The U.S. Department of Commerce has stated that in 2010 the travel industry has seen its biggest growth since 2004.
With more than 8 million jobs in the travel sector in the U.S., this is big news and represents an improvement in the local economy.
Spending on travel accommodation, including hotels increased by 9.5 percent.
This has naturally resulted in healthy figures for the domestic hotel industry, resulting in the possible expansion of some hotel chains.
The Tourist Industry Recovers
After the worst of the recession, the U.S. tourism industry is recovering, with New York even seeing record figures of visitors in 2010.
ccording to PricewaterhouseCoopers, 48.7 million people visited New York in the past year, and experts believe this growth will continue into 2011, with hotel occupancy expected to increase by 1.8 percent.
Hotel Growth
The hotels that have shown the biggest growth have been well-known chains such as Marriott International and Starwood Hotels & Resorts.
Additionally, Hyatt Hotels, Choice Hotels International and Wyndham Worldwide have revealed they are looking to acquire another brand, thereby allowing them to gain further control of the market.
By purchasing another company, a hotel brand will be able to offer more choice in terms of price, enticing customers away from rivals, and all without the expense of constructing a new hotel building.
Areas With Highest Growth/Decline
Detroit, New Orleans and Dallas experienced the highest rise in hotel occupancy rates in 2010. New York and Boston also experienced increased numbers of visitors; however, numbers in Philadelphia and San Diego declined.
Predictions
Travel group STR calculated that figures have continued to improve in January 2011, suggesting hotel occupancy rates will continue to rise.
Analysts also expect U.S.hotel brands to expand overseas as a way to consolidate their business, particularly in emerging markets such as India and China.