- Singapore sees highest occupancy level since 2012
- Ho Chi Minh City reports higher room rates, but lower occupancy due to supply growth
- Thailand growth driven by higher room rates as demand softens
Hotels in the Asia Pacific region reported positive results across the three key performance metrics during 2018, according to data from STR.
U.S. dollar constant currency, 2018 vs. 2017
• Occupancy: +0.2% to 70.6%
• Average daily rate (ADR): +1.0% to US$106.99
• Revenue per available room (RevPAR): +1.2% to US$75.53
Local currency, 2018 vs. 2017
• Occupancy: +3.1% to 83.7%
• ADR: +0.7% to SGD271.49
• RevPAR: +3.8% to SGD227.35
The country experienced its highest total-year occupancy level since 2012. STR analysts note that strong demand (+6.7%) surpassed supply growth (+3.5%) as arrivals to the city-state continued to rise and the pace of new hotel openings slowed.
Ho Chi Minh City, Vietnam
• Occupancy: -1.8% to 73.4%
• ADR: +7.0% to VND2,637,846.90
• RevPAR: +5.1% to VND1,936,823.10
Occupancy declined as supply growth (+1.9%) outpaced mostly flat demand (+0.1%)—a trend likely to continue as new hotels are lined up for construction, according to STR analysts. However, demand into the city is expected to continue to grow long-term as plans for an expansion of the international airport should facilitate new arrivals.
• Occupancy: -0.8% to 75.7%
• ADR: +3.5% to THB3,703.16
• RevPAR: +2.8% to THB2,803.14
With a wider variety of growth around Thailand, Bangkok maintained strong performance, particularly in the central areas of the city, as supply growth softened. STR analysts do however note that there is slight uncertainty in various markets that began later in 2018, as the pace of important international arrival segments such as that of mainland China has slowed down. The country has showed its resilience many times in the past to external factors, and 2019 is likely to provide another test.
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