Horwath HTL Brazil Director Analyzes the Impact of the 2014 FIFA World Cup in the Hotel Industry
By James Kirk on July 31, 2014
Sao Paulo, July 30th 2014
Horwath HTL Brazil director, Michael Schnurle, was interviewed by the Commerce, Industry and Services Business Journal, from Sao Paulo, regarding the impact that the World Cup had in the Brazilian Hotel Industry both for host cities and the rest of the country.
Michael said: “In the cities where the leisure segment of the hotel demand is more relevant, such as Rio de Janeiro or Fortaleza, the impact in the AOR was positive, while other markets, where the business segment is much more relevant, such as Sao Paulo, the occupancies were lower during the World Cup when compared to the same period (June-July) in previous years.” The negative impact was higher in secondary or tertiary cities, distant from the main (and host) cities. As a result of the development of the World Cup, the overall domestic demand (Brazilian travelling across Brazil) dropped off: the business activity, which sustains the hotel demand in the interior cities, was limited, whereas the leisure domestic demand was also limited because during the World Cup the Brazilians did not travelled for holidays.