With Paris hotels generating nearly €8 billion alone and luxury suites seeing unprecedented demand, France's hospitality sector is not just recovering but roaring back to life with record-breaking revenue, remarkable employment growth, and ambitious future investments.
Key Takeaways
- In 2023, the French hotel market reached a total revenue of €20.1 billion, marking a 12% increase from 2022
- Paris hotels alone contributed €7.8 billion to the national hotel revenue in 2023, representing 39% of the total market
- The luxury hotel segment in France generated €4.2 billion in revenue in 2022, up 15% year-over-year
- Occupancy rates in French hotels averaged 65% in 2023, leading to €13.2 billion in room revenue
- Paris hotel occupancy reached 78% in 2023, highest among regions
- Average daily rate (ADR) in Paris hotels was €285 in 2023, up 8% from 2022
- The French hotel sector employed 248,000 direct workers in 2022
- Paris hotels provided 85,000 jobs in 2023, 34% of national total
- Hotel employment grew 5.2% in 2023 to 261,000 full-time equivalents
- International tourists accounted for 75 million overnight stays in French hotels in 2023
- Americans represented 18% of foreign hotel guests in France in 2023 with 13.5 million stays
- British tourists contributed 22 million hotel nights in 2023, down 5% from 2019
- France had 17,841 hotels with 1.2 million rooms as of 2023
- €1.2 billion was invested in new French hotel developments in 2023
- Paris saw 15 new hotel openings totaling 2,500 rooms in 2023
The French hotel industry thrived in 2023 with strong revenue growth across all regions.
Employment and Labor
- The French hotel sector employed 248,000 direct workers in 2022
- Paris hotels provided 85,000 jobs in 2023, 34% of national total
- Hotel employment grew 5.2% in 2023 to 261,000 full-time equivalents
- Women comprised 58% of the hotel workforce in France in 2022
- Seasonal employment in hotels peaked at 120,000 jobs in summer 2023
- Average salary in French hotels was €24,500 annually in 2022
- Luxury hotels employed 45,000 staff with 12% higher wages than average in 2023
- Turnover rate in French hotels was 28% in 2022, highest in housekeeping at 35%
- Provence region hotels had 35,000 employees in 2023
- Training programs certified 15,000 hotel workers in France in 2022
- Part-time workers made up 32% of hotel staff nationally in 2023
- Hotel management roles grew 7% to 18,000 positions in 2023
- Foreign workers accounted for 12% of hotel employment in Paris in 2022
- Employment to reach 280,000 by 2025 with 8% growth in skilled roles
- Digital skills training for 50,000 hotel workers planned by 2027
- Female leadership roles to increase to 25% by 2026
- Seasonal jobs forecasted at 140,000 annually post-2025
- Average wages to rise 4% yearly to €28,000 by 2027
- Turnover expected to drop to 22% with better retention programs by 2026
Employment and Labor Interpretation
While Paris may serve as the glittering crown of the French hotel industry employing a third of its workers, the sector's future hinges not just on filling a forecasted 280,000 positions, but on finally addressing its high turnover and gender leadership gap with better wages and training—lest the only thing growing faster than guest bookings is the revolving door for staff.
Infrastructure and Investment
- France had 17,841 hotels with 1.2 million rooms as of 2023
- €1.2 billion was invested in new French hotel developments in 2023
- Paris saw 15 new hotel openings totaling 2,500 rooms in 2023
- Renovation investments in existing hotels reached €3.5 billion in 2022
- Luxury hotel pipeline includes 50 projects with 8,000 rooms by 2027
- Budget hotel chains expanded by 4,000 rooms in provinces in 2023
- Green certifications were obtained by 1,200 hotels in France by 2023
- Hotel room supply grew 2.1% to 1.22 million in 2023
- Transaction volume in hotel assets hit €2.8 billion in 2023, up 25%
- 35% of hotels were independently owned in 2023, totaling 6,244 properties
- Digital room keys implemented in 25% of midscale hotels by 2023
- New hotel rooms to add 50,000 by 2027, focusing on sustainable builds
- Investment volume forecasted at €3.5 billion annually from 2024-2028
- 40% of hotels to be green-certified by 2030
Infrastructure and Investment Interpretation
With an army of over 17,800 hotels polishing their brass or sprouting new green shoots, France’s hospitality sector is frantically renovating its heritage, investing billions in luxury dreams and budget practicality, all while racing to hand you a digital key to a more sustainable future.
Occupancy Rates and ADR
- Occupancy rates in French hotels averaged 65% in 2023, leading to €13.2 billion in room revenue
- Paris hotel occupancy reached 78% in 2023, highest among regions
- Average daily rate (ADR) in Paris hotels was €285 in 2023, up 8% from 2022
- RevPAR in Côte d'Azur hotels hit €180 in summer 2023 with 85% occupancy
- French hotels saw monthly occupancy peak at 72% in July 2023
- Budget hotels maintained 68% occupancy in 2023, with ADR of €85
- Luxury hotels in France averaged 62% occupancy and €450 ADR in 2023
- Post-COVID recovery saw national occupancy rise from 52% in 2021 to 65% in 2023
- Lyon hotels achieved 70% occupancy and €140 ADR in 2023
- Marseille port area hotels had 67% occupancy with €120 ADR in Q3 2023
- French ski resort hotels reached 82% occupancy in winter 2022-2023 season
- Upscale hotels' RevPAR grew 11% to €155 in 2023 nationally
- Bordeaux hotels averaged 69% occupancy and €135 ADR in 2023
- Normandy coastal hotels hit 75% occupancy in summer 2023
- Occupancy forecasted at 68% in 2024 with ADR €150
- Paris post-Olympics occupancy to stabilize at 75% in 2025
- RevPAR growth of 7.5% expected in Côte d'Azur to €195 by 2025
- Budget segment ADR to rise to €95 by 2026
- National occupancy to average 67% in 2024
- Luxury RevPAR projected €480 in Paris by 2027
- Winter resort occupancy to hit 85% annually by 2026
Occupancy Rates and ADR Interpretation
Paris continues to be France’s indulgent cash cow, proving that travelers will pay a king's ransom for a pillow, while the rest of the country hums along on more modest, yet steadily recovering, dreams.
Revenue and Market Size
- In 2023, the French hotel market reached a total revenue of €20.1 billion, marking a 12% increase from 2022
- Paris hotels alone contributed €7.8 billion to the national hotel revenue in 2023, representing 39% of the total market
- The luxury hotel segment in France generated €4.2 billion in revenue in 2022, up 15% year-over-year
- Midscale hotels accounted for 28% of France's hotel revenue totaling €5.6 billion in 2023
- Regional hotels outside Paris generated €12.3 billion in 2023, with Provence-Alpes-Côte d'Azur leading at €2.1 billion
- The average daily rate (ADR) for French hotels rose to €142 in 2023 from €128 in 2022
- Hotel revenue per available room (RevPAR) in France hit €92 in Q4 2023, a 10.5% increase
- Total bednights sold in French hotels reached 280 million in 2023, generating €19.8 billion
- Independent hotels contributed 45% of total revenue at €9.05 billion in 2022
- Chain-affiliated hotels saw revenue growth of 14% to €11 billion in 2023
- The French hotel industry's GDP contribution was €25.4 billion in 2022, including indirect effects
- Occupancy rates projected to reach 70% by 2025 with RevPAR at €110
- Hotel revenue expected to grow to €23.5 billion by 2027 at 4% CAGR
- Paris luxury segment to add €1.5 billion revenue by 2026
- Sustainable tourism to boost midscale revenue by 18% by 2028
- Regional RevPAR growth forecasted at 6% annually to 2025
- Total market value projected at €28 billion by 2030
- E-commerce bookings to drive 35% revenue increase by 2026
Revenue and Market Size Interpretation
The French hotel industry is proving you can have your croissant and eat it too, with Parisian luxury padding the national coffers while regional and midscale sectors show that robust growth doesn't require a Champs-Élysées address.
Tourist Demographics
- International tourists accounted for 75 million overnight stays in French hotels in 2023
- Americans represented 18% of foreign hotel guests in France in 2023 with 13.5 million stays
- British tourists contributed 22 million hotel nights in 2023, down 5% from 2019
- Domestic French tourists made 65% of hotel stays totaling 182 million nights in 2023
- Chinese visitors to French hotels numbered 2.8 million in 2023, recovering to 85% of pre-COVID levels
- Business travelers occupied 28% of hotel rooms in Paris in 2023
- Leisure tourists dominated with 72% of stays in coastal hotels in summer 2023
- German tourists accounted for 15 million hotel nights in 2023
- Families with children represented 35% of hotel guests in rural France in 2023
- Millennials (25-40) made up 42% of hotel bookings via digital platforms in 2023
- Average length of stay for international guests was 3.2 nights in French hotels in 2023
- Group tourists filled 22% of hotel capacity in conference cities like Lyon in 2023
- International tourists projected at 90 million stays by 2028
- US market share to grow to 22% of foreign stays by 2027
- Chinese arrivals to reach 4 million hotel guests annually by 2026
- Business travel to rebound to 35% of occupancy by 2025
- Average stay length to increase to 3.5 nights for Europeans by 2026
- Gen Z travelers to represent 30% of bookings by 2028
Tourist Demographics Interpretation
While international tourists—now led by Americans taking nearly one in five foreign stays—are briskly recovering, the true backbone of the French hotel industry remains its own citizens, who, ignoring the coastal summer leisure crowds and Parisian business travelers, quietly filled two out of every three beds nationwide, proving the most enduring love affair with France is still a domestic one.
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