Beyond the stunning postcard landscapes lies an economic powerhouse: in 2023 alone, Canada's hospitality industry served up a staggering $105.6 billion contribution to the national GDP, a vibrant sector rebounding with remarkable force.
Key Takeaways
- In 2023, the Canadian hospitality industry contributed $105.6 billion to the national GDP, representing 5.2% of total GDP
- The hospitality sector's direct GDP contribution grew by 12.4% year-over-year in 2023 from $94.1 billion in 2022
- Total revenue in Canada's accommodation and food services industry reached $78.4 billion in 2023, up 14.7% from 2022
- In 2022, hospitality supported 1.8 million jobs, representing 9.4% of total employment in Canada
- The sector employed 1,285,000 people in accommodation and food services as of December 2023, up 4.2% from the previous year
- Average hourly wage in hospitality was $21.45 in 2023, 15% below the national average of $25.28
- Canada had 8,452 hotels and motels in 2023, with a total of 1,247,890 rooms available
- Hotel occupancy rate nationwide averaged 65.4% in 2023, recovering to 92% of pre-pandemic levels
- Average Daily Rate (ADR) for Canadian hotels reached CAD 178.52 in 2023, a 9.8% increase from 2022
- Full-service restaurants numbered 28,450 in Canada in 2023, generating $45.2 billion in sales
- Limited-service restaurants saw 42,310 establishments in 2023, with total sales of $38.7 billion, up 11.3% from 2022
- Average check per guest in Canadian restaurants was CAD 25.80 in 2023, reflecting a 7.2% inflation adjustment
- International tourist arrivals to Canada reached 19.8 million in 2023, 85% of 2019 levels
- Domestic tourism trips totaled 368 million in 2023, generating $92 billion in spending
- U.S. visitors accounted for 12.4 million overnight trips to Canada in 2023, up 22% from 2022
Canada's hospitality sector is a major economic driver with strong post-pandemic recovery and growth.
Accommodation Sector
- Canada had 8,452 hotels and motels in 2023, with a total of 1,247,890 rooms available
- Hotel occupancy rate nationwide averaged 65.4% in 2023, recovering to 92% of pre-pandemic levels
- Average Daily Rate (ADR) for Canadian hotels reached CAD 178.52 in 2023, a 9.8% increase from 2022
- Revenue per Available Room (RevPAR) in major Canadian markets hit CAD 116.70 in 2023, up 12.5% YoY
- Short-term rentals like Airbnb contributed 45,000 listings in urban Canada in 2023, generating $2.1 billion in revenue
- Vancouver hotel market had 65.2% occupancy and CAD 212 ADR in 2023
- Toronto's hotel RevPAR surged 15.3% to CAD 145 in 2023, driven by conventions
- Boutique hotels (under 100 rooms) grew 8.2% in inventory to 1,250 properties in 2023
- Campground occupancy averaged 58.7% in summer 2023, with 2,800 sites nationwide
- Luxury hotel segment ADR hit CAD 350+ in 2023, with 78 properties
- Calgary hotel occupancy was 67.8% with RevPAR CAD 132 in 2023
- Montreal's ADR increased 11.2% to CAD 192 in 2023 amid festival season
- Extended-stay hotels grew 12% in supply to 15,000 rooms in 2023
- Resort properties reported 72.4% occupancy in peak season 2023
- Budget hotels (ADR under CAD 150) held 42% market share in 2023
- Banff resort occupancy 84.2% with ADR CAD 285 in 2023 peak season
- Niagara Falls hotels RevPAR CAD 198, up 14% from conventions 2023
- Vacation rentals supply 120,000 units, 25% YoY growth in 2023
- Glamping sites expanded to 3,500 with 92% occupancy in summer 2023
- Midscale hotels ADR CAD 165 average across 3,200 properties 2023
Accommodation Sector Interpretation
Canada's hotel industry is finally checking out of its pandemic slump, having cleverly swapped the complimentary soap for higher prices—though guests are clearly still willing to stay, even if it means glamping in a fancy tent, squeezing into an Airbnb, or navigating the festival-fueled chaos of cities where room rates now ascend faster than the CN Tower.
Economic Impact
- In 2023, the Canadian hospitality industry contributed $105.6 billion to the national GDP, representing 5.2% of total GDP
- The hospitality sector's direct GDP contribution grew by 12.4% year-over-year in 2023 from $94.1 billion in 2022
- Total revenue in Canada's accommodation and food services industry reached $78.4 billion in 2023, up 14.7% from 2022
- Hospitality exports, primarily tourism-related, totaled $24.7 billion in 2023, accounting for 2.8% of Canada's total exports
- The industry's total economic output multiplier effect was 2.35 in 2023, meaning every $1 spent generates $2.35 in total output
- The Canadian hospitality industry contributed $105.6 billion to GDP in 2023, with a 5.2% share
- Hospitality revenue grew 14.7% to $78.4 billion in accommodation and food services in 2023
- Sector's indirect employment multiplier was 1.8 in 2023, supporting additional 900,000 jobs
- Tax revenue from hospitality totaled $18.2 billion in 2023, including GST and provincial sales taxes
- Investment in hospitality assets reached $4.7 billion in 2023, focused on urban hotel renovations
- Alberta hospitality GDP share was 6.1% at $9.8 billion in 2023
- Quebec's sector revenue grew 16.2% to $18.4 billion in 2023
- British Columbia hospitality taxes contributed $3.2 billion provincially in 2023
- National hospitality capital expenditure was $5.1 billion in 2023, 40% on tech upgrades
- Induced economic effects from hospitality spending totaled $32.7 billion in 2023
- Manitoba hospitality employment was 78,000, growing 5.1% in 2023
- Saskatchewan sector GDP contribution 4.8% or $2.9 billion in 2023
- Atlantic provinces hospitality revenue $12.1 billion, up 13% in 2023
- Sustainability investments in hospitality $1.8 billion for green retrofits in 2023
- Digital booking revenue share 62% of total hospitality sales in 2023
Economic Impact Interpretation
While our hospitality industry may be busy pouring pints and fluffing pillows, it's also quietly pouring $105.6 billion into the national economy, proving that a good night's sleep and a great meal are unexpectedly potent economic engines.
Employment Statistics
- In 2022, hospitality supported 1.8 million jobs, representing 9.4% of total employment in Canada
- The sector employed 1,285,000 people in accommodation and food services as of December 2023, up 4.2% from the previous year
- Average hourly wage in hospitality was $21.45 in 2023, 15% below the national average of $25.28
- Youth employment (15-24 years) in hospitality accounted for 28.6% of the sector's workforce in 2023
- Female workers comprised 54.3% of hospitality employment in 2023, with higher concentrations in food services at 58.1%
- Hospitality employment in Ontario alone was 612,000 in 2023, 32% of national total
- Turnover rate in hospitality averaged 42.5% in 2023, highest among service industries
- Immigrant workers made up 32.1% of hospitality workforce in 2023, up from 28.4% in 2019
- Part-time employment ratio was 45.2% in hospitality in 2023, compared to 18% national average
- Training investments in hospitality reached $1.2 billion in 2023, focusing on digital skills
- Seasonal employment peaked at 450,000 jobs in July 2023, 35% of annual total
- Hospitality union membership rate was 12.4% in 2023, highest in food services at 18%
- Skills shortage affected 67% of hospitality businesses in 2023, per survey of 2,500 firms
- Average tenure for hospitality workers was 2.8 years in 2023, down from 3.2 in 2019
- Indigenous employment in hospitality rose to 4.2% of workforce, or 54,000 jobs in 2023
- Newfoundland hospitality jobs 28,500 with 3.2% growth in 2023
- Remote worker visas boosted hospitality stays by 15% in rural areas 2023
- Mental health support programs covered 65% of hospitality firms in 2023
- Gig economy workers in hospitality 180,000 via apps in 2023
- Apprenticeships completed 12,400 in hospitality trades in 2023
Employment Statistics Interpretation
While the Canadian hospitality industry proudly serves as a vital economic engine and a first-chapter employer for nearly a tenth of the workforce, its foundation is precariously built on a high-turnover, part-time model that offers below-average wages, even as it increasingly depends on the resilience of women, youth, and immigrants to fill a persistent and costly skills gap.
Foodservice Sector
- Full-service restaurants numbered 28,450 in Canada in 2023, generating $45.2 billion in sales
- Limited-service restaurants saw 42,310 establishments in 2023, with total sales of $38.7 billion, up 11.3% from 2022
- Average check per guest in Canadian restaurants was CAD 25.80 in 2023, reflecting a 7.2% inflation adjustment
- Bars and taverns reported $12.4 billion in revenue in 2023, with 15,200 locations nationwide
- Foodservice industry labor productivity grew 3.1% in 2023, reaching $52,400 per worker annually
- Quick-service restaurants sales volume increased 10.4% to 12.5 billion transactions in 2023
- Fine dining establishments reported 22% profit margin improvement in 2023 due to premium pricing
- Delivery and takeout sales comprised 28% of foodservice revenue at $22.1 billion in 2023
- Pubs saw 16.3% growth in craft beer sales volume to 450 million liters in 2023
- Catering services generated $8.9 billion in 2023, serving 45 million events
- Coffee shop chains expanded to 18,500 locations with $14.2 billion sales in 2023
- Plant-based menu items grew 34% in restaurants to 12,000 options in 2023
- Hotel F&B outlets revenue was $9.8 billion, 22% of total hotel income in 2023
- Food trucks numbered 4,200 generating $850 million in urban sales 2023
- Banquet and event catering hit $4.5 billion post-recovery in 2023
- Casual dining chains sales $28.4 billion from 9,800 locations in 2023
- Alcohol sales in restaurants up 9.7% to $18.6 billion in 2023
- Vegan/vegetarian restaurants grew to 2,100 outlets, $1.2B sales 2023
- Institutional foodservice (hotels/schools) $15.3 billion in 2023
- Off-premise alcohol consumption drove 22% tavern revenue growth 2023
Foodservice Sector Interpretation
While Canadians savored their $25.80 average check, the industry's real story was a clever pivot: fewer full-service seats but more transactions, as quick-service, delivery, and craft beer profits quietly ate the fine dining lunch.
Tourism Trends
- International tourist arrivals to Canada reached 19.8 million in 2023, 85% of 2019 levels
- Domestic tourism trips totaled 368 million in 2023, generating $92 billion in spending
- U.S. visitors accounted for 12.4 million overnight trips to Canada in 2023, up 22% from 2022
- Tourism spending on hospitality services was $47.3 billion in 2023, 51% of total visitor expenditure
- Adventure tourism segment grew 18.5% in 2023, attracting 4.2 million participants spending $6.8 billion
- Overseas visitors spent $15.6 billion on hospitality in 2023, led by UK and France
- Business travel recovery reached 78% of 2019 levels with 9.2 million trips in 2023
- Eco-tourism bookings rose 25% in 2023, with 3.1 million visitors to national parks
- Cruise passenger arrivals hit 2.4 million in 2023, generating $450 million in port spending
- Culinary tourism attracted 7.8 million foodies spending $12.4 billion in 2023
- Leisure travel dominated with 68% of 2023 trips, 250 million nights stayed
- Winter sports tourism drew 5.6 million visitors spending $4.2 billion in 2023
- Cultural tourism revenue was $11.7 billion from 16 million attendees in 2023
- Rural tourism grew 21% with 42 million day trips in 2023
- Medical tourism patients numbered 120,000 spending $1.8 billion in 2023
- Family travel trips 112 million, 40% involving hospitality stays 2023
- Wellness tourism market $7.9 billion from 4.5 million retreats 2023
- Film tourism boosted by 2.1 million visitors to sets, $900M spend 2023
- Indigenous tourism operators 1,200, revenue $450 million in 2023
- Sports event tourism 8.4 million attendees, $5.6B hospitality spend 2023
Tourism Trends Interpretation
Canada's hospitality industry in 2023 reveals a nation fervently celebrating homegrown adventures and culinary delights while still gently coaxing international guests back, proving that while we're happy to explore our own backyard, we're eagerly setting an extra place at the table for the world.
Sources & References
- Reference 1STATCANstatcan.gc.caVisit source
- Reference 2STATCANwww150.statcan.gc.caVisit source
- Reference 3INTERNATIONALinternational.gc.caVisit source
- Reference 4DESTINATIONCANADAdestinationcanada.comVisit source
- Reference 5STATISTAstatista.comVisit source
- Reference 6STRstr.comVisit source
- Reference 7CBREcbre.caVisit source
- Reference 8HOSPITALITYINVESTORhospitalityinvestor.comVisit source
- Reference 9AIRBNBairbnb.caVisit source
- Reference 10RESTAURANTSCANADArestaurantscanada.orgVisit source
- Reference 11TECHNOMICtechnomic.comVisit source
- Reference 12PRODUCTIVITYAUTHORITYproductivityauthority.caVisit source
- Reference 13TIAC-AITCtiac-aitc.caVisit source
- Reference 14ADVENTURETRAVELadventuretravel.bizVisit source
- Reference 15CONFERENCEBOARDconferenceboard.caVisit source
- Reference 16CANADAcanada.caVisit source
- Reference 17PWCpwc.comVisit source
- Reference 18ONTARIOontario.caVisit source
- Reference 19WORKFORCEworkforce.comVisit source
- Reference 20CTHRCcthrc.caVisit source
- Reference 21HOSPITALITYNEThospitalitynet.orgVisit source
- Reference 22HOTELDIVEhoteldive.comVisit source
- Reference 23CAMPERSVILLAGEcampersvillage.caVisit source
- Reference 24FORBESforbes.comVisit source
- Reference 25NPDnpd.comVisit source
- Reference 26CORUS360corus360.comVisit source
- Reference 27BREWERSASSOCIATIONbrewersassociation.caVisit source
- Reference 28CATERSOURCEcatersource.comVisit source
- Reference 29CEICDATAceicdata.comVisit source
- Reference 30GBTAgbta.orgVisit source
- Reference 31PARKSparks.canada.caVisit source
- Reference 32CRUISEBCcruisebc.comVisit source
- Reference 33ALBERTAalberta.caVisit source
- Reference 34TOURISMEtourisme.gouv.qc.caVisit source
- Reference 35GOVwww2.gov.bc.caVisit source
- Reference 36DELOITTEdeloitte.comVisit source
- Reference 37WORKFORCEESSENTIALSworkforceessentials.caVisit source
- Reference 38SAC-ISCsac-isc.gc.caVisit source
- Reference 39COLLIERScolliers.comVisit source
- Reference 40HVShvs.comVisit source
- Reference 41RESORTHOSPITALITYresorthospitality.comVisit source
- Reference 42PKFHOSPITALITYpkfhospitality.comVisit source
- Reference 43DALMENYdalmeny.caVisit source
- Reference 44AHLAahla.comVisit source
- Reference 45FOODTRUCKNATIONfoodtrucknation.caVisit source
- Reference 46EVENTSINDUSTRYeventsindustry.caVisit source
- Reference 47SKIski.caVisit source
- Reference 48CANADACOUNCILcanadacouncil.caVisit source
- Reference 49RURALCANADAruralcanada.caVisit source
- Reference 50CMEcme.orgVisit source
- Reference 51GOVgov.mb.caVisit source
- Reference 52SASKATCHEWANsaskatchewan.caVisit source
- Reference 53ATLANTICCANADAPARTNERSatlanticcanadapartners.comVisit source
- Reference 54GREENKEYgreenkey.globalVisit source
- Reference 55PHOCUSWRIGHTphocuswright.comVisit source
- Reference 56GOVgov.nl.caVisit source
- Reference 57IRCCircc.canada.caVisit source
- Reference 58MENTALHEALTHCOMMISSIONmentalhealthcommission.caVisit source
- Reference 59UBERuber.comVisit source
- Reference 60REDSEALSredseals.caVisit source
- Reference 61TOURISMNIAGARAtourismniagara.comVisit source
- Reference 62VRBOvrbo.comVisit source
- Reference 63GLAMPINGHUBglampinghub.comVisit source
- Reference 64HOTELSMAGhotelsmag.comVisit source
- Reference 65RESTAURANTNEWSrestaurantnews.comVisit source
- Reference 66AGCOagco.caVisit source
- Reference 67HAPPY牛happy牛.caVisit source
- Reference 68ACA-CONNECTSaca-connects.orgVisit source
- Reference 69LCBOlcbo.comVisit source
- Reference 70FAMILYTRAVELfamilytravel.orgVisit source
- Reference 71GLOBALWELLNESSINSTITUTEglobalwellnessinstitute.orgVisit source
- Reference 72TELEFILMtelefilm.caVisit source
- Reference 73ITACitac.caVisit source
- Reference 74SPORTCANADAsportcanada.caVisit source