An Olympic year, an atypical year. This is how InExtenso sums up hotel activity in France 2024, marked by accommodation sales close to those recorded the previous year. With the occupancy rate down 1 pt to 64%, and average prices continuing to rise - up 2% to €127 - revenue per room rose by 1%. Paris hotels played a key role in the overall result, setting the tone for the year as a whole. roller coaster between the peak of the Olympic Games and the lows surrounding the period. All in all, the capital ended the year on a mixed note, with revenue per room (RevPAR) down 1%.
Buoyed by a record July and August, with RevPAR growth of +25%, the +33% rise in average prices offsetting a -6 pts decline in occupancy, the hotel industry in Paris, as in the whole of the Paris Region, enjoyed a big air pocket in June (-26%), the effect of the Olympic Games, particularly for professionals, combined with the absence of the boost in attendance offered in odd-numbered years by the Airshow at Le Bourget.
At the same time, the September-October season, while not disappointing in terms of visitor numbers (+2 pts), did not accelerate prices in the same way as the arrival of the rugby world cup in 2023. This observation is shared by all the cities hosting the matches, from Lille to Marseille, via Bordeaux and Lyon.
This may partly explain why the major provincial towns have also seen different fortunes last year, with RevPAR growth of +5% in Lille and Nice, symbolising a good year for the Côte d'Azur hotel industry, and +4% in Nancy and Strasbourg. By contrast, hotels in Bordeaux, Lyon and Toulouse saw their accommodation sales fall by 4% last year.
Analysis by segment shows good performance by the luxury and top-of-the-range hotel sectorRevPAR was up 5%, driven by both prices (+3%) and occupancy (+2 pts), while the mid-range segment remained relatively stable (+1%). However, InExtenso's study of the results shows that a decline for economic categoriesIn the super-economy segment, however, there has been a decline in hotel occupancy, mainly due to the economic climate. But also, in the super-economy segment, a decline in the attractiveness of establishments, with InExtenso referring to "the need to renew the entry-level portfolio, by offering products better adapted to changing demand".
A sluggish economy, reduced business spending, tighter budgets for seminars, geopolitical tensions: a number of factors could have a negative impact on business in 2025. However, the outlook for the hotel industry will also be favourable, with the expected positive impact of the Olympic Games and rising international demand, the return of congresses and trade fairs, and the hosting of major events such as Airshow in Paris and SIRHA in Lyon. All in all, InExtenso forecasts RevPAR growth of +4% in Paris and +2% on the Côte d'Azur for the current year, when it should be included between 1% and 2% in the provinces.
