US Hospitality Market Trends

Statistics for the 2023 & 2024 US Hospitality market trends, created by Mordor Intelligence™ Industry Reports. US Hospitality trend report includes a market forecast to 2029 and historical overview. Get a sample of this industry trends analysis as a free report PDF download.

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Team License

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Corporate License

$8750

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Market Trends of US Hospitality Industry

US Hotel Occupancy Soars, Fueled by Diverse Factors and Economic Uptick

Multiple factors, such as business and leisure travel, events, and conventions, propelled the demand for hotel occupancy in the United States. Economic conditions, consumer confidence, and evolving travel patterns further influenced hotel occupancy growth. Following a strong performance in the previous year, the US hotel sector continued its upward trajectory this year. After several consecutive years of rising occupancy rates, many markets achieved record highs. Currently, the sector outperformed its performance in the previous year.

While weekday demand has shown improvement, leisure travel remains the primary catalyst for the industry's resurgence. New York, Las Vegas, Orlando, Los Angeles, Miami, and San Francisco stand out for their vibrant hotel markets. Higher occupancy rates often translate into increased revenue for hotels. As rooms fill, hotels can generate more income through room rates, additional services, and amenities. This revenue surge bolsters the hospitality market's overall growth and profitability.

United States Hospitality Industry : Occupancy Rate of the Hotel Industry in the United States, in %, 2018-2023

US Hospitality Market Thrives on International Travelers' Surge

International travelers are pivotal in propelling the US hospitality market. Their presence fuels demand across various lodging options, spanning hotels, resorts, vacation rentals, and more. These travelers, whether for leisure or business, actively book accommodations, bolstering occupancy rates and revenue for the hospitality sector. Data from the UNWTO World Tourism Barometer reveals a significant surge in foreign visitor visits this year, a nearly fourfold increase from January to July (+172% YoY). This surge has propelled the industry close to its pre-pandemic levels, primarily attributed to a robust international travel demand and the ease of travel restrictions.

The tourism sector, a critical economic expansion and employment factor, has consistently grown and diversified over the past decades. It is now one of the world's largest and fastest-growing economic sectors. The US bolsters its global appeal as a premier travel destination by attracting international travelers. Positive experiences and word-of-mouth endorsements from these visitors further solidify the US's allure, paving the way for sustained growth in the hospitality industry.

US Hospitality Market: Inbound International Visitors to the United States, in Millions, 2019-2023

US Hospitality Industry Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)