Following a record increase in year over year rates at the close of 2011, January 2012 still managed to achieve a global ADR growth of +7.0%. There really isn’t a better way to start what looks to be a year of strong recovery.
Bookings eased off levels from January 2011, a month that realized robust double-digit margins over 2010 for both GDS and ADS channels. In January 2012, global corporate bookings dropped -1.6% while leisure bookings fell -5.0%. Yet thanks to higher ADR revenue is still healthy and climbing.
“While the data suggests a lull in bookings, rising rates in January were supported by strong demand,” said Mike Kistner, chief executive officer of Pegasus Solutions. “Comparison shopping for leisure travel in January 2012 drove the look-to-book ratio to a new high of 4,500 availability and information requests for every one booking made. In the past, this aggressive shopping has resulted in downward pressure on rates, but we saw rate growth instead.”