Key Takeaways
- In FY2023, the Australian hotel industry generated total revenue of AUD 14.2 billion, a 18.4% increase from FY2022 driven by post-COVID recovery.
- New South Wales hotels achieved AUD 5.1 billion in revenue in 2023, accounting for 36% of national hotel revenue.
- Average profit margin for Australian hotels rose to 28.5% in 2023 from 22.1% in 2022 due to higher occupancy.
- Australia hotel occupancy rate averaged 68.5% in 2023, up from 55.2% in 2022.
- Sydney hotels occupancy 72.3% in Q4 2023.
- National demand grew 14.7% year-over-year to 45.2 million room nights in 2023.
- Australia hotel industry employed 142,000 full-time equivalent workers in 2023.
- NSW hotel workforce totaled 52,000 employees in FY2023.
- Average hotel wage AUD 68,500 annually in 2023.
- Total room supply in Australian hotels reached 285,000 rooms in 2023.
- New hotel openings added 8,200 rooms nationally in 2023.
- Sydney market has 42,000 hotel rooms as of 2023.
- Australian hotel industry projected to grow revenue at 6.2% CAGR to AUD 20.1 billion by 2028.
- Occupancy forecasted to reach 72% nationally by 2025.
- International visitor nights expected to hit 120 million by 2028, boosting hotels.
Australia's hotel industry surged in 2023, setting revenue and profit records driven by strong post-pandemic recovery.
Employment Statistics
- Australia hotel industry employed 142,000 full-time equivalent workers in 2023.
- NSW hotel workforce totaled 52,000 employees in FY2023.
- Average hotel wage AUD 68,500 annually in 2023.
- Queensland hotels employed 38,500 staff, up 12% from 2022.
- Victoria hospitality jobs in hotels 31,200 in 2023.
- Female representation in hotel workforce 58% nationally 2023.
- Sydney hotels 22,000 direct jobs, 40% of NSW total.
- Casual staff accounted for 45% of hotel employees in 2023.
- Gold Coast hotel employment 18,900 in 2023.
- Labour turnover rate in hotels 32% annually 2023.
- Brisbane hotels 14,500 workers amid expansion.
- Apprenticeships in hotels numbered 4,200 in 2023.
- Perth hotel jobs grew 25% to 12,300 in 2023.
- International student workers in hotels 15% of casual staff 2023.
- Melbourne hotel employment recovered to 19,800 in 2023.
- Average hours worked per hotel employee 34.2 weekly 2023.
- Luxury hotels employed 28,000 staff nationally.
- Regional QLD hotel jobs 9,500 in 2023.
- Wage growth in hotels 5.8% to AUD 32.50 hourly 2023.
- Adelaide hotels 7,200 employees, up 10%.
- Disability employment in hotels 4.2% of workforce 2023.
- Canberra hotel staff 4,100 steady in 2023.
- Darwin hotels employed 2,800 amid tourism boom.
- Underemployment rate in hotels 18% in 2023.
- Management roles grew 8% to 15,000 in hotels 2023.
- Tasmania hotel workforce 3,900 in FY2023.
Employment Statistics Interpretation
Financial Performance
- In FY2023, the Australian hotel industry generated total revenue of AUD 14.2 billion, a 18.4% increase from FY2022 driven by post-COVID recovery.
- New South Wales hotels achieved AUD 5.1 billion in revenue in 2023, accounting for 36% of national hotel revenue.
- Average profit margin for Australian hotels rose to 28.5% in 2023 from 22.1% in 2022 due to higher occupancy.
- RevPAR for Australian hotels reached AUD 142 in Q4 2023, up 12% year-over-year.
- Queensland's hotel sector reported AUD 3.8 billion revenue in 2023, boosted by international tourism rebound.
- Victoria hotels saw a 25% revenue growth to AUD 2.9 billion in FY2023 amid events recovery.
- Average daily rate (ADR) for luxury hotels in Australia averaged AUD 285 in 2023.
- Total Profit Before Tax for Australian hotels was AUD 3.97 billion in 2023.
- Sydney CBD hotels generated AUD 2.4 billion revenue, 47% of NSW total in 2023.
- Midscale hotels contributed 42% of total industry revenue at AUD 6.0 billion in 2023.
- EBITDA for Australian hotel sector hit AUD 4.5 billion in FY2023, a record high.
- Gold Coast hotels revenue surged 32% to AUD 1.8 billion in 2023.
- Independent hotels achieved 15% revenue growth to AUD 4.2 billion nationally in 2023.
- Melbourne hotels revenue recovered to AUD 1.7 billion, up 28% from 2022.
- National hotel GOPPAR reached AUD 210 in 2023, reflecting strong pricing power.
- Perth hotels saw revenue double to AUD 1.2 billion in 2023 due to mining boom.
- Budget hotels generated AUD 2.1 billion, 15% of total revenue in 2023.
- Brisbane hotels revenue hit AUD 1.5 billion, up 22% with Olympics anticipation.
- Upscale segment revenue AUD 3.9 billion, 27% market share in 2023.
- Adelaide hotels revenue grew 19% to AUD 650 million in FY2023.
- Total hotel investment transactions valued at AUD 2.8 billion in 2023.
- Darwin hotels revenue AUD 320 million, 24% growth from defense spending.
- Economy hotels ADR averaged AUD 135, revenue AUD 1.9 billion in 2023.
- Tasmania hotels revenue AUD 450 million, up 16% in 2023.
- Canberra hotels AUD 520 million revenue, boosted by government travel.
- Luxury segment profit margin 35.2% in 2023 nationally.
- National TRevPAR AUD 165 in Q3 2023.
- Regional NSW hotels revenue AUD 1.1 billion, 22% growth.
- Hotel EBITDA margin averaged 32% in 2023.
- TotalPAR for Australia hotels AUD 185 in 2023.
Financial Performance Interpretation
Infrastructure and Supply
- Total room supply in Australian hotels reached 285,000 rooms in 2023.
- New hotel openings added 8,200 rooms nationally in 2023.
- Sydney market has 42,000 hotel rooms as of 2023.
- Pipeline of 25,000 rooms under construction for 2024-2028.
- Gold Coast supply 32,500 rooms, 11% national share.
- Melbourne added 2,100 rooms in 2023 expansions.
- Brisbane hotel rooms totaled 24,000 in 2023.
- Perth supply grew 9% to 18,500 rooms in 2023.
- Luxury hotels represent 15% of total room supply at 42,750 rooms.
- Regional areas have 95,000 hotel rooms in 2023.
- Adelaide supply 12,300 rooms steady growth.
- Independent hotels 48% of room inventory 2023.
- Canberra added 800 rooms in new builds 2023.
- Darwin supply 4,200 rooms, focused on upscale.
- Tasmania hotel rooms 6,800 with eco-focus.
- Branded chains control 52% of national supply.
- NSW total rooms 85,000, largest market.
- Midscale segment 28% supply share 2023.
- Renovations completed on 15,000 rooms in 2023.
- Queensland supply 72,000 rooms post-expansion.
- Victoria rooms 52,000 including apartments.
- Budget hotels 22% of supply at 62,700 rooms.
- Pipeline in Sydney 5,200 rooms for next 3 years.
- Average hotel size 120 rooms nationally 2023.
- Eco-certified hotels 18% of supply in 2023.
- Serviced apartments added to supply 35,000 units.
Infrastructure and Supply Interpretation
Occupancy and Demand
- Australia hotel occupancy rate averaged 68.5% in 2023, up from 55.2% in 2022.
- Sydney hotels occupancy 72.3% in Q4 2023.
- National demand grew 14.7% year-over-year to 45.2 million room nights in 2023.
- Melbourne occupancy recovered to 67.8% annually in 2023.
- Gold Coast peak season occupancy hit 89% in Dec 2023.
- Brisbane hotels 70.1% occupancy, driven by domestic leisure.
- Perth occupancy surged to 74.5% in 2023 from 62% prior year.
- International guest room nights up 85% to 12.5 million in 2023.
- Luxury hotels occupancy 76.2% national average 2023.
- Regional Victoria occupancy 65.4% in FY2023.
- Adelaide CBD occupancy 69.8%, up 11 points from 2022.
- Domestic demand 32.7 million room nights, 72% of total in 2023.
- Canberra winter occupancy 68% in 2023.
- Darwin peak occupancy 82.3% during dry season 2023.
- Tasmania occupancy averaged 64.7%, boosted by nature tourism.
- Midscale hotels occupancy 71.5% nationally 2023.
- Sydney international occupancy share 35% in 2023.
- Queensland average occupancy 73.2% for year ending 2023.
- Budget segment occupancy 66.8% amid value seekers.
- NSW regional occupancy 63.4% in 2023.
- Peak weekend occupancy nationally 85.2% in 2023.
- Business hotel occupancy 69.1% post-hybrid work shift.
- Leisure demand up 22% to 28 million room nights 2023.
- Upscale hotels occupancy 74.8% average 2023.
- Melbourne events drove 78% occupancy in Q2 2023.
- National shoulder season occupancy 62.5% in 2023.
- International arrivals contributed 28% to hotel demand in 2023.
- Perth FIFO worker demand occupancy 79% in mining areas 2023.
Occupancy and Demand Interpretation
Trends and Future Outlook
- Australian hotel industry projected to grow revenue at 6.2% CAGR to AUD 20.1 billion by 2028.
- Occupancy forecasted to reach 72% nationally by 2025.
- International visitor nights expected to hit 120 million by 2028, boosting hotels.
- Sustainability investments in hotels to rise 25% annually through 2027.
- Domestic tourism demand projected 4% growth per year to 2030.
- RevPAR expected AUD 170 by end of 2025.
- Hotel employment to add 25,000 jobs by 2028.
- Brisbane 2032 Olympics to add 10,000 rooms demand spike.
- Tech adoption like contactless check-in in 65% hotels by 2025.
- Bleisure travel to account for 30% of hotel stays by 2027.
- Luxury segment ADR growth 7% CAGR to 2030.
- Regional hotel supply growth 3.5% annually to 2028.
- EV charging stations in 40% of hotels by 2026.
- Gen Z travelers 25% of hotel market by 2028.
- Wellness hotels supply double to 15% by 2027.
- Sydney RevPAR projection AUD 200 by 2026.
- Carbon neutral hotels target 50% by 2030.
- Short-term rental competition to stabilize at 20% market share.
- AI personalization in 55% hotels by 2025.
- Perth mining-driven demand +15% growth to 2028.
- Food & beverage revenue share to 45% by 2027.
- Occupancy in Gold Coast forecast 78% by 2025.
- Investment volumes AUD 3.5 billion annually post-2025.
- Melbourne events calendar to drive 75% occupancy peaks.
- Budget segment growth 5% CAGR through 2030.
- Remote work pods in 30% hotels by 2026.
Trends and Future Outlook Interpretation
Sources & References
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