In August 2024, the European hotel industry presented a range of performance trends, with countries demonstrating varied growth patterns in occupancy rates, ADR and RevPAR. More particularly, the overall occupancy rate reached 73.0%, reflecting a 1.7-point increase from August 2023 and a slight 0.7-point rise compared to 2022. This suggests a steady recovery in the hospitality sector, albeit with some fluctuations.
The upscale segment led with a 74.2% occupancy rate, marking a 3.7-point increase from the previous year and a 4.8-point gain over 2022. Midscale and economy segments both recorded occupancy rates of 73.1%, with modest growth from the previous year. The budget segment, at 70.1%, saw minimal growth compared to last year but a slight decline from 2022.
Average Daily Rate (ADR) increases were most notable in the upscale category, which saw a 9.8% rise to €243.3. Midscale followed with a 10.4% increase to €130.2, while the budget category saw a 10.5% rise to €72.1. Revenue per Available Room (RevPAR) mirrored these trends, with the overall figure rising by 13.1% to €104.4. The upscale segment again led with a 15.5% increase, reaching €181.5.
Year-to-date data up to August 2024 further supports these trends, with the global occupancy rate at 68.9%, showing gradual improvement. Upscale hotels continue to show strong performance, particularly in RevPAR, which grew by 33.9% year-to-date, indicating resilience and strong demand in this segment.
In France, the data revealed a 69.9% occupancy rate with a slight improvement of 1.3 points from the previous year. The overall increase in RevPAR was notable, rising by 27.1% from 2023 and by an even stronger 28.3% from 2022. This reflects a sustained recovery in French tourism, likely boosted by major events, such as the Paris 2024 Summer Olympics, which have increased demand for hotel rooms across key cities.
The United Kingdom saw an occupancy rate of 81.4%, reflecting a modest increase of 0.7 percentage points compared to the previous year and a larger increase of 4.3 points compared to 2022. Despite the slight growth in occupancy, ADR increased by 2.4% to reach €135.1. As a result, RevPAR grew by 3.4% from 2023, a positive trend but still somewhat moderated.
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