Hotels have suffered the hardest blow from lockdown restrictions, accommodation data shows

Accommodation revenues fell 35.9% year-over-year in March 2021 (iStock)

  • The impact of coronavirus-related lockdowns and travel bans is still reflected in the tourist accommodation industry.
  • Data released by Stats SA shows a negative year-over-year trend for tourist accommodation in March of this year.
  • Hotel accommodation was hit the hardest.

The unadjusted income of the tourist accommodation industry fell by almost half year over year, with hotels taking the biggest hit, Stats SA said on Monday.

Measured in nominal terms, the sector’s total income decreased by 45.3% in March 2021 compared to March 2020.

This includes other income, for example from restaurants and bars.

The quarterly comparison, meanwhile, shows that accommodation revenues fell just under 65% in the first quarter of 2021, compared to the first quarter of 2020.

Here too, the main contributor was the hotel industry (-69%).

In March of this year, all types of accommodation saw a sharp decline in accommodation revenue year over year as the impact of the Covid-19 lockdown restrictions continued. Reservations have decreased as has the revenue generated per reservation. The number of accommodation units sold fell 16.5%, while the average income per accommodation unit per night sold fell by almost a quarter (23.2%).

The largest year-over-year declines in accommodation revenues were reported by hotels, at just under 40%.

Glimmer of hope

A slightly clearer picture emerged from the monthly data, where seasonally adjusted accommodation income increased 37.6% in March. The highest positive monthly growth rates were recorded for hotels (52%) and caravan and camping parks (50.4%).

Recent efforts to spur the recovery of the tourism industry include the Southern African Association for the Conference Industry (SAACI) and the Johannesburg City Metropolitan Municipality’s goal of forming a partnership for the benefit of the events industry in the city.

The three-year collaboration agreement will focus on creating opportunities for SMEs and young people, stimulating economic growth through business tourism and encouraging collaboration between the public and private sectors. in the tourism industry.

In addition, the South African National Convention Bureau (SANCB) wants to ensure that its nominee support program also leverages the economic benefits of the meetings industry beyond the country’s main metros. So far, he’s identified around 27 small towns to focus on to begin with.

Meanwhile, Cape Town Tourism is offering a 100% free membership package to its ‘classic members’ for the remainder of 2021 in an effort to help fight tourism businesses.

Earlier in May, the government of the Western Cape submitted a request to the national government to introduce a “remote work visa” to allow international visitors to stay longer and work remotely when traveling to Africa. South.

Premier Hotels & Resorts recently acquired land in Umhlanga, KwaZulu-Natal. He is spending 365 million rand on the construction of two hotels in an area on Umhlanga Ridge. The new constructions are a 4-star Premier Hotel Umhlanga and a three-star Premier Splendid Inn Umhlanga, which will include a conference center.

In April, the Southern African hotel group Cresta Hotels opened a hotel in downtown Cape Town for business and leisure travelers in the four-star market. The hotel was originally built as an office building in the late 1970s.


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John McTaggart

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