Measuring South America's ADR Recovery – STR

During the earliest days of COVID – 19, hotel average daily rate (ADR) in South America was as low as 47.8% below pre – pandemic levels. One year later, rates in the region have improved slightly – April’s 15.7% increase was the first year – over – year positive in the metric since the middle of 2019 – but still remain far from recovery. More specifically, South America’s April 2021 ADR level of US$56.99 was more than US$30 less than the pre – pandemic benchmark from April 2019 (US$89.55).  

Key markets

Key markets in South America have reflected a similar trend as the region overall. In April 2021, rates in Cartagena (+105.4%), Rio de Janeiro (+27.6%), Quito (+12.5%) and Buenos Aires (+11.0%) all increased year over year. Argentina and Brazil currency depreciation against the U.S. dollar is the main reason for increased in ADR in those countries’ markets. That is not the case for Quito, as the U.S. dollar is Ecuador’s currency. Regardless, absolute values for each market were down substantially in comparison with the 2019 benchmark.

For example, Rio’s ADR came in at BRL299.72 in April 2021, BRL234.75 in April 2020 and BRL365.61 in April 2019.

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