2023: A year of growth for the hotel sector

The hotel sector is starting the new year with very good forecasts. During the years 2020 and 2021 the hotel sector has been strongly affected due to the economic crisis caused by the pandemic. During 2022, pre-pandemic figures have already been reached due to the upturn in prices reinforced by improvements in demand and hotel occupancy. Even so, the hospitality sector is approaching 2023 with caution, as it may be affected by the current economic and geopolitical landscape. Events such as inflation, interest rate hikes by the European Central Bank (ECB) or the war between Russia and Ukraine may affect tourism bookings.

The evolution of holiday and leisure tourism, supported by business travel and workations, will keep the sector booming for another year. In fact, the pace of this growth will be maintained in the new year 2023. However, it is always sensible to envisage a moderate slowdown in these first months of the year.

According to data from the INE (National Statistics Institute), overnight stays in hotel establishments exceeded 17.5 million, causing an increase of 17.8% compared to the same month in 2021. On the other hand, pre-pandemic data indicate that, in November 2019, overnight stays in hotel establishments registered were 18.3 million.

The hotel sector will rely on the luxury segment

Luxury travel bookings have remained steady and strong during autumn 2022. The luxury sector is to be strongly considered as it can lead the way to higher quality, sustainable and profitable tourism. The sector will bring an increasing demand from top-tier international hotel operators who want to have a presence, which will underpin this positive development.
Currently, luxury travel contributes 2% of Spain’s GDP, a figure higher than that of other European countries, where it moves around 170,000 million euros annually. Advance purchase and tourist bookings have returned to pre-pandemic levels and ADRs (average daily rate) are considerably above those recorded in 2021 and 2019.

The hotel needs to consider operational costs

On the other hand, one aspect to be cautious about is the increase in hotel operating costs. The hotel sector faces the challenge of managing rising labour costs, energy costs and food costs.

Room service management involves altering the flow of food and beverage (F&B) services in those hotels that have room service, which implies a high staffing burden and expenses in those hotels that do not have kitchen service.Getting to know the culture and gastronomy of the place you are visiting is one of the key reasons for choosing a place when travelling. For this reason, offering a room service adapted to the gastronomic demands of the country is a differential service for the hotel chain. Le Room Service makes room service more attractive, improving the hotel offer and achieving higher sales, adding value to the hotel sector in several ways.

Reader Interactions

Leave a Reply

Your email address will not be published. Required fields are marked *

The reCAPTCHA verification period has expired. Please reload the page.

This site uses Akismet to reduce spam. Learn how your comment data is processed.