• Spanish hospitality sees unprecedented growth post-COVID, surpassing pre-pandemic limits. According to INE, prices surged by 14.68% (2002-2020) and skyrocketed 27.98% in only the last two years.
• Factors include the post-pandemic rebound, economic inflation, and pent-up tourist demand.
• Future scenarios suggest potential high or moderate growth, or a slight corrective phase.
• BEONx emphasises AI-driven tools’ crucial role in adaptive pricing strategies pre-FITUR launch.
  

Madrid, January 17, 2024 – Ahead of FITUR, BEONx, a leading travel technology company dedicated to revolutionising revenue strategy and achieving sustainable profitability for hotels, has conducted a study revealing the highest-ever average daily room rate (ADR) values in Spain, marking the highest prices ever recorded in the industry.

The “Pendulum effect in the Spanish Hospitality industry” study reveals that the Spanish hospitality sector has undergone an extraordinary transformation, experiencing a phenomenon akin to a pendulum swing, surpassing pre-COVID limits. The last three years have seen unparalleled growth in ADR, surpassing two decades of progress prior to the pandemic. Specific figures underline this growth: between 2002 and 2020, prices surged by 14.68%. However, in a mere two-year span from 2021 to 2023, prices skyrocketed by an astonishing 27.98%, based on data from the Instituto Nacional de Estadística. 

The impact of the COVID-19 pandemic on societal norms and sustainability reverberated through the tourism sector, manifesting shifts in hotel room pricing. The resurgence post-pandemic fueled a remarkable rebound, defying expectations. Factors attributing to this surge included economic inflation, tourists’ pent-up demand after prolonged confinement, and hotels’ imperative to recover lost revenue. Moreover, this trend extended to the aviation industry, which has grown by 15 % after COVID-19 pandemic, signifying a broader global resurgence.

This growth has propelled the industry into a phase of uncertainty, prompting questions about the sustainability of this surge and its adaptive implications for hotel pricing strategies. 

“The last three years have seen unparalleled growth in ADR, surpassing two decades of progress prior to the pandemic,” stated Rubén Sánchez, CEO of BEONx. As the industry navigates uncertainty, potential scenarios for price evolution in Spain emerge. Ruben outlines three possible trajectories – high growth, moderate growth, or a slight correction – based on current trends and future market dynamics. “How do hotels ensure price adaptability amidst evolving scenarios?” BEONx emphasises the pivotal role of macro factors – economic, technological, demographic, political, and socio-cultural – in shaping pricing strategies. Anticipating changes and employing AI-driven forecast models become imperative to navigate this dynamic landscape. “AI is not merely a tool; it’s our strategic ally in navigating uncertainty and enhancing performance,” adds Ruben.

BEONx announces its participation at FITUR, stand 8D26/P8, unveiling cutting-edge AI-driven tools for pricing optimisation, occupancy forecasting, and revenue management. 

Explore the complete study on BEONx website.