industry outlook
HVS Takeaways – The Lodging Conference
Luigi Major, MAI | October 11, 2024
By Luigi Major, MAI This week marked another successful and highly attended Lodging Conference. HVS was proud to sponsor and speak at the event. Our recap on the conference sentiment follows. The event was marked by cautious optimism as industry professionals assessed the current state of the U.S. hotel market. With the Federal Reserve lowering interest rates, many believe that the worst effects of rate hikes and inflation are behind us, offering hope for a rebound in hotel transactions after the significant slowdown over the last 18 months. The upcoming election and intensifying geopolitical concerns continue to somewhat balance the r...
September 2024 Hotel Industry Outlook: Anticipating Accelerated Growth
Anne R. Lloyd-Jones | October 4, 2024
After twelve months of declining occupancy and improving ADR from April 2023 through March 2024, the U.S. lodging market appears to have entered a period of relative stability, with changes in both metrics more subdued than in the recent past. However, as with most averages, these aggregate results comprise notable variations among individual markets and lodging segments. The meeting and group segment continues to increase, supported by both improving convention activity and continued growth in corporate group meetings and events. These trends are particularly beneficial to the luxury and upper-upscale segments of the market, as well as in...
Hospitality CEOs on the Industry Today: Transformation, Value, Optimism
Jeanelle Johnson | July 25, 2024
By Jeanelle Johnson The annual NYU International Hospitality Industry Investment Conference, now in its 46th year, offers a deep dive into the current and future state of the hospitality industry. This year, I had the privilege of leading a CEO panel discussion on "Innovative hospitality concepts, new spaces for expansion." I describe innovation in hospitality as the transformation of how the industry creates, delivers and captures value. Drawing from PwC’s 27th Annual Global CEO Survey, I highlighted a few key statistics to kickstart our conversation: 52% of CEOs say their top goal over the next three years is to identify new sour...
What to Expect in the Hospitality Industry in 2024
Mark D. Podgainy | March 4, 2024
By Mark D. Podgainy The hospitality industry experienced a modest increase in RevPAR in 2023, and the industry seems to be optimistic about the future. What’s ahead for 2024? Uncertainty is the major theme. What’s Ahead • Interest rates will be higher for longer. Expectations of a number of rapid cuts to the Federal Funds rate early this year have been dashed with the latest inflation data. Most economists still expect reductions in the Federal Funds rate but have pushed back the time frame for the first reduction to late spring and have reduced their forecasts for the number of reductions. If inflation remains stubbornly high,...
HVS Outlook 2023: Beyond the Recovery
Anne R. Lloyd-Jones | January 23, 2023
By Anne R. Lloyd-Jones, McKenna Luke Despite persistent high inflation, an active Fed, and accelerating recessionary concerns, the lodging industry sustained the strong growth recorded in Q2 and Q3 of 2022 through the balance of the year. Transient demand continued to lead the recovery, surpassing 2019 levels in 19 of the past 21 months. The leisure segment remains a dominant influence, with business demand returning at a slower pace, although increasing levels of “bleisure” demand are blurring the distinction between these two sectors. Group demand rebounded to roughly 80% of 2019 levels; after the initial return of small to medium-si...
Hospitality Students Expect a Positive Industry Outlook for 2023
Linchi Kwok | January 17, 2023
By Linchi Kwok It is time to say goodbye to 2022, a year of healing and recovery from the pandemic. A few of our hospitality students weighed their perspectives on the industry’s 2023 outlook. The student profiles Bianca Louise N. Del Castillo, a second-year master’s student and competed in the STR Student Market Analysis Competition. She worked in hotels and travel agencies before joining the program. Brandon J. Oceguera, a first-year student, working in a country club in Orange County (OC). He worked at the OC Fair for the past five years, with a total of seven years of experience. He loved to cook, eat, and golf. Jordan ...
Consumer Travel Outlook Better in the Short-Term Amid Increasing Cost Pressures, Declining Travel Disruption and Fewer COVID-19 Concerns
STR | December 5, 2022
Via STR’s Market Recovery Monitory through 12 November 2022, a pandemic-era high 52% of global hotel markets achieved real (inflation-adjusted) revenue per available room (RevPAR) above 2019 levels on a 28-day moving basis. In the U.S., 62% of markets exceeded their pre-pandemic comparable during the period. In the face of mounting economic challenges, the war in Ukraine and soaring inflation in many parts of the world, these encouraging results highlight the continued resilient performance of the global hospitality industry. Building on previous research conducted throughout the pandemic, STR canvassed opinion among consumers in No...
Survey: Higher Share of Americans Plan Holiday Hotel Stays, Hotels Top Choice for Leisure Travelers
American Hotel & Lodging Association (AHLA) | November 7, 2022
WASHINGTON (November 7, 2022) – The share of holiday travelers who plan to stay in hotels is up this year, and hotels are the top lodging choice among those certain to travel for leisure in the next three months, according to a new national Hotel Booking Index Survey commissioned by the American Hotel & Lodging Association (AHLA) and conducted by Morning Consult. AHLA’s Hotel Booking Index (HBI) is a new composite score gauging the short-term outlook for the hotel industry. The one-through-ten score is based on a weighted average of survey respondents’ travel likelihood in the next three months (50%), household financial securi...
