Beach Hotels Market

Beach Hotels Market Size by Type (Budget, Premium and Standard), Service Type (Accommodation, Food & Beverage and Others), Occupants (Group and Solo), Regions, Global Industry Analysis, Share, Growth, Trends, and Forecast 2023 to 2032

Base Year: 2022 Historical Data: 2019-21
  • Report ID: TBI-13790
  • Published Date: Nov, 2023
  • Pages: 238
  • Category: Consumer Goods
  • Format: PDF
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The global Beach Hotels market generated USD 132.65 billion revenue in 2022 and is projected to grow at a CAGR of 4.35% from 2023 to 2032. The market is expected to reach USD 203.06 billion by 2032. One of the primary drivers is the increasing purchasing power of individuals in developing countries. Additionally, there is a growing trend towards vacationing in seaside areas, and the availability of online booking discounts for beachfront hotels is further propelling market expansion. Moreover, the rising demand for beach hotels can be attributed to guests' preference for tranquil, less congested and overcrowded locations.

Market Introduction:

Beach hotels are a category of hospitality establishments strategically located along the picturesque shorelines of oceans, seas, or coastal areas. These hotels are specifically designed to offer guests a unique and idyllic experience centered around beachfront living. They typically feature direct access to sandy beaches and stunning waterfront views. Beach hotels are characterized by their serene environments, making them popular for vacationers and those seeking relaxation and leisure. Guests can typically expect a range of amenities and services that cater to their desire for a coastal retreat. These may include well-appointed guest rooms or suites with balconies or terraces overlooking the sea, outdoor pools, water sports facilities, and private access to the beach. Many beach hotels offer restaurants and bars with oceanfront dining options, allowing guests to savour delicious cuisine while enjoying the sound of the waves. Spa and wellness facilities are often available for guests seeking rejuvenation and relaxation. The ambience is typically designed to reflect the coastal surroundings, with soothing colour palettes and tropical decor. Moreover, these hotels are popular for hosting destination weddings, allowing couples to exchange vows against a backdrop of sun, sand, and sea. Overall, beach hotels provide a perfect blend of natural beauty, luxury, and recreation, making them a sought-after choice for those looking to escape to the shores and enjoy a memorable seaside experience.

Beach Hotels Market Size

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Recent Development
  • In October 2023: IHG Hotels & Resorts is pleased to unveil a series of new voco hotel properties, marking a significant brand expansion throughout Europe. Voco hotels have gained popularity for their adaptable design and operational structure, which empowers property owners to realize their distinct visions for each establishment. Guests are drawn to the unique personality and local allure of each hotel, and the rapid growth of the brand in these sought-after markets serves as compelling evidence of its winning formula.
  • In September 2023: The partnership between Cisneros and Four Seasons is officially revealed as they embark on developing the Four Seasons Resort and Residences Dominican Republic at Tropicalia. This opulent destination is set to grace a sixty-acre stretch of unspoiled beachfront along Playa Esmeralda, situated in the northeastern region of the Dominican Republic, offering breathtaking views of Samaná Bay's southern shores. This endeavour harmoniously fuses Four Seasons' globally acclaimed hospitality and service excellence with Cisneros' extensive experience and investments in the Dominican Republic, Latin America, and the United States. With construction currently underway, the resort is on track to welcome guests in early 2026.
  • In February 2023: Red Sea Global and Four Seasons Hotels and Resorts, a leading luxury hospitality company, have unveiled their collaborative endeavour to present a Four Seasons Resort within The Red Sea masterplan development. This upcoming resort will be nestled in The Red Sea destination, an expansive stretch of 200 kilometres of breathtaking coastline along the western shores of the Kingdom of Saudi Arabia. Specifically, the new Four Seasons Resort will find its home on Shura Island, the central hub of this development. It also hosts a yacht marina, an array of leisure and lifestyle facilities, a golf course, various retail offerings, and more.

Market Dynamics:

Drivers

Scenic Locations - Beach hotels are primarily located in picturesque coastal areas, providing guests with stunning ocean views, sandy shores, and access to water-based activities. The natural beauty and serene surroundings attract travellers looking for a relaxing getaway.

Tourism and Travel Trends - As global tourism continues to grow, beach destinations remain popular choices for leisure travellers. Tourists seek sunny and tropical beach locations for vacations, honeymoons, and special occasions.

Adventure and Water Activities - Beaches are renowned for exhilarating water-based activities, providing a playground for adventure enthusiasts and water sports aficionados. These activities not only allow individuals to immerse themselves in the stunning natural beauty of coastal environments but also offer thrilling and memorable experiences. As a result, it fueled the market's growth.

Restraints:

Seasonal Variability - Many beach destinations are highly seasonal, with peak demand during the summer months and holidays. This factor can lead to inconsistent revenue and profitability, making it challenging for beach hotels to maintain year-round operations.

Weather and Natural Disasters - Beach hotels are susceptible to weather-related disruptions, such as hurricanes, tsunamis, and coastal erosion. Natural disasters can damage properties and disrupt operations, leading to costly repairs and downtime.

Opportunities:

Diversified Target Markets - Beach hotels can tap into a diverse range of target markets, including families, honeymooners, adventure enthusiasts, wellness seekers, and corporate travellers. Tailoring services and marketing to these segments can help capture a broader audience.

Eco-Tourism and Sustainability - Embracing eco-tourism and sustainability practices can attract environmentally-conscious travellers. Beach hotels can invest in green initiatives, renewable energy sources, and eco-friendly construction to meet the growing demand for sustainable travel.

Health and Wellness Tourism – The wellness travel market is expanding rapidly. Beach hotels can incorporate wellness programs, spa services, yoga and meditation retreats, and fitness facilities to cater to health-conscious travellers.

Challenges:

Environmental Concerns - Rising environmental concerns, including beach erosion, pollution, and coral reef degradation, can impact the sustainability of beach destinations and may lead to increased regulatory restrictions.

Regulatory and Zoning Issues - Coastal areas often have stringent regulations and zoning restrictions to protect the environment and local communities. These regulations can limit the expansion or development of beach hotels.

Regional segmentation analysis:

The regions analyzed for the market include North America, Europe, South America, Asia Pacific, the Middle East, and Africa. North America emerged as the most prominent global Beach Hotels market, with a 38.62% market revenue share in 2022.

North America boasts a vast and diverse coastline, including the Atlantic Ocean, the Pacific Ocean, the Gulf of Mexico, and the Great Lakes. This diversity offers a wide range of beach experiences, from tropical paradises in Florida and Hawaii to rugged coastlines in California and the picturesque beaches of the Northeast. In addition, North America is home to numerous iconic tourist destinations, including Miami Beach, Myrtle Beach, the Florida Keys, Cancun in Mexico, and the Caribbean islands. These destinations attract travellers worldwide, making North America a magnet for beachgoers. The region is also well-connected with major international airports, highways, and cruise ports, making it easy for travellers to access beach destinations. Accessibility is a critical factor in driving tourism and the beach hotel market. Furthermore, North America has a stable and robust economy, which encourages domestic and international travel. The high disposable income of its residents and strong currency also contribute to the growth of the beach hotel market. Additionally, North America offers many accommodation options, from luxury beachfront resorts to budget-friendly beach hotels and vacation rentals. This diversity caters to a broad spectrum of travellers. Europe is predicted to notice significant growth over the forecast years. Many European beach destinations are rich in history and culture. Visitors can combine their beach vacation with cultural exploration, sightseeing, and visits to historical landmarks, creating a holistic travel experience. While Europe experiences peak beach tourism during the summer, it also attracts visitors during the shoulder seasons and for winter sun escapes. This seasonal variability extends the tourism season and offers opportunities for year-round operations. Besides, European beach destinations often feature world-class cuisine, and tourists are drawn to the opportunity to savour local dishes and international fare in picturesque seaside settings.

North America Region Beach Hotels Market Share in 2022 - 38.62%

 

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Type Segment Analysis

The type segment includes budget, premium and standard. The standard segment dominated the market, with a share of 51.32% in 2022. Standard beach hotels typically offer more affordable pricing than luxury or boutique beach hotels. This affordability makes them accessible to a broader range of travellers, including budget-conscious individuals and families. In addition, many standard beach hotels are well-suited for family vacations. They often offer family rooms or suites, and their pricing allows families to enjoy beachfront accommodations without breaking the bank. Moreover, standard hotel chains often provide consistent quality and service standards. This predictability can be reassuring for travellers who prefer a certain level of comfort and amenities without surprises.

Service Type Segment Analysis

The service type segment is classified into accommodation, food & beverage and others. The accommodation segment dominated the market, with a share of around 53.85% in 2022. The accommodation segment offers a broad spectrum of choices, from standard hotels and luxury resorts to boutique inns and vacation rentals. This diversity caters to many traveller preferences, budgets, and needs. Additionally, standard and budget accommodations provide cost-effective options for travellers, making beachfront stays accessible to a broad demographic of guests, including families and budget-conscious travellers. Furthermore, accommodation options within this segment attract a steady flow of frequent travellers, such as business travellers, tourists, and conference attendees, who seek comfort, convenience, and reliable services.

Occupants Segment Analysis

The occupants segment is divided into group and solo. The group segment dominated the market, with a share of around 76.41% in 2022. Group occupants, such as families, friends, and corporate groups, often book multiple rooms or accommodations, resulting in higher revenue for beach hotels. This segment can provide a steady stream of guests, leading to consistent occupancy rates. Moreover, families are a significant portion of the group occupants segment. Beach destinations are popular for family vacations due to the various activities and facilities catering to all age groups. In addition, group occupants often include attendees of large events, conferences, weddings, and reunions held at beachfront locations. These events bring substantial business to beach hotels and can lead to full property bookings.

Some of the Key Market Players:
  • ITC Limited
  • Four Seasons Holdings Inc.
  • IHG (InterContinental Hotels Group PLC)
  • Hyatt Hotels Corporation
  • Marriott International, Inc.
  • Shangri-La Asia Limited.
  • Wyndham Worldwide Corporation
  • Accor SA
  • The Indian Hotels Company Limited
  • Hilton Worldwide Holdings Inc.
  • The Oberoi Group
  • Sunset Key Guest Cottages
  • Montage Laguna Beach
  • Four Seasons Resort
  • Jade Mountain
  • Belmond Maroma Resort & Spa
  • Capri Laguna
  • Laguna Beach House
  • Casa Laguna Hotel & Spa.
  • Hyatt Hotels Corporation

Report Description: 

Attribute Description
Market Size Revenue (USD Billion)
Market size value in 2022 USD 132.65 Billion
Market size value in 2032 USD 203.06 Billion
CAGR (2023 to 2032) 4.35%
Historical data 2019-2021
Base Year 2022
Forecast 2023-2032
Region The regions analyzed for the market are Asia Pacific, Europe, South America, North America, and Middle East & Africa. Furthermore, the regions are further analyzed at the country level.
Segments Type, Service Type and Occupants

Frequesntly Asked Questions

As per The Brainy Insights, the size of the beach hotels market was valued at USD 132.65 billion in 2022 to USD 203.06 billion by 2032.

The global beach hotels market is growing at a CAGR of 4.35% during the forecast period 2023-2032.

The North America region became the largest market for beach hotels.

Increasing tourism & travel trends and rising adventure and water activities influence the market's growth.

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This study forecasts revenue at global, regional, and country levels from 2019 to 2032. The Brainy Insights has segmented the global Beach Hotels market based on below-mentioned segments:

Global Beach Hotels Market by Type:

  • Budget              
  • Premium          
  • Standard

Global Beach Hotels Market by Service Type:

  • Accommodation 
  • Food & Beverage
  • Others

Global Beach Hotels Market by Occupants:

  • Group
  • Solo

Global Beach Hotels Market by Region:

  • North America
    • U.S.
    • Canada
    • Mexico
  • Europe
    • Germany
    • France
    • U.K.
    • Italy
    • Spain
  • Asia-Pacific
    • Japan
    • China
    • India
  • South America
    • Brazil
  • Middle East and Africa  
    • UAE
    • South Africa

Methodology

Research has its special purpose to undertake marketing efficiently. In this competitive scenario, businesses need information across all industry verticals; the information about customer wants, market demand, competition, industry trends, distribution channels etc. This information needs to be updated regularly because businesses operate in a dynamic environment. Our organization, The Brainy Insights incorporates scientific and systematic research procedures in order to get proper market insights and industry analysis for overall business success. The analysis consists of studying the market from a miniscule level wherein we implement statistical tools which helps us in examining the data with accuracy and precision. 

Our research reports feature both; quantitative and qualitative aspects for any market. Qualitative information for any market research process are fundamental because they reveal the customer needs and wants, usage and consumption for any product/service related to a specific industry. This in turn aids the marketers/investors in knowing certain perceptions of the customers. Qualitative research can enlighten about the different product concepts and designs along with unique service offering that in turn, helps define marketing problems and generate opportunities. On the other hand, quantitative research engages with the data collection process through interviews, e-mail interactions, surveys and pilot studies. Quantitative aspects for the market research are useful to validate the hypotheses generated during qualitative research method, explore empirical patterns in the data with the help of statistical tools, and finally make the market estimations.

The Brainy Insights offers comprehensive research and analysis, based on a wide assortment of factual insights gained through interviews with CXOs and global experts and secondary data from reliable sources. Our analysts and industry specialist assume vital roles in building up statistical tools and analysis models, which are used to analyse the data and arrive at accurate insights with exceedingly informative research discoveries. The data provided by our organization have proven precious to a diverse range of companies, facilitating them to address issues such as determining which products/services are the most appealing, whether or not customers use the product in the manner anticipated, the purchasing intentions of the market and many others.

Our research methodology encompasses an idyllic combination of primary and secondary initiatives. Key phases involved in this process are listed below:

MARKET RESEARCH PROCESS

Data Procurement:

The phase involves the gathering and collecting of market data and its related information with the help of different sources & research procedures.

The data procurement stage involves in data gathering and collecting through various data sources.

This stage involves in extensive research. These data sources includes:

Purchased Database: Purchased databases play a crucial role in estimating the market sizes irrespective of the domain. Our purchased database includes:

  • The organizational databases such as D&B Hoovers, and Bloomberg that helps us to identify the competitive scenario of the key market players/organizations along with the financial information.
  • Industry/Market databases such as Statista, and Factiva provides market/industry insights and deduce certain formulations. 
  • We also have contractual agreements with various reputed data providers and third party vendors who provide information which are not limited to:
    • Import & Export Data
    • Business Trade Information
    • Usage rates of a particular product/service on certain demographics mainly focusing on the unmet prerequisites

Primary Research: The Brainy Insights interacts with leading companies and experts of the concerned domain to develop the analyst team’s market understanding and expertise. It improves and substantiates every single data presented in the market reports. Primary research mainly involves in telephonic interviews, E-mail interactions and face-to-face interviews with the raw material providers, manufacturers/producers, distributors, & independent consultants. The interviews that we conduct provides valuable data on market size and industry growth trends prevailing in the market. Our organization also conducts surveys with the various industry experts in order to gain overall insights of the industry/market. For instance, in healthcare industry we conduct surveys with the pharmacists, doctors, surgeons and nurses in order to gain insights and key information of a medical product/device/equipment which the customers are going to usage. Surveys are conducted in the form of questionnaire designed by our own analyst team. Surveys plays an important role in primary research because surveys helps us to identify the key target audiences of the market. Additionally, surveys helps to identify the key target audience engaged with the market. Our survey team conducts the survey by targeting the key audience, thus gaining insights from them. Based on the perspectives of the customers, this information is utilized to formulate market strategies. Moreover, market surveys helps us to understand the current competitive situation of the industry. To be precise, our survey process typically involve with the 360 analysis of the market. This analytical process begins by identifying the prospective customers for a product or service related to the market/industry to obtain data on how a product/service could fit into customers’ lives.

Secondary Research: The secondary data sources includes information published by the on-profit organizations such as World bank, WHO, company fillings, investor presentations, annual reports, national government documents, statistical databases, blogs, articles, white papers and others. From the annual report, we analyse a company’s revenue to understand the key segment and market share of that organization in a particular region. We analyse the company websites and adopt the product mapping technique which is important for deriving the segment revenue. In the product mapping method, we select and categorize the products offered by the companies catering to domain specific market, deduce the product revenue for each of the companies so as to get overall estimation of the market size. We also source data and analyses trends based on information received from supply side and demand side intermediaries in the value chain. The supply side denotes the data gathered from supplier, distributor, wholesaler and the demand side illustrates the data gathered from the end customers for respective market domain.

The supply side for a domain specific market is analysed by:

  • Estimating and projecting penetration rates through analysing product attributes, availability of internal and external substitutes, followed by pricing analysis of the product.
  • Experiential assessment of year-on-year sales of the product by conducting interviews.

The demand side for the market is estimated through:

  • Evaluating the penetration level and usage rates of the product.
  • Referring to the historical data to determine the growth rate and evaluate the industry trends

In-house Library: Apart from these third-party sources, we have our in-house library of qualitative and quantitative information. Our in-house database includes market data for various industry and domains. These data are updated on regular basis as per the changing market scenario. Our library includes, historic databases, internal audit reports and archives.

Sometimes there are instances where there is no metadata or raw data available for any domain specific market. For those cases, we use our expertise to forecast and estimate the market size in order to generate comprehensive data sets. Our analyst team adopt a robust research technique in order to produce the estimates:

  • Applying demographic along with psychographic segmentation for market evaluation
  • Determining the Micro and Macro-economic indicators for each region 
  • Examining the industry indicators prevailing in the market. 

Data Synthesis: This stage involves the analysis & mapping of all the information obtained from the previous step. It also involves in scrutinizing the data for any discrepancy observed while data gathering related to the market. The data is collected with consideration to the heterogeneity of sources. Robust scientific techniques are in place for synthesizing disparate data sets and provide the essential contextual information that can orient market strategies. The Brainy Insights has extensive experience in data synthesis where the data passes through various stages:

  • Data Screening: Data screening is the process of scrutinising data/information collected from primary research for errors and amending those collected data before data integration method. The screening involves in examining raw data, identifying errors and dealing with missing data. The purpose of the data screening is to ensure data is correctly entered or not. The Brainy Insights employs objective and systematic data screening grades involving repeated cycles of quality checks, screening and suspect analysis.
  • Data Integration: Integrating multiple data streams is necessary to produce research studies that provide in-depth picture to the clients. These data streams come from multiple research studies and our in house database. After screening of the data, our analysts conduct creative integration of data sets, optimizing connections between integrated surveys and syndicated data sources. There are mainly 2 research approaches that we follow in order to integrate our data; top down approach and bottom up approach.

Market Deduction & Formulation: The final stage comprises of assigning data points at appropriate market spaces so as to deduce feasible conclusions. Analyst perspective & subject matter expert based holistic form of market sizing coupled with industry analysis also plays a crucial role in this stage.

This stage involves in finalization of the market size and numbers that we have collected from data integration step. With data interpolation, it is made sure that there is no gap in the market data. Successful trend analysis is done by our analysts using extrapolation techniques, which provide the best possible forecasts for the market.

Data Validation & Market Feedback: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helps us finalize data-points to be used for final calculations.

The Brainy Insights interacts with leading companies and experts of the concerned domain to develop the analyst team’s market understanding and expertise. It improves and substantiates every single data presented in the market reports. The data validation interview and discussion panels are typically composed of the most experienced industry members. The participants include, however, are not limited to:

  • CXOs and VPs of leading companies’ specific to sector
  • Purchasing managers, technical personnel, end-users
  • Key opinion leaders such as investment bankers, and industry consultants

Moreover, we always validate our data and findings through primary respondents from all the major regions we are working on.

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