SHERIDAN, WYOMING – March 7, 2025- In an impressive display of growth and resilience, a&o Hostels, a leading European hostel chain, announced its most successful year to date in its 2024 annual performance review. With a significant increase in guest numbers, revenue, and the addition of new locations, a&o Hostels continues to set the standard for budget-friendly accommodation across Europe.
Record-Breaking Performance
The year 2024 saw a&o Hostels reaching new heights with 6.2 million overnight stays, a slight increase from the previous year's 6.1 million. The number of guests hosted rose to 2.8 million from 2.7 million in 2023, and the revenue surged to £192.7 million, up from £179.9 million the previous year. These figures underscore a steadfast increase in the hostel's popularity and financial success, with an average occupancy rate of 76.6% across its properties.
Expansion and New Openings
Amidst its growth trajectory, a&o expanded its footprint by opening new hostels in Brighton, Antwerp, and Brussels. A notable addition in 2024 was the a&o Firenze Campo di Marte in Florence, launched in February. Oliver Winter, the CEO and founder of a&o, expressed enthusiasm about the expansion, stating, "2024 represented steady growth and has surpassed the record results of 2023 to make this the best performance in our history. As we celebrate our 25th anniversary in 2025, a&o has entered the year strongly and confidently and we remain really well placed to create and deliver long-term sustainable growth."
Trends and Digital Engagement
Group travelers remained the largest customer segment, making up 38% of total guests. a&o's digital strategy paid off with a rise in direct bookings, now accounting for 40% of all bookings, facilitated by enhancements to the company's website. The a&o mobile app saw a significant uptick in use, reflecting the shift towards mobile platforms with 70% of online bookings made via smartphones.
Sustainability and Corporate Responsibility
A cornerstone of a&o's ethos is its commitment to sustainability, achieving a 78% reduction in carbon emissions per overnight stay over the past decade. The company continues to innovate in environmental and social practices, focusing on using green electricity, reducing food waste, and enhancing supply chain efficiencies. "We are focusing on internal sustainability efforts rather than outsourced compensation measures," commented Winter on the hostel's approach to environmental stewardship.
Conclusion
As a&o Hostels moves forward, it remains dedicated to expanding its services and maintaining its commitment to affordability, quality, and sustainability. With plans for new properties in major European cities like Heidelberg, a&o is poised for continued success and influence in the hospitality industry. As it marks its 25th year, a&o Hostels not only celebrates past achievements but also looks to the future with optimism and well-defined goals.