Luxury Hotel Market is Booming globally with Marginal Growth
Posted by Mrudula Anil Karmarkar on April 5th, 2022
The global luxury hotel marketsize is expected to reach USD 115.80 billion by 2025, according to a new report by Grand View Research, Inc., registering a 4.3% CAGR during the forecast period. The market is expected to grow significantly over the forecast period owing to the increasing purchasing power of consumers and the rising number of international as well as domestic tourists on business or leisure trips.
Travelers opting for lavish vacations look chiefly for comfort and quality of service, while hotel tariffs may make for a secondary consideration. To compete in the luxury hotel market, companies are focused on providing unique customer experiences by investing in infrastructure and technologically advanced appliances. Building customer relations by extending the highest degree of hospitality is also a key area of focus.
Major players in the market are integrating room control systems through the Internet of Things (IoT) platform. As a result, guests can control cooling, heating, and lighting in their rooms wirelessly through mobile-based applications. Furthermore, simplified hotel reservation processes have upped demand in recent years. Online hotel bookings are supplemented by readily-available information in the form of photos and videos of the property, along with customer feedback.
Hosting of sports events by a city or country has also been a major factor pushing the demand for luxury accommodations. Sports teams, as well as spectators traveling from various destinations for the tournament, tend to book their stays in luxury hotels, thus leading to a rise in the number of bookings. For instance, luxury hotel chains in Russia are believed to be gearing up for FIFA World Cup 2018.
Have a Query? Ask our experts:
Major players in the market are investing heavily in infrastructure and upgrading their property with the latest equipment to enhance aesthetics and overall comfort offered to customers. Control4 Corporation; Crestron Electronics, Inc.; and AMX LLC are some of the major companies providing automation solutions for controlling lighting, security, entertainment, energy, and other connected devices with an Internet of Things (IoT) ecosystem.
Further key findings from the report suggest:
Key players in the market include Marriott International, Inc.; Shangri-La International Hotel Management Ltd.; InterContinental Hotels Group; AccorHotels; Taj Hotels Palaces Resorts Safari; and Four Seasons Hotels Limited.
Among the key competitors, Marriott International, Inc. contributed significantly to the overall market revenue in 2017. Some of the most popular global brands under the Marriot group are Ritz-Carlton, JW Marriott, Bulgari Hotels & Resorts, The Luxury Collection, St. Regis, Sheraton, Westin, Renaissance, Gaylord Hotels, Le Meridien, Delta Hotels, SpringHill Suites, Courtyard, TownePlace Suites, Fairfield Inn & Suites, and Four Points.
Like it? Share it!
About the AuthorMrudula Anil Karmarkar
Joined: July 2nd, 2020
Articles Posted: 990
More by this author