HOSTEL MARKETPLACE
Despite being one of the most expensive countries in the world, hostel development in the U.S. has yet to take hold. Creative design and changing guest expectations make the U.S. a prime market for Alchemist's upscale hostel concept.
Revenue: $935 m
Supply: 27%
Revenue: $620 m
Supply: 22%
Revenue: $492 m
Supply: 3%
Revenue: $429 m
Supply: 4%
U.S. & Canada
L. America & Caribbean
Australia & N. Zealand
Asia
Middle East & Africa
Revenue: $101 m
Supply: 4%
Europe
Revenue: $2,679 m
Supply: 40%
U.S. LEISURE DEMAND
Travel preferences have changed but traditional branded accommodations are poorly designed and managed to meet the needs of today's leisure traveler. Gen Z is just beginning to graduate from college and seeking unique, affordable adventures heavily marketed on blogs, podcasts, and social media. However, the affordable options available in Europe and Asia are not readily available in the U.S...well,..not yet.
Existing U.S.-Canada Hostel Revenue
$492 Million
U.S. Hostel Revenue Potential
$4.5 Billion
-
Phocuswright: The Global Hostel Marketplace 2016-2020
Age Mix of Hostel Guests...
Age 18 - 34
63%
Age >35
28%
-
Phocuswright: The Global Hostel Marketplace 2016-2020
Gen Z Top Travel Activities
-
Eating Out
-
Visiting Museums
-
Outdoor Adventures
-
Tours and Excursions
-
Sightseeing
-
Partying
-
UNiDAYS and Ad Age
% Gen Z Influenced by
Social Media
90%
-
Expedia and The Center for Generational Kinetics
U.S. Leisure Travel Spending
$761.7 Billion
-
U.S. Travel Association
American % Solo Travel
+33%
Millennial % Solo Travel
42%
-
Expedia and The Center for Generational Kinetics
I Look For The Best Deals...
% of Gen Z
93%
% of Millennials
92%
-
Expedia and The Center for Generational Kinetics
Gen Z Preferred Vacation
36% - Beach
31% - City
22% - Outdoor Adventures
11% - Luxury Getaway
-
UNiDAYS and Ad Age
Allocation of Travel Budget
25% - Food & Beverage
21% - Lodging
10% - Recreation & Activities
-
U.S. Travel Association
"Middle Income travelers place a priority on sightseeing or tourism. Gen Z travelers value adventure experiences."
-
Expedia and The Center for Generational Kinetics
Gen Z Spending Power
$143.0 Billion
-
UNiDAYS and Ad Age
% Gen Z Prefer Affordable Travel
69%
-
UNiDAYS and Ad Age