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September 2022, Virtual
September 29 2022, Virtual
Some aspects of the European hospitality industry are performing better than expected, while others continue to flatline, according to the latest study by Deloitte.
The professional services firm surveyed senior industry hospitality industry executives, ahead of the Deloitte European Hotel Investment Conference in London.
Despite the ongoing instability in the European economy, 51% of the hospitality chiefs said current trading is stronger than anticipated, while 17% said it is unchanged and 12% said it is worse than expected.
Nick van Marken, Deloitte's global head – advisory, travel, hospitality & leisure, said: “Despite ongoing economic uncertainty, global hotel transactions in the first half of 2011 were over double the same period in 2010.”
Looking ahead to 2012, hoteliers anticipate a mixed performance, however, with gateway cities performing well but other destinations seeing flat sales.
Van Marken said: “The majority of major European cities have seen improved year-to-date (YTD) performance, albeit many are still lagging behind their peak levels, particularly in southern Europe.”
The majority of respondents (58%) expect UK regional hotel performance to remain flat in 2012.
London, meanwhile, is expected to stand firm, van Marken said, albeit with some moderation.
“London has had a spectacular year so far,” he said, “withrevPAR (YTD) 11% higher than 2010 and 13% ahead of the previous peak, reflecting the importance of the city as a true global gateway and one of a triumvirate of unique global hotel markets along with Paris and New York.”