Industry NewsFlattening Reservation Pace Presents Challenge for Hoteliers

Flattening Reservation Pace Presents Challenge for Hoteliers

NEW YORK—As North American hoteliers progress through the early months of 2017, the pace of new bookings is flat with new February reservation commitments at -0.8 percent. However, average daily rates (ADR) for the first and second quarters of 2017 are showing signs of growth across all travel segments, according to new data from TravelClick’s February 2017 North American Hospitality Review (NAHR).

“Even though only 44 percent of North American markets are showing committed occupancy increases compared to a month ago, ADR is growing in 21 of the top 25 North American markets, up 2.6 percent based on reservations currently on the books,” said John Hach, TravelClick’s senior industry analyst. “Additionally, both group and transient rates are experiencing an uptick of 3.4 percent and 2.4 percent, respectively compared to last year.”

For the next 12 months (February 2017 – January 2018), transient bookings are flat at 0.1 percent year-over-year, and ADR for this segment is up 2.2 percent. When broken down further, the transient leisure (discount, qualified and wholesale) segment is flat at -0.1 percent and ADR is up 1.9 percent. The transient business (negotiated and retail) segment is also flat at -0.8 percent and ADR is up 2.7 percent. Lastly, group bookings are up 1.3 percent in committed room nights over the same time last year, and ADR is up 2.8 percent.

“As hoteliers move into the second quarter of 2017, it’s important to keep the following tactics top-of-mind to ensure that they stay ahead of the competition moving forward— maximizing their online presence, promoting their properties across all channels and leveraging business intelligence to maximize revenue per available room (RevPAR) within local markets,” added Hach. “All of these proactive marketing initiatives will allow hoteliers to push through the flattening booking pace and stay strong well into the remainder of the year.”

The February NAHR looks at group sales commitments and individual reservations in the 25 major North American markets for hotel stays that are booked by Feb. 1, 2017, from the period of February 2017–January 2018.

RELATED ARTICLES

Dreamscape Hospitality Assumes Management of Three Hotels in Houston

HOUSTON, Texas—Dreamscape Hospitality announced that it has assumed management of three hotels in Houston, Texas. "We are excited to deepen our presence in Texas through...

Hilton Announces Plans to Debut Spark by Hilton in Puerto Rico

PONCE, Puerto Rico, and MIAMI, Florida—Hilton announced the signing of Spark by Hilton Ponce, marking the upcoming debut of the brand in the Caribbean...

Wyndham Announces Partnership With Cygnett

DELHI—Wyndham Hotels & Resorts announced a new strategic alliance with Cygnett Hotels & Resorts that will not only introduce its La Quinta by Wyndham...

New Pyramid Global Hospitality COO Continues Focus on Big Data to Benefit Owners

Pyramid Global Hospitality Chief Operating Officer Eric Habermann retired in April following seven years with the company and a nearly 40-year career in hospitality....

Grand Hyatt Kauai Resort & Spa Launches Scholarship Program

Grand Hyatt Kauai Resort & Spa, a 605-room resort, announced the launch of a scholarship program to support the continued education of its colleagues...

Hilton Surpasses 500 Hotels in Florida

MCLEAN, Virginia, and MIAMI, Florida—Hilton announced a major milestone as the company surpassed 500 open hotels across Florida. This growth was fueled in part...