We are still seeing the effects of the COVID lockdowns on smaller players in the restaurant industry but one segment of the hospitality sector that seems to be regaining its footing is accommodation.
This largely includes hotels and motels which showed considerable strength last year. Industry figures show operating revenues nationally hit a record high at nearly thirty five billion dollars. That was an increase of almost 20-percent over 2022 and 30-percent higher than 2019.
And here are a couple of interesting tidbits about the business. This one might come as a surprise. Half of their revenues comes from individuals and three-quarters of that comes from room sales with food and non-alcoholic beverage making up 10-percent. Business travelers account for nearly a quarter of their gross sales.
And then there is one significant, but relatively low-profile sector….workforce accommodation. This is work camps at northern sites such as mines. Alberta has the highest volume of sales in this segment, totaling in the neighborhood of two billion dollars a year.
