The
American Hotel & Lodging Association (AHLA) released “AHLA’s State
of the Hotel Industry 2021” outlining the forecasted state of the hotel
industry in 2021 and into the immediate future. It states that,
while
some 200,000 jobs are expected to be filled this year, overall, the
accommodations sector faces an 18.9% unemployment rate, according to the
Bureau of Labor Statistics.
In addition, half of U.S. hotel rooms are projected to remain empty in 2021. Business travel, which comprises the largest source of hotel revenue, remains nearly nonexistent, but it is expected to begin a slow return in the second half of 2021.
Among frequent business travelers who are currently employed, 29% expect to attend their first business conference in the first half of 2021, 36% in the second half of the year and 20% more than a year from now.
Business travel is not expected to return to 2019 levels until at least 2023 or 2024. Leisure travel is expected to return first, with consumers optimistic about national distribution of a vaccine and with that an ability to travel again in 2021.
The
report found that heading into 2021, consumers are optimistic about
travel, with 56% of Americans saying they are likely to travel for
leisure or vacation in 2021. While 34% of adults are already comfortable
staying in a hotel, 48% say their comfort is tied to vaccination in
some way.
