Stockholm hotel market treads water

Despite a global industry downturn, Stockholm’s hotel market has experienced only a moderate occupancy decline for the year through October, according to STR Global, the leading provider of market data to the world’s hotel industry.

“Compared with the previous year, the overall decline of 4.5 percent has not been as bad as expected”, said Elizabeth Randall, managing director of STR Global. “The summer months of 2009 actually saw occupancy rise in Stockholm compared with the previous year”. (See chart 1.)

Björn Arnek of Sveriges Hotell & Restaurang företagare, the Swedish Hotel & Restaurant Association explained, “The weakness of the Swedish Kroner has seen an increase in leisure demand compensating for the reduction in corporate business. The twin effect of the depreciation of the Swedish Kroner has been to attract foreign tourists and also persuade Swedes to holiday at home thereby following a general recessionary trend for ‘stay-cations’”.

Nevertheless Stockholm’s hoteliers are feeling the pinch with demand for hotel accommodation declining in line with the 4 percent to 5 percent, per-annum contraction of the Swedish economy coupled with an oversupply of guestrooms. The Comprehensive Hotel Pipeline Report from STR Global shows a further 1,364 guestrooms under construction, in final planning or in planning stages. The current holding of the EU Presidency by Sweden would be expected to add some 50,000 to 80,000 extra roomnights to the country as a whole. However with promotion of the event in the capital subdued, the effect of this rotating position has not made a significant impact on the capital’s hotel trade. As data from STR Global shows, compared to her Scandinavian neighbors, Stockholm has merely an average year-on-year RevPAR performance in local currency terms for the year to 31 October 2009, as seen in chart 2.

About STR Global 

STR Global provides clients—including hotel operators, developers, financiers, analysts and suppliers to the

hotel industry—access to hotel research with regular and custom reports covering Europe, Middle East, Africa, Asia Pacific and South America. STR Global provides a single source of global hotel data covering daily and monthly performance data, segmentation data, forecasts, annual profitability, pipeline and census information. Hotel operators can join the surveys on a complimentary basis and benefit from free industry data. STR Global is part of the STR family of companies and is proudly associated with STR, STR Analytics and Hotel News Now. For more information, please visit www.strglobal.com.[1]

References

  1. ^ www.strglobal.com. (www.strglobal.com.)

Source URL: Read More
The public content above was dynamically discovered, by graded relevancy to this keyword domain, and was specifically filtered by “Creative Commons“ re-use licensing and/or by Press Release distributions. Source URL states the content’s owner and/or publisher. This site only references the content above to generate its value-add, the dynamic sentimental analysis below, which allows us to research global sentiments across a multitude of topics related to this site’s specific keyword domain. We take content ownerships seriously and respect authorships: Click “DMCA” in site footer to request applicable content take-down.

Acquire this Domain
We are Internet Investors, Developers, and Franchisers – operating a content network of several thousand sites while federating 100+ eCommerce and SaaS startups. With our proprietary “inverted incubation” model, we leverage a portfolio of $100M in valued domains to impact online trends, traffic, and transactions. You can acquire this domain. We have nurtured its online marketing value by systematically curating this site by its relevant keywords. You can also engage us for online marketing services and website maintenance. Explore our content network – you can advertise on each or rent vs. buy the domain.

Share