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ORLA Update - January 30, 2023

1/30/2023

 
Hotel Industry Report Released

[From the desk of Chip Rogers, President & CEO, American Hotel & Lodging Association]

Today, AHLA released its 2023 State of the Hotel Industry report. The report forecasts that the hotel industry in 2023 will surpass pre-pandemic levels of demand, nominal room revenue and state and local tax revenue, while inching closer to other key 2019 performance metrics. It is based on data and analysis from Oxford Economics and was created in collaboration with AHLA Platinum Partners STR, Avendra, Ecolab, Encore, and Oracle.

Top findings of the report include:
  • 2023 nominal room revenue is projected to reach new heights ($197.48 billion vs. $170.35 billion in 2019). While these numbers are not adjusted for inflation, and real revenue recovery will likely take several more years, the trendlines are positive.
  • 2023 room-night demand is projected to surpass pre-pandemic levels (1.3 billion occupied room nights vs. 1.29 billion in 2019).
  • Hotels are expected to generate $46.71 billion in state and local tax revenue in 2023, up from $41.11 billion in 2019.
  • Average hotel occupancy is expected to reach 63.8% in 2023 – just shy of 2019’s 65.9%.
  • Staffing is expected to remain a significant challenge for U.S. hotels in 2023, with hotels projected to employ 2.09 million people in 2023, down from 2.35 million in 2019.

You can view the report here. For more information, visit AHLA.com.

AHLA is the largest hotel association in America, representing more than 30,000 members from all segments of the industry nationwide – including iconic global brands, 80% of all franchised hotels and the 16 largest hotel companies in the U.S. In addition to hoteliers, AHLA membership includes partner state associations, industry vendors and suppliers, hospitality students and those who teach and mentor them. 

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  • ABOUT
    • Contact Us
    • ORLA Board
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    • Staff
    • Industry Facts
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