Hospitality Vision: European Performance Review
As another year draws to a close, now is a good time to reflect on 2009 performance before looking ahead to the New Year. And what a year it’s been! After the collapse of the global financial markets in the summer of 2008, 2009 brought with it many ‘doom and gloom’ headlines. Soaring unemployment, the greatest recession post Second World War and the outbreak of the H1N1 influenza virus to name just a few. The tourism industry worldwide felt the impact of the crisis with many consumers choosing the “staycation” over travelling abroad and businesses tightened their purse strings on all types of costs including corporate ravel. As a result, hotels, airlines and tour operators all saw a fall in performance and sales this year.
However, as the autumn leaves fall so it is time to say goodbye to the “annus horribilis” and look forward to the New Year ahead. We are already seeing signs of new shoots. In Europe, consumer confidence is improving and a number of countries appear to have closed the door on the recession. The double-digit declines in revPAR across hotels in the region is starting to ease and although the next few months will be an uphill struggle for many hoteliers, it looks like the worst may be over and the New Year is sure to bring new opportunities.
This report takes a look back and reviews hotel performance across Europe in 2009 to date. We look at the cities that have suffered during the economic downturn and search for the shining stars amid the gloom.