RoomRaccoon data reveals summer success for independent hotels in South Africa

April 15, 2024 Lindsay
Home > Press Release > RoomRaccoon data reveals summer success for independent hotels in South Africa
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(Cape Town, South Africa) 15 April 2024 – RoomRaccoon, a leading hotel management system for independent hotels, has released its South African Summer Hospitality Report 2024.  

The report provides a real-time measure of the hotel industry’s performance during the summer travel season (November, December, January, and February) in South Africa and compares the latest data with the summer of 2022/23 to identify the changes in the hospitality sector.

Based on data from over 200 independent hotels, bed and breakfasts, lodges, and guesthouses in South Africa, the report unpacks performance across several key areas, including occupancy, ADR, RevPAR, upsells, distribution and average length of stay. 

RevPAR soared by 11%: From Summer 2023 to 2024, RevPAR spiked from R1340 to R1493, hitting a high of R2197 on December 31, 2023. 

ADR rose by 10%: Capitalising on consistently high occupancy rates averaging 62% in 2022-2023 and 63% in 2023-2024, hoteliers managed to bump up the Average Daily Rate (ADR) by 10% year over year thanks to dynamic pricing strategies. 

Top ancillary revenue generators: Airport shuttles lead the pack, followed by spa treatments, picnic/dining boxes, bottles of MCC/wine, and game drives. Despite inflation, guests are splurging on captivating experiences like never before.

Direct booking initiatives are on the rise: Google Hotels emerged as the second most popular booking channel after Booking.com. This signals hotels’ focus on boosting direct bookings, aiming for independence from traditional OTAs. Notably, direct bookings accounted for over half of all bookings, reaching 58% in the summer of 23/24.

Niels Verspui, the Market Head of RoomRaccoon South Africa, highlights the resilience and adaptability of the hospitality industry in South Africa. “Our report shows that despite challenges such as fluctuating market conditions and evolving consumer preferences, people continue to travel, and hoteliers are embracing innovative strategies to enhance guest experiences and drive revenue growth.”

Niels also highlights the importance for hotels to distribute their rooms on popular OTAs in the BRICS market going forward. “There is an exciting opportunity for hoteliers to capitalise on the predicted influx of tourists from BRICS destinations. By utilizing sales channels such as bed banks and local OTAs, hotels can reach out to these specific segments and increase their visibility on a global level.

To unpack the hospitality industry’s performance and key trends, download RoomRaccoon’s South African Summer Hospitality Report 2024.

About RoomRaccoon

RoomRaccoon is an award-winning Hotel Management System trusted by thousands of independent properties across the globe. RoomRaccoon’s cloud-based platform empowers hoteliers and accommodation providers with a comprehensive range of products and solutions to increase revenue, streamline operations, and enhance the guest experience. And with over 400 integrations, RoomRaccoon is one of the most connected solutions on the market. Founded in 2017 by a hotel owner and tech specialist, RoomRaccoon was awarded the Best Hotel Management System in the World by Hotel Tech Report in 2020 and 2021.

Press release issued by:
Lindsay Krause, Senior Brand Manager
[email protected]

 

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