TravelClick: July's reservation pace encouraging

The July "North American Hospitality Review" looks at group sales commitments and individual reservations in the 25 major North American markets for hotel stays. Photo credit: TravelClick

TravelClick, an Amadeus company, released new data from the company’s July "North American Hospitality Review." According to the data, average daily rate is up 0.6 percent based on reservations currently on the books for 2019. Group ADR is up 1.9 percent, and transient segment ADR is up 0.2 percent compared to the previous year. Transient business ADR is down 2 percent, while transient leisure is up 2.4 percent.

“July’s new reservation pace showed signs of improvement versus recent months. In addition to new booking growth of over 1 percent, July’s results also provided an uptick in third and fourth quarter 2019 group reservations,” TravelClick Senior Industry Analyst John Hach said in a statement. “While it is premature to consider these results a sustaining trend, there are several underlying data points demonstrating broader reservation pace growth across numerous North American markets.”

For the period of July 2019 through June 2020, transient bookings are down 1.7 percent year-over-year, while ADR for this segment is up 0.2 percent. When broken down further, the transient leisure (discount, qualified and wholesale) segment is down 3.7 percent in bookings, but ADR is up 2.4 percent. Additionally, the transient business (negotiated and retail) segment is up 1 percent in bookings, but down 2 percent in ADR. Lastly, group bookings are up 0.3 percent in committed roomnights over the same time last year, and ADR for this segment also is up 1.9 percent.

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“Although July’s reservation performance signaled signs of improvement, leisure transient bookings are continuing to lag throughout the remainder of 2019,” said Hach. “It’s important to note this is now a sustaining reality for North American hoteliers due to new local inventory coupled with an ever-increasing array of alternative lodging choices. Given this environment hoteliers are encouraged to take a fresh look at their competitive sets, especially when leveraging forward pacing business intelligence solutions.”

The July NAHR looks at group sales commitments and individual reservations in the 25 major North American markets for hotel stays that are booked by July 1, 2019, for the period of July 2019 through June 2020.

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