According to Fortune Business Insight’s “Luxury Hotel Market, 2021-2028” report, which analyses the global luxury hotel market, the size of the market is expected to reach $238.49 billion by 2028, growing at a compound annual growth rate (CAGR) of 10.4% over the forecast period. The report also notes that the market was worth USD 93.43 billion in 2020.
The report provides a detailed analysis of the various drivers, trends, segments and constraints influencing the luxury hotel market. In other words, it takes a comprehensive look at the regional dynamics of the market, and provides an in-depth assessment of the competitive landscape of the market.
For this purpose, the report has divided the market into three categories: luxury, upscale and very upscale, each of which is segmented into chain and independent. On the basis of geography, the market has been divided into North America, Europe, Asia-Pacific, South America, and Middle East & Africa.
The main companies included in the study were: 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, USA), The Indian Hotels Company Limited (Mumbai, India), Kempinski Hotels S.A. (Geneva, Switzerland), Hilton Hotels & Resorts (McLean, USA), InterContinental Hotels Group plc (Denham, UK), and Marriott International, Inc. (Maryland, USA).
According to Fortune Business Insights, the factors that will drive the market’s growth will be the emergence of environmentally friendly luxury hotels and the high spending capacity of travellers. However, the report does not forget to mention the restraints to the development of the market, such as the general instability linked to the pandemic.
In terms of competition, the majority players are exploiting the opportunities of developing markets to the fullest. As living standards rise in the emerging markets of Asia and Africa, luxury hotel brands are making inroads.
Like any sector impacted by the virus, innovation is the order of the day, which is why hotel chains are proposing new offers and creating unique services to attract travellers and establish their regional position.
The emergence of environmentally friendly luxury hotels will boost the market
The dramatic increase in green consciousness among travellers, especially the new generation, has redefined the dynamics that previously governed the hotel industry, leading to the building of green luxury hotel brands. Hotel development is now influenced by sustainable values and has led to a change in the perception of luxury accommodation.
Featured photo : © Press