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Global hotel occupancy reaches two-thirds of pre-pandemic levels in April 2021, and hoteliers optimistic for the future according to new Amadeus research

The new report "Rebuilding Hospitality: Trends in Demand, Data and Technology That are Driving Recovery" combines global hotelier insights with Amadeus business intelligence data to surface worldwide hospitality recovery trends.


News provided by

Amadeus

May 13, 2021, 09:25 ET

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PORTSMOUTH, N.H., May 13, 2021 /PRNewswire-PRWeb/ -- Since the start of the pandemic, hoteliers have had to rethink many aspects of their business to accommodate new safety procedures, cater to changing guest needs and survive in an extremely complex operating environment. New research from Amadeus reveals how the hospitality industry worldwide has adapted, as well as the trends hoteliers think are likely to stay as the industry rebuilds.

Amadeus' Demand360® business intelligence data shows that hotel occupancy levels are now on an upward trajectory. Worldwide occupancy reached 46% in April 2021, up from the low point of just 13% in April 2020. This means that global hospitality occupancy has climbed two-thirds of the way back to pre-pandemic norms of around 70% for this time of year.

“One key takeaway from our research is that technology will play a central role in the recovery of the hospitality industry, as we found globally 41% of hoteliers plan to spend the same or more on IT this year than they did in 2019,” said Francisco Pérez-Lozao Rüter, President, Hospitality, Amadeus.

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The data also shows the booking lead time is lengthening, indicating growing consumer confidence to plan ahead. For much of the past year, nearly all reservations across the world were made within 0-7 days of travel. In recent weeks, bookings made on the same day of travel, which are the most problematic for the industry to accommodate, have shrunk globally from 39% the first week of 2021 to 23% the week of April 25, 2021, and 31-60 day bookings increased from 6% the first week of 2021 to 11% the week of April 25, 2021.

The Rebuilding Hospitality report incorporates a survey of 688 global hoteliers delivering new insights into current sentiment and plans:

  • Significant growth optimism: There is a sense of optimism as 30% of hoteliers anticipate opening one or multiple sites in 2021.
  • Leisure travelers are driving recovery: The majority (63%) of hoteliers worldwide think that leisure travel will drive their recovery with domestic leisure by far the highest contributor (45%). In line with this, Amadeus data shows that US, China, and the rest of Asia are starting to see an increase in OTA booking volume, shifting the focus away from a dependence on direct bookings during the pandemic.
  • Recruiting will be a high priority: Over half (59%) of global hoteliers anticipate that they will need to hire new staff in 2021.
  • Opinion on vaccine passports divided amongst hoteliers: Over half of Asian hoteliers say they are considering asking for vaccine passports before permitting guests to stay whereas just under half of hoteliers in the Americas say they will definitely not be adopting this approach. In EMEA, nearly half of hoteliers are uncertain on their strategy in this area.

When considering the aspects of the pandemic pivots that will be here for the longer term, the report reveals:

  • Enhanced hygiene measures are here to stay: A third (32%) of hoteliers think that they will always need significant social distancing, sanitization and visible hygiene measures.
  • Long-term reduction in guest contact and stayover cleans: 20% of global hoteliers indicate they will keep interaction between staff and guests to a minimum for the long term, and 21% plan to reduce daily housekeeping for guests.
  • Personalization could help cross the contactless hospitality divide: Over a quarter of respondents (30%) said that contactless tech to support personalized guest experiences was one of the developments in hospitality they were most excited about as we emerge from the pandemic. Around one in four hoteliers (24%) went on to say they would be turning to technology to support personalized experiences making sure the 'human touch' of hospitality is not lost.
  • Work 'staycations' and long stay rental investments: Creative business pivots like offering work 'staycations' and investment in facilities that help travelers elongate stays have helped hoteliers test out new strategies to access new guest segments. Hoteliers report that these will stay as part of the portfolio for the long-term.

Francisco Pérez-Lozao Rüter, President, Hospitality, Amadeus comments, "The data and trends from this report are intended to draw together insights from hoteliers around the world as we work to-gether as an industry to plan our recovery. With lower restrictions in place, the US market has provided some early indicators of traveler behavior that could help other international hoteliers understand where they are in the stage of their own recovery. One of the key takeaways from our research and report is that technology will play a central role in the recovery of the hospitality industry, as we found globally 41% of hoteliers plan to spend the same or more on IT this year than they did in 2019. At Amadeus, we are committed to investing in our industry and providing the technology that will help ho-tels to pivot their strategies and power future growth."

Katie Moro, Vice President of Data Partnerships, Hospitality, Amadeus says, "One year on from the start of the pandemic we are really pleased to see the early indications of traveler confidence and an uptick in some hotel bookings. Now, more than ever, data is so critically important across an entire hotel's business as it informs not only revenue potential but also marketing strategies, staffing and occupancy profile. We want to help hoteliers understand how all the different pieces of data connect together. Data is the foundation that helps you build a better plan and from there, your property is so much stronger from the ground up."

The Rebuilding Hospitality report highlights the opportunities for hoteliers to rebuild and thrive in 2021 by combining survey data of 688 hoteliers worldwide with the latest insight from Amadeus' Demand360® business intelligence solution. The survey was managed by Amadeus and conducted anonymously with global hoteliers in March and April 2021. The report seeks to surface hospitality trends that have defined the industry during the pandemic and the best practice examples and advice on how hoteliers can plan for recovery. To learn more about the data and insights, download the report here.

Notes to the editors:

Methodology
Amadeus surveyed 688 hoteliers across the world in March and April 2021 to capture data for this report.

The report incorporates data from Amadeus' Demand360®, the industry's only comprehensive forward-looking business intelligence solution. Trusted by more than 30,000 hoteliers worldwide, Demand360® provides 2 years of historical market data plus one year of forward-looking, on-the-books occupancy data to empower hoteliers to create their most profitable revenue strategies and outperform the competition.

About Amadeus
Amadeus powers more personalized and authentic travel experiences. Our solutions are de-signed to enrich every stage of the traveller journey and help hospitality providers acquire, service, and retain guests by profitability driving demand and converting them into loyal fans.

Backed by over 30 years of experience, we design open, cutting-edge software to provide the most efficient, trusted, and reliable systems for our customers. With experts in 175+ coun-tries, we have a deep understanding of the hospitality industry and a desire to enable our hotel partners to create memorable guest experiences.
To find out more about Amadeus, visit http://www.amadeus-hospitality.com.

Media Contact

Sarah Mulder, Fire on the Hill, +44 7720401466, [email protected]

SOURCE Amadeus

Related Links

www.amadeus.com

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