Accommodations within the U.S. didn’t have a lot to be glad about in November, posting a 5.2-percent year-on-year drop in revenue per room, the only greatest margin of decline to date in 2018, in response to the most recent knowledge monitoring full-service accommodations from HotStats.
November was solely the third month in 2018 that accommodations within the U.S. recorded a drop in revenue following a year-on-year decline in each January (down 0.5 %) and July (down 2.2 %).
Revenue per room dropped to $84.26 for the month, a full one-third decline off the $126.34 GOPPAR recorded in October.
Revenue ranges have been hit by rising prices, which included a 1.4-percentage-point uptick in labor prices to 37.1 % of whole income, in addition to a 0.7-percentage-point enhance in overheads, which grew to 23.Eight % of whole income.
Because of this, revenue conversion got here in at 33.9 % of whole income, properly off the year-to-date determine of 38.2 %.
In live performance with revenue declines have been modest income setbacks throughout departments together with Rooms (down 0.7 %), Meals & Beverage (down 1.9 %) and Convention & Banqueting (down 3.9 %), on a per-available-room foundation.
TRevPAR remained comparatively unmoved, recording a decline of 0.Three % year-on-year to $248.29, and was 5.1 % beneath the year-to-date determine of $261.55.
Revenue & Loss Key Efficiency Indicators – U.S. (in USD)
November 2018 v. November 2017
RevPAR: -0.7% to $150.58
TRevPAR: -0.3% to $248.29
Payroll: +1.Four pts. to 37.1%
GOPPAR: -5.2% to $84.26
On a lighter be aware, accommodations continued an upward development in achieved common room fee, which has now grown by 5.7 % during the last 24 months, on a rolling 12-month foundation, to $208.29. As ARR has risen, room occupancy has been flat to down during the last 24 months.
For November, occupancy fell by 1.4-percentage factors to 73.6 %, which was the second-lowest occupancy of the 12 months, forward of solely January.
“Whereas November is not traditionally as sturdy as September or October, it’s usually a fairly optimistic month for accommodations within the U.S.; nevertheless, softening towards the tip of the 12 months will little doubt recenter the dialog on price creep, principally in labor expense,” stated David Eisen, Director of Lodge Intelligence & Buyer Options at HotStats.
Consistent with the decline throughout the U.S., accommodations in Seattle recorded a drop in revenue per room in November, falling 9.Eight % YOY to $71.89.
This was the third month of decline in revenue per room in 2018 for town, following a bigger drop in February of 11.1 %. Extra worrisome, it’s the second consecutive month of revenue decline, following a 5.1-percent drop in October.
Revenue strain is partly a results of appreciable additions to lodge provide within the metropolis, which has primarily impacted top-line efficiency, illustrated by a 4.5-percent drop in RevPAR in November to $142.21—a mixture of room occupancy down 2.6 share factors, to 79.Three %, and achieved common room fee down 1.Four % to $179.38.
Additional departmental declines have been in Meals & Beverage (down 5.Three %) and Convention & Banqueting (down 4.5 %).
Revenue & Loss Key Efficiency Indicators – Seattle (in USD)
November 2018 v. November 2017
RevPAR: -4.5% to $142.21
TRevPAR: -3.6% to $203.67
Payroll: +2.7 pts. to 36.8%
GOPPAR: -9.8% to $71.89
On account of the motion throughout all income departments, TRevPAR at accommodations in Seattle fell by 3.6 % this month to $203.67, which was 20.5 % behind the year-to-date determine of $255.99.
Revenue efficiency was additional affected by an uptick in labor prices, which elevated to 36.Eight % of whole income. Because of this, revenue conversion at accommodations in Seattle was recorded at 35.Three % of whole income.
“The Seattle lodge market has added 2,550 rooms since January 2017, highlighted by the current opening of the 1,260-room Hyatt Regency Seattle, the biggest lodge within the Pacific Northwest,” stated Eisen. “The town’s hoteliers now face a difficult interval of operation, which can be additional exacerbated by properties within the planning or improvement phases throughout King, Snohomish and Pierce counties.”
PacNW neighbor Portland can also be a market affected by rising pains, as provide will increase proceed to influence top- and bottom-line efficiency ranges.
In November, revenue per room at accommodations in Oregon’s largest metropolis fell by 12.2 %, which is a fifth month of revenue decline in 2018 and a second consecutive month of GOPPAR decline, following the 12.6-percent drop in October. (YTD November, GOPPAR is up 0.6 % within the metropolis.)
Rising prices, which included a 1.2-percentage-point enhance in labor to 36.Three %, contributed to revenue per room being recorded at simply $78.79 this month, 29 % off the year-to-date determine of $110.55.
Revenue & Loss Key Efficiency Indicators – Portland (in USD)
November 2018 v. November 2017
RevPAR: -6.8% to $141.45
TRevPAR: -4.4% to $228.31
Payroll: +1.Three pts. to 36.3%
GOPPAR: -12.2% to $78.79
ContactHotStats LimitedPhone: +44 (0) 20 7892 2241Ship E mail

For an inside view of a neighborhood or regional market place within the lodge sector, bespoke HotStats studies can be found. Phrases and circumstances apply. Go to www.hotstats.com to view a pattern report. In case you are lacking your common feed of UK, London and Area-wide efficiency knowledge that is obtainable as an annual subscription service for less than £25/month plus VAT.
Contact Enquiries: +44 (0) 20 7892 2241 or [email protected] for extra particulars.
Our distinctive revenue and loss benchmarking service allows month-to-month comparability of accommodations” efficiency towards a aggressive set. It’s distinguished by the truth that it supplies in extra of 100 efficiency metrics overlaying 70 lodge efficiency, income, price and revenue statistics offering the deepest perception obtainable into lodge operations. ©HotStats Restricted 2015. Until in any other case attributed, all materials on this press launch is the copyright of HotStats Restricted.