PKF Hospitality Research released their updated forecasts covering the domestic lodging industry in late August 2009. Per these estimates, Revenue per Available Room (“RevPAR”) in the United States is expected to decline 18.5 percent this year, and another 2.7 percent in 2010.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 4-10 October 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 5.4 percent to end the week at 59.8 percent. Average daily rate dropped 7.0 percent to finish the week at US$99.21. Revenue per available room for the week decreased 12.0 percent to finish at US$59.28.
The total active U.S. hotel development pipeline includes 4,218 projects with 450,899 rooms, according to the September 2009 STR/TWR/Dodge Construction Pipeline Report released this week. This represents a 31.1-percent decrease in the number of rooms in the total active pipeline compared to September 2008. The total active pipeline data includes projects in the In Construction, Final Planning and Planning stages, but does not include projects in the Pre Planning stage.
At the end of the third quarter of the calendar year, the Canadian hotel development pipeline includes 216 projects comprising 24,462 rooms, according to the September 2009 STR/TWR/Dodge Construction Pipeline Report released this week. This represents a 1.8-percent decrease in the number of rooms in the pipeline compared to August 2009 and a 5.3-percent increase in the number of rooms in the pipeline compared to September 2008.
As we close the summer travel season and move into the fourth quarter, there are pressing questions that will be answered in the coming months. The declines in revenue per available room we’ve experienced throughout the past year started in August 2008, but those losses begin to pick up steam in the fourth quarter (particularly November). As we come to conference season again, our outlook for 2010 and 2011 will depend heavily on the performance data we see during the next two months.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 27 September - 3 October 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 5.8 percent to end the week at 55.8 percent. Average daily rate dropped 8.3 percent to finish the week at US$95.51. Revenue per available room for the week decreased 13.7 percent to finish at US$53.30.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 20-26 September 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 7.2 percent to end the week at 59.8 percent. Average daily rate dropped 10.1 percent to finish the week at US$100.30. Revenue per available room for the week decreased 16.6 percent to finish at US$59.94.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 13-19 September 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 8.6 percent to end the week at 59.6 percent. Average daily rate dropped 10.5 percent to finish the week at US$98.34. Revenue per available room for the week decreased 18.3 percent to finish at US$58.57.
Demand probably has hit bottom in Los Angeles, but rates might still have a ways to go in what looks like a challenging immediate future for one of the country’s biggest hotel markets. The market posted an 11-percent decline in demand in 2009 through July, according to data compiled by Smith Travel Research. The drop in rate was slightly less at 10.8 percent.
The extended industry contraction that began in mid 2008 continues through the third quarter of 2009. Based on first half actual data from Smith Travel Research and the economic outlook from Moody’s Economy.com as of July of this year, the RevPAR change low point of the current cycle occurred during the second quarter of 2009. Is a recovery imminent? No. The August 2009 PKF Hospitality Research Hotel Horizons® forecast calls for record declines this year, and it will not be until 2011 that annual RevPAR levels increase.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 6-12 September 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 14.6 percent to end the week at 52.8 percent. Average daily rate dropped 12.8 percent to finish the week at US$94.49. Revenue per available room for the week decreased 25.5 percent to finish at US$49.92.
The total active U.S. hotel development pipeline includes 4,384 projects with 475,521 rooms, according to the August 2009 STR/TWR/Dodge Construction Pipeline Report released this week. This represents a 2.5-percent decrease in the number of rooms in the total active pipeline compared to July 2009 and a 27.9-percent decrease compared to August 2008. The total active pipeline data includes projects in the In Construction, Final Planning and Planning stages, but does not include projects in the Pre-Planning stage.
This monthly report provides Hitwise data on: (1) The websites That Entered and Left the Top 100 Travel Category websites - Top 20 websites for the past month based on visits - Most popular search terms typed into a search engine that resulted in traffic to websites classified by Hitwise within the Travel industry. (2) The Traffic Distribution Analysis of visits to the Travel category - The Visits Duration Analysis to the Travel Category - Fast Movers - indicating websites which have witnessed substantial increases in rank in the online Travel industry
PricewaterhouseCoopers (PwC) LLP updated US lodging forecast reflects improved economic conditions and a resumption of economic growth in the second half of 2009. While occupancy levels and average daily rates (ADR) in the second half of 2009 are expected to remain below year ago levels, resulting in a 16.1 percent decrease in room revenue per available room (RevPAR) in 2009, PricewaterhouseCoopers expects that average daily rates (ADR) will continue to decline in 2010. This rate weakness is expected to be off-set by a 1.1 percent increase in occupancy, resulting in stable RevPAR levels in 2010.
Hotel occupancy will likely gain strength in late 2009 and 2010, but profit will remain elusive as hotels continue to use heavily discounted rates to draw in more travelers, according to a revised U.S. lodging forecast from PricewaterhouseCoopers due out Thursday. The revision shows revenue down 16.1% in 2009 and flat revenue in 2010, compared with the company's June forecast of a revenue decrease of 15.7% in 2009 and a slight increase in 2010 revenue of 1.6%.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 23-29 August 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 12.4 percent to end the week at 54.4 percent. Average daily rate dropped 11.0 percent to finish the week at US$94.01. Revenue per available room for the week decreased 22.0 percent to finish at US$51.10.
By Jason Wight, HVS Canada. As we have now passed the halfway mark of 2009, we can begin to see the impact that the global recession has had on the Canadian lodging industry. On a weekly and monthly basis, we continue to see declines in occupancy and RevPAR, and now, increasingly, average room rate. Cutting rates to get "heads in beds" does not stem the decline in demand but instead magnifies the decline in RevPAR. The performance of various markets in Canada bears witness of this truth.
Scott Berman of PwC tells the tale of group travel in the third part of the Hotel Data Conference's U.S. industry outlook. Also check out part 1 with Mark Lomanno of Smith Travel Research, and part 2 with Mark Woodworth, PKF.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 16-22 August 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 7.2 percent to end the week at 60.4 percent. Average daily rate dropped 10.2 percent to finish the week at US$95.70. Revenue per available room for the week decreased 16.7 percent to finish at US$57.84.
At the National Business Travel Association Conference, American Express Business Travel, a global leader in business travel management, released its North America Business Travel Monitor (BTM) data and analysis including domestic and international airfare, hotel rates, and car rental prices paid for the second quarter of 2009.