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You are at:Home » US Hotel Industry Experiences Holy Week Slowdown, Global Outlook Remains Positive
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US Hotel Industry Experiences Holy Week Slowdown, Global Outlook Remains Positive

29 April 20252 Mins Read

  • Globally, RevPAR increased for the third consecutive week, with Japan and Mexico leading the surge. – Image Credit Unsplash+   

  • U.S. hotel industry performance dips during Holy Week, while global performance sees a healthy gain.
  • Canadian and Mexican border hotels experience demand variations, and luxury hotels in the U.S. perform well.

During the Holy Week leading up to Easter and Passover, the U.S. hotel industry experienced a slowdown. Revenue per available room (RevPAR) dropped 9.3%, with hotel occupancy declining by 5.4 percentage points and average daily rate (ADR) falling 1.3%.

The decrease was anticipated due to the holiday period and a challenging comparison with last year’s calendar. Despite this, room demand exceeded the 10-year average and was above 2023 levels.

Hotels in the U.S. sold 1.5 fewer rooms on average this Holy Week than in the previous year, with the most significant demand decreases seen on Sundays and Thursdays. However, ADR remained stable compared to the same period last year.

Areas like Myrtle Beach, Norfolk/Virginia Beach, and the New Jersey Shore saw strong growth, likely due to the later Easter and warmer weather attracting travelers. A significant increase in students on Spring Break also contributed to the rise in demand. On the other hand, markets such as Las Vegas, Atlanta, Nashville, and Washington, DC saw reduced demand.

Hotels near U.S. border crossings experienced varied demand, with those near Canadian borders seeing a 9.8% decrease year over year and those near Mexican borders experiencing a 1% drop.

Except for luxury hotels, all other chain scales posted RevPAR declines, primarily due to lower occupancy. Luxury and Upper Upscale hotels saw a significant drop in group demand but an increase in transient demand.

Globally, RevPAR increased for the third consecutive week, with Japan and Mexico leading the surge. However, countries like Italy, Germany, U.K., Canada, and China saw declines due to event calendar shifts and the Holy Week slowdown.

This week’s slowdown was anticipated, and performance is expected to improve the following week due to Easter Sunday and favorable comparisons to last year’s Passover week.

Discover more at STR.

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