Germany forecasts make tough reading | STR GLobal
Forecasts from the May 2009 Hotel Market Forecast report from STR Global, the leading provider of market information to the world’s hotel industry, indicate that average daily rate declines during the next 24 months across Germany’s major cities will be the main cause of the industry’s sluggish performance. Just as positive recent data from Germany’s Ifo business climate index on the prospects for the German economy is tempered with on-going fears of further job losses, limited improvements in hotel occupancy during the next two years are offset by the rate declines. See the chart below. Even in those cities such as Hamburg and Munich where there are expectations of modest increases in occupancy of up to 2 percent and 3 percent in 2010, respectively, the forecasted decreases in room rate are 6 to7 percent.