North American hoteliers are closing 2017 with "healthy gains" across all travel segments, but especially group travel, according to TravelClick.
The holidays have come early for North American hoteliers, which are closing 2017 with "healthy gains" across all travel segments, according to hotel consultancy TravelClick, which yesterday published its October 2017 North American Hospitality Review (NAHR).
Overall, average daily rates (ADR), occupancy, and revenue per available room (RevPAR) are up 1.6 percent, 4.3 percent, and 6 percent, respectively, for the fourth quarter, according to TravelClick, which said the group travel is performing especially well, with ADR, occupancy, and RevPAR up 2.6 percent, 7.8 percent, and 10.6 percent, respectively.
"October's key reservation metrics offer encouraging news for hoteliers, with structural growth across all travel segments and noteworthy gains in group booking specifically," said John Hach, TravelClick's senior industry analyst. What's more is that we also see promising signs in organic market growth, which is helping to support increases in rates at the same time."
Although 2017 is ending on a high note, the industry can't count on this year's blessings to continue in 2018, cautioned TravelClick, which said ADR across all travel segments in up 2.1 percent for the first quarter of 2018, while occupancy is down 0.3 percent. Group ADR likewise is up 2.9 percent, while group occupancy is down 1.4 percent.
"While this year's fourth-quarter data is undoubtedly promising, there is still some uncertainty as to whether or not advance reservation growth with materialize in early 2018," Hach concluded.
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