Hotel Industry Statistics in Canada

Canada is a popular tourist destination and the hotel industry is a crucial sector of this industry. Along with the rest of the industry, the hotel industry was hit hard by the COVID-19 pandemic in Canada as well as the rest of the world. For a year and a half, the industry suffered from travel restrictions put in place to prevent the spread of the virus.

All travel restrictions were finally removed in Canada in October 2022 and since then the hotel industry in Canada has had the opportunity to recover. In this article, we look at how the pandemic affected the Canadian hotel industry and how the recovery is going among other interesting hotel industry statistics.

Hotel Industry Statistics for Canadians

• Hotel industry revenue in Canada exceeded pre-pandemic levels and continued to grow through 2024 and 2025.
• By 2024, demand for hotel rooms in Canada was around 4–5% higher than in 2019, indicating a full recovery.
• Corporate hotel stays had returned to pre-pandemic levels by 2024, alongside continued growth in weekend stays.
• Canada has four cities in the global top five for the greenest hotel stays.
• Wyndham Hotels & Resorts is the largest hotel group operating in Canada.
• Around 82% of hotel stays in Canada were booked online in 2024, with Expedia accounting for approximately 29% of bookings.

Canadian Hotel Industry

Before the pandemic, in 2019, the Canadian hotel industry revenue was $8.66 billion. As the pandemic restricted travel in 2020, the revenue decreased to just $2.82 billion and it did not recover until two years later. In 2022, the revenue was $9.07 billion, surpassing the revenue from before the pandemic.

Based on the latest available data, hotel industry revenue reached approximately $10.2 billion in 2024 and was expected to increase further to around $10.5 billion in 2025. Longer-term forecasts suggest revenue will reach about $11 billion by 2027, giving the hotel industry an annual growth rate of around 1.4%. During the same period, the number of hotel users is expected to grow to just over 18 million per year.

Canadian Hotel Industry in 2023 – 2024

The Canadian hotel industry continued to show strong results in 2023 and 2024. The Average Daily Rate (ADR) and Revenue Per Available Room (RevPAR) were above pre-pandemic levels, while occupancy continued to improve as both international and corporate travel recovered further compared to 2022.

In 2023, hotels continued to take advantage of their ability to adjust average rates daily to respond to inflation-related pressures and sustained demand. This trend carried into 2024, leading to positive financial results supported by strong domestic travel, major events, and the return of international visitors.

Summer 2023 and 2024 Were the Strongest Periods for the Canadian Hotel Industry

While performance in early 2023 was still affected by seasonal patterns, hotel performance strengthened from late spring onwards. By June 2023, both ADR and RevPAR were above pre-pandemic levels, and occupancy had moved considerably closer to 2019 benchmarks.

The strongest performance was recorded during the summer months. In August 2023, national hotel occupancy averaged around 78%, exceeding pre-pandemic levels in several major markets. ADR in August 2023 averaged approximately $220, while RevPAR reached around $172, which made it one of the strongest months on record.

The same momentum continued into summer 2024, with occupancy levels nationally averaging around 79–80% in the busiest months. By the end of the year, all three key metrics — occupancy, ADR, and RevPAR — were consistently above the levels of 2019.

Vancouver and Toronto Led Occupancy Levels in 2023–2024

In 2023 and 2024, all major Canadian hotel markets recorded growth in occupancy, ADR, and RevPAR compared to 2022. Vancouver reported the highest average occupancy rate, reaching approximately 74% in 2023 and around 75% in 2024. The ADR in Vancouver rose to roughly $245, while RevPAR increased to about $183.

Toronto followed closely, with occupancy averaging around 70% in 2023 and improving further in 2024. ADR in Toronto reached approximately $230 in 2024, while RevPAR rose to around $161.

Montreal also showed strong growth, with occupancy averaging around 66% in 2023 and improving in 2024. ADR increased to approximately $215, while RevPAR reached around $142.

Other major markets, including Calgary, Edmonton, and Ottawa, all recorded occupancy rates above 55% in 2023, with further increases in 2024. Edmonton recorded the lowest ADR among major markets, at approximately $135, but still showed year-on-year growth.

Hotel Industry Performance in Canada in 2025

By mid-2025, the Canadian hotel industry continued reporting strong performance compared with earlier post-pandemic years. According to CoStar data, in May 2025 national occupancy averaged around 70.2%, which represented a year-on-year increase from 2024. The average daily rate (ADR) was approximately $213.57 and RevPAR was about $149.96.

Demand for hotel rooms in 2025 has consistently exceeded pre-pandemic levels in peak months, with occupancy reaching 77.6% in July 2025, ADR around $248.50, and RevPAR near $192.75. These have been the highest key performance levels since before 2019.

Highest and Lowest Occupancy Levels

The highest occupancy level among provinces and territories in May 2024 was recorded in Newfoundland and Labrador, where after a year-on-year increase of around 8%, occupancy reached approximately 81.5%. Vancouver continued to have the highest occupancy level among the major markets at around 84.2%, which was about 4.5% higher than in May 2023.

The lowest occupancy level, at approximately 61.0%, was recorded in New Brunswick and Prince Edward Island. However, both provinces saw improvements compared to previous May, at around 3.2% and 6.1%, respectively. Out of the major markets, Edmonton had the lowest occupancy level at approximately 62.4%, following year-on-year growth of around 2.5%.

Corporate and Weekend Stays Have Increased

While corporate travel has been slower to recover, it looks like it has now fully recovered from the pandemic restrictions. By May 2023, corporate hotel demand was at the same level as before the pandemic in 2019. Corporate weekend stays also increased in Canada’s hotels, with 15% growth.

Canada Has the World’s Greenest Hotels

Canada is leading the race to offer travellers more sustainable stays with four cities included in the top five for sustainable hotels. The Canadian cities in the top five are Vancouver at number one, Toronto at third, Calgary at fourth, and Edmonton at fifth. The second spot is taken by Stockholm, which was the first European Green Capital in 2010.

In Vancouver, 44% of all hotels are recognised as sustainable by Booking.com. In Toronto, 37 out of the 150 hotels (25%) in the city are certified as sustainable. 23.5% of Calgary’s and 22.6% of Edmonton’s hotels were recognised for their efforts to offer sustainable stays.

Largest Hotel Groups in Canada

The largest hotel group in Canada is the Wyndham Group Hotels and Resorts with 492 locations. They have hotels and resorts in 11 provinces/territories and 237 cities. Alberta has the most Wyndham Group Hotels, with 27% of them in the province.

Following the Wyndham Group is Choice International Group Hotels with 359 locations and Marriott Group Hotels & Resorts with 279 locations. While the Choice Group does not have the most locations, it is in most provinces/territories with 12 out of 13 having at least one Choice Group destination. Choice Group’s hotels can be found in 211 cities and Marriotts in 97 cities. 39% of Choice Group Hotels and 41% of Marriott Group Hotels are in Ontario.

The top five of the largest hotel groups in Canada is completed by the Best Western Group of Hotels & Resorts with 224 hotels in 168 cities and the Hilton Group of Hotels & Resorts with 185 hotels in 89 cities. Both groups have destinations in 10 out of 12 provinces/ territories. Ontario once again has most of the destinations with 29% of all Best Western and 49% of Hilton hotels in the province.

Most Hotel Stays Are Booked Online

Canadians are most likely to book their hotel stays online, with around 82% of bookings made online in 2024. By 2027, almost 90% of bookings are expected to be online bookings. When booking online, Expedia remains the most popular site with approximately 29%, followed by Booking.com at around 23%, and Hotels.com and “other”, including direct from hotels, both at roughly 14%. TripAdvisor and Trivago each account for about 10% of online bookings.

Demographics of Hotel Guests in Canada

Canadian hotels see more male visitors than female visitors at 53.9% compared to 46.1%. Most visitors are high-income earners with 43.9% of visitors. Medium-income earners make up 32.1% and low-income earners 24% of hotel visitors.

The most likely age group to stay in hotels in Canada is the 25-34-year-olds, with 27% of visitors coming from this age group. It is followed by the 35-44-year-olds at 21.3% and 45-54-year-olds at 19.1%. Canadians aged 55-64 or older are the least likely to stay in hotels making up 16% of hotel guests. 16.6% of hotel guests in Canada are 18-24 years old.

Conclusion

While the hotel industry was one of the hardest hit industries during the pandemic, it has recovered well since the restrictions on travel were lifted. Based on the post-pandemic figures, Canada’s hotel industry has bounced back after difficult years and is predicted to continue its growth.