SINGAPORE, 19 June 2023: Growing demand for one of the most successful traveller offerings in recent years – lifestyle hotels – has fuelled the accommodation comeback as global occupancy rates in Q1-2023 neared pre-Covid levels, according to FCM Consulting’s latest Global Trends Report.
Insights showed global hotel occupancy for the first quarter of the year was at 60.46%, only four percentage points below the levels of 2019.
“Corporate travellers looking to experience something unique are booking lifestyle hotels with different offerings such as lobbies that encourage interaction, green initiatives, slick technology, and well-being choices.
Newer hotel offerings such as The Clan Hotel Singapore and the upcoming The Singapore Edition are challenging the legacy style hotels,” said FCM Asia managing director Bertrand Saillet.
Q1-2023 average room rates saw all six regions surpass data for Q4-2022 by 4 to 26%, with Asia up 26%, the Middle East rising by 22%, Europe up 19%, Latin America increasing by 12%, Australia/New Zealand up 12%, and North America rising 4%.
“As China opened borders, the rebound across Asia was significant, with an increase of 26%. Room rates in Tokyo averaged USD294, Singapore at USD269, Seoul USD239 and Hong Kong at USD224, making Tokyo the most expensive city to stay in Asia,” said Saillet.
“This demand indicates that business travellers are willing to shop differently based on price and the value of service offering, creating significant supplier changes in corporate travel programs worldwide,” added Saillet.
The latest FCM Consulting quarterly report draws on global data sourced from FCM and Flight Centre Travel Group corporate booking data for travel from January to March 2023 (Q1-2023). The report uses Cirium aviation schedule data as of 24 April 2023. Airfare pricing variations exclude all taxes.
The hotel average room rate (ARR) quoted is the average booked rate using FCM and Flight Centre Travel Group corporate booking data. Variations in rates booked reflect seasonality, supply and demand, booking lead times and variations in exchange rates.
Unless otherwise stated, all fares and rates are reported in US dollars. STR hotel data and content quoted as of 26 April 2023.
For the full report, see FCM Consulting’s latest Global Trends Report.
