STR Global: India reports YTD decreases
India’s hotel industry has reported year-to-date decreases in the three key performance metrics, according to STR Global, the leading provider of market information in the hotel industry. For the period January-to-October 2012 YTD, India’s hotels on an average saw occupancy fall 0.8 percent to 57.7 percent, average daily rate drop 4.0 percent to INR6,117.72 and revenue per available room decrease 4.8 percent to INR3,532.54.
LONDON -- India’s hotel industry has reported year-to-date decreases in the three key performance metrics, according to STR Global, the leading provider of market information in the hotel industry.
For the period January-to-October 2012 YTD, India’s hotels on an average saw occupancy fall 0.8 percent to 57.7 percent, average daily rate drop 4.0 percent to INR6,117.72 and revenue per available room decrease 4.8 percent to INR3,532.54. “The global economic slowdown and a substantial increase in inventory across cities continues to impact the hotel sector”, said Vijay Thacker, director of Horwath HTL India. “The third quarter is typically slow for hoteliers, and this year it was no different. The declining demand and rate conditions throughout the year have proved to be worrisome for hoteliers as we enter into the final quarter of the year”.
Among the markets in the region, Jaipur enjoyed the highest increase in YTD occupancy, rising 2.7 percent to 53.6 percent. Chennai (-7.8 percent to 60.5 percent) and Bangalore (-5.0 percent to 53.7 percent) reported the largest YTD occupancy decreases.
ADR growth was strongest in Goa, rising 5.8 percent to INR6,187.82. Bangalore fell 9.7 percent in ADR to INR6,363.64, experiencing the largest decrease in that metric, followed by Delhi NCR (-6.6 percent to INR7,504.03).
Goa (+4.7 percent to INR4,126.45) and Kolkata (+1.3 percent to INR4,338.99) achieved the only YTD RevPAR increases. Two markets experienced double-digit RevPAR declines: Bangalore (-14.2 percent to INR 3,414.92) and Chennai (-10.4 percent to INR 3,580.56).
“Out of the markets tracked by STR Global across India, Mumbai continued to lead in ADR and RevPAR terms”, said Elizabeth Randall Winkle, managing director of STR Global, “reporting YTD ADR and RevPAR of INR 7,933.85 and INR 4,901.86 respectively”.
STR Global provides clients—including hotel operators, developers, financiers, analysts and suppliers to the hotel industry—access to hotel research with regular and custom reports covering Europe, Middle East, Africa, Asia Pacific and South America. STR Global provides a single source of global hotel data covering daily and monthly performance data, forecasts, annual profitability, pipeline and census information. STR Global is part of the STR family of companies and is proudly associated with STR, RRC Associates, STR Analytics, and HotelNewsNow.com.