Australian Open boosts Melbourne hotels

TD Guest Writer

Guest Writers are not employed, compensated or governed by TD, opinions and statements are from the specific writer directly

The Australian Open boosted occupancy at Melbourne's hotels (photo by Neale Cousland)
The Australian Open boosted occupancy at Melbourne’s hotels (photo by Neale Cousland)

Hotels in Melbourne experienced significant increases in occupancy and average daily rate (ADR) during the recent Australian Open tennis tournament.

According to data from STR Global, the city’s occupancy during the tournament (18-31 January 2016) increased 16.3% compared to the previous week, reaching an average of 90.4%. ADR was up 36.3% to AU$238.13 (approx. US$168).

“The Australian Open brings business to Melbourne during what would normally be an off-peak month,” said Matthew Burke, STR Global’s business development manager for Australia. “Meetings and normal business travel activity usually kick in around the beginning of February, as most people in Australia take longer summer holiday vacations during January.”

Compared with 2015 market performance for the other three Grand Slam tournaments (the French Open in Paris, Wimbledon in London, and the US Open in New York), the Australian Open appears to make the largest impact on its host market.

STR Global noted however, that New York, London and Paris usually maintain consistently high occupancy and ADR during the months of their events.

ADR appears to be the driving force for performance during the other three tournaments, while occupancy increases are much more prevalent during the Australian Open in Melbourne.

Klook.com

EXPERT OPINION

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