Market Trends

📌 In a strategic partnership, the AAHOA and Kalibri Labs launched a national investigation into the impact of federal policy changes on the U.S. hotel industry. Early 2025 findings indicate one-third of U.S. hotel submarkets are outperforming 2024, but a larger share, especially in government and corporate segments, face declines. Over 20,000 AAHOA members and data from 36,000 U.S. hotels are involved. Surveys show 69% of hotel owners report business declines, 50% see reduced government bookings, and 61% are behind 2024's summer booking pace. Government per diem business is down 9% YOY, corporate business down 4%, and future bookings for the next 30 days are pacing 3% behind 2024. Extended Stay brands, however, are outperforming 2024 by 1-2%. California and Florida have submarkets ahead of 2024, indicating a mixed recovery.

🏕 France's outdoor hospitality sector saw a mixed 2024 season with a slight decline of 0.3% in campsite overnight stays, totaling 141.18 million, despite a sharp increase in foreign visitors (+4.6%). Coastal campsites experienced a 1% drop, while mountain and rural areas saw increases of 5.3% and 1% respectively. Bookings for Easter weekend 2025 are up by 1%. Searches for "luxury" campsites skyrocketed by +2,253% in 2024, and stays in premium campsites (4- and 5-star) grew by 1.4%, representing 61% of all campground nights. However, France lost its top spot in European tourism, slipping to third place with a 2.2% decrease. The country has lost nearly 1,600 campsites since 2000, leaving only 7,400, of which just 4,000 are high-performing. The FNHPA is calling for a national tourism strategy to address the decline and support small campsites.

🏖 In Pula, Croatia, Kermas Istria is opening Hotel Monumenti, a €85 million resort, featuring 58 rooms plus a new glass wing with 40 deluxe rooms and 8 suites. Facilities include a conference hall for 400 guests, wellness zone, and fine-dining restaurant. Overlooking Pula’s centre and Brijuni National Park, the hotel is set on a former Austro-Hungarian military barracks site. An additional 450-berth marina is planned. The hotel, employing a local 70-member team, will open in mid-May with a grand opening in autumn.

📧 EMEA hoteliers in 2025 focus on email capture rate to boost direct bookings and revenue. With the highest global database growth at 50% Year-over-Year, hotels still face 34% OTA-masked emails. Captured emails can yield $5.89 per email on average. Strategies to increase rates include training staff, creating touchpoints, and capturing emails at checkout. Full report at Revinate.

🏠 Jastar Capital plans to convert the Grade I-listed Custom House in London into a luxury hotel with 179 guest rooms, a spa, restaurant, café, and event spaces. Custom House, dating to the early 19th century and former HMRC headquarters, was vacated in 2021. Acquired by Jastar in 2023, the redevelopment includes restoring features by architect Robert Smirke. Heritage groups express concerns; a previous attempt was rejected in 2022. Consultancy by Orms, Richard Griffiths Architects, and Montagu Evans.

🏷️ SKIMS opened a retro-style diner in LA, Miu Miu offered ice cream and books, Ralph Lauren launched in London, and Louis Vuitton popped up at Heathrow. Fashion brands are creating cafés, restaurants, and pop-ups to foster community and loyalty, capitalizing on post-Covid consumer behavior shifts towards real-life, sensory experiences. These spaces act as inclusive gateways to luxury brands, aiming to draw customers back to physical stores in 2025. 📈

🏦 Accor and Propreal Capital Partners team up to launch the Sofitel Porto, slated for 2028. The partnership marks a strategic expansion in Europe, with the 132-room hotel being the first Sofitel in Porto and second in Portugal, joining the Sofitel Lisbon Avenida Liberdade. Located between Avenida dos Aliados and Rua de Santa Catarina, the hotel unites French elegance with Portuguese culture, designed by Lázaro Rosa-Violán. It's part of Accor's growth strategy in the EMEA region, complementing recent openings in the UAE and Egypt.

💰 NUMA Group reported a 100% revenue increase to €80 million and €50 million in gross operating profit in 2024. The company operates in 15 countries, 36 European cities, and surpassed one million nights served. NUMA Bloom opened in London and acquired Native Places, adding over 800 units across the UK. Expansions also occurred in Southern Europe and the Nordic region. Key partnerships include Amundi Immobilier and developers Ratisbona Iberia and Deka Immobilien. NUMA's AI platform automates 65% of guest communication, cuts operational workloads by 70%, and boosts service response by 90%. Entering 2025, NUMA has an equity ratio over 60% and assets over €2.5 billion.

🎭 Venice Carnival sees an 18% RevPAR increase in February, driven by a 16.8% rise in average daily rate and a slight 0.5 point occupancy rate increase. The theme for the year was ‘In the time of Casanova,’ supported by an international campaign. Despite overtourism, Venice didn't impose the entry tax during the carnival. Santa Cruz de Tenerife's Carnival, the second largest globally, drew one million participants in 2024, but current year figures may not reach this record due to falling hotel occupancy rates.