Budapest Hotel Market Overview
By Balázs Füredi on January 24, 2024
Explore the evolving landscape of Hungary’s hotel and tourism industry with our 2023 hotel market analysis. As a leading hotel consulting firm, we bring you a sneak peek into Hungary’s economic rebound and its impact on the hospitality sector.
Witness Budapest’s remarkable recovery, underlined by recovering foreign direct investments and a reviving hotel market. Uncover key insights into the city’s rising appeal as a tourism destination, bolstered by significant infrastructure developments and a robust increase in luxury hotel brands. From market trends to future projections, our article provides valuable perspectives for industry stakeholders looking to navigate the Hungarian hotel and tourism sector.
- According to the latest YTD statistics published by STR Global, Budapest managed to improve its position among its regional competitors in 2023.
- In 2023, Budapest registered the second-highest ADR and RevPAR after Vienna, the second-highest percentage growth rate in terms of ADR and the third-highest percentage increase in terms of RevPAR year-on-year among other CEE capitals.
- Budapest had a head start in the recovery compared to Prague, its main regional competitor, with approximately half the number of hotel rooms and less exposure to Asian source markets, which are yet to be recovered.
- Budapest is expected to remain one of the leading tourist destinations in the region, reinforced by its safe and value-for-money destination image, maintained even despite the war in the neighbouring Ukraine.