All figures are for year-end 2008. Figures for 2009 will not be available until mid-2010.
|
 |
| 49,505 |
properties* |
| 4,626,348 |
guestrooms |
| $140.6 |
billion in sales |
| $64.37 |
revenue per available room (RevPAR) |
| 60.4% |
average occupancy rate |
| *Based on properties with 15 or more rooms. |
In 2008, the lodging industry generated $ 25.8 billion in pretax profits. Total industry revenue increased to $140.6 billion in 2008, up from $139.4 billion in 2007.
The average room rate was $106.84 in 2008 – up from $103.87 in 2007. The average room rate was $97.78 in 2006, $90.88 in 2005, $86.23 in 2004, $82.52 in 2003, $83.54 in 2002, $88.27 in 2001, $85.89 in 2000, $81.33 in 1999, $78.62 in 1998, and $75.31 in 1997.
Source: Smith Travel Research
In the United States, travel and tourism is among the nation’s largest services export industries, and one of America’s largest employers. In fact, it ranks as one of the top 10 largest industries in 49 states including the District of Columbia. The tourism industry includes a number of interrelated businesses – lodging properties, airlines, restaurants, cruise lines, car rental firms, travel agents, and tour operators, among others.
Tourism’s Effects on our Economy
- Resident and international travelers in the United States spend an average of $2.1 billion a day, $88 million an hour, $1.5 million a minute, and $24,500 a second.
- Tourism generates $770 billion in sales (excluding international passenger fares on U.S. airlines).
- The tourism industry pays $117 billion in federal, state, and local taxes.
Lodging and Overall Tourism Employment
- The travel and tourism industry pays $194 billion in travel-related wages and salaries and employs 1.8 million hotel property workers.
- Tourism directly supports more than 7.7 million travel and tourism jobs.
In the 2007-2008 fiscal year, U.S. states planned to spend a projected $868.8 million on development and promotion in the travel and tourism industry, an increase of 20.4% from the 2006-2007 fiscal year. The most notable increases include California, with a 137% increase to $58 million, and Texas, with a 109.7% increase to $63.2 million. California and Texas were also ranked among the top three spenders, with budgets set just below Hawaii’s $85.1 million. Hawaii has maintained the highest tourism budget for the past three years. Texas planned to spend the most on domestic advertising, allocating a $36.6 million budget, followed by California ($20.5 million) and Florida ($19.6 million). The total collective domestic advertising and sales promotion budget was $305.4 million.
| By Location |
Property* |
Rooms+ |
| Suburban |
16,780 |
1,668,321 |
| Interstate |
7,119 |
479,764 |
| Urban |
4,679 |
721,232 |
| Airport |
2,115 |
294,494 |
| Resort |
3,723 |
584,438 |
| Small Metro/Town |
15,089 |
878,099 |
| |
|
|
| By Rate |
|
|
| Under $30 |
1,178 |
54,010 |
| $30-$44.99 |
7,343 |
417,649 |
| $45-$59.99 |
15,036 |
915,925 |
| $60-$85 |
14,538 |
1,325,999 |
| Over $85 |
11,411 |
1,912,766 |
| |
|
|
| By Size |
|
|
| Under 75 rooms |
27,810 |
1,188,161 |
| 75-149 rooms |
15,798 |
1,667,750 |
| 150-299 rooms |
4,259 |
852,953 |
| 300-500 rooms |
1,116 |
415,606 |
| Over 500 rooms |
522 |
501,878 |
* Based on a total of 49,505 properties.
† Based on a total of 4,626,348 guestrooms.
Source: Smith Travel Research
43% traveled for business
57% traveled for leisure
The typical “business room night” stay is by a male (67%), age 35–54 (50%), employed in a professional or managerial position (43%), earning an average yearly household income of $105,532. Typically, these guests travel alone (58%), make reservations (92%), and pay $125 per room night. The typical “leisure room night stay” is by two adults (51%), ages 35–54 (40%), earning an average yearly household income of $91,155. The typical leisure traveler also travels by auto (78%), makes reservations (88%), and pays $112 per room night. 35% of all business travelers spend one night at a hotel, 26% spend two nights, and 39% spend three or more nights. Of leisure travelers staying in a hotel, 41% spend one night, 31% spend two nights, and 28% spend three or more nights.
Source: D.K. Shifflet & Associates, Ltd.
The United States receives a larger share of world international tourism receipts than any other country in the world. In 2008, spending on travel totaled increased 16% to a record $142 billion, including $110 billion spent at destinations in the U.S. and another $32 billion on passenger fares on U.S. carriers. The U.S. share of world tourism receipts was at the top (11.7%), nearly double that of second-ranked Spain (6.5%). In 2008, international* travelers to the United States increased 4% over 2007, to a record 58.0 million. Overseas** arrivals in 2008 grew 6% to reach 25.3 million. Canadian arrivals increased by 7% to 18.9 million. Mexican arrivals decreased by 4% to 13.8 million.
The top 10 countries in terms of U.S. arrivals for 2008 were Canada (18.9 million), Mexico (13.8 million), the United Kingdom (4.6 million), Japan (3.2 million), Germany (1.8 million), France (1.2 million), Italy (779,000), Brazil (769,000), South Korea (759,000), and Australia (690,000). These 10 countries accounted for 80% of U.S. visitors. Country performance was mostly positive. Seven of the top 10 countries had visitor increases in 2008, and three countries reached record visitation levels (France, Italy, and Australia). The impact of international travelers on the hotel industry is considerable; international visitors accounted for 22% of all lodging room-nights in 2007.*** Data are not available for 2008, but this proportion likely increased in 2008 due to the increase in foreign visitors and declines in U.S. domestic travel. In 2008, 18.8 million overseas travelers and at least another 13 million Canadians stayed in a hotel/motel during their U.S. visit. The average length of stay for overseas visitors was 8.3 nights, with 1.6 people in the travel party. The main purposes of trips for overseas travelers who stayed in hotels and motels were leisure/recreation/ holiday (55%), and business/convention (32%). These mobile travelers visited 1.6 states while in the country and traveled by taxis and limousines (48%), rented cars (34%), and air (26%). The outlook for 2009 calls for a decline of eight percent in foreign visitors due to a continuation of the quick and dramatic changes in global economies and exchange rates that occurred in the fall of 2008. Moderate growth in arrivals is expected to return in 2010 and 2011 due to strengthening economies and stable or improving exchange rates, but visitor volume should remain below the 2008 record level of 58.0 million. Through June 2009, arrivals are down 10%.
*International includes Canada, Mexico, and overseas.
**Overseas excludes Canada and Mexico.
***Bureau of Economic Analysis.
Source: U.S. Department of Commerce, International Trade Administration, Office of Travel & Tourism Industries
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