Festivals and conferences contribute to 5.2 per cent rate rise at European hotels
Average room rates at European hotels rose by 5.2 per cent in October to €171.79, according to the latest data tracking full-service hotels from HotStats.
The rise has been attributed to a number of major festivals and conferences in key cities across the continent during the month, such as Munich’s Oktoberfest.
“Profit performance for hotels in Europe is proving to be very consistent, with just two months of year-on-year GOPPAR decline recorded since October 2016,” said Michael Grove, director of intelligence and customer solutions, EMEA, at HotStats. “This is despite slowing economic growth across the Eurozone.”
Munich saw the average room rate soar 25 per cent to €229.11 during Oktoberfest. The 16-18 day festival annually attracts more than six million people, helping room occupancy grow by 5.2 percentage points to 82.2 per cent.
A range of major international conferences hosted at the ICM–Internationales Congress Center München also affected results, including the 2018 ESMO oncology conference, which attracted more than 24,000 attendees.
October was also a good month for hotels in Budapest, due in large part to the Hungarian capital hosting the city-wide CAFe Budapest Contemporary Arts Festival, which helped drive a 15.6 per cent increase in revenue per available room (RevPAR) to €123.26.
The growth in rooms revenue in the city was supported by increases in non-rooms revenues, including food and beverage (up 14.5 per cent) and conference and banqueting (up 12.7 per cent).
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Published Date: 10/12/2018