Skiing Facilities NAICS 713920

Apr 17, 2025 - Slower Growth Forecast

• The US skiing facilities industry is projected to grow at a CAGR of 3.1% between 2025 and 2029, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The expected growth rate is slower than the overall economy's projected growth. Spending by US households and tourists, foreign students, and other visitors largely drives the arts, entertainment, and recreation industries. Consumer confidence is expected to improve in the forecast period, which bodes well for the sector. A factor that may curb consumer spending is substantially higher tariffs on consumer goods, which may be painful for households. On a positive note, lower inflation supports a moderate increase of real disposable income by about 2% in 2025 and 1.9% in 2026. Real income could suffer if average prices rise due to tariff implementation.
• Ski resorts may feel the effects of falling consumer confidence, with levels declining 7.2 points to 92.9 in March 2025 month over month, according to the Consumer Confidence Index from the Conference Board. Stephanie Guichard, Senior Economist of Global Indicators at The Conference Board, noted that the segment driving March’s decline was consumers over 55 years old, and the decline spanned all income groups with the exception being households earning over $125,000. Per Guichard, “Consumer confidence declined for a fourth consecutive month in March, falling below the relatively narrow range that had prevailed since 2022.” Purchasing plans for homes and new cars declined while big-ticket purchases rose on a six-month moving average basis, which may reflect plans to purchase certain items before impending tariffs lead to price increases.

• Bookings at Western mountain destinations slipped in February 2025, compared to a year ago, according to the latest Market Briefing by Inntopia’s DestiMetrics, as reported in Ski Area Management. The decline was attributed to snowfall, rates, and fluctuations in economic policies. The pace of bookings made in February for arrivals in February through July fell for the third consecutive month, declining 1.2%. According to Tom Foley, senior vice president for business intelligence at Inntopia, economic news and policies have put consumers a bit off balance with markets and consumer confidence downshifting. Occupancy for February rose 3.4% year over year after experiencing a decline in January. The average daily rate (ADR) for February increased 1.6% compared to a year ago, reaching an average rate of $727 per night. The DestiMetrics lodging data covers 28,000 lodging units in 17 Western mountain communities across seven states.
• A strike by Park City Ski Patrol at the nation’s largest ski area that began in December and lasted for nearly two weeks ended with a new contract with Vail Resorts, according to The Gazette. The Park City Ski Patrol union said the new contract increased starting wages for patrollers by $2 an hour and guarantees wage increases if patrollers at other Vail properties receive raises. The union negotiated for 10 months before the 12-day strike. The strike may be over at the Utah-based resort, but it now faces a class action lawsuit from customers who say the resort ruined their vacation by failing to notify them of the strike. According to Powder.com, the suit claims the company violated the Utah Consumer Sales Practice Act, which prohibits deceptive practices in consumer transactions. Skiers in the suit say they spent thousands of dollars on ski vacations only to experience significant disruptions and safety risks.