According to data from STR, Europe’s hotel
industry reported mixed results in the three key performance
metrics during May 2018.
In Euro constant currency, May 2018 vs. May
2017, hotels in Europe reported a slight 0.8% drop in Occupancy to
74.4%, a 1.5% rise in ADR to EUR113.35 and an increase of 0.6% in
RevPAR to EUR84.31.
In local currency, May 2018 vs. May 2017, hotels
in the United Kingdom reported an increase of 0.5% in Occupancy to
79.8% while ADR and RevPAR fell 0.8% to GBP93.31 and 0.3% to
The year-on-year ADR decline was the first for
the U.K. since October 2016. That decrease came even as strong
demand (+2.0%) outpaced healthy supply growth (+1.4%). London
overall performance was negative (RevPAR: -4.5%), mainly due to
the largest ADR decrease in the market (-3.7%) for any May since
Hotels in France experienced a 3,2% rise in
Occupancy to 69.6%, while ADR and RevPAR were up 1.7% to EUR120.87
and 4.9% to EUR84.18 respectively.
Another rise in demand (+2.7%) helped continue a
trend of improved performance levels in the country. The monthly
increase in RevPAR was the 11th consecutive for France. This
increase was helped by Upscale hotels, which posted the largest
jump in RevPAR (+9.1%) among the class segments.
Hotels in Portugal reported a 16.8% rise in ADR
to EUR123.11 with RevPAR jumping 14.5% to EUR94.98. Occupancy was
the only negative, down 2.0% to 77.2%.
The ADR and RevPAR growth figures were the
highest for any May in STR’s Portugal database. Those increases
came even as slower demand (-2.0%) lowered occupancy levels.
Overall RevPAR growth was helped by Upper Midscale hotels, as
RevPAR in the class rose 33.9%.