Australian accommodation industry reports RevPAR growth

If the latest Australian Bureau of Statistics (ABS) report is anything to go by, Australia’s accommodation industry isaccommodation continuing to recover from the global financial crisis.

The statistics illustrate that RevPAR growth, which is calculated by multiplying a hotels average room rate by its occupancy rate, has been experienced by most Australian states.

Furthermore, the national RevPAR for the September quarter of 2012 was $109.80, a jump from the $105.60 recorded back in the September quarter of 2011.

Richard Munro, CEO, Accommodation Association of Australia explains that NSW, Queensland and South Australia, rather than just the traditionally strong performing states of Western Australia and the Northern Territory have demonstrated growth in RevPAR.

“There have been patchy returns for businesses in our sector which are in these three states for some time and the latest ABS statistics indicate that more accommodation operators are experiencing better results.”

These results could be a result of the tourism policy implemented by the NSW and Queensland governments, says Munro.

In the last quarter Victoria’s RevPAR has failed to increase, and it reported the the third-lowest RevPAR of any state and territory for the September quarter of 2012.

According to Munro this is “more evidence that significant short-term challenges remain for the accommodation industry in some parts of Australia.”

While South Australia has experienced RevPAR growth, it continues to sit below the $100 mark, meanwhile Tasmania experienced little to no growth in the last quarter, and its current RevPAR is a mere $60.50.

The statistics uncovered that within the same period, occupancy in accommodation businesses across Australia remained relatively stagnant.

In the September quarter of 2011, it was 66.8 per cent, while in the September quarter of 2012, it was 66.9 per cent.

“The only significant change in occupancy was in the ACT where there was a fall of nearly five per cent for the corresponding period the previous year, however the Canberra market remains strong,” adds Munro.