Despite the increase in occupancy levels in Turkey compare to last year, price drops in the Turkish hotels keep Turkey at the bottom of Europe in terms of revenue. Istanbul hotels experienced the biggest loss in Europe.
Turkish Hotels Association (TUROB) announced the results of STR Turkey Hotel Report for June 2017. According to the data received from hotels in Istanbul, Antalya, and Ankara, the occupancy level in June 2017 is increased 0.1 percent compare to June 2016 and recorded as 44.6%. The average Revenue per available room (RevPAR) in June 2017 announced as €31 and ranked lowest in Europe.
In the first half of 2017, between January and June, the occupancy level in Turkey is increased from 50.8% to 53.3% but RevPAR dropped from €39.4 to €32.7.
Istanbul hotels have Europe’s lowest prices
Occupancy level in Istanbul is increased 8.5% from 39.9% in June 2016 to 43.2% in June 2017.
Average Daily Rate (ADR) in June 2017 dropped 17.5% to €71.1 from €86.2 in June 2016.
Istanbul hotels RevPAR dropped 10.5% compare to last year and recorded as €30.7. It was €34.3 in June 2016.
In January-June 2017, occupancy rates increased from 49.2% to 53.3%. ADR dropped from €96.2 to €72.3. RevPAR dropped from €47.3 to €38.5.
TUROB President Timur Bayındır commented, “When we consider first half periods from 2015 to 2017, the revenue loss of hotels only in Istanbul is accounted €1 billion. Despite improvements in security concerns and a rise in hotel occupancy rates, there was no positive effect in hotel revenues. The main problem here is the stress resulting from the budget-destination image. Security concerns and other risks have unfortunately become a trump card in pricing Istanbul’s hotels”.