Calendar Changes to Impact U.S. Hotel Performance this Holiday Season

• Changes in holiday dates are expected to impact hotel stays, with Thanksgiving being a week later and Christmas and New Year’s Day falling on a Wednesday. 
• Despite these alterations, the end of the year isn’t anticipated to be a major setback for the hotel industry. Minor decreases in occupancy and moderate increases in average daily rates are predicted.

According to an analysis by Isaac Collazo of STR, the upcoming holiday season will bring mixed results for the U.S. hotel industry due to changes in the calendar. With Thanksgiving arriving a week later, there are fewer days between Christmas, compressing travel during that period. Furthermore, Christmas and New Year’s Day falling on a Wednesday instead of a Monday will likely suppress hotel stays. 

Predictions for the Thanksgiving period indicate a drop in hotel occupancy and average daily rate (ADR), with a 2.1% decrease in revenue per available room (RevPAR). However, the period between Thanksgiving and Christmas could see a slight increase in occupancy and a 1.8% rise in hotel room rates.

The shift of Christmas and New Year’s Day from Monday to Wednesday is expected to decrease occupancy, similar to previous years when the holidays fell on a Wednesday. Despite these challenges, the end of the year is not expected to be disastrous for the hotel industry, with flat hotel occupancy and a 2% increase in ADR.