Visit Napa Valley’s Q1 travel trends report shows strides in pandemic recovery

Visit Napa Valley has released its travel trends report for the first three months of 2023, and it shows tourism recovery from the pandemic has improved in some ways, and not yet fully stabilized in others.

Among the main indicators for a destination’s recovery are its hotel occupancy figures and average daily rates. For Napa, the numbers have been moving from exorbitantly high rates because of limited supply during the pandemic, to showing signs of course correcting, said Linsey Gallagher, president and CEO of Visit Napa Valley.

The average daily room rate in Napa County in March was $346.63, down 3.6% from a year earlier, according to Visit Napa Valley, citing figures from hotel analytics firm STR. Yountville and unincorporated Napa County have seen the steepest drop, at 14% and 19%, respectively, while American Canyon’s average daily room rates have remained steady, according to STR.

Comparatively, the highest average daily room rate in Napa since 2021 was last year in September, at $557.59, according to STR.

“We’ve always been a little bit higher to begin with, but the flow of the ups and downs has mirrored everybody else,” Gallagher said, referring to comparable tourism destinations in the state such as Sonoma, Santa Barbara, Monterey and San Luis Obispo counties. “The reality is Napa Valley has more luxury hotel products on a percentage basis than many other destinations. That being said, we also have fantastic … limited-service hotels that don't necessarily get as much press as the new Four Seasons or the new Stanly Ranch.”

The report also found increased interest in group business meetings, likely helped by Visit Napa Valley’s “Crush that Meeting” campaign, which began before the pandemic and has continued to evolve as it showcases Napa’s variety of outdoor experiences, Gallagher said.

Visit Napa Valley’s sales team has seen a 13.6% increase in requests for proposals for rooms and event space, compared to the same time period in 2019, according to the report, citing data from Cvent, a software company used by meeting planners nationwide for event management, marketing and attendee engagement.

In its report, Visit Napa Valley also addressed the ongoing challenge the hospitality industry at-large is facing to hire and retain hospitality workers.

Visit Napa Valley launched a “Crush that Career” campaign in January to promote Napa Valley as an attractive place to develop a rewarding career in wine, tourism and hospitality, Gallagher said.

Cheryl Sarfaty covers tourism, hospitality, health care and employment. Reach her at cheryl.sarfaty@busjrnl.com or 707-521-4259.