With Super Bowl 50 in San Francisco’s rearview mirror, how did hotels perform in the market compared to the past five Super Bowl host cities?
BROOMFIELD, Colorado—Every year STR Analytics examines the impact of the Super Bowl on its host city’s hotels, looking at the stats both in absolute terms as well as year-over-year change. This is the sixth year of this analysis, and we have been eager to see what the impact would be this year in San Francisco.
- San Francisco market (which includes area to the north and south of the city);
- San Jose market (which includes San Jose, Palo Alto, Santa Clara, Sunnyvale and Santa Cruz);
- combined San Francisco and San Jose markets;
- Santa Clara submarket (which is a part of the larger San Jose market); and
- city of San Francisco (which is part of the larger San Francisco market).
For Super Bowl weekend, the city of San Francisco was the occupancy leader, hitting 88.3% for the combined Friday, Saturday and Sunday nights of Super Bowl weekend. The Santa Clara submarket, where the game was actually played, was more than 10 occupancy points lower. By contrast, for last year's game in Phoenix, the market-wide occupancy was 95% for the weekend.
If occupancy levels were a bit softer than expected, the same thing can't be said for rate. Average rates surpassed the $500 level in the city of San Francisco and were north of $400 for the broader region. This surpasses New Orleans' rate of $393 in 2013 for Super Bowl XLVII.
The combined San Francisco and San Jose markets had the second-lowest occupancy level for the weekend, just behind Dallas and about seven occupancy points ahead of New York. Phoenix recorded the second-highest overall occupancy for Super Bowl weekend and was beat by only New Orleans (which has about half the room supply to fill).
Here's where California wins. The combined San Francisco and San Jose markets had the highest weekend rate of all the past six Super Bowl hosts, just edging out New Orleans. Phoenix was a somewhat-distant third place, followed by New York.
The combined San Francisco and San Jose markets experienced a 234% RevPAR increase for Super Bowl weekend compared to the same period in 2015, an increase that falls between those experienced in New York (115%) and Phoenix (344%). Indianapolis experienced an astounding 1,000%-plus increase in RevPAR during its Super Bowl weekend in 2012, more than double the next highest increase (Dallas at 447%).
Overall, the RevPAR gains experienced in the Bay Area were most pronounced in the city of San Francisco itself, largely due to impressive rate increases. But for the broader San Francisco and San Jose markets, total year-over-year RevPAR gains both for Super Bowl weekend and the two weeks leading into the event were below the average experienced of the five previous host cities, with only New York achieving less.