The APAC hotel market is bouncing back strong with recent data from Amadeus showing occupancy levels are now just 3 per cent shy of 2019 levels.
For the months of July – September 2022, APAC hotel occupancy hit an average of nearly 60 per cent, just three percentage points shy of the same months in 2019, according to Amadeus’ Demand360 data.
For September 2022, hotels in Singapore saw an occupancy average of 75 per cent with a 13 per cent growth in average daily rate and a 10 per cent increase in revenue per available room (RevPAR) compared with the same timeframe in 2019, while October 2022 bookings are outpacing pre-pandemic levels – a 2 per cent increase from 3 years ago.
Mirroring the recovery of occupancy rates is the stabilization of booking lead times, with 2022 now virtually matching the booking behaviours seen in 2019 with 64 per cent of global bookings made in the 0–7-day window versus 60 per cent of bookings made in this timeframe in 2019. As booking lead times improve, this implies increasing traveller confidence as people make longer-term commitments globally.
Moving from leisure to group travel, group occupancies in the region have consistently been between 2-3 per cent of pre-pandemic levels as the conference sector rebounds in 2022.
Looking ahead, Amadeus data shows that APAC group bookings are now also starting to extend more confidently into next year, with 1.8 million bookings already made for H1 2023.
Maria Taylor, Amadeus’ head of commercial, hospitality for Asia Pacific, said it was encouraging to see such positive hospitality trends in Asia Pacific.
“As countries start to ease restrictions, demand for travel looks set to continue to build in the forthcoming months.
“It is essential that hoteliers and destination marketers have accurate, forward-looking data insights to enable them to maximize their revenue strategies, confidently plan for larger groups, and consider their distribution mix to offer a wide variety of promotions and accommodations. With this insight, they can also understand more about who is travelling, enabling them to deliver a truly differentiated experience.”
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