As at 28 Feb 2019 the city ended at 78% occ after gaining 19% in occ during the month. A similar trend to that of Jan 2019. Feb 1-15 was initially strong, but from the 16th onwards it was quite weak. We saw a last minute demand into the city posting good occupancies. The rate started at R1 671 but hotels seemingly reacted to the soft second half of the month by reducing rates around 4-5% and posted a lower ARR of R1 606. Majority report performances on par with LY to +/-10% below depending the rate strategy. Those who held rate lost occupancy and those who reduced rate managed to increase revpar. Properties without STO markets didn’t perform so well. Feb’s occupancy grew by 40% from 1 Jan but the rate by zero.

March started with a good first week into the Cycle Tour weekend but withered away after that. The school holidays from 15th onwards haven’t showed much as yet. The month started at 40% up from 20% as at the end of Dec. The rate however is following the same flat path as seen in Feb. Month to date majority of hotels are hanging on to match last year but it looks like we will come short vs 2018.

April gained 2% in occupancy taking us to 27%. The rate is fairly low as expected but managed to increase a few %age points the past 2 weeks. At present 2-6 April, WTM and Easter are the only peaks as winter awaits us.

Looking further ahead May and June is very poor and slightly above SMPLY but buyers are limited and revenue gains are slim at this point. July however is looking stronger

Please note insights the data is collected from 16 000 available room nights. Various levels of hotels all around the CPT metro share their forward book and we can accurately portray the city’s forward book and changes in demand. We realise some upper segment hotels might not be close in numbers related to values quoted below but you should take into consideration the overall movement as the same change values will apply at ADR and Occ levels.

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