, the region reported a 4.8-percent increase in occupancy to 67.4 percent, a 2.4-percent decrease in average daily rate to US$174.28 and a 2.3-percent increase in revenue per available room to US$117.40.
“November 2014 year-to-date figures show the Middle East and Africa grew RevPAR by 4.7 percent (when reported in U.S. dollars), primarily driven by occupancy increases (+3.9 percent). Focusing on the three sub-regions, the Middle East saw year-to-date occupancy growth; however, rate remained flat as new supply put pressure on performance”, said Elizabeth Winkle, managing director of STR Global.
“Northern Africa saw a double-digit increase in occupancy, with a marginal increase in rate, primarily driven by performance recovery in Egypt. In contrast, Southern Africa has seen declines across all key performance measurements”, Winkle continued. “Many nations within this sub-region are major oil producers, and with recent declines in oil prices it is likely that many markets will be impacted by this in the coming months and have a knock-on effect on the other hotels in the region”.
Highlights among the Middle East/Africa region’s key markets for November 2014 include (year-over-year comparisons, all currency in U.S. dollars):
- Cairo, Egypt, jumped 52.3 percent to 50.5 percent in occupancy, reporting the largest increase in that metric. Beirut, Lebanon, followed with a 23.6-percent increase in occupancy to 53.5 percent.
- Jeddah, Saudi Arabia, increased 9.2 percent to US$236.88 in ADR, recording the largest increase in that metric.
- Cairo (+58.8 percent to US$53.75) and Beirut (+18.2 percent to US$75.20) achieved the largest RevPAR increases.
- Lagos, Nigeria, experienced the largest decrease in all three key performance metrics. The market’s occupancy fell 15.1 percent to 50.0 percent; its ADR decreased 13.4 percent to US$227.35; and its RevPAR was down 26.5 percent to US$113.62.
Europe hotel results
The European hotel industry posted mixed results in year-over-year metrics when reported in U.S. dollars, Euros and British pounds for November 2014.
“In November 2014, Europe as a region had a revenue-per-available-room growth of almost 6 percent (€74.28). As December is typically a growth month for Europe, we expect the year to conclude with RevPAR growth in excess of 5.5 percent”, said Elizabeth Winkle. “If this level of performance occurs, this will be the highest RevPAR in the last four years in Euro terms.”
“Northern Europe has been the region driving growth the most this month, particularly from a rate perspective, as year-to-date average-daily-rate growth was 9.1 percent. Eastern Europe performance has been weak in 2014. But not for the crisis in the Ukraine and the Russian sanctions and economic downturn, the East and total Europe’s performance would have been greater as inbound and outbound travel have been impacted by the tension between the countries”, Winkle said. “From an occupancy perspective, Southern Europe has had the highest growth of 3.4 percent, driven by recovery from countries such as Greece, Malta, Portugal and Spain. Whilst not out of the woods completely, the growth trends for these countries is a positive sign with expectations of continued growth in 2015”.
Highlights from key market performers for November 2014 include (year-over-year comparisons, all currency in Euros):
- Athens, Greece, rose 15.3 percent to 61.5 percent, reporting the largest occupancy increase. Two other markets also reported double-digit occupancy increases: Lisbon, Portugal (+12.2 percent to 65.5 percent), and Budapest, Hungary (+10.5 percent to 65.2 percent).
- Vilnius, Lithuania (-14.2 percent to 59.8 percent), and Moscow, Russia (-11.1 percent to 60.7 percent), posted the largest occupancy decreases.
- Three markets recorded ADR increases of more than 10.0 percent: Manchester, England (+12.0 percent to EUR96.45); Dublin, Ireland (+11.9 percent to EUR98.59); and Tel Aviv, Israel (+10.1 percent to EUR184.88).
- Warsaw, Poland (-31.6 percent to EUR66.81), and Moscow (-30.7 percent to EUR92.64) reported the largest ADR decreases.
- Three markets experienced RevPAR increases of more than 15.0 percent: Athens (+17.6 percent to EUR56.54); Budapest (+17.5 percent to EUR42.46); and Lisbon (+15.8 percent to EUR53.31).
- Moscow reported the largest RevPAR decline, falling 38.4 percent to EUR56.21.
Americas hotel results
The Americas region recorded positive results in the three key performance metrics when reported in U.S. dollars during November 2014. Compared with November 2013, the Americas region reported a 2.3-percent increase in occupancy to 59.3 percent, a 3.6-percent increase in average daily rate to US$113.77 and a 6.1-percent increase in revenue per available room to US$67.43.
Among the key markets in the region, Vancouver, Canada, reported the largest occupancy increase, rising 8.2 percent to 66.3 percent. Washington, D.C., followed with a 5.5-percent increase to 63.5 percent. Buenos Aires, Argentina, fell 10.0 percent to 70.4 percent, posting the only double-digit occupancy decrease.
Chicago, Illinois (+12.8 percent to US$144.04), and Boston, Massachusetts (+12.1 percent to US$182.45), achieved the largest ADR increases. Rio de Janeiro, Brazil, experienced the largest ADR decrease, falling 9.1 percent to US$182.23.
Three markets reported double-digit RevPAR growth: Chicago (+16.4 percent to US$97.01); Boston (+14.8 percent to US$131.04); and Washington, D.C. (+11.5 percent to US$92.73). Buenos Aires fell 16.6 percent to US$95.53 in RevPAR, posting the largest decrease in that metric.
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.
