/ EIN News / – Pune, India, October 26, 2021 (GLOBE NEWSWIRE) – According to Fortune Business Insights â¢, the Global luxury hotel market the size should reach $ 238.49 billion by 2028, posting a CAGR of 10.4% during the forecast period. The report also states that the market value was $ 93.43 billion in 2020.
The emergence of eco-responsible luxury hotels to accelerate the market
The development of hotels guided by the principles of environmental sustainability has changed perceptions surrounding luxury accommodation. The growing environmental awareness of new-age travelers has redefined the dynamics that until now governed the hospitality industry, leading to the construction of eco-friendly luxury hotel brands.
For example, the Andaz Maui at Wailea Resort in Hawaii was designed to minimize waste and emissions. The complex has a system of solar water heaters and variable speed chillers, while in the room settings the glassware is made from recycled materials along with automated temperature controls. Likewise, at Saffire Freycinet in Tasmania, Australia, Modwood is used as a substitute for wood, LED technology is widely used to make the entire installation energy efficient, and air circulation systems to natural cycle have also been installed. The growing popularity of these high-end properties in exotic locations is expected to accelerate the expansion of this market.
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Based on the type of room, the market has been divided into luxury, high end and high end. By category, the market has been segmented into chain and independent. On the basis of geography, this market has been separated into North America, Europe, Asia-Pacific, South America, Middle East, and Africa.
Highlights of the report
This report offers a detailed analysis of various market drivers and trends as well as an in-depth study of various market restraints. Moreover, the report contains a comprehensive examination of the regional market dynamics along with an in-depth assessment of the competitive landscape of the market. In addition to these factors, the report provides a comprehensive assessment of all market segments.
COVID-19 will create widespread instability in the hospitality industry
Luxury hospitality market growth is expected to contract due to the COVID-19 pandemic, with a market recording an astonishing decline in 60.82% in 2020 and reaching a value of $ 119.55 billion in 2021. One of the main reasons for this unprecedented slowdown in the hotel industry is the sharp decline in tourism activities around the world. According to estimates released by the United Nations World Tourism Organization (UNWTO), export earnings from tourist arrivals fell from around $ 910 billion to $ 1.2 trillion in 2020, potentially reducing GDP worldwide from 1.5% to 2.8%. Hotels, in particular, have been hit the hardest.
For example, according to the American Hotel & Lodging Association (AHLA), 71% of hotels will not survive the next six months without federal help and 77% will have to lay off workers. Luxury hotel chains, such as Le MÃ©ridien, have also resorted to cost cuts, given new travel bans and the possibility of movement restrictions. In short, the markets associated with the travel, tourism and hospitality industry are expected to enter a period of deep financial stress due to the coronavirus.
The list of companies presented in the global luxury hotel market are:
- Mandarin Oriental Hotel Group (Quarry Bay, Hong Kong)
- Accor SA (Issy-les-Moulineaux, France)
- Shangri-La Asia Limited (Quarry Bay, Hong Kong)
- Four Seasons Hotel Limited (Toronto, Canada)
- Hyatt Hotels Corporation (Chicago, United States)
- The Indian Hotels Company Limited (Mumbai, India)
- Kempinski Hotels SA (Geneva, Switzerland)
- Hilton Hotels & Resorts (McLean, United States)
- InterContinental Hotels Group plc (Denham, United Kingdom)
- Marriott International, Inc. (Maryland, United States)
Browse the detailed summary of the research report with the table of contents:
Key questions answered:
- What are the main demands and trends shaping the market?
- What are the key market opportunities?
- What are the main companies operating in the market?
- Which company had the highest market share?
- What is the market size and growth rate of the global and regional market by various segments?
- What is the market size and market growth rate for Selective Countries?
- Which region or sub-segment is expected to drive the market during the forecast period?
- What are the factors estimated to drive and restrain the growth of the market?
- Why choose Fortune Business Insights?
High traveler spending capacity to fuel the North American market
Supported by high consumer spending potential, North America is expected to dominate the luxury hotel market share during the forecast period. A report by the US Travel Association showed that in 2019, domestic travelers spent $ 972 billion, of which about 25% was spent on accommodation facilities. In addition, spending on hotels and resorts by domestic and international travelers increased 4.1% in 2019 from 2018 levels, according to the report, indicating a strong willingness to vacation by consumers. The size of the North American market was $ 30.66 billion in 2020.
In Europe, the market will experience a period of sustained growth as the continent is home to some of the most attractive tourist spots on the planet. The UNWTO, for example, observed that Europe accounted for almost half of all tourist arrivals worldwide in 2018, their presence in countries like India, China and Indonesia.
Key players to exploit opportunities in developing markets
With the transformation of living standards in the emerging markets of Asia and Africa, luxury hotel brands are actively expanding their presence and operations in these countries. Several hotel chains are offering new offers and creating unique economic segments and services to attract travelers and consolidate their regional position.
Key industry developments:
- January 2021: Marriott International has announced plans to open 100 new properties in Asia-Pacific in 2021. The goal is to bring exquisite brands and experiences to travelers and guests to unexplored destinations in the region.
- March 2020: Luxe Collection has opened its first branded property in New York, the Luxe Life Hotel New York. To this will be added new 4 and 5 star hotels – Zeavola Resort (Thailand), Il Tornabuoni (Florence), Eurostars Magnificent Mile (Chicago), CoolRooms Atocha (Spain) and The Belmont (Dallas).
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Detailed table of contents:
- Scope of research
- Market segmentation
- Research methodology
- Definitions and assumptions
- Market factors
- Market constraints
- Market opportunities
- Overview of parent / related markets
- SWOT Analysis of the Industry
- Emerging trends
- Recent Industry Developments – Policies, Partnerships, New Product Launches, and Mergers and Acquisitions
- Impact of COVID-19
Global Luxury Hotel Market Analysis, Outlook and Forecast, 2017-2028
- Main conclusions / Summary
Market category estimates and forecasts
By room type (value)
- Top of the line
- Top of the line
- By category (value)
By region (value)
- North America
- Asia Pacific
- South America
- Middle East and Africa
- By room type (value)
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Luxury goods market size, Share and COVID-19 impact analysis, by product type (watches and jewelry, perfumes and cosmetics, clothing, bags / purses and others), end user (women and men), distribution channel (offline and online) and Regional Forecast, 2020-2027
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