Accommodation Spots’ Occupancy Soar in June While Travel Rebounds in Europe
Tourism is marking its final stages of recovery as AirDNA’s new monthly market review reveals that 7.2 percent more nights were spent in European holiday rentals during the first half of 2022 compared to pre-pandemic levels.
This means that tourism in the 27-nation bloc is doing even better than before the COVID-19 pandemic hit the region. More specifically, decreased supply struggling to recover from the pandemic pushed occupancy to experience highs for the ninth consecutive month, reaching 58.2 percent in June 2022, SchengenVisaInfo.com reports.
Moreover, the average prices began to stabilize, being up by 4.8 percent compared to last June.
However, the recovery varies in some countries more than others, with Croatia being the first one to lead in demand recovery with 132 percent more nights booked than in the previous year. Other countries to follow are Norway and Hungary, with 117 and 97 percent recovery recorded, respectively.
As per countries with the lowest recovery rate recorded (39.4 per cent), Hungary (30.3 per cent) and Ireland (26.8 per cent) are ranked at the bottom of the list.
However, with the euro being down by nearly 12 percent, for the first time in the last two decades, the pressure rates to push higher in order to combat thin margins of profit for property managers.
Average rates across Europe have increased by 4.8 per cent from the corresponding time last year, but these trends across countries vary, with 13 out of those witnessing growth, such as Poland (18 per cent), Denmark (14 per cent) and Czechia ( nine percent). However, Finland and Austria were down by 17.6 per cent and 13.1 per cent, respectively, while Sweden recorded rates 7.8 per cent lower than in the previous year.
Furthermore, different events and celebrations are attracting large numbers of guests, with short-term rentals booked for Bastille Day in France, for example, up by 40 percent over 2019.
The regions with the highest number of guests were as follows:
- Normandy (78.1 percent),
- Hauts-de-France (75.7 per cent)
- Centre-Val de Loire (74.4 per cent)
Nevertheless, the capital region of Ille-de-France is experiencing fewer bookings from 2019, although those have increased by 100 per cent compared to 2021.
Furthermore, July and September bookings were up by ten and eight percent from 2019, which shows that the demand for the second half of 2022 is recovering. As per the third quarter of the year, the rates are also recovering, although not as much as for the summer season – being only one percent above last year.