Room rate rises continue to drive Asian revPAR
Leading hospitality benchmarking company, STR Global, has released its global hotel performance results for the year to July, with continuing gains reported across Asia. Revenue per available room (revPAR) rose in every part of Asia, driven primarily by rising average room rates (ARR).
The Middle East once again recorded the largest gains, with revPAR growing to US$113 – a 27.0% year-on-year rise. This performance was driven by a 4.0% rise in occupancy levels and a 22.1% ARR increase.
Southeast Asia also performed especially well, with a 24.1% revPAR rise largely the result of soaring ARRs, which grew 23.1% year-on-year. Regional revPAR stood at US$87 for the 7 month period.
Central and South Asia (18.0% revPAR rise to US$153) and Australia & Oceania (17.6% rise to US$116) both performed well, despite occupancy levels falling slightly from the same period in 2007. While pre-Olympics, Northeast Asia saw a modest 2.4% revPAR, dragged down by a 7.8% drop in occupancy. However we are likely to see a significantly brighter picture for the region once August’s Olympic figures are released.
James Chappell, Managing Director of STR Global, said that Asia Pacific is a bright spot in the global hotel industry; “The tiger economies of Asia, which have been growing strongly from the last two years, continued to post impressive results and the Olympics in August will only boost the year-to-date figures,” Chappell said.
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