Air Berlin bankruptcy hits Berlin hotel industry hard

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Air Berlin bankruptcy hits Berlin hotel industry hard

December 8, 2017, In Press releases

Unexpected declining revenues due to slump in passenger numbers

Berlin, 08. December 2017: Berlin hotel revenues for November 2017 decreased significantly compared to the previous year. Current figures from the Fairmas Benchmarking prove the negative impact of the discontinued flight operations of Air Berlin on the capital’s hotel industry.

 

The occupancy of Berlin hotels declined by 4.2% compared to the same month last year. The capital’s five-star deluxe hotels were hit the hardest by the downturn with minus 6.9%. At the same time, the preliminary report by Flughafen Berlin Brandenburg GmbH (FBB) as of 05.12.2017 shows a dramatic decline in the number of passengers in November. In Tegel airport alone, 156,287 fewer passengers were recorded compared to last year, corresponding to a decline of 21.1%.

 

“Nobody expected such cuts in the hotel industry”, comments Niels Schröder, Managing Director of Fairmas GmbH, referring to the figures. “The November on-the-books reservations in Berlin were previously rated as consistently good.” Many tourists cited they have refrained from traveling to the capital because of the reduced flight connections, and this is the major reason for the negative performance of the Berlin hotel industry in November 2017.

 

The Fairmas Benchmarking collects daily comparison data from over 1,450 hotels nationwide – 229 of them in Berlin. Based on this, day-specific occupancy figures, occupancy, room rates, revenue and other hotel figures are determined – differentiated according to locations and hotel categories.

 

In conclusion, Berlin hotels November 2017 performance has been surprisingly weak compared to 2016 with an average hotel occupancy of just 78%. The fact that a decline in demand is usually accompanied by a price reduction in hotel room rates also aggravates the economic results of the hotels further. December has also started comparatively weak, as shown by the decline in occupancy by -4.6%.