4Hoteliers
SEARCH
ITB 2022 Special Reporting
SHARE THIS PAGE
NEWSLETTERS
CONTACT US
SUBMIT CONTENT
ADVERTISING
All-inclusive resort sector: An evolved model takes center stage
Monday, 20th June 2022
Source : JLL Hotels & Hospitality Group

The all-inclusive (AI) resort sector was historically perceived by consumers as relatively inexpensive vacation options with copious amounts of mediocre food and unlimited alcohol, the sector has transformed as of late.

Driven by changes in consumer travel preferences, increased investments in infrastructure by local governments, and rising airlift to many tropical destinations, demand for all-inclusive resorts has skyrocketed.

This has resulted in the traditional hotel brands (Marriott and Hyatt, among others) entering a space that was once dominated by independent and regional chains.

Perhaps most important though is that many new entrants are in the luxury and upper upscale segments, a substantial change from a sector that has long been comprised of midscale resorts.

Consistent occupancy levels combined with a longer advanced booking window have allowed AI resorts to generally outperform their EP counterparts.

Further, AI resorts have recovered more quickly following the impact of Covid, underpinned by strength in leisure travel and consumers looking more for experiences and stress-free vacations. This has intensified the focus of traditional hotel brands entering the sector, which is likely to increase consumer choice, widen brand offerings, and create a much more robust industry segment in the years to come.

Key Takeaways :

  • Demand for all-inclusive resorts is surging, with AI resorts in Mexico and the Dominican Republic averaging an occupancy recovery of 77% on a March 2022 TTM basis relative to 2019.
  • Luxury and upper upscale all-inclusive resorts are here to stay driven by growing consumer demand for high-quality experiences and stress-free vacations.
  • All-inclusive resorts have proven to be an opportunity for traditional EP hotel brands.
  • Institutional hotel brands have aggressively entered the all-inclusive resort sector via M&A, strategic alliances, and brand extensions signaling investor optimism.

Download the full report here

Contributors:

  1. Carolina Lacerda
  2. Zachariah Demuth
  3. Ophelia Makis
  4. Pedro Pereira
  5. Edith Nava
 Latest News  (Click title to read article)




 Latest Articles  (Click title to read)




 Most Read Articles  (Click title to read)




~ Important Notice ~
Articles appearing on 4Hoteliers contain copyright material. They are meant for your personal use and may not be reproduced or redistributed. While 4Hoteliers makes every effort to ensure accuracy, we can not be held responsible for the content nor the views expressed, which may not necessarily be those of either the original author or 4Hoteliers or its agents.
© Copyright 4Hoteliers 2001-2022 ~ unless stated otherwise, all rights reserved.
You can read more about 4Hoteliers and our company here
Use of this web site is subject to our
terms & conditions of service and privacy policy