According to data compiled by STR, a hospitality analytics firm, the average daily rate (ADR) for hotels in Japan stood at ¥18,512 (approximately USD 117) in June, up 2.1% year on year.
Despite the decline in visitors from China, demand remained resilient thanks to longer stays among travelers from Europe, the United States and Australia, helping to push hotel room rates higher.
In Osaka Prefecture, however, ADR fell 18.8% year on year to ¥17,299 (approximately USD 109). Osaka has traditionally attracted large numbers of Chinese tourists, but demand weakened following China’s advisory urging caution on travel to Japan, contributing to the drop in room rates.
Compared with the cherry blossom, autumn foliage and ski seasons, summer offers fewer factors that stimulate inbound travel demand. “Since summer is traditionally driven more by domestic travel demand, room rates tend to grow more slowly than in other seasons,” said Shiori Sakurai, STR’s Japan market head.
Data from the Japan National Tourism Organization (JNTO) showed that the number of visitors from China to Japan fell 57.3% year on year in June to 340,700, although the decline narrowed slightly from a 60.4% drop in May. Some analysts believe there is limited room for Osaka’s hotel room rates to decline further.
