Occupancy rose on the back of domestic demand, while revenue losses continued to mount

In March, hotel occupancy rose by 5.3 percent thanks to the increase in meeting and event traffic from domestic companies and the acceleration in the Iranian market due to Nowruz. While TÜROB President Timur Bayındır stated that it is still too early to say this rise will be stable, he said, "Our hope is that it will increase." Bayındır noted that although the rise in occupancy is positive, the decline in revenues continued to mount, and that the real recovery needs to come in prices.

In March, hotel occupancy began to rise. The 'March 2017 Country Performance Report', prepared for the Association of Turkish Hoteliers (TÜROB) by STR Global, one of the world's leading data and analytics companies, was announced. According to the report analysed by the Association of Turkish Hoteliers, Türkiye's hotel occupancy in March 2017 was recorded at 55.8 percent, an increase of 5.3 percent over the same period in 2016. In March 2016, this rate had been 53 percent. In the first three-month period of the year, it rose from 50.1 percent to 52.3 percent, an increase of 2.3 percent. By contrast, Türkiye was the country that suffered the greatest loss in room revenues in the first three months of 2017. The average daily rate per room sold, known as the Average Daily Rate (ADR), fell from 74.2 Euros to 57.2 Euros over the three months, while revenue per available room (RevPAR) declined from 37.2 Euros to 29.3 Euros.
While it was noted that the increase in meeting and event traffic from companies was a factor in the rise, it was also recorded that the activity in the Iranian market due to Nowruz had a positive impact on the March occupancy figures. While TÜROB President Timur Bayındır stated that it is still too early to say this rise will be stable, he said, "Our hope is that it will increase." Bayındır noted that although the rise in occupancy is positive, the major decline in revenues was continuing, and that the real recovery needs to come in prices.

Revenue loss mounted in Istanbul
Istanbul's occupancy rate, which was 52.2 percent in March 2016, was measured at 56.1 percent in March 2017, an increase of 7.5 percent. In March 2016, this rate had been 52.2 percent. In Istanbul, the loss in revenues continues to grow. The average daily rate per room sold, at 69.8 Euros, showed a decline of 22.8 percent compared to 2016. In March 2016, this figure had been 90.4 Euros. Revenue per available room (RevPAR) saw a decline of 17 percent compared to the previous year, coming to 39.1 Euros. In March 2016, this figure had been 47.1 Euros. With this decline in revenue, Istanbul was the European destination that suffered the greatest revenue loss.
In the period from the beginning of 2017 to the end of March, compared to the same period in 2016, the occupancy rate rose from 49.7 to 49.8. The average daily rate per room sold fell from 90.9 Euros to 68.4 Euros, and revenue per room declined from 45.1 Euros to 34.0 Euros.

Antalya gained hope
Antalya Region's hotel occupancy in March 2017 came to 55.1 percent, an increase of 10.5 percent compared to the same period of the previous year. In March 2016, this rate had been 49.8 percent. The average daily rate per room sold, at 54.4 Euros, showed a decline of 7.1 percent compared to 2016. In March 2016, this figure had been 58.6 Euros. Revenue per available room saw an increase of 2.7 percent compared to the previous year and was measured at 29.9 Euros. In March 2016, this figure had been 29.2 Euros.
In the period from the beginning of 2017 to the end of March, the occupancy rate rose from 46.5 percent to 52.8 percent compared to the first three-month period of 2016, while the average daily rate per room sold fell from 59.5 Euros to 49.3 Euros, and revenue per room declined from 27.6 Euros to 26.0 Euros.

Ankara also rose
Ankara's hotel occupancy in March 2017 rose to 61.1 percent, an increase of 4.4 percent compared to the same period of the previous year. In March 2016, this rate had been 58.5 percent. The average daily rate per room sold was 63.1 Euros, a decline of 14.3 percent compared to 2016. In March 2016, this figure had been 73.6 Euros. Revenue per available room saw a decline of 10.5 percent compared to the previous year and was measured at 38.5 Euros. In March 2016, this figure had been 43.0 Euros. In the period from the beginning of 2017 to the end of March, compared to the same period of the previous year, the occupancy rate rose from 55.4 percent to 57.7 percent, while the average daily rate per room sold fell from 75.5 Euros to 62.5 Euros, and revenue per room declined from 41.8 Euros to 36.0 Euros.