The U.S. hotel industry ended 2009 with the lowest room
revenue since 2004 and the biggest drop in revenue per available room since the
data has been tracked, according to the annual Hotel Operating Statistics study
from Smith Travel Research.
Room revenue was $92.4 billion, compared with $85.2 billion
in 2004, and a 14.2 percent decline from 2008, the study showed. Total revenue
for the industry declined $13.4 billion, to $127.2 billion.
Gross operational profit fell from 38.2 percent to 34
percent.
Each of the three key performance metrics (occupancy,
average daily rate and revenue per available room) reported decreases during
every month of 2009. RevPAR fell 16.7 percent to $53.53, the worst decline
recorded since STR started tracking the industry in 1987.
"It is clear that 2009 was a devastating year for the
hotel industry," said Mark Lomanno, STR's president. "The data
indicates that properties throughout the country suffered severe setbacks
because of the foundering global economy. The decline in gross operational
profit was a tremendous burden for hotel owners and operators everywhere.
"Although the worst appears to be behind us, there is
still a long way to go before the industry completely recovers from the effects
of what amounts to the worst year for hotel performance in memory."