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
Before Covid and After Covid
Larry and Adam Mogelonsky | May 18, 2022
By Larry and Adam Mogelonsky The terms BC (Before Christ) and AD (Anno Domini) define the numerical labels of the Gregorian Calendar that is in use in most of the Western World. For hoteliers, we need to adapt this approach to the world of ‘Before Covid’, which ended in 2019, and ‘After Covid’ which is unfurling before our eyes right now in 2022. The effects of the pandemic were of such significance that making comparisons of AC business to BC results are almost irrelevant. Given that the effects of the coronavirus can be seen as a direct result of the increasing globalization of the world, travel, hotels, restaurants, cruises a...
Hospitality’s Recruitment Issues Need Short- and Long-Term Solutions and a Flexible Approach, Hears Industry Webinar
HVS | May 18, 2022
18 May 2022, London: Improving the hospitality industry’s recruitment issue is a multi-faceted challenge with no quick fix but the need for short-term as well as long-term measures, attendees of an industry webinar heard yesterday [17th May 2022]. Introducing the 16th industry webinar organised by global hotel consultancy HVS, legal expert Bird & Bird, publishing group EP Business in Hospitality and restructuring advisory firm AlixPartners, Bird & Bird partner Karen Friebe said that finding staff was the most pressing challenge facing the industry today. A straw poll of webinar attendees revealed that 52% had over 10% fewe...
India Hotel Performance Continues to Eclipse Pre-Pandemic Levels
STR | May 17, 2022
India’s hotel performance recovery resumed early in 2022, but April seemed to be the turning point with the country outpacing pre-pandemic comparables in occupancy and average daily rate (ADR) for three consecutive weeks. Leisure markets have continued to lead recovery, but business travel is also back in the country post-Omicron. Forward bookings also appear to be healthy for the remainder of May with most pickup remaining short-term. 20 straight days above pre-pandemic comparables Running 7-day occupancy and ADR had been trending at 90% or better of 2019 levels since the latter portion of March, with occupancy eclipsing pre...
International Travel Set to Maintain Growth in 2022 With Full Recovery Expected by 2025, Observes GlobalData
GlobalData | May 16, 2022
International departures will reach 68% of the pre-COVID-19 levels globally in 2022 and are expected to improve to 82% in 2023 and 97% in 2024, before making a full recovery by 2025 at 101% of 2019 levels, with a projected 1.5 billion international departures. However, the trajectory for the recovery in international departures is not linear across regions or countries, says GlobalData, a leading data and analytics company. Hannah Free, Travel and Tourism Analyst at GlobalData, comments: “International travel from North America had shown improvement in 2021 as international departures grew by 15% year-on-year. The US rose to become the ...
Travel & Tourism Sector Across Africa Expected to Create 14 Million New Jobs Within the Next Decade
WTTC | May 16, 2022
Travel & Tourism GDP growth set to outpace the overall economy for the next 10 years London, UK: The World Travel & Tourism Council’s latest Economic Impact Report (EIR) reveals the African Travel & Tourism sector is expected to create almost 14 million new jobs over the next decade. The positive forecast from the World Travel & Tourism Council (WTTC), which shows an average of 1.4 million new jobs every year, also reveals the sector will lead the economic recovery in the region, with its annual GDP growth set to outpace the overall economy for the next 10 years. According to the report, Travel & Tourism’s GD...
$150 Million Targeted for Georgia’s Hotels Will Get the Industry ‘Back on Its Feet’
GHLA | May 16, 2022
ATLANTA (May 16, 2022) — A $150 million grant announced by Gov. Brian Kemp today will dramatically improve the future of Georgia’s hotel and lodging industry, according to leaders of Georgia Hotel & Lodging Association (GHLA), the group charged with implementing the federal grant that will bring much-needed financial relief to an industry ravaged by the pandemic. GHLA’s program, Save Georgia Hotels, is an American Recovery Plan Act (ARPA) Negative Economic Impact grant that will help hotel operators and hotel employees return to work. All awarded funds must be used at Georgia properties. Funds used according to the rules and over...
The “Great Return” Is in Motion; Workers, Students, Companies and Travelers Re-Embrace the City Center
JLL | May 12, 2022
Office occupancy and urban hotel demand are both steadily increasing CHICAGO, May 12, 2022 – While at-home work and a shift away from city centers was widely embraced during the throes of the pandemic, recent data points suggest the “Great Return” is in motion. City centers have historically served as the cultural and commercial heart of cities and as William Shakespeare once said, “What is the city but the people?” This statement resonates now more than ever as cities are being reawakened and re-embraced by the workers, students and companies that call them home. As of April, many big tech and financial corporations have called ...
Up, Up & Away: 77 Percent of Americans Are Planning Getaways This Year
Redpoint Global | May 12, 2022
Redpoint Global today announced new research revealing trends around personalization and overall sentiment toward travel in 2022. While most travelers are itching to travel after years of restrictions, 54 percent of travelers have yet to book their 2022 trips. Redpoint’s survey results reveal some of the key trends shaping travel plans as well as the expectations from consumers about how travel and hospitality brands can best guide customer experiences. The top areas that consumers cite concern for travel are around health and safety (29 percent) and costs around travel (25 percent) and gas prices (17 percent). Customer satisfaction remai...
New Survey Finds U.S. Pre-Departure Testing Is Significant Barrier to International Travel and Economic Recovery
U.S. Travel Association | May 12, 2022
Economic losses mounting as U.S. maintains outdated requirement WASHINGTON (May 12, 2022)—A new survey conducted by Morning Consult for U.S. Travel Association reveals the inbound pre-departure testing requirement imposed by the federal government is having a devastating impact on travelers’ likelihood of visiting the United States this summer and remains a major barrier to economic recovery. A survey of vaccinated international travelers in France, Germany, the United Kingdom, South Korea, Japan and India found that pre-departure testing requirements are a deterrent to travel and are making it significantly less likely that people ...
Taking Back Market Share From Short-Term Rentals
Larry and Adam Mogelonsky | May 11, 2022
By Larry and Adam Mogelonsky The blinders are on as every hotel looks to cope with a swing back to high occupancies during the upcoming peak summer travel season. But think beyond this travel recovery scenario and you’ll see that the terrain has permanently shifted in favor of short-term rentals as leaders in some markets. We’ve been forecasting for quite some time that Airbnb, Vrbo and the like would come to not only take travelers from hotels but also influence the direction of the entire accommodations industry. Look no further than the gains seen from Airbnb’s earnings report from Q1 2022 released at the beginning of May. This...
Middle East Travel & Tourism Sector Expected to Create 3.6 Million New Jobs Within the Next Decade
WTTC | May 10, 2022
Travel & Tourism GDP set to outstrip the overall economy for the next 10 years London, UK: The World Travel & Tourism Council’s latest Economic Impact Report (EIR) reveals the Travel & Tourism sector in the Middle East is expected to create nearly 3.6 million new jobs over the next decade. The forecast from the World Travel & Tourism Council (WTTC), which shows an average of 360,000 new jobs every year, also reveals the sector will lead the region’s economic recovery, with its average annual growth set to outpace the overall economy for the next 10 years. According to the report, Travel & Tourism’s GDP is for...
Charleston the Second Most Expensive US Destination This Spring, Survey Reveals
Cheaphotels.org | May 5, 2022
Charleston, S.C., May 5, 2022 -- Charleston, the famous port city in South Carolina, is the United States' second priciest spring destination, according to a survey by Cheaphotels.org.The survey compared hotel rates in destinations across America during May 2022. Only hotels rated 3 stars or more and located close to a beach or city center/town center were included in the survey.In Charleston, visitors will have to spend $374 on average per night for the most affordable double room. Only the Hawaiian resort town of Poipu on Kauai island is pricier, with an average nightly rate of $397.Compared to spring 2021, rates have increas...
Recovery Outlook for the San Diego Lodging Market
Marcus Lee | May 5, 2022
By Marcus R. Lee Amid a worldwide pandemic, RevPAR for Greater San Diego fell approximately 50.0% in 2020 from 2019 levels.[1] This compares to a 47.5% drop for the United States as a whole and a 57.6% drop for the top 25 markets in the nation, according to STR. By year-end 2021, the greater San Diego market’s RevPAR had recovered to just under 80.0% of the pre-COVID performance. This rebound is less than the 83.0% recovery experienced nationally, but stronger than the 67.0% recovery of the top 25 markets. On June 15, 2021, the State of California retired the majority of its COVID-19 restrictions and entered a statewide reopening phas...
The World Travel & Tourism Council Reveals Massive Increase in Global International Inbound Travel
WTTC | April 25, 2022
Flight bookings suggest a hot summer ahead for key destinations across Asia-Pacific, Europe and the Americas Manila, Philippines: The World Travel & Tourism Council (WTTC) and its knowledge partner ForwardKeys, forecast a major increase in global international flights bookings as international travel takes off. The booking bounce back was revealed at WTTC’s prestigious 21st Global Summit, taking place this year in Manila, as the world continues to reopen from the pandemic. News of the strong recovery highlights a promising prospect ahead for summer holiday travel, with sun and sea destinations, such as the Caribbean and Latin...
Travel & Tourism Sector Expected to Create Nearly 126 Million New Jobs Within the Next Decade
WTTC | April 21, 2022
One in three of all new jobs set to be created within Travel & Tourism Travel & Tourism GDP could reach 2019 levels by 2023 MANILA, Philippines: The World Travel & Tourism Council’s latest Economic Impact Report (EIR) reveals the Travel & Tourism sector is expected to create nearly 126 million new jobs within the next decade. The bullish forecast from the World Travel & Tourism Council (WTTC), which represents the global Travel & Tourism private sector, also shows the sector will be a driving force of the global economic recovery, creating one in three of all new jobs. The announcement was made today by Julia Simpson, President & C...
Largest U.S. Hotel Markets Showed Considerable RevPAR Gains as Spring 2022 Began
STR | April 20, 2022
More than two-thirds of STR-defined U.S. hotel markets (113 of 165) outperformed their 2019 comparables over the four weeks ending 9 April 2022, which is reflective of the industry’s rebound toward normalcy as well as some influence from inflation. Only seven markets in total over the 28-day period reported revenue-per-available-room (RevPAR) indices below 80 (20% below 2019 levels). Late March into early April 2022 also marked a key turnaround in the number of major markets making appreciable performance gains toward historical performance levels. A dozen of the Top 25 Markets experienced RevPAR that was 20% or higher month over month. ...
U.S. Travel Association Reacts to Federal Mask Mandate Action
U.S. Travel Association | April 19, 2022
WASHINGTON (April 19, 2022)—U.S. Travel Association Executive Vice President of Public Affairs and Policy Tori Emerson Barnes issued the following statement on the Biden administration’s announcement that the federal mask mandate will not be enforced on public transportation and in transportation hubs at this time: “The current decision to halt enforcement of the federal mask mandate effectively returns the choice of mask usage on planes and other forms of public transportation to travelers and travel industry workers, a further step toward endemic management of Covid.” “We also continue to urge the administration to immediat...
STR: U.S. Hotel Results for Week Ending 9 April
STR | April 14, 2022
HENDERSONVILLE, Tennessee — April 14, 2022 — U.S. hotel performance increased from the previous week, according to STR‘s latest data through 9 April. 3-9 April 2022 (percentage change from comparable week in 2019*): Occupancy: 66.4% (-4.7%) Average daily rate (ADR): US$150.45 (+10.6%) Revenue per available room (RevPAR): US$99.93 (+5.4%) Among the Top 25 Markets, Tampa saw the highest occupancy increase over 2019 (+6.2% to 84.0%). Minneapolis experienced the largest occupancy decrease from 2019 (-29.5% to 51.4%). Miami posted the largest ADR increase over 2019 (+49.6% to US$328.35). ...
Hospitality Asset Managers Association (HAMA) Release “Spring 2022 Industry Outlook Survey” Results
HAMA | April 13, 2022
BOSTON, MA — April 13, 2022 — The Hospitality Asset Managers Association (“HAMA”) today released the results of its Spring 2022 Industry Outlook Survey. The semi-annual report collected the opinions, experiences and predictions of nearly 100 hotel asset managers concerning the hospitality industry since the beginning of the pandemic through today. The survey also addressed respondent’s thoughts on the future outlook of the industry. Presented live in Hollywood, Fla., the survey was conducted in advance of HAMA’s 2022 Annual Spring Meeting. In total, 84 asset managers, comprising approximately half of membership, partici...
Travel Recovery Means Protecting Your Labor
Larry and Adam Mogelonsky | April 13, 2022
By Larry and Adam Mogelonsky As we pull out of the pandemic and into a recovery situation, this inevitably leads to even more travelers. But the labor shortage will persist in many key markets, meaning that your lean team will have to do more with less. Automation is essential, but there’s still the possibility of burnout, particularly as select managers or associates may struggle to keep up with big occupancy swings. Compounding this shortage, there will be legacy effects for the hotel industry that you must consider as you adjust your organizational culture. The pandemic has caused many across all sectors to reevaluate their work-li...
STR: Expo 2020 Drove Dubai Hotel Occupancy Above 90% for the First Time Since 2007
STR | April 12, 2022
LONDON — April 12, 2022 — Driven by the final weeks of Expo 2020, Dubai’s hotel industry reported its first month of 90% or better occupancy since 2007, according to preliminary March 2022 data from STR. Occupancy: 91.7% Average daily rate (ADR): AED891.46 Revenue per available room (RevPAR): AED817.90 Like past renditions of Expo in Shanghai (2010) and Milan (2015), the end of the “mega event” proved to be the busiest for Dubai. The last time monthly occupancy in Dubai reached 90% was March 2007 when there were roughly 90,000 less rooms in the market. Additionally, the ADR level was Dubai’s second highest...
Hotel Market Recovery – Minneapolis-St. Paul
Tanya J. Pierson | April 12, 2022
By Tanya J. Pierson The recently depressed performance of the Twin Cities metro area is indicative of its reliance on corporate and group demand, which has not fully re-entered the market. As a comparison, the U.S. RevPAR dropped by 48% in 2020 during the COVID-19 pandemic, while RevPAR in Minneapolis-St. Paul fell by 64%, according to STR. In 2021, the greater Minneapolis-St. Paul market’s RevPAR rose to 55% of the pre-COVID performance, while the nation rebounded more quickly to 83% of the pre-COVID level. Within the corporate segment, demand declined significantly, as most of the region’s largest employers eliminated corporate trave...
South America Hotel Profitability Still Slumping
STR | April 6, 2022
HENDERSONVILLE, Tennessee — April 6, 2022 — Key hotel markets in South America are still struggling to regain profitability due to inflation, pandemic-driven gaps in travel, and lessened impact from events, according to STR’s February 2022 P&L data release. Building on its initial launch in the U.S., STR now features monthly P&L data reporting in four world regions: Europe, Middle East/Africa, Asia Pacific, and the Americas. “Most of the markets in the region are only averaging around 36% of their pre-pandemic levels in gross operating profit per available room,” said Patricia Boo, STR’s area direction f...
As Spring Break Volume Dipped, U.S. Hotel Occupancy Saw Decrease
STR | April 1, 2022
As Spring Break travel volume dipped, the U.S. hotel industry saw weekly occupancy decrease 1.3 percentage points to 65.5% for the week of 20-26 March 2022. As compared with a year ago, average occupancy for the past two weeks combined was nearly eight percentage points higher, while the gap to 2019 was down to five percentage points. Average daily rate (ADR) also softened 1.5% week on week with the absolute level (US$149) the third highest in history. With lower occupancy and ADR, revenue per available room (RevPAR) decreased 3.5% from the week prior. While the country saw an overall seasonal slowing in occupancy, several markets saw thei...
