Analysis by Eddie Yeung
Note: All financial figures presented in US$.
STR’s global “bubble chart” update for the four weeks ending 20 July 2024 shows 64% of markets with year-over-year growth in revenue per available room (RevPAR). That percentage was similar to our previous global market update.
Among countries with 50,000 rooms and adequate hotel reporting levels, Greece, Singapore, Switzerland, France, and Italy— the same countries as the last update—posted the highest RevPAR on an actual basis. Notably, Greece recorded high growth rate RevPAR (+13%) thanks to substantial ADR growth (+23%).
In contrast, France continued to show lower performance compared to the same period last year, as demand remained displaced ahead of the Paris Olympics. That trend is set to reverse, however, as Paris occupancy on the books (as of 22 July) was trending between 80%-90% for all but two dates during the Olympics. Previous Olympic host markets have seen the greatest impact in pricing power; thus we project substantial ADR gains in Paris between late-July and mid-August. The market’s RevPAR was 27% lower year over year for the most recent 28-day period.
Excluding countries with turbulent socioeconomic conditions, the leaders in year-over-year RevPAR growth were Japan, the Czech Republic, Indonesia, Malaysia, and Germany. Japan held the top spot for the third consecutive period, thanks to its strong rate growth. Germany joined the leaders thanks to Euro 2024.
Overall, 37 of 48 countries with hotel supply greater than 50,000 rooms recorded growth in RevPAR from 2023.
Excluding provincial areas and country markets, the top RevPAR performers were Ruhr, Düsseldorf, Santiago,Tokyo and Cologne. The Euros clearly spiked performance in German markets, with Ruhr seeing the highest RevPAR growth (+104%), followed by Düsseldorf (+53%), and Cologne (+42%).