The main conclusion of the report is that after the harsh parenthesis of the pandemic, “all destinations are recovering at a greater or lesser speed through demand and improvement in occupations.” This good behavior of demand during the first half of the year, predicts a summer season with figures that are already very similar or even higher than those achieved in 2019, prior to the pandemic.
The average occupancy in Spanish hotels has stood at 63% during the first half of 2022, which represents an improvement of 118% compared to last year, although there is still room to reach the figure achieved in 2019, a record year, in which it was 72%.
Comparison of hotel occupancy by destinations.
This improvement in occupancy has also allowed hotels to improve revenues and average prices. The RevPAR for the whole of Spain has been 67 euros while the ADR is already 123 euros.
The best occupancy level has been achieved by the hotels in Malaga, which have managed to occupy 75% of their offered beds, which shows that the city has managed to adjust its demand seasonally. Valencia and Alicante complete the podium of occupation, with 70% and 69%, respectively.
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Hotel barometer: the most resilient destinations… And those that suffer the most
Third quarter with an upward trend in hotel indicators
As for the large cities, Madrid achieves 63% while Barcelona rises to 66%, when in the same period of 2021 it was 29% and 26%, respectively.
In Spain as a whole, occupancy has been around 120% higher than last year for the same period, but almost 10 points below what was achieved in 2019, so there is still room to continue with the reactivation tour.
Prices are also recovering at the rate of demand to reach 123 euros, 39% more than in the first half of 2021 and exceeding the figures achieved in 2019, which was 113 euros in the country as a whole.
“This increase in the ADR makes it possible to pass on part of the price increase resulting from inflation, although the operating margin continues to be reduced and is one of the biggest concerns for hotel managers,” says the barometer.
The average daily rate (ADR) by destinations.
Marbella is the destination with the highest ADR by far, as it reaches 248 euros. They are followed, in this order, by Barcelona (146 euros), the Balearic Islands (139 euros), the Canary Islands (131 euros) and Madrid (129 euros). Among the cities that close the classification with the lowest prices we find Bilbao (91 euros) and Zaragoza (66 euros).
In the opinion of Bruno Hallé, partner and co-director of Cushman & Wakefield Hospitality in Spain, “the price strategy is also being affected by inflation and energy prices. At the moment it is difficult to have a greater impact on the price increase in the hotel product so as not to affect demand, but after the summer season it will be necessary to plan the following months with a view to the operating margin”.
Income close to 2019
As for revenue per available room (RevPAR), they soared 203% during the first half, approaching the figures for 2019.
The poor indicators caused by the pandemic in 2020 and 2021 mean that the recovery of a certain normality during this year will generate large changes in the Barometer. The hotel industry has registered a RevPAR of 77 euros in the whole of Spain. This figure represents 203% more than the 25 euros achieved during the first half of last year. In 2019, the RevPAR for the first half was 81 euros, 4 euros higher than this year.
Revenue per available room (RevPAR) by destinations.
Marbella (147 euros), Barcelona (96 euros) and Canarias (90 euros) lead the RevPAR classification, followed by Malaga (87 euros) and Madrid (81 euros). The largest increase compared to 2021 is registered in Barcelona, with a 342% growth, which shows that it has benefited from the recovery this year of international tourism and MICE, which last year was almost non-existent. Madrid, with 240% more, is the second largest increase confirming the good moment of the capital.
Granada (53 euros), Bilbao (52 euros) and Zaragoza (40 euros) close the RevPAR classification during these first months, although recovering levels very similar to those of 2019.
The Hotel Sector Barometer collects data from 1,200 hotels and around 150,000 rooms in the Iberian Peninsula.
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