Europe room rates up 5% in Q1 06

Active Hotels has carried out an extensive survey on room rates per country, in conjunction with its sister company Bookings. Based on hotel reservations processed through both sites (www.bookings.net and www.activehotels.com), this survey highlights key trends in room rates booked online in six major European countries (France, Germany, Italy, Netherlands, Spain and United Kingdom).

Hotel room rates are on the rise in all six European countries. On average, room rates were up 5% to reach 96 euros (£66)* in 1st quarter 2006 compared to the same quarter last year. Germany and the Netherlands achieved the highest growth at nearly 9%, while France increased 8% and Spain and Italy 7%. UK room rates remained fairly constant with a growth rate of only 0.4%.

The average room rates per country show significant disparity between European countries. Italy has the highest average room rate at 118 euros (£81), followed by the Netherlands at 100 euros (£69) and the UK at 98 euros (£68). Germany increased its average room night to 95 euros (£66) and Spain to 89 euros (£61). France lags behind at 77 euros (£53) due partly to its large budget hotel sector.

Gillian Tans, Director of Supply at Bookings, says: Ç This survey confirms the fact that hoteliers across Europe are seeing a healthy recovery in their room rates. The Internet has become a powerful and profitable channel for hotels, especially with a supplier-friendly agency model such as ours where hotels remain fully in charge of their pricing strategy. È
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