Hotels - Puerto Rico

Puerto Rico

Highlights

The Hotels market in Puerto Rico is expected to experience a significant increase in revenue over the next few years.
According to projections, the revenue in this market is expected to reach US$26.37m by 2024, with an anticipated annual growth rate of 3.31% from 2024 to 2029.
This would result in a projected market volume of US$31.03m by 2029.
By 2029, the Hotels market in Puerto Rico is expected to have 241.30k users users, indicating a user penetration of 7.4%.
This is a considerable increase from the 6.3% user penetration projected for 2024.
The average revenue per user (ARPU) is expected to reach US$127.00, which is a positive sign for players in the market.
Online sales are projected to contribute significantly to the overall revenue in the Hotels market in Puerto Rico, accounting for 72% of the total revenue by 2029.
It is worth noting that in global comparison, United States is projected to generate the most revenue in the Hotels market, with an estimated revenue of US$111bn in 2024.
Puerto Rico's hotel market is experiencing a rise in eco-tourism, with many properties implementing sustainable practices and offering nature-based activities.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Hotels market in Puerto Rico is experiencing a notable shift in consumer preferences, market trends, and local special circumstances.

Customer preferences: Travelers in Puerto Rico are increasingly seeking unique and authentic experiences, leading to a rise in demand for boutique hotels and eco-friendly accommodations. Visitors are also placing a higher importance on amenities such as local cuisine, wellness facilities, and cultural activities, driving hotels to adapt their offerings to cater to these preferences.

Trends in the market: One of the prominent trends in the Puerto Rican Hotels market is the growing popularity of all-inclusive resorts, which offer convenience and value for visitors looking to relax and unwind without worrying about additional expenses. Additionally, the market is seeing an increase in investments in luxury hotels and resorts, aiming to attract high-end travelers seeking upscale experiences on the island.

Local special circumstances: Puerto Rico's unique status as a U. S. territory presents both opportunities and challenges for the Hotels market. The island's rich history, vibrant culture, and natural beauty make it a desirable destination for tourists, driving the hospitality sector's growth. However, factors such as infrastructure limitations, natural disasters, and economic fluctuations can impact the market's stability and resilience.

Underlying macroeconomic factors: The Hotels market in Puerto Rico is influenced by various macroeconomic factors, including tourism trends, government policies, and global economic conditions. Fluctuations in travel demand, currency exchange rates, and regulatory changes can significantly impact the market's performance and profitability. As the island continues to recover from past challenges and invest in tourism infrastructure, the Hotels market is poised for further development and expansion in the coming years.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and sales channels of hotels.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, the Global Consumer Survey, third-party studies and reports, data from industry associations (e.g., UNWTO), and price data of major players in respective markets. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as country-related GDP, demographic data (e.g., population), tourism spending, consumer spending, internet penetration, and device penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, and exponential trend smoothing methods are applied. A k-means cluster analysis allows for the estimation of similar countries. The main drivers are tourism GDP per capita and respective price indices.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.