Tourism assets are seeing a resurgence with a string of big-name artists, including Taylor Swift, and high-profile sporting events helping boost room rates across the country.
According to Ray White Head of Research, Vanessa Rader, the price of hotel rooms increase as much as 300 per cent when big entertainment events come to town.
She said last year the FIFA Women’s World Cup, UFC and Formula One drew record fan numbers, while this year, Taylor Swift is seeing unprecedented demand for tickets and accommodation.
“Last year, concerts such as Harry Styles, Ed Sheeran, Paul McCartney and Coldplay saw hotel rates soar, and this year, Swiftie fever has taken over, setting new benchmarks for hotel rates,” Ms Rader said.
“With fans travelling internationally and interstate to see the pop princess, rooms across Sydney for the weekend have skyrocketed as much as 300 per cent compared to the average Sydney room rate achieved last February of $287 per night.”
Ms Rader said locations closer to the action, around Olympic Park, have the double whammy of Blink 182 on the same weekend.
It means there are few vacancies for multi-night stays, which has resulted in room rate highs, with those that are available commanding prices of more than $1500 per night.
Ms Rader said Swift’s visit to Melbourne also tied in with Valentines day, making it a profitable season for hoteliers in that city as well.
She said occupancy rates in the CBD were near capacity and those that are available were dictating prices of $900 per night and above, which is a far cry from the $220 per night average recorded last February.
“Melbourne, which is no stranger to an increase in international room night demand, is coming off the back of the Australian Open season, which saw January room rates jump also,” Ms Rader said.
She said Brisbane, Adelaide and Perth have also got their share of tourist numbers with major events like WWE and P!nk in hot demand this month and next, likely to further stimulate the local economy and hotel sector.
“Quality stadium facilities across the states are resulting in greater uptake of travelling artists and major sporting events to these locations,” Ms Rader said.
According to Ms Rader, surging hotel prices have been felt across the world, wth the hotel sector given a much appreciated uplift after pandemic restrictions saw many shut their doors.
“While tourism activity has rebounded post COVID-19, with increased flight routes and room occupancy, major events continue to drive up prices internationally,” she said.
“This week’s NFL’s Super Bowl is another example, stimulating the Las Vegas economy and growing room rates to more than 2.5 times their usual rate, and 40 per cent greater than last year’s average room rates achieved at Arizona’s Super Bowl.
“Other major international events such as the inaugural F1 race in Las Vegas late last year have also buoyed tourism spending, occupancy, and average daily room rates by as much as 400 per cent.
“If you are looking for a room during the Paris Olympics this year, prices have more than tripled for the opening ceremony, and with 15.3 million visitors expected, competition to secure the 134,000 hotel rooms in Greater Paris will see these rates continue to climb.”
