Observations/Trends - 07/21/20

  • Across all rate categories, demand was down week over week. This is attributable in part to reduced demand, but also a result of the July 4th week having a favorable year over year comparison (7/4/19 = Wednesday; 7/4/20 = Friday).
  • Despite the recent weeks declines all rate categories other than group and corporate are showing revenue improvements from the trough in mid-April.
  • It is possible that the most recent surge in cases across U.S. could result in downward trends in demand in the short term/next few weeks. The unknown and evolving nature of both health and business restrictions will most certainly have some impact on hotel and travel demand.
  • Without more defined and consistent regulations on group gatherings and social distancing practices at the national, state and/or local levels, and the corresponding confidence such measures would provide to consumers, group, corporate and government demand will most likely continue to suffer.
  • Across the U.S., airlines Tickets - net purchased continue a week:week downward trend from a mid-June climb. This is most likely reflective of a growing lack of consumer confidence in near term travel due to recent surges in cases across most of the country.

Go to industry health dashboard

About Kalibri Labs

Kalibri Labs evaluates and forecasts revenue and cost of acquisition performance in the digital marketplace. Our next-generation HummingbirdPXM platform is the only hotel benchmarking and reporting solution driven by AI and machine learning. HummingbirdPXM is built on a robust database of daily transactions and cost of acquisition data gathered weekly from almost 35,000 hotels. Using advanced algorithms, the platform enables owners and operators to determine a hotel's optimal business mix and manage resources to achieve it. Kalibri Labs unpacks the composition of RevPAR to describe market demand by rate category and channel assisting hotel owners and operators to develop strategies that improve profit contribution, which leads to higher asset values. Tapped regularly by the real estate and investment community, the Kalibri Labs database supports hotel transactions and financial restructuring by brokers, lenders, appraisers, and financial consultants. For more information, visit www.kalibrilabs.com.