As Turkish hospitality industry was enjoying top positions in Europe both in occupation and daily rates two year ago, today it is completely opposite. Turkish Hotels Association – TUROB announced that two Turkish cities; Istanbul and Antalya are the biggest losers in number of tourists according to the Country Performance Report – October 2016 in Europe.
As a result of the drops in Istanbul and Antalya, Turkish hospitality industry hit the bottom. According to STR Turkey Hotel results, hotel occupancy rate in October 2016 dropped 14% compare to same month last year and recorded as 52.2%. Turkey’s hotel occupancy rates in October 2015 and 2014 were 60.7% and 63.8% respectively.
In the first 10 months of 2016, occupancy rates dropped 20.8% and recorded as 50.4% which makes Turkey the country with the lowest occupancy rate in all Europe. The figures in 2015 and 2014 were 63.7% and 62.7% respectively.
Turkish hospitality industry also reported the largest drop in Revenue Per Available Room (RevPAR) in Europe, dropped 41.9%.
TUROB Chairman Timur Bayındır said, “In these days there are many closed hotels and many hardly continue to operate by laying off workers. This year, hotels are operating with 30% occupancy rate; that means a complete loss. Many hotels couldn’t pay its rent and employee wages. There are hotel owners who sold their house to pay the bills. There is a minimum 40% loss in staff.
Bayındır stated that Istanbul is a starting point of tourists. Tourists come to Istanbul and continue to another destination. If Istanbul is not working properly, Cappadocia’s chance of work is zero. Unfortunately, the situation in Istanbul is fatal in terms of tourism; not only because of foreign tourists; have local travelers also stopped traveling. Some Istanbul hotels may take a break and close hotels for some time this winter season as it will happen in Antalya.
Istanbul hotels’ ADR (Average Daily Rate) reported 85.5€, represent a drop of 29.6% from October 2015. In Oct. 2015 Istanbul’s ADR was 121.4€ and 152.5€ in 2014.
Istanbul hotels’ RevPAR dropped 42.9% and reported as 44.7€. In Oct. 2015 it was 78.2€ and 103.1€ in 2014.
In Jan-Oct.16 period, Istanbul’s occupancy rate recorded 49.1%. It was 67.2% in 2015, and 65.8% in 2014. Istanbul hotels’ ADR in the first 10 months of 2016 recorded 93.3€. It was 124.1€ last year and 138.2€ in 2014. Istanbul hotels’ RevPAR in this term recorded 45.8€ in 2016, 83.4€ in 2015, and 90.9€ in 2014.
Antalya hotels’ occupancy rate dropped 12.6% to 50.6%. It was 57.9% in Oct. 2015 and 59.1% in Oct. 2014.
Antalya hotels’ ADR (Average Daily Rate) reported 62.5€ in 2016, a drop of 29.5%.
In Oct. 2015, it was 88.6€, in Oct. 2014 – 90.5€.
Antalya hotels’ RevPAR reported 38.4% drop in 2016 and recorded 31.6€. It was 51.3€ in 2015, and 53.5€ in 2016.
In Jan.-Oct. 16 period, occupancy reported 53.6%. It was 61.7% last year and 61.9% in 2014.
In the same period, ADR recorded 83.0€ in 2016, 75.6€ in 2015, and 60.8€ in 2014. Antalya hotels’ RevPar in the first 10 months of 2016, reported as 44.4€.
