Business Conditions Survey: Traveller accommodation industries
Statscan - Canadian hoteliers' business expectations for the third quarter of 2009 were negative relative to their business performance during the same quarter a year earlier. Their negative outlook was similar to that observed in the previous two quarters.
Over three-quarters (76%) of hoteliers expected the number of room nights booked and occupancy rates to be lower than they were in the third quarter of 2008. In contrast, 5% expected higher bookings and occupancy.
Similarly, 74% anticipated fewer corporate travellers this summer. Two-thirds of respondents expected that the number of hours worked by their employees would decline.
Well over half (62%) of hotel managers reported that they expected average daily room rates to be lower, while 7% anticipated rates would be higher. This is the third consecutive quarter in which more respondents have expected lower room rates than higher.
The most commonly-cited business impediment reported by hoteliers was regional economic conditions, which was the case in the previous two quarters. The next two most-cited were excess room supply (37%) and exchange rate fluctuations (34%).
Note: The Business Conditions Survey for the traveller accommodation industries is a voluntary survey sent to 1,478 businesses, mostly hotels. The survey was sent during the last week of June to mid-July 2009 to assess the third quarter outlook for key indicators compared with the same period last year. These indicators include bookings, occupancy rates, average daily room rates, hours worked by employees, and number of corporate travellers.
Results are based on survey questionnaires sent to traveller accommodation providers and are weighted by their operating revenues.