The summary statistics by North American Industry Classification System (NAICS), which include: operating revenue (dollars x 1,000,000), operating expenses (dollars x 1,000,000), salaries wages and benefits (dollars x 1,000,000), and operating profit margin (by percent), of all NAICS under accommodation services (721), annual, for five years of data.

Data includes occupancy rates, average daily rates, and revenue per available room.

Before the pandemic, hotels and motels benefited from rising incomes and population growth. However, hotel rooms were left empty when the pandemic shut down tourism, creating long-lasting financial and operational challenges. Long periods at home left consumers with savings and pent-up demand to spend on trips as travel restrictions lifted, leading to a rapid recovery at hotels between 2022 and 2023. Nonetheless, concerns about a recession and inflation partially stifled Canadian consumers' appetite for travel, lowering the full potential of revenue growth. In 2025, the threat of a potential trade war between Canada and the United States could have a negative impact on travel demand overall. Therefore, industry revenue is expected to grow at a CAGR of 13.3% over the past five years, totaling an estimated $30.9 billion in 2025, despite revenue is be expected to fall an expected 1.1%. This significant growth rate reflects the industry's rebound from its historical low in 2020. In the same year, profit is also anticipated to account for 18.4% of revenue. Rising competition is one of the main challenges facing hotels and motels. Short-term rental platforms have become a disruptor to traditional hotel stays. Airbnb has become a popular destination for travelers in Canada looking for unique experiences. However, recent efforts by the Canadian government could lessen Airbnb's influence moving forward. Housing shortages are prompting officials in Montreal and Toronto, two major tourist destinations, to attempt to remove illegal Airbnb units or ban the rental site altogether. At the same time, Canada's foreign home ownership ban, extending until the end of 2024, prohibits non-residents from purchasing residential property for personal use or renting as a vacation home. Hotels and motels will contend with labour supply issues over the next five years as access to temporary low-wage foreign workers become limited and domestic workers demand higher compensation, putting hoteliers in a difficult situation. Therefore, trends accelerated by the pandemic, like hotels' digital transformation, will permanently alter and benefit the industry. Innovation will be critical for hotels to manage operational challenges, strengthen profit and address guests' evolving preferences. Hotels and motels' revenue is expected to expand at a CAGR of 1.1% to $32.6 billion over the five years to 2030.

The average daily rate (ADR) of hotels in Canada was ****** Canadian dollars as of August 2020.

What is average daily rate?

Average daily rate is a key performance indicator of the hospitality industry. It shows the average room rental price per day in either a specific hotel (independent/chain), or in this case the average room rental price per day of many hotels within Canada. Other useful KPI’s in the lodging industry are the occupancy rate and revenue per available room (RevPAR).

Monthly ADR trends

The monthly ADR of Canadian hotels shows some clear patterns. It often peaks annually in the summer months and shows a dip in the colder months. Typically, the warmer months are high season for most hotels due to factors like longer days and school holidays. Canadian hotel ADR rates have shown annual growth since 2015.

The Canada Hospitality Market Report is Segmented by Type (Chain Hotels, Independent Hotels), Accommodation Class (Luxury, Mid & Upper-Mid-Scale, Budget & Economy, Service Apartments), Booking Channel (Direct Digital, Otas, Corporate/MICE, Wholesale & Traditional Agents), and Geography (Ontario, Québec, British Columbia, Alberta, Saskatchewan, Manitoba and More). The Market Forecasts are Provided in Terms of Value (USD).

This statistic shows the monthly occupancy rate of hotels in Canada from 2019 to 2020. In August 2020, the occupancy rate of the hotel industry in Canada was **** percent, up from **** percent the previous month.

The Canadian hospitality industry, a significant contributor to the national economy, is experiencing robust growth, mirroring global trends. While precise Canadian market figures for 2019-2024 are unavailable, extrapolating from the global CAGR of 5.27% and considering Canada's strong tourism sector and robust domestic travel, we can estimate substantial growth. The industry is segmented by hotel type (chain vs. independent) and service level (budget/economy, mid-scale, luxury, service apartments). The increasing popularity of budget and mid-scale hotels caters to price-conscious travelers, while the luxury segment continues to attract high-spending clientele. Key drivers include increasing disposable incomes, a rise in domestic and international tourism, and significant investments in infrastructure development, particularly in major cities like Toronto, Vancouver, and Montreal. However, challenges exist, including seasonal fluctuations in tourism, increasing operating costs (labor and energy), and the ongoing impact of global economic uncertainty. The industry's response includes diversification of offerings (e.g., incorporating sustainable practices, enhancing technology integration), and strategic partnerships to attract and retain both employees and guests. The competitive landscape includes both international and domestic players such as Marriott, Hilton, and smaller independent chains and boutique hotels, each vying for market share through differentiated service offerings and branding. The forecast for the Canadian hospitality industry from 2025 to 2033 is positive, predicated on continued economic growth and sustained tourism. We anticipate a CAGR similar to or slightly exceeding the global average, reflecting Canada's attractive tourism appeal and proactive industry adaptations. The increasing demand for unique travel experiences and sustainable tourism will likely influence future investment decisions and create new opportunities within the sector. Further growth will depend on factors including government policies that support the tourism industry, effective management of labor costs, and the successful navigation of environmental sustainability concerns. Analyzing specific regional variations within Canada (e.g., Atlantic Canada vs. Western Canada) would provide a more granular understanding of market opportunities and potential challenges within specific geographic areas. Recent developments include: January 2024 - APA Hotel Canada Inc., a wholly owned subsidiary of Coast Hotels Limited, is one of the fastest-growing hotel brands in North America and one of the largest hotel brands in Canada. Coast Hotels announced the opening of two brand new franchise properties, Eldorado (a Coast Hotel) and Midnight Sun (a Coast Hotel), in the historic and vibrant downtown area of Dawson City, Yukon, Canada., July 2023 - Wyndham Hotels & Resorts, the global leader in hotel franchising with over 9,100 hotels in more than 95 countries, announced the addition of 60 new hotels to its fast-growing extended stay brand Echo Suitssm, including what is set to be the brand's first Canadian hotels.. Key drivers for this market are: Rising Awareness among Hotels & Resorts to Implement Eco-Friendly Measures, Rising Mobile Reservations & Contactless Check-In/Out. Potential restraints include: Rising Awareness among Hotels & Resorts to Implement Eco-Friendly Measures, Rising Mobile Reservations & Contactless Check-In/Out. Notable trends are: The Increase in Tourist Arrivals and Hotel Occupancy also Results in an Increase in Spending.

Market Size statistics on the Hotels & Motels industry in Canada

The market size of the hotel and motel sector in Canada increased by around **** percent from 2022 to 2023. In 2023, the sector reached **** million U.S. dollars, up from the previous year's total of **** million U.S. dollars.

The statistic shows the number of hotels in Canada in 2014 and 2015 . In 2015, there were ***** hotel properties in Canada.

The size of the Hospitality Industry in Canada market was valued at USD 39.20 Million in 2023 and is projected to reach USD 56.16 Million by 2032, with an expected CAGR of 5.27% during the forecast period. Recent developments include: January 2024 - APA Hotel Canada Inc., a wholly owned subsidiary of Coast Hotels Limited, is one of the fastest-growing hotel brands in North America and one of the largest hotel brands in Canada. Coast Hotels announced the opening of two brand new franchise properties, Eldorado (a Coast Hotel) and Midnight Sun (a Coast Hotel), in the historic and vibrant downtown area of Dawson City, Yukon, Canada., July 2023 - Wyndham Hotels & Resorts, the global leader in hotel franchising with over 9,100 hotels in more than 95 countries, announced the addition of 60 new hotels to its fast-growing extended stay brand Echo Suitssm, including what is set to be the brand's first Canadian hotels.. Key drivers for this market are: Rising Awareness among Hotels & Resorts to Implement Eco-Friendly Measures, Rising Mobile Reservations & Contactless Check-In/Out. Potential restraints include: Lack of Skilled Labour, Reputation Management is One of the Most Important Tasks in the Hospitality industry. Notable trends are: The Increase in Tourist Arrivals and Hotel Occupancy also Results in an Increase in Spending.

This view provides an overall representation of the relative performance of tourism-related activities with respect to the reference period, over time and geography, as well as the grouped data sources which were used to create it.

Number of Businesses statistics on the Hotels & Motels industry in Canada

Quarterly data, in real terms, by category and type of expenditure.

Comprehensive dataset containing 11,601 verified Hotel businesses in Canada with complete contact information, ratings, reviews, and location data.

Traveller accommodation services price index (TASPI) by client group. Monthly data are available from December 2000. The table presents data for the most recent reference period and the last four periods. The base period for the index is (2013=100).

Number of jobs generated through tourism activities in tourism related industries, by seasonal adjustment.

This statistic shows the monthly average revenue per available room of Canadian hotels from 2019 to 2020. In August 2020, the average revenue per available room for the Canadian hotel industry was ***** Canadian dollars.

Comprehensive dataset containing 2,080 verified Resort hotel businesses in Canada with complete contact information, ratings, reviews, and location data.

Explore the booming Canadian hospitality industry with a market size of USD 39.20 million and a 5.27% CAGR (2025-2033). Discover key drivers, emerging trends like sustainable travel and digital integration, and dominant segments. Key drivers for this market are: Rising Awareness among Hotels & Resorts to Implement Eco-Friendly Measures, Rising Mobile Reservations & Contactless Check-In/Out. Potential restraints include: Lack of Skilled Labour, Reputation Management is One of the Most Important Tasks in the Hospitality industry. Notable trends are: The Increase in Tourist Arrivals and Hotel Occupancy also Results in an Increase in Spending.