Denver, Nov. 15, 2016—As of Oct. 31, a fifth consecutive summer lodging record was confirmed among participating properties at western mountain resorts in seven states according to the most recent Monthly Mountain Briefing released by Denver-based DestiMetrics.* Aggregated occupancy was up 6.6 percent for the six months from May-October compared to the same period last summer and led to a very strong 14.6 percent increase in aggregated revenues. Increases in occupancy were reported in all six months.
“We’ve grown accustomed to announcing summer records for the past few years and the momentum has remained strong and steady for quite some time,” observed Ralf Garrison, director of DestiMetrics. “It has certainly become clear that nearly all the players in the mountain travel industry have found that reliable sweet spot that will help drive their destination resorts toward true, year-round mountain tourism and based on all the indicators and trends we are tracking, we expect it to continue.”
Although aggregated data results were up in occupancy, average daily rate, and total revenues, there were some variations between the Rocky Mountain region (Colorado, Montana, Utah, Wyoming) and the Far West (California, Nevada, Oregon).
The majority of growth was tallied in the Rocky Mountain resorts where many destinations continue to promote three-season destination tourism as their business model. The region posted a 7.1 percent gain in occupancy and a 15.6 percent growth in revenue for the summer although they still lag behind the Far West in absolute summer occupancy.
The Far West region has a more established summer product but posted more uneven results this summer with occupancy increasing in three of the summer months and declining in three of the months. Aggregated occupancy for the region was up a slight 1.7 percent with revenues up 5.7 percent.
“For the first time, we’ve noticed some cracks in the continued growth of the Far West’s summer market,” explained Tom Foley, operations director for DestiMetrics. “This is due in part to their own success, where peak business results in limited inventory on weekends and holidays and surplus capacity on weekdays. Whether or not the going drought and high heat scenarios in the Far West play a role in summer business is not apparent, but it seems counterintuitive,” he added.
*DestiMetrics tracks resort performance in mountain destinations, compiling forward-looking reservation data on a monthly basis and aggregating and reporting the results to subscribers at participating resorts. Data for western resorts is derived from a sample of approximately 290 property management companies in 19 mountain destination communities, representing approximately 30,000 rooms across Colorado, Utah, California, Nevada, Oregon, Wyoming, and Montana and may not reflect the entire mountain destination travel industry. Results may vary significantly among/between resorts and participating properties.