Worldwide: Serviced apartment provider SilverDoor has released a market update report which reveals that travel and relocation managers are sharpening their focus on sustainability.
Cost management remains a top priority, however the sustainability credentials of properties and access to transparent data is becoming more important for travel managers.
Stephen Homsey, regional head Americas, SilverDoor, said: “There is a significant shift towards sustainability and DEI. What will be interesting and valuable to watch is how carbon emissions and DEI also increase their prominence on the balance sheet when it comes to planning and booking accommodation. Indications suggest they will grow – it remains to be seen by how much as wider market conditions still demand a focus on cost.
“The challenges of inflation, interest rates and uncertainty are still making their presence felt as cost continues to hold its position as the determining factor when planning and booking accommodation. Bookers and buyers are retaining a keen focus on pricing and value for money. To account for this heightened price sensitivity, providers have responded by adjusting rates throughout the last quarter and we expect this will remain a necessity towards the end of this year and into 2024,” he added.
Across Americas and Canada, rates are largely stable with cities such as Toronto seeing a six per cent rise for July to September.
In Europe, rates have remained high in Amsterdam and Paris – particularly the latter whereby increased demand ahead of the Olympics next year is driving up rates.
Across EMEA, lead times for Q3 have also seen a 21.5 per cent increase (equivalent to six days, up to 33) compared to the same period in 2022.
Over in APAC however, rates have steadily declined with Tokyo and Hong Kong seeing rates fall by 26 per cent and 19 per cent respectively. An expected drop in flight prices for China would indicate a rise in demand and therefore rates into the new year.
The full SilverDoor Marker Update is available to read here.
