When the number of people visiting Calgary plunges, the suite life isn't so sweet

With a recovering oil industry, will Calgary's tourism industry return to the suite spot again? Or is there reservations?


What’s Up.

Calgary's tourism inn-dustry has become an important part of the city’s economy. But like everything else, it suffered through a vacant 2016 due to the continued collapse in oil prices. 

Broken down.

In 2016, vacancy rates in the city were down 5.8 per cent from 2015 and the average daily room rate dropped eight per cent to $145.55. 

According to Tourism Calgary’s 2016 annual report, the number of visitors checking-in to Calgary fell by 10.5 per cent to just over 7.2 million people. Those percentage drops mean a lot when visitor spending is still in the billions.   

According to Cindy Ady CEO of Tourism Calgary, hotels in the city have traditionally relied on business travel to account for 25 per cent of their occupancy rates. Meanwhile, business travel occupancy in most other Canadian cities is only 11 per cent.

Broken down even more.

Upon further inn-spection Dan DeSantis, chair of the Calgary Hotel Association who oversees the Calgary Marriott Main Terminal Hotel and the Delta Calgary Airport and Terminal Hotel, says the association makes the assumption that a large portion of  declining room occupancy is due to the business travel sector. This year to date the number of rooms sold are up almost 5 per cent compared to last year, which coincides to a recovery in the economy.

With a recovering oil industry, will Calgary's tourism industry return to the suite spot again? Or is there reservations? 

Britni WestonComment