Hospitality Data Minute: July 2-8
By David Berman | July 14, 2023
During the 4th of July holiday week, United States hotel performance declined from the previous week, largely due to “constricted business travel,” according to STR, a data solutions and insights group.
The countries included in STR’s data are the United States, China, Japan, United Kingdom, France, Indonesia, Germany, Mexico, Canada, Italy, Spain, Ireland, Singapore, Bahamas, Greece, Malta and Fiji.
STR listed U.S. hotel occupancy as 61.8%, down 8.1% from the previous week and 2.3% from the same week in 2022. Average daily rate grew 1.2% year-over-year to $155.81, but the steep occupancy decline led to a 1.2% drop in Revenue Per Available Room to $96.36. Compared to last week, ADR fell 0.29% and RevPAR fell 11.74%.
In its weekly report, STR concluded these fluctuations were all part of normal seasonal patterns.
As seen in every week this year except three, STR said, the Top 25 U.S. markets out-performed the rest of the country year-over-year. Occupancy decreased 0.2% in the Top 25 markets compared to 2.1% in all other markets.
Among the Top 25 Markets, New York City saw the highest year-over-year occupancy increase (up 11.4% to 77.3%). Denver posted the largest ADR gain (up 8.6% to $156.14). The steepest RevPAR declines were seen in Atlanta (down 19.3% to $64.74) and Minneapolis (down 18.8% to $61.57).
The top 10 countries based on supply (excluding the U.S.) saw a 6.9% increase in occupancy year-over-year to 74%, reaching its highest level since the start of the pandemic. Top 10 ADR grew 10.7% year-over-year to $149, with RevPAR increasing 22.1% year-over-year to $110.
Knowland, which provides data insights on events and meetings for hospitality, also released its June report this week. June meeting and event volume was up 30.3% over June 2022. This data is sourced from Knowland’s sales intelligence platform designed to help hoteliers build and protect a hotel’s revenue base, the report said.
The top 25 markets in the U.S. were 90 percent recovered for June 2023 performance compared to 2019. The top five markets based on event volume were Chicago, Los Angeles, Washington D.C., San Diego and Anaheim-Santa Ana. The top markets for year-over-year event and meeting volume growth were Michigan South, Delaware, Kansas and Mobile, Alabama.
