Hotel, Tourism & Leisure Market Update
November 2024
Welcome to the latest edition of our Hotel, Tourism & Leisure market update, where we take a look at the wider tourism sector and provide hotel commentary, sectoral updates and noteworthy news.
In this edition (pdf), we share a selection of our key industry developments and insights, including Ireland’s hotel performance, transactions, tourism trends, and the latest updates on hotel supply.
Key insights in this update
Resilience and revenue stability in 2024
Ireland’s hotel sector remained resilient during the first nine months of 2024, with performance stabilising compared to the same period last year. Despite a slight decline in national occupancy (-1%), increased average daily rates (ADR +2%) kept RevPAR steady at €119.50.
Ireland's tourism sector thrives with higher spend despite shorter stays
Q3 2024 saw a 2.3% increase in international visitors to Ireland, bringing total arrivals to approximately 2m. Visitor spending increased by nearly 10% year-on-year, reaching just under €3bn for the quarter, despite a shorter average length of stay (eight nights compared to nine in 2023). The tourism sector continues to navigate challenges, including rising operational costs.
Many rooms in planning, but challenges loom for growth plans
Ireland’s hotel development pipeline continues to expand, with approximately 10,000 new rooms in the planning pipeline. However, rising construction costs and limited access to capital may delay or reduce project completions, with fewer than 30% of these rooms expected to materialise.
Exploring the future of the UK & Ireland hospitality sector
In October, we attended the Annual Hospitality Conference (AHC) in Manchester, where industry leaders gathered to explore emerging trends and challenges in the UK&I hospitality sector. As sponsors of the conference, one of our consultants led a panel discussion on the evolving relationship between the residential and hospitality sectors, with insights from industry experts on how these developments are shaping the market's future.
Register your interest: 2024 Crowe Ireland Annual Industry Survey
Contact us today to pre-order your own copy of Crowe Ireland's Annual Hotel Industry Survey 2024.
