While the Paris hotel market had a dip in 2009 and 2010 with the global recession the fall wasn’t as steep as other cities. The recession hit the corporate travel market much harder than the leisure travellers and Paris being one of the top leisure travel destinations in the world this was felt throughout the hotel industry in the French capital.
Our stats are based on the website revenues of the Parisian hotels which favors the Leisure market since corporate travel doesn’t interact much with the hotel websites currently but rather on GDS and negotiated rates with phone sales.
Parisian Hotels stats, Turnover by stay-date April 2010 and April 2011.
April 2011 saw an increase in stay dates of 20% making it seem like the recession is entirely over. However, the bookings were mainly made in February and March and the number of new bookings made in April was much less impressive with only 5% increase. Indicating that the recession is not entirely over yet.
However as a note, there are not more people coming to Paris but hotels have increased their ADR back to pre-2009 levels. This is evidenced by the number of bookings which only increasede by 2.5%.
Recommendations: While the month saw an increase in stay-dates what looks less promising is the slow-down in sales of future bookings. The average booking in Paris is done with a 30 day lead-time it is recommended for hotels to invest in future dates and promote their property for the coming months.
Number of Bookings made - April 2010 - April 2011.
Turnover by booking-date, April 2010 - April 2011.
VP Global Accounts
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