Global Hotel Corporate Purchase Trends Q1...

4th Dimension Focus Global Hotel Corporate Purchase Trends Q1 2018

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About the Report This 4D Focus quarterly report uses global data sourced from FCM corporate bookings made offline, online (via OBT), GDS and non-GDS bookings during January to March 2018 (Q1 2018). The average room rates (ARR) quoted are booked rates (excluding taxes). Variations in rates booked are a reflection of season, supply and demand, corporate buying behaviour, leisure/tourist seasons and variations in exchange rates. Unless otherwise stated USD$ is used.

In this recent quarter South Africa saw occupancy decline to 63.1%, a -3.3% reduction in response to “day zero” causing travellers to change their travel due to drought.

Top performing countries for occupancy were HK 90.1%, which is the first time the city has reached over 90%, Egypt reported 60.1%, which is the highest since 2010, Colombia 58.5% the highest since 2011 and Vietnam 75.7% which is the highest occupancy since 2007. Vietnam is the 3rd ranked country in the APAC region with the most rooms in construction (20,633 rooms / 59 Hotels).

OCCUPANCY - Q1 2018 VAR. ON 2017

ARGENTINA 63.60% 7.50%

AUSTRALIA 76.40% 1.10%

EGYPT 60.10% 21.20%

HONG KONG 90.10% 3.80%

RUSSIA 53.50% 6.10%

TURKEY 63.70% 24.00%

VIETNAM 75.70% 5.90%

Sourced from STR & public news sources

Q1 2018 occupancy increased across several regions compared to Q1 2017: Europe (64.5%, +2.2%), APAC (69.0% +1.5%) Africa (58.9% +5.2%) and Central/South America (57.6% +4.5%) which saw rise to their ARR excluding Africa. Occupancy remained flat in the Middle East (70.6% +0.9%) and USA (61.6% +0.9%) and saw a reduction in ARR.

During the southern hemisphere summer inbound travellers increased into Australia (+9%) and New Zealand (+7%) with 75-80% of travellers now being tourists. This caused spikes in demand and upward ticks in ARR.

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2018 Focus About 4D Focus – Hotels

Annual Analysis

Cities 3500+ Countries 200+

400+ Global Corporate Clients

Regions 7

Hotel Rating 3-5

Average Nights Away 2.12

Multi- Booking Stream

Currencies 60+

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Major Cities for Corporate Travellers & their average purchase rates Q1 2018 vs Q1 2017 Regional Trends – Hotel ARR Q1 2018

$USD

North America ARR$139 -1.3%

Americas ARR $99 +1.6%

ME ARR $164 -17.5%

Asia ARR $125 +3.8%

Europe ARR $142 +12.8%

Oceania ARR $134 +5.0%

Africa ARR $111 -4.5%

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Europe Q1 2018 ARR Regional ARR Analysis

Corporate ARR during Q1 2018 increased 12.8% or $16 across

the region. Regional occupancy was 64.5%, +2.2% increase

on Q1-2017. +12.8%

MUNICH

STOCKHOLM

MILAN

- 13.2%

- 9.6%

- 13.2%

LONDON

DUBLIN

PARIS

- 10.1%

- 13.2%

- 13.2%

$139 MUNICH

$219 PARIS

$176 DUBLIN $215

LONDON

$182 BARCELONA

$119 ABERDEEN

$127 LIVERPOOL

$221 AMSTERDAM

$90 MOSCOW

$152 ISTANBUL

$138 BUCHAREST $190

MILAN

$163 FRANKFURT

$299 BUDAPEST

$203 STOCKHOLM

$217 OSLO

$USD

- 16.3%

+ 10.0%

-5.7 %

+ 9.2%

+ 8.0%

Local Currency ARR Var. Q1 2018 vs Q1 2017

ROE to USD Var. Q1 2018 on 2017

- 6.3%

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Asia Q1 2018 ARR $250 TOKYO

$171 BEIJING

$161 JAKARTA

$158 GUANGZHOU

Regional ARR Analysis Average Q1 2018 regional rate increased $5 on same period last year. APAC occupancy was 69.0%, +1.5% increase on Q1 2017.

+3.8% $172 SHANGHAI

$252 HONG KONG

$132 HANOI

$130 MANILA

$133 BANGKOK

$185 TAIPEI

$175 SEOUL

$132 BANGALORE

$120 CHENNAI

$178 DELHI

$202 SINGAPORE

$100 KUALA LUMPUR

SINGAPORE

BANGALORE

MANILA

- 7.0%

+13.5%

- 0.3%

BEIJING

SHANGHAI

DELHI

+ 4.7%

+ 4.7%

+13.5%

- 4.4%

+ 8.4%

+ 2.8%

- 3.1%

- 1.9%

+ 11.7%



$USD

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Oceania Q1 2018 ARR

$213 SYDNEY

Regional ARR Analysis Q1 ARR up $6 due to continued demand in key cities. Q1 Occupancy in Australia 76.4%, +1.1% on Q1-2017.

+5.0%

$167 MELBOURNE

$152 PERTH

$145 BRISBANE

$114 DARWIN

$146 ADELAIDE

$158 HOBART

$164 CANBERRA

$127 HAMILTON

$192 AUCKLAND

$134 CAIRNS

$148 NEWCASTLE

$156 WELLINGTON

$150 CHRISTCHURCH

PERTH

CHRISTCHURCH

BRISBANE

- 5.0%

- 2.0%

- 5.0%

SYDNEY

AUCKLAND

MELBOURNE

- 5.0%

- 2.0%

- 5.0%

- 11.0%

+ 8.4%

- 1.1%

- 1.1%

+ 13.5%

- 7.8%



$USD

$219 P.MORESBY

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North America Q1 2018 ARR Regional ARR Analysis

This quarter saw a $2 decrease in rates across the region. National occupancy in the USA remained flat at 61.6% +0.9% on Q1 2017. Rate reductions were observed in several key cities.

-‐1.3%

$USD

MEXICO CITY

MIAMI

VANCOUVER

- 7.5%

0%

- 5.3%

NEW YORK

BOSTON

DALLAS

0%

0%

0%

- 13.9%

+ 1.1%

- 8.5%

- 8.5%

+ 15..5%

- 3.6%

Local Currency ARR Var. Q1 2018 vs Q12017


$232 LOS ANGELES

$135 VANCOUVER

$187 BOSTON

$161 TORONTO

$111 EDMONTON $147

OTTAWA

$254 NEW YORK

$183 MEXICO CITY

$160 CHICAGO

$196 SEATTLE

$159 DENVER

$155 DALLAS

$168 ATLANTA

$228 MIAMI

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Americas Q1 2018 ARR Regional ARR Analysis

During Q1 ARR increased $2 against the same period in 2017. Central & South America occupancy levels for the quarter were 57.6% +4.5% increase on Q1 2017.

+1.6%

$152 BUENOS AIRES

LIMA

SANTIAGO

SAO PAULO

0.8%

- 8.1%

+ 2.2%

BOGOTA

BUENOS AIRES

- 2.2%

+ 23.5%

+ 6.6%

+ 1.3%

+ 8.0%

- 5.3%

+43.8%



$112 RIO

$59 SALVADOR

$191 SANTIAGO

$152 BOGOTA

$138 LIMA

$152 QUITO

$124 SANTA CRUZ

$USD

$118 SAO PAULO

$135 MONTEVIDEO

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$135 JOHANNESBURG

$181 NAIROBI

$160 CAIRO

$227 LAGOS

$183 RIYADH

$164 DUBAI

$178 DOHA

$208 ABIDJAN

$143 RABTA

$219 LUANDA

$110 CAPETOWN

$190 ABU DHABI

Middle East & Africa Q1 2018 ARR

DUBAI

Regional ARR Analysis Regional ARR continue to trend down by $19 for Q1 2018 compared to Q1 2017. Occupancy in ME was 70.6% (+0.9% on Q1 2017), Africa 58.9% (+5.2%) and South Africa 63.1% (-3.3%).

-‐12.3%

JOHANNESBURG

0%

- 10.2%

ABU DHABI

CAIRO 0%

- 0.3%

- 21.9%

+ 18.3%

+ 19.2%

- 17.6%

RIYADH 0% - 11.1%



$USD

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