Using the Labor Data from Hotel Effectiveness to Minimize Costs and Turnover
Adam and Larry Mogelonsky | January 11, 2023
Four Creatively Destructive Forces for the Hotel Industry
Larry and Adam Mogelonsky | July 13, 2022
Hotel Recovery
Saudi Arabia’s Tourism Landscape – Establishing a Vision
Zabada Abouelhana | December 1, 2022
By Zabada N Abouelhana, Ahmad Yousry Elbeheiry Saudi Arabia is entering an entirely new tourism landscape with its Saudi Vision 2030 initiatives. With a strong economic outlook, a diversification of its economy, and significant governmental support, the hospitality and tourism markets across the Kingdom are expected to thrive over the next decade. Economic Performance & Outlook Saudi Arabia is the largest economy in the Arab world and the world’s largest crude oil exporter. In 2016, the Saudi Government launched its Saudi Vision 2030 to diversify its economic resources. The Kingdom’s plans focus on service improvement, fisc...
Global Traveller Survey Reveals International Travel Is Back
WTTC | November 28, 2022
More than a quarter of consumers plan on three or more international trips Australians to spend more on travel than any other nation London, UK: As the World Travel & Tourism Council (WTTC) opens its 22nd Global Summit in Riyadh, a new global consumer survey has revealed that the appetite for international travel is now at its highest point since the start of the pandemic. According to the survey of more than 26,000 consumers from 25 countries, conducted by YouGov for WTTC, 63% are planning a leisure trip in the next 12 months. The survey reveals that the appetite to travel shows no signs of slowing, with more than a quarter (27%)...
Tourism Recovery Accelerates to Reach 65% of Pre-Pandemic Levels
UNWTO | November 23, 2022
An estimated 700 million tourists travelled internationally between January and September, more than double (+133%) the number recorded for the same period in 2021. This equates to 63% of 2019 levels and puts the sector on course to reach 65% of its pre-pandemic levels this year, in line with UNWTO scenarios. Results were boosted by strong pent-up demand, improved confidence levels and the lifting of restrictions in an increasing number of destinations. Highlighting the speed at which the sector has recovered from the worst crisis in its history, the latest World Tourism Barometer from UNWTO reveals that monthly arrivals were 64% below 2...
U.S. Top 25 Markets Still Behind 2019 Occupancy Even With Continued Return of Groups
STR | November 23, 2022
U.S. hotel occupancy leaders and laggards in this mid-November 2022 “bubble” chart update reflect anticipated seasonal shifts, the continued return of corporate and group demand in large-to-medium sized markets, and a persistent impact from Hurricane Ian. Additionally, the Top 25 Markets mostly trailed 2019 occupancy levels whereas a solid majority of markets outside of the Top 25 were ahead of the pre-pandemic comparable. Among those Top 25 Markets, New York City continued its firm hold as autumn’s top occupancy market at a level of 84.7% for the four weeks ending 12 November—a small gain from the previous four weeks. In...
STR: Canada Hotel Performance Recovery Continued in October
STR | November 23, 2022
HENDERSONVILLE, Tennessee—Following seasonal patterns, Canada’s hotel performance fell from the month prior but average daily rate (ADR) and revenue per available room (RevPAR) were higher than the pre-pandemic comparables, according to STR’s October 2022 data. October 2022 (percentage change from October 2019) Occupancy: 66.8% (-1.0%) Average daily rate (ADR): CAD179.70 (+13.3%) Revenue per available room (RevPAR): CAD120.05 (+12.3%) “With the height of summer travel behind us, Canada’s lower hotel performance in October was expected,” said Laura Baxter, CoStar Group’s director of hospitality analytics for ...
Staycationers Behaving Badly
PolyU’s School of Hotel and Tourism Management | November 22, 2022
COVID-19 has changed how we holiday: out with crowding into airports to fly to distant resorts; in with staying close to home. Although this might seem an effective way to support local tourism while containing the virus, research by Ph.D. student Mr Wilson Au, Dr Nelson Tsang and Dr Clare Fung of the School of Hotel and Tourism Management (SHTM) at The Hong Kong Polytechnic University reveals a downside of “staycationing”. In Hong Kong, many holidaymakers confined to local hotels during the pandemic have begun to behave badly, taking a toll on staff’s mental health. This timely study highlights the need for hotels to remove incentives ...
Competition for Leisure Guests Heats Up Between Hotels and Short-Term Rentals
AirDNA | November 14, 2022
DENVER, Nov. 14, 2022 -- A new joint report from hospitality data supplier STR and short-term rental analytics provider AirDNA shows that competition between short-term rentals and hotels has accelerated in the fight for leisure guests, with the price gap tightening and rental supply falling behind in urban markets. During the pandemic, the U.S. short-term rental sector used its supply flexibility to recover faster than hotels, especially in coastal and mountain destinations, pushing rentals' market share to a record 17% of total lodging in summer 2020. Hotels retargeted towards leisure guests to reclaim demand, focusing on urban areas, pu...
Q3 2022 Major U.S. Hotel Sales Survey
Daniel Lesser | November 9, 2022
By Daniel Lesser Economists, politicians, and business leaders are split on whether the U.S. economy is heading for a recession, is already in one, or will merely experience a slowdown. With continued supply chain disruptions, geopolitical conflicts (most notably the war in Ukraine), and the Fed’s determination to continue increasing the federal funds interest rate, there is tremendous uncertainty around inflation and where the economy is heading. Mixed signals abound, however U.S. gross domestic product (GDP) increased for the first time this year in the third quarter, expanding at a higher-than-expected 2.6 percent annually. Unemployme...
Global Real Estate Perspective November 2022: Lodging Fundamentals Strengthen
JLL | November 3, 2022
The lodging industry’s recovery continued to accelerate in the first nine months of 2022, despite increasing global economic uncertainty and deep labor shortages across travel and tourism companies. Year-over-year, hotel occupancy and average daily rate (ADR) across all regions showed growth supported by strong domestic and emerging international travel demand. Urban markets are experiencing greater momentum in their recovery as more employees return to the office, and leisure travelers are once again drawn to restaurants and live entertainment venues. Across the Americas, Miami, San Juan, New York, Los Angeles and Boston achieved the hi...
New Delhi Hotels Lead Profitability Recovery in Asia Pacific
STR | November 2, 2022
LONDON—Four key Asia Pacific hotel markets, led by New Delhi, surpassed their pre-pandemic levels in gross operating profit per available room (GOPPAR), according to STR’s September 2022 P&L data release. New Delhi’s September GOPPAR came in at US$54.58, which was 124% of the comparable 2019 level. In August, the market reported a GOPPAR level of US$45.55, which was 176% of the pre-pandemic comparable. Singapore (107%), Kuala Lumpur (104%) and Sydney (104%) were the other key markets in the region that achieved a GOPPAR level higher than the 2019 comparable. Of note, Tokyo registered the largest month-over-mont...
In Focus: Cortina d’Ampezzo, Italy
Lorenzo Gullotta | November 1, 2022
By Lorenzo Gullotta, Pavlos Papadimitriou, Ezio Poinelli The municipality of Cortina d’Ampezzo, also referred to as only “Cortina”, is part of the Province of Belluno, in the Veneto region, in northern Italy. The town is located in the southern Dolomitic Alps, in the centre of the Ampezzo valley, on the Boite River. With 5,649 inhabitants, Cortina d'Ampezzo is the eight most populous municipality of the province of Belluno. It is a renown winter and summer holiday destination, especially popular for skiing, with 120 kilometres of slopes and 38 lifts. Nicknamed “The Pearl of the Dolomites”, the town is prominent for its picturesq...
Hotel Performance Pushes Back to Seasonal Patterns
HotStats | October 31, 2022
As the global pandemic appears further in the rearview mirror, hotel performance is driving back to more recognizable, dependable and stable movements on the top and bottom line. Consider, first, Europe. There, gross operating performance in September 2022 was up 39% over August 2022. In comparison, GOPPAR in September 2019 increased 34% versus August 2019. Meanwhile, total revenue per available room (TRevPAR), grew 20% in September 2022 versus August 2022 and 18% in September 2019 versus to August 2019. It’s getting clearer that hotel performance is becoming more dependable and based on seasonality rather than other market variables,...
U.S. Travel: Meals and Entertainment Tax Bill Will Boost Small Businesses, Travel Workers
U.S. Travel Association | October 26, 2022
U.S. Travel Association Executive Vice President of Public Affairs and Policy Tori Emerson Barnes issued the following statement on the introduction of the Service Worker Economic Stabilization Act, introduced by Congressmen Darin LaHood (R-IL) and Jimmy Panetta (D-CA): “This critical bill helps put business travel spending and in-person meetings on a level playing field with other legitimate business expenses while supporting small business owners and workers in America’s restaurants, theaters, arts and entertainment venues. “Business travel spending is not expected to fully recover until 2027, and this bill will help bridge th...
Aimbridge Hospitality Welcomes 93 Associates to AHLA Foundation’s Fall 2022 Apprenticeship Program
Aimbridge Hospitality | October 24, 2022
Industry leader is committed to driving internal growth, excellence and development PLANO, Texas, October 24, 2022 — Aimbridge Hospitality, a leading global hospitality company, announced a cohort of 93 new associates joining its American Hotel & Lodging Association (AHLA) Foundation Fall 2022 Lodging Manager Apprenticeship Program. The cohort is another example of the investments Aimbridge is making to secure top industry talent and foster an environment of growth and development across its team. “We’re taking meaningful action to invest in our associates’ development and are extremely proud of our team’s commitment...
Düsseldorf’s Hotels See Corporate Demand Start to Grow, Says HVS
HVS | October 17, 2022
17 October 2022, London: Hotels in Düsseldorf, the world’s top destination for trade fairs and business conventions, have seen a market bounce in the second half of 2022 in line with the Germany’s economic growth and the slow return of international and business demand. The city, which has experienced consistent growth in tourism over the past decade, traditionally benefits from strong corporate and MICE demand with some 1.6 million visitors a year at its peak. However, the city’s MICE business was badly hit by the covid pandemic with visitation to Messe Düsseldorf, its main exhibition space, dropping 65% in 2020 and a further 45%...
Analysis: 2022 Hotel Leisure Travel Revenue Projected To Be Up 14% Over Pre-Pandemic Levels
AHLA | October 17, 2022
WASHINGTON (October 17, 2022) – U.S. hotel leisure travel revenue is projected to end 2022 14% above 2019 levels, while hotel business travel revenue is expected to come within 1% of 2019 levels, according to a new analysis released today by the American Hotel & Lodging Association (AHLA) and Kalibri Labs. The projections are not adjusted for inflation, and real hotel revenue recovery will likely take several more years. Post-pandemic recovery remains uneven, particularly in many major cities and destinations where business travel continues to lag. Among the top 50 U.S. markets, 80% are projected to see hotel leisure travel reve...
ICYMI: Millions of Travelers Say ‘NO’ to the United States Due to Staggering Visa Delays
U.S. Travel Association | October 13, 2022
Los Angeles Times: The U.S. Travel Assn. released a study Thursday, estimating that in 2023, the U.S. is projected to lose $11.6 billion in tourism spending because 6.6 million international travelers will be unable to get visitor visas to travel to the U.S. in a timely manner. Wait times of 400 days and longer to get an interview for a visitor’s visa have deterred potential tourists primarily from Brazil, India and Mexico, according to the study. (By Hugo Martin, Oct. 6, 2022) Bloomberg Law: “Excessive visa delays are essentially a travel ban—no one is going to wait 1-2 years to interview with a U.S. government official to gain pe...
India Update: Societal Change Provides Hoteliers With Plenty of Optimism and Opportunity
STR | October 10, 2022
The world regions that have experienced the most significant hotel performance recovery to date are now faced with similar challenges. Most of those challenges stem from economic uncertainty. In India, there are certainly challenges, but there are also unique factors driving optimism and opportunity. Specifically, overall societal change is presenting India’s travel and tourism industry with temptations not seen for some time. Can government stability be key to long-term growth? Government alignment with the travel industry is never straightforward, but the imminent release of an official, updated tourism policy will focus o...
Tourism Tidbits: Will There Be a Crisis Recovery for Tourism?
Dr. Peter Tarlow | October 7, 2022
By Dr. Peter Tarlow There can be no doubt that the last few years have not been easy ones for the entire travel and tourism industry. From the airlines and cruise ships to the hotel components of tourism, profits have for many decreased and the word "bankruptcy" is heard with ever more frequency. Although the summer of 2022 was a banner year for tourism, it would be a mistake to believe that Covid has not made many people afraid to travel. Although it appears that we have left the crisis of 2020-2021 behind, new problems and the use of virtual conferences might well put a dent into the business travel market. Europe is in an especially d...
Business Travel Continues Bouncing Back With a Strong Outlook for 2023, According to New Industry Poll From GBTA
GBTA | October 7, 2022
Alexandria, VA – The last quarter of a calendar year can typically be busy and productive for global business travel and travelers. But in a time when so much isn’t back to being typical, where does the recovery of global business travel stand now? The October 2022 Business Travel Recovery Poll released today by the Global Business Travel Association (GBTA), the world’s premier association serving the business travel industry, unveils the latest insights and sentiments from a survey of almost 600 business travel buyers, suppliers, and other stakeholders around the world. This survey marks the 29th poll in the GBTA series since the pan...
Millions of Travelers Say ‘NO’ to the United States Due to Staggering Visa Delays
U.S. Travel Association | October 6, 2022
WASHINGTON (October 6, 2022)—The U.S. Department of State’s low prioritization of visitor visa (B-1/B-2) processing is severely hindering the U.S. economic recovery, keeping an estimated 6.6 million potential visitors from traveling to the United States in 2023 at a loss of $11.6 billion in projected spending, according to new analysis released today by U.S. Travel Association economists. “Outrageous wait times send a message to travelers that the United States is closed for business,” said U.S. Travel Association President and CEO Geoff Freeman. “Unacceptable visa delays are harming the American workforce and it is long pas...
U.S. Travel Reacts to Canada’s Suspension of Travel Restrictions
U.S. Travel Association | September 27, 2022
WASHINGTON (September 27, 2022)—U.S. Travel Association Executive Vice President of Public Affairs and Policy Tori Emerson Barnes issued the following statement on the Canadian government's decision to remove all COVID-19 border and travel restrictions effective October 1: “Ottawa is taking the right step by lifting its vaccine and testing requirement to enter Canada, which will give its economy a substantial boost. Washington should follow suit by immediately suspending proof of vaccination for qualified visitors from Canada and other nations, given the wide access to effective Covid boosters and therapies. Canada is the No. 1 sourc...
Strong Rate Growth and New Travelers Discovering New York State’s Resort Markets
Christian Cross | September 26, 2022
By Christian Cross While New York City and its metropolitan area have largely steered the conversation around New York State’s pandemic recovery, with some secondary discussion of larger markets such as Buffalo, Rochester, Albany, and Syracuse, in my opinion, the state’s resort markets have been the most interesting and have offered some of the biggest surprises to me and local market participants. I moved back to New York State to launch our firm’s Buffalo office in the middle of the pandemic and began working on assignments in the Finger Lakes, the Adirondacks, and the Catskills/Hudson Valley regions. While each individual ...
NYC Hospitality Sector Continues Recovery as Travel Surges and Hotels Reopen
Hodges Ward Elliott | September 23, 2022
New York, NY – September 20, 2022 – As the U.S. continues to recover from the events of the last two years, New York City tourism is returning to pre-pandemic levels as both international and business travel to the area has surged over the past few months. In addition, the reopening of numerous hotels throughout the City, as well as the return of Broadway shows, has also stoked the market which bodes well for the future health of the New York City hospitality sector. These are some of the major takeaways from the New York City Q2 2022 hospitality market report, released by Hodges Ward Elliott ("HWE"), the premier boutique real estate c...
