STR Weekly Insights: 13-19 April 2025

Analysis by Isaac Collazo, Chris Klauda

All financial figures in U.S. dollar constant currency. 

Highlights

• Holy Week slowed U.S. performance
• Global performance netted healthy gain
• Next week expected to improve, lifted by easy comp to Passover last year

In the week ending 19 April 2025, U.S. revenue per available room (RevPAR) fell 9.3%, with occupancy declining occupancy 5.4 percentage points and average daily rate (ADR) dropping 1.3%. The decrease was expected given that it was the week ahead of Easter and Passover, which resulted in lower travel demand along with a difficult comparison to last year given that Easter was in March and Passover was later in the month.

Holy Week performance generally in line with past Holy Weeks

For comparisons, we use Holy Week, which is commonly used by Christians when describing the seven days before Easter. The RevPAR decline this Holy Week was larger than the 10-year average ending in 2019 (-9.3% vs. -3.5%). However, when compared to 2019 alone, the decline was in line. Last year, the measure was down 6% in the comparable week. 

Demand was down 7.5% year over year, but compared to Holy Week 2024, the decrease was much less (-0.4%). Additionally, room demand was above the 10-year average and higher than in 2023. 

At a property-level, on average, hotels in the U.S. sold 1.5 less rooms this Holy Week than last year. By day of week and compared to Holy Week 2024, shoulder days (Sunday & Thursday) saw the largest demand decreases (-2%) with weekdays (Monday – Wednesday) flat and the weekend up (+0.5%). ADR was basically flat from last Holy Week at 0.2%.

Later Easter helped drive demand in Mid-Atlantic markets

The year-over-year RevPAR declines were similar across the Top 25 Markets and the remaining markets with the Top 25 Markets seeing a slightly larger ADR decrease. On a Holy Week comparison basis, the Top 25 Markets saw demand go backwards (-2.3%) from a year ago, whereas all remaining markets saw it go up (+0.8%). The markets seeing strong growth included Myrtle Beach, Norfolk/Virginia Beach, and the New Jersey Shore. The later Easter, with its warmer weather, likely helped drive stronger demand to those markets. Additionally, 28% of all K-12 students were on Spring Break last week versus only 3% in the year before. Among the Top 25 Markets, Las Vegas accounted for much of the demand loss from Holy Week a year ago. Other markets losing demand included Atlanta, Nashville and Washington, DC. Those seeing stronger, comparable Holy Week metrics included Boston, New York City, and Philadelphia.

Given the large number of students on Spring Break, it was not surprising to see TSA screenings up for the week (+0.6%), the second straight week of gains. As of 19 April, month-to-date screenings were down (-0.8%), but April year to date was up (+0.5%). 

Canadian and Mexican border hotels followed total industry

U.S. hotels near a Canadian border crossing saw demand fall 9.8% year over year with those near a Mexican border crossing dropping 1%. Compared to Holy Week 2024, demand was up in Canadian border hotels (+1.3%) but falling for those near Mexico (-4.9%). ADR and RevPAR on this comparison basis were down across all border hotels.

Holy Week shift responsible for declines across chains scales and group travel 

Except for Luxury hotels (RevPAR: +1.3%), all other chain scales posted RevPAR declines due more to occupancy than ADR. Declines ranged in the low double-digits for all but Economy, which decreased -8.2%. 

Not surprising, Group demand in Luxury and Upper Upscale hotels retreated, down 40.1%, while Transient demand increased 11.5%. Holy Week in 2019 experienced similar shifts with Group demand falling 33.1% and Transient demand rising 14.0%. 

Global performance a mixed bag

RevPAR across the globe increased by double-digits for a third consecutive week, rising 10% entirely on ADR (+11.4%) while occupancy declined (-1ppts). Japan, hosting EXPO, led the charge (+67.9%), and was followed by Mexico (+50%), which is in peak spring season. Also topping the list were Indonesia (+37.9%) with 10 of 12 markets seeing RevPAR gains and France (+25.9%) with nine of 12 markets recording increases, including Paris hosting the Marathon.

On the flip side, Italy, Germany, U.K. and Canada all posted double-digit declines due to event calendar shifts and the Holy Week slowdown. China also saw RevPAR decrease 7.5% on a combination of ADR and occupancy declines. RevPAR had declined in China in 15 of the past 16 weeks, mostly on falling ADR.

Looking ahead

This week’s slowdown was expected, and the week of 21-27 April should improve week over week but remain below last year’s levels due to Easter Sunday. The rest of the week will benefit from an easy comp to Passover week, which occurred last year from 23-30 April 2024. More normal trading conditions, free of holiday shifts, are expected the following week while we will continue to monitor economic, political and consumer trends as they relate to travel across the globe. A cleaner calendar will make impacts from those factors far clearer.