Daily data from STR Global, the leading provider of market information to the world's hotel industry, clearly shows the pull of the famous bands such as Oasis and Take That and its benefits for the hotel industry in Cardiff, Wales.
In the current economic environment any additional attractions within a market are a welcomed benefit to hotel performance. The concerts over the past couple of weeks increased the daily revenue per available room (RevPAR) for Cardiff between 46 percent and 67 percent for the nights of the 12, 16 and 17 June 2009, compared with the same days the prior year. STR Global tracks the daily performance of 16 hotels in the Welsh capital.
Events at the Millennium Stadium, which has a capacity to hold up to 74,500 visitors, bring in the crowds and fill the beds. Cardiff reported over 90 percent occupancy during these three nights, which means a 'sold-out' sign on many hotels' front doors. Whilst occupancy did not increase that significantly against the prior year, as can be seen from the table below, the average room rate (ADR) increases reflect the high demand for rooms.
Cardiff's daily performance during event days compared with the same day last year
Source: STR Global
As most event-visitors stayed one-night only, the night following the events saw considerable RevPAR declines. Upcoming events at the Millennium Stadium such as the FIM British Speedway Grand Prix on 27 June and U2 concert on 22 August should bring additional boosts to the city.
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For more than 20 years, Smith Travel Research has been the recognized leader for lodging industry benchmarking and research. Smith Travel Research and STR Global offer monthly, weekly, and daily STAR benchmarking reports to more than 36,000 hotel clients, representing nearly 5 million rooms worldwide. STR is headquartered in Hendersonville, Tenn., and STR Global is based in London. For more information, visit www.smithtravelresearch.com or www.strglobal.com.
