In this week’s roundup of news from the Asia/Pacific region: ROI in amenities for Chinese guests; preliminary numbers; and more.
Hotel News Now each week features a news roundup from a different region of the world. Today’s review covers the Asia/Pacific region.
Brands see ROI in comforts, services for Chinese guests
Hoteliers continue to see return on investment for their services and amenities aimed at Chinese travelers, HNN contributor Laura Koss-Feder reports. As a result of these programs, hoteliers are reporting incremental occupancy increases.
"Hotels need to be thinking of how they can give Chinese guests a better experience, or they will be left behind in attracting this important group of travelers," said Jon Scofield, senior director of strategy and program management for Hilton.
STR: Asia/Pacific hotel performance for November 2017
Data from STR, parent company of HNN, shows the Asia/Pacific region reported positive year-over-year hotel performance for November 2017. Occupancy increased 3.9% to 74.6% and average daily rate grew 2.8% to $103.05, resulting in revenue per available room growth of 6.8% to $76.87.
In the region, Thailand reported the highest RevPAR growth at 16.6%, and the absolute RevPAR level of 2,973.29 Thai baht ($93.10) was the highest RevPAR for any November on record in the country. The eruption of Mount Agung resulted in a 2.2% decline in RevPAR in Indonesia.
STR: Preliminary November data for Sydney hotels
Preliminary data from STR on hotels in Sydney during November 2017 shows supply grew 3.7% year over year while demand only grew 2.7%. Occupancy fell 1% to 90.8%, but ADR grew 4.6% to 252.42 Australian dollars ($201.01), resulting in RevPAR growth of 3.6% to AU$229.22 ($182.54).
Supply outpacing demand led to the slip in occupancy, but the market saw greater than 90% occupancy for the second November in a row. It’s also the 40th consecutive month of year-over-year ADR growth.
STR: Preliminary November data for Hong Kong hotels
Preliminary data by STR on hotels in Hong Kong shows demand grew year over year by 4.5%, outpacing the 3.1% growth in supply. As a result, occupancy grew 1.4% to 94.3%, which, combined with ADR growth of 5.6% to 1,603.28 Hong Kong dollars ($204.91), led to RevPAR growth of 7.1% to HK$1,511.50 ($193.18).
Occupancy of 94.3% would be the highest level for any month on record for Hong Kong. Strong inbound tourism as well as MICE events pushed demand in the market.
STR: Preliminary December data for Singapore hotels
According to preliminary data from STR, supply grew 5.1% year over year in Singapore while demand grew 5.5%. Occupancy grew 0.3% to 76%, but ADR slipped 2.1% to 275.02 Singapore dollars ($208.25), resulting in a drop of 1.8% in RevPAR growth to SG$209.01 ($158.26).
Occupancy grew slightly because supply growth almost kept pace with demand. ADR fell for the 22nd consecutive month, and the month’s absolute RevPAR was the lowest for a December since 2009.
Deals and developments
- Hilton debuted the Curio Collection by Hilton in Australia with the 182-room West Hotel Sydney.
- Thailand’s Avani Hotels & Resorts had its first hotel signing in Luang Prabang, Laos, in a project that will refurbish the existing 53-key Azerai Hotel into an Avani Hotel.
- The 135-room Dusit Thani Laguna in Phuket, Thailand, will undergo a 300 million Thai baht ($9.4 million) renovation.
- Manila’s AyalaLand Hotels and Resorts Corporation plans to expand its Seda brand from 1,409 rooms in seven hotels to 3,500 rooms in 15 hotels by 2019.
- Mövenpick Hotels and Resorts has signed the 148-room Mövenpick Resort Lang Co in Vietnam and the Mövenpick Hotel & Residences Quezon City in Manila with 350 guestrooms and 250 residences.
- Thailand’s Onyx Hospitality Group will develop the 255-room Ozo Phuket.
- Carlson Rezidor Hotel Group announced the opening of the 98-room Radisson Goregoan in Goregaon, Mumbai.
- InterContinental Hotels Group signed a management agreement with SKS Hotel Residences and Resorts for the first Holiday Inn in the state of Johor, Malaysia, with the 318-room Holiday Inn Johor Bahru City Center set to open in 2020.
- Singapore’s CDL Hospitality Trust has agreed to sell the 194-room Mercure Brisbane and the 218-room Ibis Brisbane for 77 million Australian dollars ($61.22 million).
Compiled by Bryan Wroten.