Australian Accommodation Statistics, Hotels, Tourism & Trends


January 9, 2024

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Australian Accommodation Statistics, Hotels, Tourism & Trends

It is indisputable that the Australian tourism industry was hard hit by Covid 19 and all that came with it.

Will the Australian tourism industry bounce back stronger and leaner?

Let's find out the prospects for the Aussie tourism industry now and in the coming years.

Top Statistics

  • Hotel revenues are projected to achieve $6.75bn in 2023
  • Renure is projected to reflect an annual growth rate (CAGR 2023-2027) of 1.85%, increasing the revenue of the sector to $7.27bn by 2027
  • Hotel users are expected to climb to 12.4 million in 2027
  • Hotel user penetration is 44.8% and is set to climb to 45.8% by 2027
  • A large increase in online sales is projected forecast to be 91% of sales
  • The global outlook sees the highest growth in the US ($106,100.00m) through 2023

International Tourism Disruption and Recovery

The number of foreign visitors to Australia increased by 705.5% annually between 2009 and 2019. Arrivals averaged 9.5 million in 2019, 789,000 each month. 

In the following months, the closing of international borders under COVID-19 reduced to a trickle in arrivals. 

Before November year 2021 saw the most tourists in any given month.

The international airports in Australia reopened stagedly after a change in borders as of December 2021, promising the resumption of foreign travel.

Arrivals from outside have consistently increased since to 8% of pre-pandemic levels.

As of September 2022, 54%. Until September, 2.1 million tourists arrived in 2022, fourteen times as many as during the same period in 2021.

International arrivals, January 2008 to September 2022

Foreign travel to Australia began to increase in 2022 and 2023.

After that, an increase is anticipated to proceed the rest of the way slower than the predicted timeframe.

Forecasts indicate that there will be 9.5 million visitors, such that they will surpass pre-pandemic levels in 2025. 11.0 million foreign visitors are anticipated by 2027.

Comparison of latest and previous international arrival forecasts

International arrivals by purpose of travel with forecasts

In 2022, holiday arrivals were only slowly expected to rise but are predicted to experience the fastest growth prospects for the anticipated time period. 

Recovery is predicted to pick up steam in 2023, and 2024 as Access to aviation improves. 

By 2027, 5.5 million tourists are anticipated, surpassing pre-pandemic levels.

Arrivals of business people closely track all arrivals during 2022. Forecasts indicate it could take until 2027 for business travel to reach 1.0 million exceeding pre-pandemic figures.

Pre-pandemic, the education sector was dominated by Chinese students (44%). 

Travel restrictions and geo-political standoffs have restricted the growth of this education sector.

However, recovery is expected to be sustained with the education visitors returning to pre-pandemic levels of 671,000 by 2026/2027.

 Domestic overnight spend through the pandemic 

Domestic travel is a significant part of the hotel and tourism industry, and domestic overnight trips are forecasted to exceed $99.9bn, while domestic day trippers will spend $27.2 million in 2022.

Information source Tourism Research Australia

How do Australians Book Hotels and travel?

Australians are well-connected across the country, and, as such, when it comes to booking travel and hotels, they make full use of the internet and the convenience of online booking services.

85% of Aussies are booking online in 2023, which is forecast to grow to 91% by 2027.

Online User demographics

It is not just the younger generation getting to grips with booking travel online. The older demographic has over 30% of statistics.

Information source Statista

Do Aussies require luxury or budget-friendly hotels?

According to Google searches, it appears if Aussies like to pamper themselves in luxury while taking a break in a hotel or while on business.

However, 5-star hotel searches decreased by 27% across the measured period, with 3-star hotels increasing searches by 31%. Guest houses are popular, with searches across the year rising 62%. Last but not least, budget hotels increased their searches across the period by 7%.

Information source Google trends

How Much Will You Pay for a Hotel Room?

There are many factories that influence the rate of your hotel room over the desired profit margin of the hotel. 

These variables include the location, staff salaries, and how luxurious the hotel claims to be.

Luxury Hotels

Mid Range Hotels

Budget Hotels

In Australia, the average hotel cost is a remarkable $123, and the median cost is $106, according to our analysis of 6,530 excellent hotels there. 

Naturally, it offers a wide range of wonderful lodging options. The hotel's services, available dates, and the surrounding area can all affect the cost of lodging.

In Australia, a week at an average hotel costs $860, which is quite reasonable (not including taxes and fees).

Information source Tourisms forecasts Australia

Adventure Tourism

It's a birthright! 

The market size for adventure travel in Australia was predicted to be $22,370 million in 2019 and to reach $33,519 million by 2027, a 47% increase. Growing at a CAGR of 21.0% from 2021 to 2027

Soft adventures accounted for $14,027 million in 2019, making it the most significant segment. 

Adventure travel is characterized as excursions away from one's usual surroundings. Exploration or travel to far-flung exotic locations is part of adventure tourism.

It involves unusual and difficult vacation experiences when visitors engage with locals and get to understand their underlying values. 

Australia is a very popular destination for adventure travel among tourists worldwide. 

This is because there are beautiful vistas, delicious food, and lodging options. 

Beaches and wildlife preserves can be found throughout Australia, which adds to the country's appeal as a tourism destination.

Australian Adventure Tourism

According to the prediction for the Australian adventure tourism market based on traveller type, the coupled segment contributed the most to the market in 2019 and is anticipated to increase at an impressive CAGR of 21.7% from 2021 to 2027

Throughout the forecast period, slight growth in the family segment is anticipated.

Type of Traveller

The 30- to 41-year-old age bracket dominated the market in 2019 according to age group. People in this age range are financially secure and have the vigour and physical capacity to engage in a variety of adventures and activities, which contributes to the segment's growth.

By Sales channel

Information source Budget Your Trip


It's been a long hard slog for the hotels and tourism industry, but there is a light at the end of the tunnel, and visitors are coming back to Australia.

There are 7,000 plus new hotels room scheduled as demand rises for hotel rooms in major urbanised areas.