Jeddah hoteliers face declines in occupancy, room rates and revenues during May, according to industry analysts STR
The shift in Ramadan dates this year left Jeddah hoteliers facing declines in occupancy, room rates and revenues during May, according to industry analysts STR.
STR’s preliminary May data for Jeddah indicated low performance consistent with the time of the holy month.
Based on daily data from May, Jeddah's hospitality market reported a 5.5 percent increase in supply against a 3 percent increase in demand.
Occupancy fell 2.4 percent to 70.6 percent in May compared to the year-earlier period while average daily rate (ADR) dropped by 4.9 percent to SR1,310.35 and revenue per available room (RevPAR) declined by 7.1 percent to SR925.07.
In addition to supply growth, STR analysts noted that performance declines were mainly due to the shift in Ramadan dates.
Last year, more of Ramadan occurred during June as opposed to May this year.
The first week of the month saw double-digit decreases in both occupancy and RevPAR, with the steepest occupancy decline of the month occurring on May 9 (-27.8 percent).travel news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.