2016 results stand out for the general recovery of profitability in urban destinations, hardly affected during the years of economic crisis. 2016 follows the positive results of 2014 and 2015, but reaches record levels of hotel profitability for the last decade.
We have seen consolidated tourism growth for almost all analysed destinations, mainly driven by the increase of international demand in 2016. The instability of other European and Mediterranean urban destinations, as well as the positive effect of international investment, have been key factors in this consolidation.
Tourism revenue of the analysed cities grew by 7.5% in 2016, standing at € 60.1 according to data published by the Exceltur Profitability Barometer. Growth this year has been driven by ARR (+ 3.5%) and occupancy (+ 3.7%), unlike 2015, when ARR levels were the drivers of increased hotel profitability.
Source : Christie & Co