The industry set another monthly demand record but saw a lack of meaningful growth in room rates. ... "While we're forecasting positive performance for the year, we're keeping an eye on the development pipeline and increased construction activity," Freitag said.
The number of markets where supply growth is now exceeding demand growth continues to increase. ... Markets of concern where new supply is already outpacing demand and future new openings are forecasted to be high are Houston, New York, Dallas, and Los Angeles.
The dreary international inbound travel forecast was countered by the strength of domestic travel. ... bookings data from ADARA and nSight; airline bookings data from the Airlines Reporting Corporation (ARC); IATA, OAG and other tabulations of international inbound travel to the U.S.; and hotel room demand
year-over-year comparison with Q1 2018, the industry posted the following: Occupancy: +0.4% to 61.8% Average daily rate (ADR): +1.1% to US$129.02 Revenue per available room (RevPAR): +1.5% to US$79.68 Demand ... "Q1 performance came in lower than forecasted as the industry reported its lowest RevPAR percentage change for an opening quarter since 2010," said Bobby Bowers, STR's senior VP of operations.
According to the December 2018 edition of CBRE's Hotel Horizons ® , the annual growth in RevPAR for U.S. hotels is forecast to decelerate from 2.8 percent in 2018 to 0.1 percent in 2021. ... At first, spas were added to urban corporate and convention hotels to remain competitive with resorts for group demand.
"Supply, demand and pricing in the U.S. lodging industry are very similar to what we have observed the past few years," said R. ... At the lower end, demand has been driven by young, first-time travelers and price-conscious vacationers."
Personal sales efforts are still more productive to capture group demand, as opposed to mass advertising, or local public relations initiatives. ... This indicates that the demand for lodging will remain strong. The challenge for Sales and Marketing professionals is to efficiently capture this demand at their hotels.
Demand growth was 2.5% for both the top 25 markets and for the remainder of the country as well. Last year, 12 of the top 25 markets had supply growth in excess of demand growth. ... These are the markets likely to see the fastest supply growth and the largest supply-demand variances over the next few years.
A year after fretting publicly about declining travel demand, especially among foreigners coming to the United States, U.S. travel promotion officials now admit 2018 saw surprising growth in demand.. ... Yet some of the same people who missed their forecast last year by a mile now admit, only grudgingly it seems, that travel demand will continue to be reasonably strong this year, but perhaps only through
When forecasting what will occur in a given year, I often quote lots of others, which reduces the risk I am taking as a sole prognosticator. ... While growth trajectory does not always indicate future results, supply growth coupled with weak demand growth can present challenges and demand growth with limited supply growth can present opportunities
"Late in 2018, RevPAR growth weakened as strong demand was offset by lower-than-expected ADR growth," said Amanda Hite, STR's president and CEO. ... "Now demand is softening, and although supply growth is stabilized, we expect our first year without an increase in occupancy since 2009.
Based on percentage growth for the year, demand (+2.5%) outpaced supply (+2.0%). ... "As projected in our first 2018 forecast back in January, U.S. hotels had a good, not great year," said Amanda Hite, STR's president and CEO.
Reading forecast content from the plethora of prognosticators out there can drive one into craziness. ... Our forecast projects a GDP growth of 2.4 percent and a similar growth in average rates with flat occupancy levels.
average daily rate of approximately $90, but with the Super Bowl at Mercedes-Benz Stadium, ADR for the market is likely to be in the vicinity of $270," said Blake Reiter, STR's director of custom forecasts ... "Atlanta is a large market with an established base of demand across the transient and group segments.
Given the upward revision to the economic forecast, our projections for 2019 growth in demand have risen from the 1.9 percent figure presented in our September 2018 report to the 2.1 percent in the current ... Market Forecasts While lodging demand for the entire U.S. market is forecast to increase by 2.1 percent in 2019, the demand for accommodations in the 60 markets covered by CBRE is projected to grow by
the following: Occupancy: +0.8% to 69.9% Average daily rate (ADR): +2.7% to US$133.81 Revenue per available room (RevPAR): +3.5% to US$93.55 "October provided a nice return to 'normal' with a monthly demand ... "The further we move away from September, the less impacted by volatile hurricane-induced demand the monthly data becomes.
STR and Tourism Economics' final U.S. hotel forecast revision of this year projects a lower level of performance growth for 2018 and 2019. ... "We knew the third quarter of this year would be tough because of comparisons with the post-hurricane demand period of 2017, but demand still came in lower than expected.
Reflecting the strong cyclical highs in the pipeline, LE's forecast for new hotel openings will continue to rise in 2018-2020. ... All in all, 10 of the top 25 markets show supply growth minimally exceeding demand growth in 2018.
Group demand, Hanson notes, has already increased more this year than previously forecast.
Compared with Q3 2017: Occupancy: -0.4% to 71.0% Average daily rate (ADR): +2.1% to US$131.86 Revenue per available room (RevPAR): +1.7% to US$93.65 Demand (room nights sold) grew 1.6% year over year, ... Regardless, growth is growth, and overall industry performance remains in good shape with our forecast calling for growth through at least 2019."