What is the future of the hotel industry and what are its prospects?

According to the latest "2019 China Hotel Industry Development Monitoring and Business Investment Decision Analysis Report" released by iiMedia Consulting, in 2019, China's hotel industry maintained a pyramid-shaped market structure in terms of quantity, scale and grade. .

iiMedia Reserach (iiMedia Consulting) big data monitoring shows that the proportion of serving the mass market reaches 92.6%, which reflects the people's livelihood attribute of the hotel industry serving mass consumption.

During this period, online short-term rental platforms with tourism as the main scenario have gradually gained favor among consumers. The structure of the hotel industry will gradually improve and mature. Investors should make investments based on the development characteristics of hotels of different grades and consider the hotels' different strategies for investing in the market and other factors.

The development of China's tourism industry stimulates the growth of the hotel industry

China's domestic tourism revenue maintained growth from 2011 to 2018. In 2018, China's domestic tourism revenue reached 5.1 trillion yuan, and is expected to reach 5.1 trillion yuan in 2019. 6.1 trillion yuan. The development of China's tourism industry is stimulating the growth of demand in the hotel industry.

The overall operating situation of China's hotel industry: enterprises have a heavy burden

In 2017, the employee compensation payable by Chinese hotels was 27.2% of turnover, an increase of 13.3% over the previous year; rent was 10.7% of the total amount, an increase of 42.7% over the previous year. Rising costs offset room for revenue growth. Overall, companies in the hotel industry have a heavy burden, with a profit margin of only 1.0%, a decrease of 9.1% from the previous year. The profitability level is low and they are facing transformation pressure.

The market structure of China's hotel industry: Transformation to a large accommodation industry

From the perspective of industry composition, the hotel industry maintains a pyramid-shaped market structure in terms of quantity, scale and grade. High-end hotels Accounting for 7.4%, mid-range hotels accounted for 28.6%, budget chain hotels accounted for 21.1%, and other hotels accounted for 41.9%. Overall, the proportion of businesses serving the mass market is as high as 92.6%, reflecting the transformation of the hotel industry into the large accommodation industry and the people's livelihood attribute of serving mass consumption.

If you want to know more reports about the hotel industry, please click /report.jsp?reportId=36297 to download the "2019 China Hotel Industry Development Monitoring and Business Investment Decision Analysis Report"