Data Shows Hotel Occupancy in US Continues to Improve

A new study found that hotel occupancy in the United States improved week over week and the average daily rates (ADR) were the highest on record.

According to information from hotel industry data analysis company STR for the week of July 4-10, occupancy at U.S. hotels and resorts was 67.2 percent, down 9.3 percent from the comparable week in 2019.

The data also found the average daily rate was $139.84, up 5.4 percent from 2019, while revenue per available room (RevPAR) was $93.99, down 4.4 percent. Hotels are taking advantage of pent-up leisure demand and higher-spending travelers, while contending with staff shortages and rising costs.

Among the top 25 markets, the STR study found that Norfolk/Virginia Beach, Virginia, saw the highest occupancy increase over 2019, improving three percent to 80.5 percent, while Minneapolis saw the steepest decline when compared with 2019, down 34.1 percent to 52.6 percent.

As for average daily rates, Miami reported the largest improvements in both ADR (up 44.7 percent to $225.14) and RevPAR (up 30.7 percent to $152.45 over 2019). The largest RevPAR drops were in San Francisco/San Mateo (down 55.2 percent to $89.11) and Boston (down 47.6 percent to $94.03).

Last week, J.D. Power released its 2021 North America Hotel Guest Satisfaction Index Study, revealing that guest satisfaction is unchanged from 2020, but still 10 points higher compared to 2019, with customers reporting increased contentment with hotel staff and value for their money.