Report: Leisure-Driven Categories See Upward Occupancy Movement & Other Industry Trends

NATIONAL REPORT—Kalibri Labs has released updated data from its COVID-19 Industry Health Dashboard, which is designed to provide critical insights to the hotel community as it weathers the storm of COVID-19.

Among the highlights are the following:

  • Nationally, occupancy levels remain relatively flat at trough levels reached about three weeks ago, stabilizing at approximately 27% occupancy. ADR levels continue to decline slightly as segment mix continues to affect room rates at a national level.
  • There is starting to be consistent occupancy movement within room rate purchase categories at the national level. For the past several weeks, there has been upward movement in occupancy levels within the leisure-driven categories of rack/bar, promotion & loyalty and OTA rates. Conversely, the downward occupancy trend in the group and corporate rate categories results in no significant upward occupancy trend when aggregated nationally.
  • Net group bookings through the remainder of 2020 still look to be net negative, especially in the summer months. While still trending down, fall and early groups cancellations are not nearly as severe, as it appears that there is still some optimism regarding holding meetings late this year.
  • After a one-week upward bump in net airline bookings in Atlanta, the week ending 5/10 showed a significant retreat back to levels reported by most major destinations. At this point, it appears many travelers are still hesitant to book airline reservations.
  • On the good news front, it appears that some hotels are beginning to reopen as the percentage of closed rooms dropped from last week. Surprisingly, this trend is also true for luxury hotels, with just over 40% of luxury hotel rooms open, up from 33% a few weeks ago.