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

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%).

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%).

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...