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STR Weekly Insights 12 April 2025: U.S. Hotel Industry Experiences Growth; Global RevPAR Up 12.8% – Image Credit Unsplash+
- The U.S. hotel industry experienced solid growth in revenue per available room (RevPAR), with a 2.8% increase excluding markets affected by last year’s solar eclipse.
- Despite economic uncertainties, the demand for hotel accommodations in the U.S. hotel industry grew over the past four weeks, while spring holidays and events boosted global performance.
The STR report for the week ending 12th April 2025 highlighted positive growth in the U.S. hotel industry despite economic uncertainties. Revenue per available room (RevPAR) saw a 0.2% growth, which rose to 2.8% after excluding the markets affected by the 2024 solar eclipse.
This growth was driven by a 2% increase in the average daily rates (ADR) and boosted by the high demand from Group travel and spring break holidays.
The markets affected by the solar eclipse, which constitute about 10% of the U.S. room supply, saw a significant decline in their weekly RevPAR by 24.2%. Despite the negative impact, nine out of the 16 eclipse markets still saw growth in their RevPAR after the eclipse comparison.
The report also reflected healthy growth in Group travel in the Top 25 Markets. The Group demand in these markets advanced by 4.0%, following a 30% growth in the past two weeks.
The global hotel industry also saw a significant boost in its performance, driven by major events and spring holidays. RevPAR globally soared to 12.8%, primarily driven by the increase in ADR by 12.2%.
Japan, Germany, and Italy were the top performers, with Japan seeing a 62.1% increase in RevPAR, benefiting from the EXPO 2025 and cherry blossom season.
The outlook for May and June remains positive, with bookings up by around one percentage point. Despite the slowdown, the industry is keen to see how ongoing trade dynamics and economic pressures shape the performance in the coming weeks.
Discover more at STR.