The South African hotel industry announced solid profits in May 2025, indicating a continued recovery and increased demand nationwide. According to the latest STR data, the national occupancy rate rose to 59.5%, up 6.9% from the previous year. The average daily rate (ADR) rose 8.5% to ZAR 1,747.04, with revenue per available room increase by 16.0%, reaching ZAR 1,039.81. The hotel also reported a 16.0% increase in total room revenue. Performance around 2019 showed even more stability, with occupancy rates increasing by 1.7% and ADRs increased by 9.8%.
The four-star hotel led the performance, with revpars rising 22.2% nationwide, driven by strong demand from both leisure and business travelers. Regionally, Cape Town and Gauteng remained key factors in the growth of the hotel. Cape Town's RevPAR increased by 15.6%, while Gauteng reported a 16.0% increase, supported by solid business travel. Secondary areas such as free state and Limpopo also showed rapid RevPar benefits of 37.0% and 23.6%, respectively. These numbers highlight the growing momentum in South Africa's tourism recovery, with both flagship and new destinations contributing to the resilience of the wider sector.
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Source: Tourism News Africa
