As Pegasus Solutions Reports a Positive Close to the Third Quarter,
Data Shows Hurricane Sandy’s Impact on Hotel Performance in New York and New Jersey
DALLAS (November 7, 2012) - Data released today by Pegasus Solutions shows the third quarter was generally positive for business and leisure travel hotel bookings and rates. The first quarterly issue of The Pegasus View also includes a timely view of the impact of Hurricane Sandy on New York City and Atlantic City.
Globally, business bookings that rallied during July and August, coming within +3% of prior year, returned to pre-summer levels at -7.8% lower than 2011. Rates, however, were more stable, easing to just -1.5% lower than last year, and realizing 0.4% growth year-to-date. Leisure travel growth slowed at the end of the quarter, but still rose by +2.6% over prior year during an off-peak travel period. The average daily rates (ADR) paid globally also grew by +2.2%.
“We were prepared to issue a positive statement about global travel performance for the third quarter,” said David Millili, chief executive officer of Pegasus Solutions. “However, the tragedy of Hurricane Sandy in the states I both live and work in changed that narrative last week. A mix of cancellations and drops in reservations reminds us not just of the impact this is having on businesses in the areas affected, but also of so many individuals who have been displaced.”
In New York City, reservations fell by -61% from prior year for arrivals October 30 after the storm made landfall. The next day’s bookings were also -50% below last year, where they remained depressed by at least -25% through November 3. Cancellations increased by triple-digit percentages over 2011 for stays October 28 through November 1. Booking declines leveled off after the 11th, aided by crews and residents seeking hotels for temporary housing.
Atlantic City, with a higher mix of leisure visitors, saw reservations plummet by almost -70% from last year, with decreases as high as -60% through November 3. The dramatic cancellations for this area reached as high as +2800% over last year on November 3, registering in the triple digits on several other days. Substantial decreases eased after November 6, with evidence of sporadic boosts and declines through November.
Data reported by Pegasus Solutions comes from billions of transactions processed monthly for nearly 100,000 hotels, facilitating more than $16 billion a year. The Pegasus View, now produced quarterly, is the only industry report to reflect data drawn from both GDS and ADS transactions, representing the business and leisure markets respectively. Pegasus’ recently introduced PegasusView Market Performancebusiness intelligence is a monthly reporting product augmenting the global data provided quarterly in The Pegasus View.
Pegasus Solutions is the world’s lead provider of technology and services to hotels and travel distributors, serving nearly 100,000 hotels around the globe, and the majority of the world’s travel agencies. Offering award-winning solutions for booking, distribution, and commission processing services, Pegasus also offers a full array of strategic online marketing solutions and accommodation booking options through its Open Hospitality division. The company also delivers hotel marketing representation services, and powers the niche consumer website www.hotelbook.com™, which is dedicated to promoting independent and boutique hotels worldwide.Through its widely followed quarterly data report The Pegasus View, Pegasus is also recognized as the only hospitality company to report regularly on both business and leisure bookings, for which it was awarded a Stevie Award in 2011.
Pegasus has 22 offices in 12 countries, including regional hubs in Dallas, Frankfurt, London, Madrid, New York, Sao Paulo, Singapore and Scottsdale, Arizona. For more information, please visit www.pegs.com or www.openhospitality.com.