Our August statistics are in and we see August 2018 closing on 48% occupancy and R1 097 ARR net (before comm but after tax). August started soft with 33% and gained 15% during the month to end at 48%. The majority of increase occurred in the last 10-12 days. This was in contrast to an ARR drop from R1 120 mid-month ending at R1 097 as we closed the month. It is evident that a last minute rate reduction was common practise to close the gap.
Looking ahead we see Sept gaining 5% in occ the past 10 days and we start at 33% (compared to 25% one month ago). Sep ARR have grown with 4% to R1 210 the past 4 weeks. Oct is at 31% (a 5% gain since 1 Aug) and Nov is at 31% (the highest forward occ since prior to winter). Oct ARR have taken a slight dip compared to 2 weeks ago reducing by 1% to R1 365. Nov is starting out at R1 452.
The trend is seemingly that hotels price forward with confidence but as reality set in, rates are dropped and rooms booked very last minute. Nonetheless the forward book is looking up, but not as much as we expected or need right now.
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Contact us now on jaco@hotel-revenue-manager.com or 021 551 7440
*quoted stats are based on 17 000 shopped room nights from a variety of hotels all over CPT metro from 3-5 star and various classification
