Forecasting Average Daily Rate (ADR) consumes a lot of time at hotel companies. Data scientists and revenue managers pour over historic trends, business on the books and pace trends. 

Revenue management software crunches through huge volumes of data, no doubt using the latest machine learning algorithms to find an appropriate price to sell their rooms at under various conditions such as lead time, length of stay, segment, room type etc. But then, of course, there is the emotional component. How does the revenue management function ‘feel’ about the weeks and months ahead. Q1 2024 has been bumpy. Occupancy hasn’t always been easy to forecast and with the head winds of sticky inflation and recessionary pressures growing, pricing hotel rooms hasn’t been easy.

This report includes:

• Price indicators for Q2 of 2024.
• Impact of Q1's bad economic news.
• The impact of easing inflation on year-on-year price increases.