Travel Reservations - OrangeSmile Tours
Best destinations around the world - Travel Guide

Find the right hotel

Hotel Business News and Analytics
Important! This article is written by orangesmile.com editors and is protected by copyright law. The article can only be re-used with a direct link to www.orangesmile.com

A Tough Summer for French Hotel Industry

News As it was forecasted, the French hospitality industry had a challenging summer. Weak performance of Paris hotels was even worsened by Côte d’Azur attacks, making the situation catastrophic for many hotels in Ile-de-France. Even though regional France and Coastal areas posted improving results, they couldn’t save the industry as a whole. Consequently, hotels in France of all categories except super-budget ones posted declines of RevPAR.

August was a dramatic month for many hotels in France. Even aggressive pricing strategies couldn’t change anything. The decline of RevPAR reached 28% for the midscale segment and devastating 42% for the upscale and luxury segments. Terror attacks in Paris followed by the July 14th attack in Nice certainly had their negative impact on the hospitality industry. Travelers from the Middle East, America, Japan, Italy, China and Russia decided to cancel their holidays in France. This applies to both individual and group travel. Even the Euro championship failed to improve the situation. Right after the attack in Nice hoteliers not just in the city, but throughout Côte d’Azur had to deal with numerous cancelations over the second half of July and for August. Only closer to the end of August hoteliers managed to reach the expected demand level mostly thanks to discounted pricing. At the same time, hotels in Regional France and Coastal areas had a good summer. All categories of hotels posted growth of RevPAR, which was the highest in the luxury segment (+12%).

The beginning of the new “back-to-school” season gives new hopes for hotels in France. While it may be hard to recover lost revenue levels, autumn signifies the return of business travelers as well as some events and trade shows, such as Biennale, Maison et Objet, Fashion Week in Paris or Salon de l’Union sociale pour l’habitat in Nantes.


Previous article / Back to news index

Stay in touch with the latest news of a worldwide hotel industry. All up-to-date analytics, reports, and news about hotel business trends on OrangeSmile.com.

Our travel services
 Car Rental
Car Hire Worldwide
 News in languages
 Top 10 destinations
79 hotels
53 hotels
799 hotels
Gran Canaria
280 hotels
50 hotels
73 hotels
147 hotels
479 hotels
42 hotels
89 hotels