Skiing Facilities
Industry Profile Report
Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters
Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.
Call Preparation Call Prep Questions, Industry Terms, and Weblinks.
Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.
Industry Profile Excerpts
Industry Overview
The 300 skiing facilities in the US operate downhill, cross-country, or related skiing areas and/or operate equipment, such as ski lifts and tows. These establishments often provide food and beverage services, equipment rental services, and ski instruction services.
Highly Seasonal Demand
Peak ski season generally runs from mid-November through mid-April.
Struggle for Growth
The snow sport industry has struggled for about a decade to grow participation.
Industry size & Structure
The average skiing facility employs about 160 workers and generates $12 million annually.
- The skiing facility industry consists of about 300 firms that employ about 48,000 workers and generate $3.7 billion annually.
- Industry revenue is highly concentrated; the top 50 companies account for 86% of industry revenue. However, the resort market is fragmented; less than 20% of the roughly 460 ski resorts in the US are owned by companies with four or more properties.
- Large firms include Vail Resorts, Aspen Skiing, Alterra Mountain and Boyne Resorts.
Industry Forecast
Skiing Facilities Industry Growth
Recent Developments
Jul 16, 2024 - Skier Visits, Labor Costs Up
- Labor costs for the skiing facilities industry grew significantly in the first five months of 2024, according to data from the US Bureau of Labor Statistics (BLS). Average wages for the industry reached $29.51 an hour in May 2024, which was 9.4% higher than the previous year. Skiing facility industry employment grew 48% in May 2024 compared to a year ago, per the BLS. Preliminary skier visits for the 2023-24 season, a performance indicator for the industry, reached 60.4 million, the fifth best on record, according to the National Ski Areas Association.
- Occupancy at Western mountain destinations is on pace to climb 5% year over year for the 2024 summer season (May to October), according to the latest Market Briefing by DestiMetrics, as reported in Ski Area Management. The average daily rate (ADR) was $401, up 2.1% compared to last summer. If the current trends in occupancy and rate hold, summer revenues are expected to post a 7.3% increase year over year. The growth comes as travel returns to pre-pandemic patterns, even as some prices have dipped due to consumer price concerns. Occupancy in June 2024 was up 3% over June 2023, and the booking pace was up 13.6%. The June 2024 ADR was up 3.3% over the previous year, and revenues rose 6.4%. According to Tom Foley, senior vice president for business intelligence at Inntopia, “Bookings during June were reliable and widespread, although not quite as strong as they were during May. Rates seem to have settled into a range that is comfortable for consumers.” The DestiMetrics lodging data covers 28,000 lodging units in 17 Western mountain communities across seven states and represents more than half of all available rental units in those areas.
- A recent study in New Scientist found that major skiing regions are expected to experience a severe drop in snowfall by the end of the century. The study projects that 13% of ski areas in seven regions globally will completely lose natural, annual snow cover by 2100. From 2071 to 2100, 20% of skiing areas worldwide are expected to lose more than half of their snow cover days. In the study from the University of Bayreuth in Germany, researchers modeled three greenhouse gas emission scenarios for the remainder of the century. In all scenarios, snow cover days in the seven major mountain areas with downhill skiing will decrease. Under the medium-emissions option, the mean annual snow cover days will decline 78% in the Australian Alps, 50% in the Japanese Alps, 42% in the European Alps, and 23% in the Rocky Mountains.
- Consumer confidence levels fell in June 2024, after an uptick in May, according to data from The Conference Board. The Conference Board’s consumer confidence index was 100.4 in June 2024 from 101.3 in May 2024. Dana Peterson, chief economist at The Conference Board, noted that confidence was the highest among those under age 35 and those in the income category of over $100,000. Plans for large appliance and smart phone purchases rose on a six-month basis, while plans for car purchases stalled.
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