Jeddah's March hotel room rates down 17%

Preliminary data for March show the absolute ADR fell 17.1% to $150.3, the biggest drop for any month in Jeddah since April 2008

  
Saudi coastal city of Jeddah witnessed a major drop in room rates in March with the average daily rate (ADR) at its 11-year low, and RevPAR (Revenue per available room) witnessing a major decline in 12 years, said a report.
 
According to STR's preliminary data for March, the absolute ADR fell 17.1 per cent to SR563.89 ($150.3), the biggest drop for any month in Jeddah since April 2008 while the RevPAR fell 14.8 per cent to SR275.21 ($73.3), its lowest since 2007.
 
While demand grew by 10.7 per cent outpacing continued significant supply growth of 7.7 per cent in Jeddah, a very competitive marketplace during low season led to hoteliers sacrificing room rates to maintain market share.
 
The occupancy rates surged by over 2.8 per cent to 48.8 per cent, stated the report by STR, a major provider of premium data benchmarking, analytics and marketplace insights for global hospitality sectors.
 
Founded in 1985, STR maintains a presence in 15 countries with a corporate North American headquarters in Tennessee (US), an international headquarters in London (UK), and an Asia Pacific headquarters in Singapore.-TradeArabia News Service

Copyright 2019 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.

More From Business