Increase in Spanish hotel rates; Spanish Melia hotels see full resort recovery in 2022

Hotels in Spain increased their rates by 36% in April compared to a year ago, charging €96.3 per night on average around the Easter holidays which marked a long-awaited rebound in tourism after the COVID-19 pandemic, according to official data.


The average rate was also 15% higher than in April 2019, before the pandemic hit in early 2020, which brought global travel to a virtual halt and forced the few Hotels which have remained open to significantly lower their rates.

The National Institute of Statistics said on Tuesday that rooms in five-star hotels Hotels cost 23% more than a year ago, or an average of €226.5 per night. Ironically, staying in a cheaper two star hotel Hotels was now 40% more expensive, with rates at 66€.

Hotelers were able to adjust their rates and cover inflation and rising energy prices through a significant increase in overseas tourism, mainly from Britain and Germany, as European countries eased or lifted travel restrictions.

In March and April of this year, the number of guests staying in Spanish Hotelits more than fivefold compared to a year ago, and 40% of them resided in the country, INE added.

Tourist arrivals in April were at 86% of pre-pandemic 2019 levels and some popular islands were seeing the same number of holidaymakers as before the pandemic, official figures show.

Spanish Hotel the Melia chain said last week that during Easter week it recorded an overall increase of 18% in its room rates. The Mallorca-based group expects better sales at its resort Hotels in 2022 than in 2019.

Spanish Melia hotels see full resort recovery in 2022

The above news followed news that Spain Melia Hotels MEL.MC said its occupancy rates and revenue should return to pre-pandemic levels at its resort hotels this year, amid a strong rebound in tourism after most COVID-19 restrictions were lifted in Europe and America.

The Mallorca-based group expects to have better sales in 2022 than in 2019 at its resort hotels, helped by holidaymakers’ demand for more spacious accommodation, which is driving up the average price of a stay. Meanwhile, its urban destinations are expected to bring in 13% less than before the pandemic.

“In all sales channels, we are above 2019 (for the moment…) but the evolution is more positive on holidays hotels,” the Melia“, said the general manager of Gabriel Escarrer during a press conference.

“Spain is one of the destinations that benefits the most because customers perceive it to be a safe haven,” Escarrer said, noting that the country is far from the Ukrainian conflict.

The hotel chain group announced last week that its first-quarter revenue more than tripled to 271 million euros from a year ago, but still posted a loss of 59.3 million euros, mainly due to the impact of cancellations caused by the Omicron variant earlier in the year.

Bookings have risen by double digits week-on-week since mid-February and the Easter holiday set the stage for a better rebound, the company told Reuters.

The company saw an overall 18% increase in its room rates during Easter week.

The impact of the conflict in Ukraine has not greatly affected the movement of travelers and, according to the company, will not overshadow the expected recovery from the pandemic.

Last month, tourist arrivals in Spain were at 86% of 2019 levels, while its islands popular with holidaymakers received the same number of tourists as before the pandemic, thanks to the return of travelers from key markets in Great Britain. Britain and Germany, the government said. Wednesday, May 18.

News by Reuters, edited by Hospitality Ireland. Click on subscribe to register for Hospitality Ireland printed edition.

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