Major U.S. Cities Witness Tourism Slowdown as Hotel Occupancy Plummets
Several major U.S. cities, including Las Vegas, Houston, New Orleans, and San Francisco, are grappling with a significant slowdown in tourism. This downturn is reflected in the sharp decline in hotel occupancy rates over recent months.
In Las Vegas, hotel occupancy witnessed a nearly 15% drop in June, with July figures plummeting to 66.7%. This downturn is largely attributed to a decrease in international arrivals, a slump in business travel, and heightened budget sensitivity among domestic tourists. The spending by international tourists has seen a decrease by a whopping $20 billion, largely due to stricter immigration policies, escalating travel costs, and currency pressures.
Major retail hubs like New York, Los Angeles, and Chicago are also bearing the brunt of this downturn. The reduced purchasing power of foreign visitors is discouraging them from splurging on luxury goods. Industry experts caution that if this trend persists into the fall, the hospitality sector could be staring at even more profound challenges.
Source: Travel and Tour World