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Travel Industry: Outlook, Impact & Resources

Destination Cleveland is committed to preserving the long-term viability of the travel & tourism and hospitality industries in Cleveland. We are actively advocating for our industry and offer the resources below to help industry partners navigate the uncertain times.

It will take resilience, collaboration and support for one another to get the community back on its feet. We are committed to leading our industry through this crisis and championing recovery efforts to ensure our community emerges as strong as possible.

Travel Sentiment & Outlook

Many industry organizations and others have issued research studies regarding traveler sentiment, consumer behavior, the outlook for the lodging industry, and the effect of COVID-19 on destination marketing. The following studies provide significant insights regarding the state of travel and tourism:

  • Longwoods International Travel Sentiment Study
  • MMGY: Looking Past the Crisis – The FutureState of Travel
  • U.S. Hotel Viewpoint: Updated 2020 Outlook
  • Destinations International, U.S. Travel Association and MMGY Travel Intelligence Insights

Economic Impact on Tourism Industry

The impact of this global pandemic on the tourism industry is especially significant. Industry reports underscore the need for aggressive and immediate action to preserve the industry. The Oct. 1 weekly travel spending analysis released by the U.S. Travel Association indicates the country’s travel economy losses from the COVID-19 pandemic have exceeded $396 billion since March 1, including a loss of nearly $51 billion in federal, state and local taxes. In Cuyahoga County, Destination Cleveland’s lodging occupancy tax revenue for 2020 is nearly 60 percent down year over year (through July).

Total Travel Industry Impact

Downturn of the U.S. travel industry in 2020 as a result of the coronavirus:

↓$396 BILLION


Projected total economic loss


&

↓4.3 MILLION


Ongoing employment loss

↓$51 BILLION


loss in federal, state and local taxes
(March 1 – Sept. 30, 2020)
The recovery for the industry is expected to extend well into 2023

+40%


of excess unemployment is due to the Leisure & Hospitality sector
Job losses spiked in March and April, shedding nearly 50% of all travel employment
Sources: Tourism Economics (August 2020) and U.S Travel Assoc. (10/1/2020)

In Ohio, the U.S. Travel Association reports 40% less travel spending as of Oct. 1, 2020. This is a $237 million loss year-over-year. As a result, state tax returns from travel businesses to-date are down $7 million, local tax returns are down $4 million and federal tax returns are down $15 million.

In 2018, the tourism industry in Cuyahoga County supported nearly 71,000 jobs and provided $6.2 billion in direct sales and a total economic impact of $9.4 billion. The industry generated $1.2 billion in federal, state and local taxes, resulting in a savings of more than $1,100 in taxes for each Cuyahoga County household. The effect of COVID-19 on the Cuyahoga County travel industry will be staggering.

Industry Resources

These national and state travel and hospitality organizations offer resources to assist businesses with the myriad of issues that COVID-19 presents to operations and short- and long-term viability.

Travel Associations

  • U.S. Travel Association
  • Ohio Travel Association
  • Destinations International

Lodging

  • American Hotel & Lodging Association
  • Ohio Hotel & Lodging Association

Restaurants

  • National Restaurant Association
  • Ohio Restaurant Association
  • Independent Restaurant Coalition: Save Local Restaurants

Small Business

  • National Small Business Association

Meetings & Events

  • Professional Convention Management Association (PCMA)
  • Meetings Mean Business
  • Meeting Professionals International

Group Tour

  • National Tour Association
  • Student & Youth Travel Association
  • American Bus Association
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