Hospitality: France resists better than its neighbors

French hotels had better financial results than their European competitors in 2021. Pending the definitive impact of Omicron.

TheFrench hotel industry is not doing well, but better than its competitors . She saw her income drop by 27% last year, compared to 2020, or before the Covid-pandemic-19, achieving a better performance than those of its European neighbors, still very affected by the health crisis, according to the report 64 of the hotel industry of the specialized firm MKG.

“For the European hotel industry, the year 2021 was a year of recovery compared to 2020 and France was at the forefront of this recovery, especially in the 2nd semester which brought hope” explains Vanguelis Panayotis, president of MKG.The fall sector revenue was 47,6% in the UK, 51,9% in Greece and 55,1% in Spain. But other countries suffered even more: the hotel industry suffered a decline of 55, 6% in Italy, 63,1% in Germany, 64 .7% in Portugal and even 64, 9% in the Netherlands.

“Indeed the Delta and then Omicron variants raged from December and affected certain European countries, notably Germany where the decline in hotel activity went from -46,9% in November to -51% in December, or even the Kingdom -Uni down to -27% against -12, 6% in November”, comments MKG.

In France on the other hand ” the impact of Omicron was later”, and the sector, carried by the Christmas holidays, “continued to progress in December compared to November”, completes the specialized firm. However “the wave arrives: on the nights of January 6 to 12 202201040091, the drop in revenue per room for the French hotel industry has fallen to -29,9% on average compared to the same period in 2019”.

Variable performance depending on the month

The year 2021 was contrasted in France, with “a first half still very marked by health restrictions then a second in marked improvement, carried by the coastal regions and the province from the summer, and finally a gradual rise in Paris at the very end of the year”, details MKG.

As elsewhere, the performance of the French hotel industry has “varied strongly over the months, depending changes in the health context, national and international”. In addition, budget hotels have proven to be more resilient than the higher ranges, deprived of international customers and trade fairs and congresses.

But “the Omicron variant, which has already impacted the hotel industry in most countries in December, will be a source of questioning for the beginning of the year 2022”, he concludes.