TravelClick Data Sees Weak Summer Reservation Pace Continue
Heading into the latter summer months, the pace of new bookings continues to decline, with new August reservation commitments falling -2.8%. However, committed occupancy* and average daily rates (ADR) for the fourth quarter of 2016 are showing signs of growth for both group and transient travel, states TravelClick based on data from its August North American Hospitality Review (NAHR).
The current slowdown began in June and is continuing well into August. While overall year-over-year variances remain positive, there is notable deceleration within the group and weekday transient negotiated segments that carry the risk of lower revenue per available room (RevPAR) performance in the third quarter of 2016.
For the next 12 months (August 2016 – July 2017), transient bookings are up 3.5% year-over-year, and ADR for this segment is up 1.7%. When broken down further, the transient leisure (discount, qualified and wholesale) segment is showing occupancy gains of 5.3%, with ADR gains of 2.0%. The transient business (negotiated and retail) segment is nearly flat, down -0.6%, but ADR is up 2.0%. Lastly, group bookings are up 5.2% in committed room nights over the same time last year, and ADR is up 3.1%.
The August NAHR looks at group sales commitments and individual reservations in the 25 major North American markets for hotel stays that are booked by August 1, from the period of August 2016 to July 2017.
*Committed Occupancy – (Transient rooms reserved + group rooms committed) / capacity
The third quarter combines historical data (July) and forward-looking data (August – September).
The current slowdown began in June and is continuing well into August. While overall year-over-year variances remain positive, there is notable deceleration within the group and weekday transient negotiated segments that carry the risk of lower revenue per available room (RevPAR) performance in the third quarter of 2016.
For the next 12 months (August 2016 – July 2017), transient bookings are up 3.5% year-over-year, and ADR for this segment is up 1.7%. When broken down further, the transient leisure (discount, qualified and wholesale) segment is showing occupancy gains of 5.3%, with ADR gains of 2.0%. The transient business (negotiated and retail) segment is nearly flat, down -0.6%, but ADR is up 2.0%. Lastly, group bookings are up 5.2% in committed room nights over the same time last year, and ADR is up 3.1%.
The August NAHR looks at group sales commitments and individual reservations in the 25 major North American markets for hotel stays that are booked by August 1, from the period of August 2016 to July 2017.
*Committed Occupancy – (Transient rooms reserved + group rooms committed) / capacity
The third quarter combines historical data (July) and forward-looking data (August – September).