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Mixed Results of Hotels in Europe in August

The hotel industry of Europe featured mixed results for August 2012. Many markets across the region posted increases in ADR (average daily rate), mostly thanks to various large events. London hosted the Olympics and Germany was the host country for several international fairs that, of course, attracted many visitors.

The majority of the Olympics took place in August and this fact helped to increase ADR by 43.7% comparing to the same period of 2011. Once the games finished, the occupancy fell back to its normal rate, but it managed to be 0.5% higher than in the same period a year ago. In any case, this helped to stop the period of three consequent months with declines in occupancy. Future development greatly depends on further economic development of Europe.

If taking into consideration the whole Europe, the biggest increase in occupancy in August was reached by hotels in Istanbul, Turkey. Here the occupancy added 23.9% to 65.2%. The second best result was reached by Bratislava accommodations (Slovakia) – plus 15.7% to 55.5%. The biggest decrease in occupancy was reached by Madrid accommodations – minus 16.3% to 47.6% in total. The largest increase in average daily rates was reached, as it has been mentioned, by hotels in London (+60.6% to US$258.74). This is the best result in this metric in Europe. The second largest increase was reached by Geneva accommodations (+19.2% to US$338.48). The largest decreases in ADR were posted by hotels in Madrid and Zurich (-7.8% to US$88.29 and -7.6% to US$226.25 respectively).

Finally, the biggest growth of RevPAR was reached by hotels in London (+61.2% to US$212.37), Istanbul (+39.8% to US$129.57), Geneva (+32.8% to US$197.12), Berlin (+20.5% to US$78.73), and Reykjavik (+20% to US$152.44).

09.10.2012

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