Hotels continue to make progress towards recovery in 2022

Metro Creative Connection

Mon January 24, 2022 12:30 PM

AHLA’s State of the Industry for 2022 predicts an uneven and volatile recovery; the rise of a “new” traveler transforms the industry

√ Download report here

Guest Submission by the American Hotel & Lodging Association

The hospitality industry will continue to move toward recovery in 2022, but the path will be uneven and potentially volatile, and full recovery is still several years away, according to the State of the Hospitality Industry 2022 from American Hotel & Lodging. Association. The report, which reveals changes in consumer and business sentiment, was created in collaboration with AHLA Silver Partner Accenture and is based on data and forecasts from Oxford Economics and AHLA Platinum Partner STR.

Key findings of the report include:

√ Hotel occupancy rates and room revenues are expected to approach 2019 levels in 2022;

√ The outlook for ancillary revenue, which includes catering and meeting spaces, is less optimistic;

√ Hotels lost $111.8 billion in collective revenue from rooms alone in 2020 and 2021;

√ Leisure travelers will continue to drive the recovery: in 2019, business travelers accounted for 52.5% of industry room revenue; in 2022, it should represent only 43.6%;

√ Business travel is expected to remain down more than 20% for much of the year, while only 58% of meetings and events are expected to return; the full effects of omicron are not yet known;

√ Changing traveler segments, including the rapid increase in bleisure travelers – those who combine business and leisure travel – are impacting hotel operations. In fact, a study of business travelers around the world found that 89% wanted to add a private vacation to their business trips in the next 12 months; and

√ In this new environment, technology will be even more critical to a property’s success, according to AHLA Platinum Partner Oracle Hospitality, with hotels investing in technology to meet the needs of guests and employees today and in the future. the future

“Hotels have faced enormous challenges over the past two years, and we are still a long way from a full recovery. The uncertainty surrounding the omicron variant suggests how difficult it will be to predict travel readiness in 2022, adding to the challenges hotels are already facing,” said Chip Rogers, President and CEO of AHLA. “The slow return of business travel and the decline in meetings and events continues to have a significant negative impact on our industry. The growth of leisure and bleisure travel represents a shift for our industry, and hotels will continue to evolve to meet the needs of these ‘new’ travellers.”

Liselotte De Maar, Managing Director of Travel Industry at Accenture, said: “Travel and hospitality brands still face an uncertain market, but all of these changes also herald a new era of opportunities to build loyalty. long-term customers. They must adapt to demand and respond to the increased complexities and volatility of travel by offering a “travel partner” mentality to their leisure and business customers. Now, travelers are no longer focusing solely on the price and quality of a place, but also on the values ​​and impact of cleanliness and sustainability, and expecting a clearer and more digital service. Businesses will need to continue to digitally transform, reinvent their loyalty model, as well as rethink the employee proposition, if they wish to thrive.

Like other industries, hotels are facing a significant labor shortage, which could impact the recovery. The AHLA Foundation is launching a new national, multi-channel advertising campaign to help fill the hundreds of thousands of open jobs in the hospitality industry. The pandemic wiped out 10 years of job growth. This multi-year effort, “The Hotel Industry: A Place to Stay”, aims to help job seekers discover the more than 200 career paths and the many benefits offered by the industry, including competitive salaries, benefits , flexible schedules and travel opportunities. Ads will begin running in Columbus, Dallas, Denver, Miami and Phoenix on Facebook, Google and YouTube in English and Spanish.

Download report here.

The American Hotel & Lodging Association (AHLA) is the only national association representing all segments of the American lodging industry. Based in Washington, DC, AHLA focuses on strategic advocacy, communications support, and workforce development programs to move the industry forward. Learn more at

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