u s hotel demand
Historical Analysis: Rising Gas Prices Have Limited Impact on U.S. Hotel Demand
STR | March 10, 2022
Performance recovery is ramping up for U.S. hotels as the first quarter of 2022 nears a conclusion. However, that recovery is meeting potential headwinds from the war in Ukraine and subsequent further increases in gas prices. While the circumstances of 2022 are unique, historical data suggests that the latter of those two global issues will have a limited impact on U.S. hotel demand even as the cost for leisure and business travel increases further. Using data from the U.S. Energy Information Administration, gas prices have hit an all-time high on a nominal basis but remain lower than the July 2008 peak on an inflation-adjusted basis (real...
U.S. Hotel Occupancy Remains Soft for Third Consecutive Week
STR | January 28, 2022
For a third consecutive week, U.S. hotel occupancy remained soft with occupancy for 16-22 January staying basically flat (-0.1 percentage point) at 48.7%. Room demand declined by 13,000 nights week on week but remained above 18 million and increased on a relative basis against 2019 with the index at 87.2, up 0.5 points week on week. Average daily rate (ADR) increased for a second week but by only 0.2% with the index to 2019 rising to 98.6. Revenue per available room (RevPAR) also moved slightly upwards (+0.1%) with the index to 2019 (82.9) the highest of the past three weeks. While there is little doubt that Omicron...
Forecast: U.S. Hotel Demand and ADR Will Near Full Recovery in 2022
STR | November 8, 2021
NEW YORK — November 8, 2021 — U.S. hotel demand as well as average daily rate (ADR) on a nominal basis will near full recovery in 2022, according to the upgraded forecast just released by STR and Tourism Economics at the 43rd Annual NYU International Hospitality Industry Investment Conference. Additionally, revenue per available room (RevPAR) on a nominal basis is projected to be fully recovered in 2023. “We have essentially moved up the top-line recovery timeline by one year, with the caveat that improved RevPAR projections are largely due to ADR,” said Amanda Hite, STR’s president. “ADR has risen more rapidly than we expected...
U.S. Hotel Demand Not Expected to Fully Recover Until 2023
STR | June 26, 2020
HENDERSONVILLE, Tennessee—Even with improving performance already underway, U.S. hotel demand will not return completely to pre-pandemic levels until 2023, according to the latest forecast revision from STR and Tourism Economics. “Compared with our last forecast, we actually improved our demand projection for 2020 from -45.0% to -36.2%, but we expect it to take 11 quarters for the number of room nights sold to rise to the corresponding levels of 2019,” said Jan Freitag, STR’s senior VP of lodging insights. “Similarly, it will take until 2023 for occupancy to reach the 20-year historical average. With lower occupancy levels, and t...
U.S. Hotel Demand Hits an All-Time High
Richard Barkham, Ph.D. | September 5, 2017
By Richard Barkham Good News for the Business Cycle and the New Economy Hotel demand has just reached an all-time high in the U.S., according to CBRE Hotels' Americas Research. Occupancy levels and demand for rooms are also buoyant in Europe and Asia Pacific.1 Demand for hotel rooms is highly sensitive to business conditions, particularly on the downside. When business revenues and personal incomes are squeezed at the end of the cycle, hotel demand drops away very quickly. Hotel demand has shown strong growth since the middle of 2016, suggesting that business conditions in the U.S., and elsewhere in the world, are robust despite relativ...
