Uptick in Business Travel Aids Hospitality Industry Growth
Press release from the issuing company
Thursday, July 14th, 2011
Data from theJune 2011TravelClick North American Hospitality Review, detailing hotel bookings currently reserved during the period,May 31, 2011throughMay 31, 2012, reveals that business travel is leading the way in the hospitality industry followed by leisure and then group travel. The data also revealed that across key U.S. market segments, industry revenue per room (RevPAR) is up 5.7 percent compared to the same time period last year. The Miami (16.9 percent),San Francisco(16.3 percent) andHouston(11.3 percent) markets all show double digit RevPAR growth. Overall committed occupancy is up two percent and average daily rates (ADR) are up three percent.
The data was compiled by TravelClick, the leading provider of profitable revenue generating solutions for hoteliers worldwide. TravelClick's business intelligence division provides comprehensive, forward-looking market intelligence to the global travel industry.
"We are very encouraged by the growth in business travel and in key U.S. markets," saidLarry Kutscher, chief executive officer for TravelClick. "Based on TravelClick's prospective data and our knowledge of the travel industry, we believe that as the overall economy strengthens, there will be an uptick in leisure travel bookings and eventually group travel."
TravelClick's North American Hospitality review also revealed that 9.8 percent fewer hotel rooms were booked duringMay 2011as compared toMay 2010. Group sales – large blocks of rooms purchased long before travel occurs – were a major contributor to this decline with 42 percent fewer rooms booked compared toMay 2010.
Kutscher continued, "There can be no question that the hospitality industry is a key barometer in determining the health of the overall economy. Notwithstanding the increase in business travel and uptick in key markets, given concerns of a 'double dip' in the economy, TravelClick will continue to monitor the industry and report regularly on the state of hotel occupancy."


