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Paris and the Ile de France sign off on a magical 2018

The Paris conurbation is once again among the top European cities with a RevPAR that is notably higher than Barcelona (91.7€, down -3.4%), but still lower than London (103.4£, up +2.6%) and Amsterdam (115.6€, up +5.1%). If the upward trend continues, the French capital will soon be just behind its British counterpart.

International customers have boosted hotel activities. Thus, according to hotel arrivals data from the Paris Île-de-France Regional Tourist Committee, European customers are back along with those from Italy (+28.3%), Spain (+17.9%) and Germany (+17.3%). Long-haul customers made a strong comeback, including those from Canada (22.5%), Japan (+16.4%) and the United States (+16.3%). France

Taking advantage of a busy schedule - with in particular the Mondial Paris Motor Show coupled with the Motorcycle Show, the Gay Games and the Centenary of the Armistice - all the hotel segments of Paris intra-muros are benefiting from the renewed attractiveness of the capital. 2017 saw its RevPAR increase by 8.6% despite a drop in prices (-0.1%), this year revenues jumped by 11.9% driven by ADRs (+8.5%).

Gay Games 2018
Gay Games 2018

The capital did brilliantly in summer with a RevPAR up 22.6% (!) in August compared to the previous year to reach 107.5€ excluding tax. SNCF strikes at the beginning of the year had little impact on the hotel business in Paris, but the yellow vest demonstrations emptied hotel properties for Christmas holidays, due to fears among foreign customers that they could get mixed up in violent scenes like those broadcasts all over the world.

August 2018: a brilliant summer for the French hotel industry

While this negative impact was only recorded during the weekends of December as well as intensely during the last week of the year, it could continue into 2019, marking the end of the good performances.

The Ile de France region - excluding Paris - is following the same dynamic as the capital with occupancy rates that are up (+3.6 points) and average daily rates that are on the rise (+6.6%). The renewed attractiveness of the region is benefiting the cultural offer in the urban area, which has seen the Château de Versailles sign a record number of visitors (8.1 million). IDF

The influx of foreign visitors benefits the surrounding transport infrastructure and hotel properties. Over the first 10 months of the year, air passenger traffic through Aéroports de Paris amounted to 89.3 million passengers, up +3.7%.

Airport accommodation capacity continues to grow at Roissy Charles de Gaulle airport

It should also be noted that the Ryder Cup golf competition and its top-of-the-range clientele were also held at the same time as fashion week. This sports event in Saint Quentin (south of Versailles) attracted more than 150,000 visitors and the accumulation of these two international events in September greatly benefited hoteliers.

The Ryder Cup, a successful event for hoteliers

2019 already has a busy calendar with the organization of the Paris Air Show and the FiFA Women's World Cup in June alone.

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