Two-year LFL hotel revenues up 75%, Profitroom finds

UK hotels have reportedly seen a 75% rise in like-for-like revenues thus far in 2021, when compared with 2019 levels.

Compiled by Profitroom, a specialist direct booking software provider, the data comes from the analysis of bookings at over 100 UK hotels from 1 January to 19 May.

While Samantha Williams, director of business development at Profitroom, recognised that the volume of bookings for 2021 is “greatly reduced” due to Covid-19 restrictions, she claimed that hoteliers can take “enormous confidence from the fact that like-for-like revenues are up”.

She said: “Since the pandemic started, with hotels off limits for long periods, we’ve seen people looking to spend more per booking. Although you could assume it’s a short-term trend driven by people simply looking to do more following weeks of lockdown, we don’t believe this is the case. 

“We’re seeing longer term trends that indicate people require more and expect more from a hotel stay and are simply willing to pay more to get that – something that’s good news for hoteliers looking to maximise revenues.”

The data also found an increase in the proportion of bookings placed as “packages” when compared to pre-pandemic figures.

Those hotel bookings including more than a simple bed and breakfast deal climbed from 23% of all bookings in 2019 to 32% in 2021.

Williams added: “Our data suggests that hotels benefit most by offering a range of packages to choose from, with the optimum number being between five and seven according to our analysis. 

“The more diverse the better, as it allows you to appeal to a broader share of the consumer market.”