• STR Global Hotel Industry Update - Asian Countries Lead in Absolute RevPAR, While South America Highlights Recovery   

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STR's global update as of 11 November 2023 showed 79% of markets with growth in revenue per available room (RevPAR) compared to 2019. Different from the previous update, more markets outside of Europe have taken the top positions in recovery as winter approaches in the Northern Hemisphere.

Among countries with 50,000 rooms and adequate hotel reporting levels, the United Arab Emirates, South Korea, Singapore, France, and Italy led in RevPAR on an actual basis. More countries in Asia are in leading spots in the measurement as most European countries approach low season.

Notably, the United Arab Emirates and South Korea reached occupancy of more than 80%, while Japan was not far behind at 79%. This points to a more balanced recovery between the Asia Pacific region and the rest of the world. South Korea and Japan average daily rate (ADR) came in at US$214 and US$223, respectively.

The top five countries leading in RevPAR growth compared to 2019, with a monthly room supply above 50,000 rooms, included Brazil, Saudi Arabia, Colombia, the Dominican Republic, and the United Arab Emirates. As the Sothern Hemisphere enters its summer season, growth has shifted to warmer regions.

Performance in the Middle East has included plenty of event demand, as Riyadh marked a record-high in occupancy as host of the World Combat Games and the Future Investment Initiative. Those demand generators boosted Saudi Arabia to the leading spot in growth against 2019. The United Arab Emirates continues to benefit from sporting events, such as the UFC showdown in Abu Dhabi and the Mini Football World Cup in Ras Al-Khaimah.

Excluding provincial areas, country markets, and markets affected by fluctuating exchange rates, the top five RevPAR performers were Rio de Janeiro, Santiago, São Paulo, Edinburgh, and Hong Kong. Notably, Santiago saw a 38% increase in occupancy compared to 2019, credited to hosting the two-week-long Pan American Games. Rio de Janeiro and São Paulo have entered leading positions as Brazil is embracing the start of the summer season. Edinburgh maintained the top spot as the market sustained a 55% ADR increase versus 2019.

This article originally appeared on STR.