Hotel Industry on Pace for Steep Declines in 2009

The hotel industry will end the year with near double-digit percentage declines in the major metrics used to measure performance, according to projections from Smith Travel Research, Hendersonville, Tenn. But while the slide is expected to continue in 2010, the projected declines won’t be as steep.

The 2009 year-end projections state that occupancy will be down 8 percent to 55 percent nationwide; average daily rate will end the year down 10 percent at $96.43; and revenue per available room will be down 17 percent to $53.43. Further, supply will increase 3 percent and demand will be down 5 percent.

“The most recent economic and industry results are consistent with our forecast assumptions, and therefore, our 2009 and 2010 industry forecast numbers remain unchanged,” said Mark Lomanno, president of STR, in a statement. “We will, however, be looking very closely at September results to see if there is anything unexpected, particularly in the group and business transient demand numbers.”

In 2010, occupancy rates are projected to remain flat, while ADR is forecast to decline 3 percent to $93.16 for the year. RevPAR also is expected to decline in 2010, dropping 4 percent to $51.29. Supply is forecast to be up 2 percent and demand up 1 percent.

RSS Share

Want to use this article? Click here for options!
© 2012 Penton Media Inc.


Acceptable Use Policy
blog comments powered by Disqus

Search 125,000+ Venues

Search Meeting Space

Find Event Venues with Cvent

The Meeting Planning Blog

Face2Face Latest Posts

Sign Up for Our Free E-Newsletters

Meetings Collaborative

Rate your experience with meeting venues and suppliers.

Facility / Hotel

 
Powered by: Meetings Collaborative
Aega Awards

Latest Webinar

Global Meetings: Risk Management A to Z
February 28 | 2p.m. EST

Organizations take on more risk than usual when booking meetings outside the U.S. Join our expert panelists and learn how to assess your overall risk, write contracts that protect your organization, manage currency exchange rate fluctuations, keep your travelers safe, and much more. View it on-demand now!

VIEW ALL ARCHIVED WEBINARS

Recent Comments

Powered by Disqus

Back to Top

Explore Our Newsletters


Meeting Planner Survival Guide

Whether you're a novice planner or a veteran, this compilation of must-read articles is your meeting planning resource.

Must-See Meeting Files

Visit the MeetingsNet expert-advice site, where we’ve got top meeting pros on camera answering a variety of your questions as well as a collection of educational—and sometimes offbeat—editors’ pick lists — from the top tech tools to the best books for meeting professionals.

Pharma Meeting Management Forum

8th Annual Pharmaceutical Meeting Management Forum
March 25-28, 2012 in Orlando, Fl
Register now!
Learn more about how healthcare reform will affect medical meetings.

Both forums are co-sponsored by Medical Meetings and The Center for Business Intelligence.

Suppliers/
Facilities/CVBs

MeetingsNet makes it easy to find the CVBs, tourist boards, and facilities you need for your next meeting.

Deal Finder

Special offers brought to you by MeetingsNet.

Find A Job

Targeted to all aspects of the hospitality and special events industry.

SMM PORTAL

Your source for Strategic Meetings Management info and intelligence

Facebook   Twitter   LinkedIn   RSS Feed

Inside Current Issue

December AM

December 2011

October AM

October 2011

August AM

August 2011

April 2011

Feb 2011 AM

February 2011

Browse Back Issues