European hotel performances are very uneven from one range to another. After returning to a degree of stability last month, the budget and economy segments plunged back into the red, with RevPAR declines of -10.2% and -2.4% respectively. The midscale segment is also experiencing a slight decline in performance (-0.5%), with the upscale segment being the only one not to be caught up in this downward trend (+0.9%) thanks to the international clientele.

Eastern Europe vs Southern Europe: the battle goes on

Two of the strongest RevPAR increases were in Eastern Europe, confirming the dynamism of this region. As in February, Latvia and Hungary are in the top three, but this time alongside Greece, which has radically reversed the previous month's trend.

European hotel trends: March 2025 - RevPAR par Hospitality ON 

The Mediterranean destination saw its RevPAR rise from -1.1% in February to +11.9% in March. This momentum was driven by both occupancy rate (+4.2 points) and average daily rate (+4.1%). February saw a number of earthquakes in the destination, which had a major impact on the country's hotel business. Now that these natural phenomena have subsided, tourists are returning in droves, and Greek hoteliers are playing the pricing power card to make up for last month's losses.

Latvia is still in second place, with RevPAR up 10.3%, and once again the highest occupancy rate (up 6.5 points), partly due to a rich and varied events calendar and the growing popularity of its capital, Riga. Nor has there been any change in fares, with the average daily rate still in the red (-2.8%), enabling the destination to remain one of the most competitive on the panel observed.

Hungary moved up from 1st to 3rd place this month, with RevPAR up by +7.3%. In contrast to its Baltic neighbour...