November 2008 | From Double-digit Losses To Double-digit Gains
STR Global, STR Release Global Results Nov. 2008
LONDON and HENDERSONVILLE, Tennessee | The global economic slowdown is having an impact on the hotel industry based on the world’s four regions reporting mixed year-over-year results when reported in U.S. dollars, euros and British pounds for November 2008, according to data compiled from STR Global.
Figures for occupancy, average daily rate and revenue per available room range from double-digit losses to double-digit gains, depending on the market and the currency used for comparison.
“Although year-to-date numbers still are fairly presentable due to a strong first half of the year, November saw a sharp drop in demand, and RevPAR is suffering as a result,” said James Chappell, managing director for STR Global. “Interestingly, the more mature markets with good international brand saturation are faring better as they are holding the rate more. Less mature markets, or those with a minimal amount of branded hotels, are falling in the trap of falling rate and occupancy. In general, Europe is suffering more than the Middle East, although there are reports of falling demand in those areas as well. 2009 will be an interesting year.”
| Occupancy | ADR (U.S. dollars) | ADR (euros) | ADR (pounds) | RevPAR (U.S. dollars) | RevPAR (euros) | RevPAR (pounds) | |
| Asia Pacific | 66.7% (-12.8%) | $130.25 (-5.7%) |
€102.66 (+9.5%) | £84.75 (+26.5%) | $86.84 (-17.7%) |
€68.45 (-4.4%) |
£56.51 (+10.4%) |
| Americas | 52.6% (-10.2%) |
$102.52 (-3.3%) |
€80.81 (+12.3%) |
£66.71 (+29.7%) | $53.96 (-13.2%) |
€42.53 (+0.8%) | £35.11 (+16.4%) |
| Europe | 63.2% (-9.1%) |
$129.79 (-9.1%) |
€102.30 (-5.2%) |
£84.46 (+9.5%) | $82.05 (-25.8%) |
€64.67 (-13.8%) |
£53.39 (-0.5%) |
| Middle East / Africa | 74.9% (-3.7%) |
$174.99 (+11.0%) |
€137.92 (+29.0%) | £113.86 (+49.0%) | $131.05 (+7.0%) |
€103.30 (+24.3%) | £85.28 (+43.5%) |
Highlights from key individual markets around the globe include (percentages are November 2008 vs. November 2007):
- Largest occupancy decreases: Beijing, China (-32.1 percent to 49.9 percent); and Madrid, Spain (-20.1 percent to 62.3 percent). None of the 15 markets in the Key Market Index reported occupancy gains.
- In the Middle East/Africa region, Dubai is showing signs of feeling the pinch from the global downturn. It reported occupancy of 84.9 percent (-5.6 percent). Hotels in Dubai experienced an 8.8-percent decrease in ADR and a 13.9-percent drop in RevPAR (based on United Arab dirhams).
- In Europe, four cities experienced occupancy losses of more than 20 percent: Lisbon, Spain (-26.0%); Barcelona, Spain (-25.7%); Prague, Czech Republic (-21.9%); and Madrid, Spain (-20.1 percent).
- In the Americas, New York experienced a 21.9-percent drop in RevPAR and an 11.5-percent decline in ADR (based on US dollars).
- In the Asia/Pacific region, Tokyo, Japan, and Osaka, Japan, experienced a 14.8-percent increase and a 10.3-percent increase in ADR, respectively (based on the Japanese yen).
| Occupancy | ADR | RevPAR | |
| Argentina | 68.8% (-14.5%) | ARS 526.09 (+15.1%) | ARS 361.85 (-1.6%) |
| Brazil | 68.7% (+1.0%) | BRL 206.04 (+18.9%) | BRL 141.57 (+20.1%) |
| Canada | 59.5% (-4.7%) | CAD 125.15 (+2.9%) | CAD 74.46 (-2.0%) |
| Mexico | 57.5% (-11.6%) | MXN 1371.11 (+13.5%) | MXN 788.63 (+0.3%) |
| United States | 51.9% (-10.6%) | USD 101.81 (-2.5%) | USD 52.86 (-12.9%) |
| Australia | 79.7% (-5.7%) | AUD 178.57 (+0.4%) | AUD 142.40 (-5.3%) |
| China | 57.4% (-19.5%) | CNY 814.63 (-9.3%) | CNY 467.79 (-27.0%) |
| India | 69.3% (-6.8%) | INR 9850.58 (-1.4%) | INR 6826.71 (-8.1%) |
| Japan | 77.5% (-6.0%) | JPY 16602.04 (+11.0%) | JPY 12864.40 (+4.3%) |
| Singapore | 77.9% (-9.2%) | SGD 292.01 (+5.2%) | SGD 227.43 (-4.5%) |
| Germany | 64.2% (-5.1%) | EUR 86.36 (+3.6%) | EUR 55.42 (-1.6%) |
| Italy | 54.2% (-13.2%) | EUR 120.42 (-4.8%) | EUR 65.30 (-17.4%) |
| Russia | 51.4% (-16.6%) | RUB 7134.19 (+2.7%) | RUB 3664.90 (-14.4%) |
| Spain | 56.3% (-18.0%) | EUR 88.13 (-5.9%) | EUR 49.60 (-22.8%) |
| United Kingdom | 70.5% (-6.2%) | GBP 84.03 (-2.1%) | GBP 59.27 (-8.2%) |
| Egypt | 83.6% (-6.6%) | EGP 462.25 (+14.6%) | EGP 386.23 (+7.1%) |
| Israel | 74.5% (+0.6%) | ILS 619.88 (+31.2%) | ILS 461.97 (+32.0%) |
| Saudi Arabia | 59.5% (+8.7%) | SAR 832.88 (+52.3%) | SAR 495.47 (+65.7%) |
| South Africa | 75.0% (-7.9%) | ZAR 841.64 (+11.5%) | ZAR 631.29 (+2.7%) |
| United Arab Emirates | 85.2% (-4.9%) | AED 1307.25 (+3.8%) | AED 1113.74 (-1.3%) |
For more information about this data, as well as market-specific data, please visit .
About STR & STR Global: For more than 20 years, Smith Travel Research has been the recognized leader for lodging industry benchmarking and research. Smith Travel Research and STR Global offer monthly, weekly, and daily STAR benchmarking reports to more than 36,000 hotel clients, representing nearly 5 million rooms worldwide. STR is headquartered in Hendersonville, Tennessee, and STR Global is based in London. For more information, visit .
Jeff Higley (STR)
VP, Digital Media & Communications
+1 (615) 824-8664 ext. 3318
STR Global
