Mexico Hotel & Tourism Investment Conference Global Hotel Industry Overview

Transcription

1 Mexico Hotel & Tourism Investment Conference Global Hotel Industry Overview Jeff Higley VP, digital media & communications Thursday, 7 February 2013

2 Click on Hotel Data Presentations (free registration required)

3 Our coverage As of December ,842 hotels 3,748,115 rooms 289 hotels 72,220 rooms 538 hotels 82,333 rooms 7,606 hotels 1,062,986 rooms 449 hotels 116,441 rooms 161 Countries WORLDWIDE 639 hotels 114,058 rooms 3,706 hotels 828,204 rooms 1,017 hotels 134,377 rooms

4 Global Review

5 Global Demand Growth Holds Steady (& ME/A Recovers) Americas AsiaPac Europe ME/Africa *By Continent, Demand % Change, 12 MMA

6 2012 RevPAR ($): Global growth. MEA bounces back. Europe is hurting Americas Europe Asia Pac Middle East / Africa * World Regions, RevPAR % Change in US$, September YTD

7 Mexico and Latin America

8 2012 RevPAR % Change ($): Caribbean Strong. Central Weaker Americas North America Caribbean Central America South America * Americas Regions, RevPAR % Change in US$,

9 Mexico - Key Statistics YTD December 2012 % Change Hotels 3.3 k Room Supply mn 1.2% Room Demand 71.7 mn 4.5% Occupancy 58.4% 3.2% ADR 1, % RevPAR % Room Revenue 98.4 bn 11.3%

10 Mexico demand remains stable Room Supply/Demand Percent Change Twelve Month Moving Average 2005 to December Supply % Chg Demand % Chg Feb % % 1.2% Oct %

11 Mexico ADR still solid Occupancy/ADR ( ) Percent Change Twelve Month Moving Average 2005 to December May Feb Occ % Chg ADR % Chg Oct Apr

12 Mexico RevPAR enjoys upswing RevPAR Rate ( ) Percent Change Twelve Month Moving Average 2005 to December Mar Occ % Chg Apr Mar

13 2012 actual occupancy in key Mexico markets Occupancy Percent December 2012 YTD Yucatan Peninsula N.W. Mexico N.E. Mexico - Monterrey Mexico City Central Mexico

14 2012 occupancy growth in key Mexico markets Occupancy Percent Change December 2012 YTD Yucatan Peninsula N.W. Mexico N.E. Mexico - Monterrey Mexico City 0.6 Central Mexico

15 2012 actual ADR in key Mexico markets Average Daily Rate ( ) December 2012 YTD , ,550 1, , Yucatan Peninsula N.W. Mexico N.E. Mexico - Monterrey Mexico City Central Mexico

16 2012 ADR growth in key Mexico markets Average Daily Rate ( ) Percent Change December 2012 YTD Yucatan Peninsula N.W. Mexico N.E. Mexico - Monterrey Mexico City Central Mexico

17 2012 actual RevPAR in key Mexico markets RevPAR ( ) December 2012 YTD ,005 1,058 1, Yucatan Peninsula N.W. Mexico N.E. Mexico - Monterrey Mexico City Central Mexico

18 2012 RevPAR growth in key Mexico markets RevPAR ( ) Percent Change December 2012 YTD Yucatan Peninsula N.W. Mexico N.E. Mexico - Monterrey Mexico City Central Mexico

19 Mexico resorts outpace urban hotels in 2012 Key Performance Indicators Percent Change December 2012 YTD 10 8 Urban Resort Supply Demand Occupancy ADR RevPAR -4.8

20 Mexico occupancy outpaces several other high profile markets Occupancy Percent Change December 2012 YTD Mexico Brazil China India Russia Central America -4.7 Caribbean

21 Mexico ADR growth among the leaders ADR (Local Currency) Percent Change December 2012 YTD Mexico Brazil China India Russia Central America ($) Caribbean ($)

22 Mexico RevPAR growth close to top vs. select markets RevPAR (Local Currency) Percent Change December 2012 YTD Mexico Brazil China India Russia Central America ($) Caribbean ($)

23 Upper Midscale and Midscale Mexico vs. United States RevPAR Percent Change Twelve Month Moving Average 2005 to December Mexico US Jan Jun Dec Sep

24 Latin America: How Will ADR Grow in 2013? Occupancy ADR ($) *Latin America, Occupancy / ADR ($) % Change,

25 Latin America RevPAR ($): A Great Run! *Latin America, RevPAR ($)% Change,

26 Demand Growth Holds Steady (Except For Brazil) 20 Panama Brazil Mexico Peru Colombia *By Country, Demand % Change, 12 MMA

27 Supply Growth Explodes In Panama 25 Panama Brazil Mexico Peru Colombia *By Country, Supply % Change, 12 MMA

28 Local Currency ADR % Change: Wide Variances; Brazil Steady Panama (Balboas) Brazil (Real) Mexico (Peso) Peru (Sol) Colombia (Peso) *By Country, Local ADR % Change, 12 MMA

29 RevPAR % Change (Local Currency): Mixed results Panama Brazil Mexico Peru Colombia * Select Countries, RevPAR % Change in Local Currency,

30 Year End ADR (local currency) Vs. Inflation: Results Are Worse! Inflation Rate % 2012 ADR % Change -8.8 Panama Brazil Mexico Peru Colombia *Select Countries, ADR % Change, local currency, 2012 Inflation Rate Source:

31 Under Construction Pipeline: Latin / South America is Very Attractive To Developers ,215 5,171 4,941 4,241 3,799 3,466 2,8372,807 2,837 2,363 2,468 2,448 1,638 1, Brazil Colombia Panama Peru Mexico * Select Countries, Rooms Under Construction, November 2012

32 Latin America Selected Markets

33 November YTD Occupancy %: Selling Over 6 of 10 Rooms (Except PC) Buenos Aires Mexico City Panama City Rio de Janeiro Lima Sao Paulo Bogota * Select Markets, OCC %, 2012

34 2012 ADR ($): Healthy ADRs Across The Board $219 $146 $125 $119 $146 $138 $156 Buenos Aires Mexico City Panama City Rio de Janeiro Lima Sao Paulo Bogota * Select Markets, ADR ($), 2012

35 2012 ADR % Change: Mixed Results In Local Currency ADR US$ ADR Local Buenos Aires Mexico City Panama City Rio de Janeiro Lima Sao Paulo Bogota * Select Markets, ADR US$ and Local Currency % Change, 2012

36 A quick U.S. overview

37 Demand Growth Strong. RevPAR Driven by ADR. % Change Room Supply* 1.8 bn 0.5% Room Demand* 1.1 bn 3.0% Occupancy 61.4% 2.5% A.D.R. $ % RevPAR $65 6.8% Room Revenue* $115 bn 7.3% Full year 2012, Total US Results * All Time High 37

38 Scales: Strong Demand Growth, Supply Not An Issue Supply Demand Luxury Upper Upscale Upscale Upper Midscale** Midscale** Economy *Supply / Demand % Change, by Scale, 2012 **Upper Mid / Midscale: Same Store Basis to Account for Best Western Reclassification 38

39 ADR Growth > OCC Growth Occupancy ADR Luxury Upper Upscale Upscale Upper Midscale** Midscale** Economy *OCC / ADR % Change, by Scale, 2012 **Upper Mid / Midscale: Same Store Basis to Account for Best Western Reclassification 39

40 RevPAR Slowly Catches Up To Prior Record Highs $213 $ $113 $112 $84 $84 $62 $62 $44 $41 $31 $29 Luxury Upper Upscale Upscale Upper Midscale** Midscale** Economy *RevPAR $, by Scale, 2007 & 2012 **Upper Mid / Midscale: Same Store Basis to Account for Best Western Reclassification 40

41 Group Demand Never Recovered After Downturn 19.0% +30 mm rooms -3 mm rooms -2.7% Transient Group *Segmentation Demand % Change, 2012 (vs. 2007) 41

42 US Pipeline: Construction Accelerates Phase YE 2012 YE 2011 % Change In Construction % Final Planning % Planning % Active Pipeline % Pre-Planning % Total % *Total US Pipeline, by Phase, 000s Rooms, 2012 and

43 Under Construction Rooms Mostly in Mid Segments Luxury Upper Upscale Upscale Upper Midscale Midscale Economy Unaffiliated *US Pipeline, Rooms Under Construction, 000s Rooms, by Scale, YE

44 How we see it shaping up Key Performance Indicator Outlook (% Change vs. Prior Year) Outlook 2013 Forecast 2014 Forecast Supply 1.0% 1.5% Demand 1.8% 2.8% Occupancy 0.8% 1.3% ADR 4.9% 4.6% RevPAR 5.7% 6.0% 44

45 Click on Hotel Data Presentations (free registration required) 45