Forecasting hotel-industry performance

This paper provides a method which may be used by hospitality managers to forecast the annual hotel-industry occupancy rate for their respective localities. An empirical application of the method demonstrates that it can generate reasonably accurate forecasts of annual industry performance and can be useful to managers in their evaluation of the future competitive environment. An assessment of the influence of key variables upon forecast accuracy suggests that market research on trends in visitor characteristics would be useful for longer-term forecasting.