Industry Analysis & Industry Trends
The industry has experienced robust growth due to increases in travel spending, corporate profit and consumer spending. As a result, the industry has grown over every year since 2011, as the economy improved and domestic and international travel rates increased. Over the five years to 2021, the industry will continue expanding, albeit at a more moderate pace, with particularly strong growth in the extended-stay hotels, boutique hotels, spa and health retreats and resorts segments. Additionally, operators are expected to expand abroad into emerging economies, leading to an increase in revenue... purchase to read more
Industry Report - Industry Investment Chapter
The Hotels & Motels industry is subject to a moderate-to-high level of capital intensity. For every $1.00 the average hotel in the industry spends on wages in 2016, it will spend an estimated $0.39 on the use and replacement of capital. Both labor and capital play an important role in the industry.
As a service-based industry, hotel and resort operators are highly dependent on direct labor input across all areas of operation, from front-desk service, reservations, room service and cleaning, food preparation, liquor and beverage service, and back of house operational management. Due to the service nature of the industry, many of these labor-intensive functions cannot be substituted by technology or machinery... purchase to read more