Revenue from parking lots, meeting rooms, and other spaces increased 22% YOY, while upselling increased 31%
Mews today released the Mews Data Snap, a real-time measure of hospitality's performance during the summer of 2023 (June, July, and August). The report also compares this year's data to summer 2022 to pinpoint how the hospitality sector is changing.
Based on data from Mews partners worldwide, the Mews Data Snap unpacks hospitality's performance across five key areas: occupancy, ADR and RevPar, online check-ins and upsells, and additional bookable spaces.
For the North American market in particular, key findings include:
- Travel continues to move in a positive trend: average occupancy for summer 2023 was 62%, up 5% YOY. June was the best-performing month, while August saw the highest percentage of rooms occupied.
- Increased rates didn't deter consumers from traveling this summer: ADR and RevPAR saw clear, positive movement despite little change in occupancy. ADR rose 9% YOY ($25) to an average of $294, in part due to inflation among other factors. RevPAR saw a significant increase of 14% YOY ($22) to $178, including on average $30 higher in June YOY.
- Travelers continue to embrace the convenience and instant gratification of online check-in and upgrades: while the number of guests utilizing online check-in remained relatively the same YOY (nearly 20%), more guests upgraded their reservations via online check-in, as upselling increased 31% YOY to $51 per upgrade. Top upgrades include early check-in, pet fees, late check-out, breakfast, and drinks or food upon arrival.
- Non-room revenue is proving to be an excellent diversification strategy: nearly 20% of hotels in North America are selling additional bookable spaces to day guests and visitors (such as parking lots and meeting rooms), a 69% increase YOY, with average revenue generated per space increasing 22% YOY (an average of $362 extra per reservation). Monthly additional bookable service revenue more than doubled YOY.
"It's easy to talk about hospitality trends based on what we feel is happening, but there's no substitute for real data," said Matt Welle, Mews CEO. "Not only can we see that people continue to return to travel, but the data shows that hoteliers are embracing the idea of hybrid hospitality and a more creative use of spaces and reaping the rewards."
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