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Heading into the final days of August, U.S. hotel occupancy (65%) was lower for a fifth consecutive week, which is in line with normal seasonal patterns. The measure was up 0.3 percentage points (ppts) from a year ago but 4.9ppts lower than the 2019 comparable—similar to the previous four weeks. Occupancy is still expected to trend down for the next two weeks and then grow as group/conference travel climbs to its annual peak.
Article - Weekly Global Hotel Performance Trends from STR: 20-26 August 2023 - Global occupancy (excluding the U.S.) softened for the second consecutive week to 71.3% as the measure fell 1.1ppts week over week. However, global occupancy continued to see year-over-year growth (+5.5ppts). ADR increased 12% to US$149, resulting in a 21.3% gain in RevPAR to US$106.
With almost two-thirds of U.S. K-12 students back in school, hotel occupancy followed normal seasonal patterns and trended down for a fourth consecutive week. The industry lost 1.3 percentage points (ppts) from the prior week, and at 67.0%, was unchanged from a year ago but down 2.9 ppts from the same week in 2019.
In the final week of July, U.S. hotel occupancy reached 72.2%, which represented a slight decline of 0.7 percentage points (ppts) from the prior week’s post-pandemic high of 72.9%. Compared to a year ago, occupancy was up 0.4ppts. Occupancy for the same week in 2019 was 77.2%.
The modest occupancy decline, which was underpinned by a 0.1% demand decline, moderated pricing power.