Hotels in the Asia Pacific region reported positive results in the three key performance metrics during July 2017, according to data from STR.
U.S. dollar constant currency, July 2017 vs. July 2016
- Occupancy: +3.8% to 74.4%
- Average daily rate (ADR): +1.9% to US$97.67
- Revenue per available room (RevPAR): +5.7% to US$72.66
Local currency, July 2017 vs. July 2016
- Occupancy: +11.1% to 68.0%
- ADR: -1.5% to IDR1,090,890.60
- RevPAR: +9.4% to IDR741,434.78
The absolute occupancy level was the highest for a July in Indonesia since 2012, while RevPAR reached its highest July level since 2011. With substantial demand increases in both the Transient and Group (bookings of 10 or more rooms at once) segments, STR analysts attribute the performance to routine post-Ramadan increases in corporate travel and MICE (meetings, incentives, conferences and exhibitions) business.
- Occupancy: +0.7% to 85.1%
- ADR: -0.4% to JPY15,229.18
- RevPAR: +0.2% to JPY12,966.69
Year-over-year performance has remained stable in Japan as solid demand growth has outpaced significant supply growth. According to the Japan National Tourism Organization, the country welcomed 16.4 million foreign visitors in the first seven months of the year, a 17.3% increase compared with the same time period last year. In terms of future supply development, Tokyo leads the way with nearly 5,000 hotel rooms set to enter the market over the next four years, followed by Osaka with more than 3,000 rooms.
- Occupancy: +12.1% to 73.7%
- ADR: +8.0% to MYR391.88
- RevPAR: +21.1% to MYR288.94
According to STR analysts, post-Ramadan demand routinely pushes hotel demand in Malaysia. Additionally, performance growth can be attributed to preparation for the August SEA Games in Kuala Lumpur.
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