B&B Industry Facts & Figures
Industry Overview
According to the Professional
Association of Innkeepers International (PAII), in 1980, there were
1,000 U.S. B&Bs/country inns serving 1 million guests. In 2004, there were
20,000 professionally-run, fully licensed bed and breakfasts/country inns
representing nearly 150,000 guest rooms, plus 10,000 home-stay B&Bs,
collectively serving over 55 million guests annually.
In November 2005, PAII released the
2004 Industry Study of Operations and Finance. This survey of
285 properties showed occupancy rates averaged 41.4% in 2004 up from 39.9% in
2003. The average daily rate (ADR) paid by B&B guests increased from
$142.73 to $143.90 over the same period, driving revenue per available room
(RevPar) to $59.57, a growth of 4.6%. This drove industry revenue to an
estimated $3.2 billion in 2004. The study also noted that “while new inns
continued to open in 2004, the increase was offset by the reversion of some
properties to single family homes, particularly in resort areas where real
estate prices have escalated.”
Leisure travel continues to dominate this sector, with particular interest from
cultural and historic travelers who enjoy staying at unique or historic
properties. Weddings, family reunions, and special events continue to be
regular features at over half of all inns. Urban inns that cater to business
travelers are seeing continued recovery after 9-11 with as much as 20% of their
revenue coming from business.
The study included significant information on in-room amenities. Most inns now
offer luxury beds and linens (80%) and premium toiletries (76%). Similarly, in
terms of overall guest services, 88% of B&Bs surveyed offer assistance with
restaurant reservations, and 73% help with event reservations. A total of 60%
offer wireless Internet access, a high figure considering many inns are still
in rural locations with no access to high-speed Internet.
Bed and Breakfast / Country Inn Statistics
(based on PAII 2004 Industry Study Data)
|
|
2004
|
2003
|
2002
|
2000
|
|
Size
of Industry
|
$3.4
billion
|
$3.33
billion
|
$3.14
billion
|
$3.03
billion
|
|
#
of inns in the
U.S.
|
20,000
|
20,000
|
19,500
|
19,000
|
|
Average
# of rooms/inn
|
7.9
|
8.0
|
8.5
|
8.0
|
|
Total
# of rooms available
|
148,000
|
160,000
|
165,750
|
152,000
|
|
Average
occupancy rate/B&B
|
41%
|
40%
|
38%
|
42%
|
|
Average
Daily Rate/B&B
|
$143.90
|
$142.73
|
$136.70
|
$128.87
|
|
RevPar/B&B
|
$59.57
|
$56.94
|
-
|
-
|
|
Average
occupancy/country inn
|
38%
|
36%
|
37%
|
-
|
|
Average
Daily Rate/country inn
|
$163
|
$156
|
$141
|
-
|
About the properties participating in the PAII survey:
-
29% were in rural locations, 16% were urban, 3% suburban, and 52% were village
-
87% are tourist destination/resort properties
-
Have operated as a B&B for an average of 13 years
-
11% were new B&Bs (includes converting a building to an inn)
-
Rooms with private bath: 93%
-
74% of the larger inns (21+ sleeping rooms) have meeting space
-
53% handle weddings and do an average of seven per year
-
95% of properties have their own domain name
-
8% of B&Bs were sold; average purchase price of $653,981
-
6% of country inns were sold; average purchase price of $1.1million
About the Inn Owners
-
79% of inn owners are between 35 and 64 years old
-
88% of owners live on premises
-
55% of owners are dependent on outside income
Historical Significance and Community Involvement
According to PAII, not only have B&B/country inn owners renovated more
historical buildings than any other industry segment, but their efforts also
help to preserve the history, traditions, and culture of their towns, cities,
and/or regions. Old pictures, books, furniture, memorabilia are returned to the
historic homes in which they originated by way of innkeepers or the original
families who owned the homes, allowing them to serve as repositories for the
preservation of history in their locale. Buildings housing B&B/country inns
average 99 years in age, though 2% of all newly opened inns are purpose-built
as commercial lodging.
PAII reports that "Innkeepers
are extensively involved in their communities, unlike hotel managers who move
from one location to another. The personal commitment to the quality of the
community by owner-innkeepers is very high and cannot be measured."
Innkeeper Profile
According to PAII, statistics
continue to show that innkeepers chose to make long-term careers in this
industry. Some 42% of the owners in the 2004 study have operated their
participating inn for seven or more years. Bed & breakfast inn careers and
investments also continue to attract new owners and innkeepers. Some 34% of
inns have been operated by their current owner for one to three years. While
they continue to operate their own inns, over half of the participants in the
study also relied on outside sources of income, in addition to the proceeds of
the inn. This overall ratio has held constant over the past three PAII studies.