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Paris hotels see surge in revenue as Olympic bookings reflect global event trends

August 1, 2024

Paris hotels have seen average daily rates soar over 70% to €380 during the Olympic period, compared to €223 for the same period last year.

This is according to data from SiteMinder, the leading software platform that unlocks the full revenue potential of hotels.

The surge in rates and demand is driven by both international and domestic travellers. Overseas guests are projected to comprise 59% of hotel arrivals across France this July, up from 54% in 2023. SiteMinder’s data highlights Germany, the UK, and the US as the top international source markets for French hotels in July.

Furthermore, booking windows at Paris hotels have increased significantly to 118 days from 71 days during the same period last year. There is also an almost 20% increase in the average length of stay, now at 2.57 days.

James Bishop, SiteMinder’s Vice President of Ecosystem and Strategic Partnerships, commented on the strategic advantage Parisian hotels have taken of forward bookings. He emphasised the importance for UK hotels to recognise the revenue opportunities major events provide.

“Thanks to longer lead times and ever-improving distribution and revenue optimisation tools, hoteliers can now leverage heightened periods of demand to drive revenue growth. In a competitive landscape with savvy travellers, major events offer rare certainty. It’s crucial for UK hotels to take action, as Parisian hotels have ahead of the Olympics,” said Bishop.

Bishop also noted the contrast in revenue management effectiveness between Parisian hotels during the Olympics and London hotels during the Marathon weekend in April. Despite a 13% increase in lead times and a 2% rise in bookings, London hotels saw a 6.5% drop in rates year-on-year. This underscores the effective use of dynamic revenue management by Parisian hotels.

All data is for the Olympics period (26 July to 11 August) compared to the same dates last year, derived from SiteMinder’s platform, which processes over 120 million reservations annually, generating more than US$50 billion in revenue for over 41,000 hotel customers.