Press and Media

FOR IMMEDIATE RELEASE

Hotel Industry Forecast Shows Optimism for 2024 and Beyond

Calabasas, California– March 1, 2024- The latest forecasts for the hotel industry, according to a new report by Smith Travel Research (STR), a leading hospitality analytics firm, are positive, with experts citing several factors that point towards a strong travel economy in the coming years, especially in the vacation space.

Key indicators include:

• Rising employment levels of college-educated professionals.
• An increase in the number of households with incomes exceeding $100,000 – a group known for prioritizing travel spending.
• Projected growth in corporate profits, which bodes well for business travel spending.
• Anticipated growth in average daily rates (ADR) that is expected to outpace inflation.
• The continued strength of loyalty programs in driving bookings.

“We are optimistic about the future of the vacation industry,” said Jak Severson, CEO of The Experience Resorts, which specializes in event-driven all-inclusive resorts. “The factors outlined in this report indicate a strong travel demand. The trends have been strongly up for more than two years coming out of COVID and rate increases throughout the Caribbean are increasing at a pace not seen in decades.”

The report also highlights some interesting trends:

• On-demand segments are leading the recovery, with the corporate transient segment showing promise as employees return to offices.
• Convention bookings are also looking encouraging for 2024.
• While international travel has seen significant growth, domestic leisure demand may face challenges due to cautious consumer behavior.

Contact:

Karmina Berman: [email protected]