Global Hotels and Resorts Industry Market Research Report from IBISWorld has Been Updated
After years of revenue decreases as both consumers and businesses became more concerned about their finances and cut back on luxuries, which included travel and stays at hotels and resorts, travel spending is projected to increase over the next five years as the world economy continues to improve and tourist dollars continue bolstering revenue for global hotels and resorts. For these reasons, industry research firm IBISWorld has updated a report on the Global Hotels and Resorts industry to its growing report collection.
Los Angeles, CA (PRWEB) April 18, 2013
The Global Hotels and Resorts industry is sensitive to a wide range of economic, social, demographic and geopolitical factors that affect domestic overnight travel within any country, as well as global international travel demand and patterns. “With the onset of the global recession, all forms of travel accommodation experienced decreases in revenue as both consumers and businesses became more concerned about their finances and cut back on luxuries,” says IBISWorld industry analyst Nima Samadi, which included travel. In 2009, as the global recession deepened and unemployment rose, a decline in the domestic travel rate and a 3.8% fall in international tourism arrivals, according to the United Nations World Tourism Organization, cut into demand for industry services. Since destination hotels and resorts rely heavily on domestic and foreign tourists, the decline in these travel rates hurt the global industry’s bottom line during the recession.
Nevertheless, from 20087 to 2012, international tourism arrivals grew 4.9% per year on average. In 2013, domestic travel and international arrivals are anticipated to continue rising, with international arrivals forecast to grow 3.4% for the year. According to Samadi, “the infusion of tourist dollars is expected to benefit hotels and resorts and increase room rates.” Because of these two periods of contrasting performance trends over the five years to 2013, Global Hotels and Resorts industry revenue is estimated to increase at an average annual rate of 0.2% to $592.6 billion.
Travel spending is projected to continue increasing over the next five years as the world economy continues to improve and tourist dollars continue bolstering revenue for global hotels and resorts. International tourist arrivals in emerging economy destinations of Asia, Latin America, Central and Eastern Europe, Eastern Mediterranean Europe, the Middle East and Africa will grow at double the pace of destinations in developed economies. The biggest growth will be seen in Asia and the Oceania, where arrivals are forecast to increase each year on average through 2030. This expansion will result in emerging economies surpassing developed economies by 2015. In order to keep up with the aggressive rise in travel rates in these emerging regions, more hotels and resorts will be built, which should increase the proportion of industry revenue generated from these regions and drive industry revenue growth as a whole.
Although industry concentration is low, it is increasing slightly due to continuing hotel buyouts and mergers, and operators joining franchise and chain operators. Major companies in the hotel segment, which include Marriott International Inc. and Hilton Worldwide, are increasingly seeking to operate on a global basis and have a presence in major regions and countries and in the major towns and cities in these areas. The merging of smaller operators with the major hotel companies on an international basis is expected to continue in the next five years. Industry concentration is continuing to increase among the major global operators, although this is more on a franchised or managed property basis. For more information, visit IBISWorld´s Global Hotels and Resorts industry report page.
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IBISWorld industry Report Key Topics
Firms in this industry include hotel and resort accommodations, with private or shared facilities, and with or without meal services and restaurants attached. This includes both chain and franchised operators; however, it excludes all other forms of accommodation, such as motels; caravan parks and camping grounds; youth and backpacker hotels; and bed and breakfast establishments.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation´s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on nearly every US and Global industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.
For the original version on PRWeb visit: http://www.prweb.com/releases/prweb2013/4/prweb10635490.htm