Crowded beaches, expensive hotel rooms and long lines at airports show San Diego’s leisure travel sector is already above pre-COVID levels, outpacing rival California cities Los Angeles and San Francisco. It corroborates the findings of the report.
By the end of this year, nearly $1.9 billion in hotel revenue generated by vacationers coming to San Diego will be nearly 20% higher than the 2019 figure, despite the pandemic that crippled the tourism economy for much of 2020. is predicted. That’s according to new analysis released this week by the Hotel Lodging Association of America and Kalibri Labs, a company that predicts hotel revenue performance. By comparison, the report found that hotel revenues from leisure travel in the top 50 US hotel markets increased by an average of 14%.
Among the 50 cities, San Diego ranks 14th for projected room revenue growth from 2019 onwards. Anaheim, in 11th place, is expected to see his hotel dollars increase by more than 23% from a one-night vacation stay. But her two other top travel destinations in California, Los Angeles and San Francisco, are far behind.
LA ranks 32nd, with San Francisco at the bottom, struggling to regain its once-strong tourist destination. With a staggering drop of nearly 19% from 2019, he is one of just eight cities in the top 50 projected to see a decline in holiday travel-related hotel revenues.
As the tourism economy gradually reopened amid rapidly changing COVID restrictions, San Diego had several advantages over Los Angeles and San Francisco, explained Peter Hillan, spokesman for the California Hotel and Lodging Association. . For one thing, both LA and the Bay Area didn’t reopen so quickly, he said. Hiran said it relies heavily on visitors from Asia, one of the regions.
“The pandemic has demonstrated some of the long-term problems that were already present[in San Francisco]particularly with respect to the convention market and business travel, where street behavior and homelessness are driving business travelers and convention-goers out. and so on,” Hiran said.
Just one year before COVID arrived, Oracle’s OpenWorld, one of San Francisco’s biggest annual tech conventions, decided to move to Las Vegas, citing high hotel prices and “poor road conditions.” decided.
“I’m not saying other cities don’t have this problem, but San Francisco suffers from it nationally more than San Diego,” Hillan said.
Unlike the leisure market, business travel is recovering much more slowly, as evidenced by the Kalibri report, which predicts that by the end of 2022, just 40% of major US markets will exceed 2019 levels. Good news for San Diego, though. The analysis concludes that hotel revenues related to business travel will increase he by 8.5% over those recorded in 2019.
Although business travel in San Diego is not expected to match pre-pandemic levels until 2023 or possibly 2024, Calibri’s analysis includes business category meeting and convention travel recovering strongly in San Diego. I’m here.
Daniel Cooperschmidt, general manager of San Diego’s largest convention hotel, the Manchester Grand Hyatt, said convention-related business has already outperformed the hotel’s performance in 2019. This is because the rebound in corporate travel is slowing.
“San Diego definitely outperforms other cities on the West Coast,” he said. “Also, business travel is starting to return, but it is not yet at 2019 levels. It has outperformed 2019 since May and next year will be a record year for the hotel.”
Kelly Kapich, chief operating officer of the San Diego Tourism Authority, said San Diego has advantages compared to cities such as Los Angeles and San Francisco.
She added: It definitely explains some of this revenue increase.
“When you look at the amount of revenue generated in this report, it’s great. This is a long way to go and the market is doing very well so I feel pretty good, but there is still work to be done. I have.”
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