Accor Reports: Increased Canadian Tourism Amid US Travel Slowdown

Joon Kim

4 min read

Post on Apr 27, 2025

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Increased Canadian Domestic Travel

The rise in domestic tourism in Canada is a significant factor contributing to Accor's positive reports. Several key elements are fueling this trend in Canadian travel:

• The strength of the Canadian dollar relative to other currencies: A stronger Canadian dollar makes international travel more expensive for Canadians, encouraging them to explore destinations within their own country. This has directly impacted Accor's occupancy rates in popular Canadian destinations.

• Increased disposable income among Canadians: Economic factors, such as stable employment and wage growth in certain sectors, have resulted in increased disposable income for many Canadians, allowing them to spend more on leisure activities, including travel. Accor's data reflects this, showing increased spending per booking from Canadian guests.

• Government initiatives promoting domestic tourism: Various government programs and campaigns aimed at boosting domestic tourism have played a crucial role in encouraging Canadians to explore their own backyard. These initiatives have successfully highlighted the diverse and appealing landscapes and experiences Canada offers.

• A growing preference for exploring local destinations and supporting Canadian businesses: There's a rising trend among Canadians to prioritize sustainable and ethical travel, opting for local businesses and supporting the Canadian economy. This shift aligns with Accor's commitment to sustainable tourism practices and community engagement.

Accor reports show a significant increase in occupancy rates and revenue from Canadian travelers, particularly in destinations like Banff National Park, Quebec City, and the Atlantic provinces. These regions saw a substantial boost in bookings compared to pre-pandemic levels.

Slowdown in US Travel to Canada

Conversely, Accor's reports reveal a noticeable slowdown in US travel to Canada. Several factors contribute to this decline in cross-border travel:

• The impact of inflation and higher fuel costs on US travelers' budgets: Rising inflation and increased fuel prices have significantly impacted US travelers' spending power, making international trips, including travel to Canada, less accessible. This is reflected in lower occupancy rates in Accor's hotels near the US border.

• The strengthening of the US dollar, making travel to Canada more expensive: While the Canadian dollar's strength encourages domestic travel, it has simultaneously made Canadian destinations more costly for US tourists. This price increase has deterred some potential visitors.

• Changes in US travel patterns and preferences: The pandemic has altered US travel patterns, with some travelers prioritizing closer-to-home destinations or opting for different types of vacations altogether.

• Potential lingering effects of the pandemic on cross-border travel: While restrictions have eased, some residual hesitancy regarding cross-border travel may still exist among US travelers.

Accor's data clearly demonstrates a decrease in US visitor numbers and revenue compared to pre-pandemic levels and previous years. This drop is particularly evident in regions popular with US tourists, such as Niagara Falls and major cities along the border.

Accor's Response to Shifting Travel Trends

Accor has proactively adapted its strategies to navigate these shifting travel trends. Their response includes:

• Targeted marketing campaigns focused on the Canadian market: Accor has invested in targeted marketing campaigns specifically designed to reach Canadian travelers, highlighting attractive offers and domestic destinations. This strategic shift has yielded positive results.

• Special offers and packages aimed at attracting domestic travelers: Accor has introduced special packages and discounts to incentivize domestic travel within Canada, making vacations more affordable and appealing.

• Investments in improving facilities and services to cater to Canadian preferences: Accor is investing in upgrades and improvements to its Canadian properties to ensure they meet the specific needs and preferences of Canadian travelers.

• Potential partnerships with Canadian tourism boards or businesses: Collaborations with Canadian tourism boards and local businesses offer synergistic opportunities to promote domestic travel and enhance the overall visitor experience.

Quotes from Accor executives regarding their strategic response to the evolving market conditions would further solidify this section and provide valuable insights.

Conclusion

Accor's reports paint a vivid picture of a dynamic shift in the North American tourism landscape. The surge in Canadian domestic travel, fueled by economic factors and government initiatives, has effectively compensated for the slowdown in US cross-border tourism. This situation highlights the adaptability and strategic responsiveness required within the hospitality industry to thrive in a changing market. Understanding these shifts in Canadian tourism and the impact on major hotel groups like Accor is crucial for businesses and travellers alike. To stay informed on the latest trends and insights shaping the Canadian tourism sector and the strategies employed by leading hotel groups like Accor, continue to follow our coverage on Canadian travel and Accor reports.