France is leading the way, with RevPAR sitting 123 pc ahead of the worldwide average
A new report by travel technology firm Amadeus says that there is sense of buoyancy in the global hospitality industry, after registering a strong growth for the first eight months of the year.
In the report, ‘Hospitality data trends 2023: The opportunities ahead’, Amadeus says that global hotel occupancy levels up to the end of August 2023 have been an average of 10 pc more than in 2022 and for the fourth quarter of 2023, worldwide on-the-books occupancy data reveals that reservations are trending 11 pc ahead of those seen in 2022.
Amadeus says that global revenue per available room (RevPAR) has grown by an average of 17 pc this year to date, when compared to rates achieved in 2022. France is leading the way, with RevPAR sitting 123 pc ahead of the worldwide average. A RevPAR spike was also recorded in June this year in France, with rates hitting USD 422, about 220 pc more than in the US during the same month.
US hotel occupancy is trending stronger in Q4 than the world-wide average and has increased 5 pc compared to 2022. Hotel RevPAR also continues to see steady growth, with an 8 pc increase on the same window in 2022.
The report adds that amid global growth, Europe is leading the hospitality charge. Occupancy in Europe has for the first time narrowly overtaken the US over the course of 2023 and is looking forward to a strong last quarter where on-the-books reservations are currently 20 pc ahead of the worldwide occupancy average for Q4. Key cultural hotspots, including Florence and Rome in Italy and Athens in Greece, have seen strong occupancy over the summer, with more to come heading into the cooler months.
Amadeus says that destinations and cities with large-scale events on the horizon are also seeing traction. Famous singer Beyoncé is creating headlines with her Renaissance World Tour. In Seattle, the superstar played at Lumen Field on September 14, driving a spike in hotel demand. Hotel occupancy for September 9th-11th in Seattle stood at an average of 83 pc, increasing to an average of 96 pc for September 12th-14th as fans arrived and stayed for the show. Occupancy was boosted 36 pc on the night of the show compared to the same night in 2022, says Amadeus.
Similar spikes in occupancy are being seen in France during the Rugby World Cup, with demand in host cities increasing according to forward looking on-the-books occupancy data. Paris and Nice are up 5 pc compared to the same period in 2022, while Marseille is up 7 pc, indicating increased demand for hotel rooms during the event.
Katie Moro
“Access to complete and credible data that can be trusted, gives hoteliers the insights they need to help drive bookings and guide marketing, revenue management and operations strategies. For example, a shift in available short-term rental properties in a market will have an impact on potential occupancy for hoteliers. Market dynamics are constantly shifting, and it’s important to track them closely and be able to move quickly to seize competitive advantage. Delivering these insights is what drives our business intelligence solutions at Amadeus,” says Katie Moro, Vice President, Data Partnerships, Hospitality, Amadeus.
Hospitality data trends 2023 also highlights leading indicators uncovered by combining Amadeus’ business intelligence with its partner Key Data, a leading provider of short-term rental market data around the world. The data shows short-term rentals are typically booked around a month or 31 days, in advance of hotels, while air travel bookings are usually made slightly over three months or 98 days, ahead of travel. By combining these data insights with forward-looking on-the-books occupancy, hoteliers can anticipate dips and spikes in demand and plan accordingly.
