Detroit Regional Chamber > Research > Hospitality Indicators

Hospitality Indicators

January 1, 1970
The hospitality industry has been deeply and rapidly impacted by the measures put in place to reduce the spread of COVID-19. Gov. Whitmer’s March 16 executive order to shut down all dine-in services and the March 23 “Stay Home, Stay Safe” executive order has put restrictions on this industry to slow the spread of the pandemic. View Michigan’s COVID-19 Status And Reopening Phases By Region.

Hotel Occupancy Rates

In May 2020, the Detroit region’s hotel occupancy decreased to 36.2%, compared to last year’s  occupancy rate of 68.0%.

Rates increased by 10.5 percentage points from last month’s rate of 25.7%. The region’s overall occupancy has decreased by 46.8% when comparing to same month last year. According to the American Hotel and Lodging Association, Michigan has lost more than 37,900 direct hotel-related jobs and more than 87,000 total jobs lost supporting hotel industry due to the coronavirus pandemic.

Restaurant Impact

The year-over-year decline in seated diners in Michigan restaurants went down by 43% on March 13, 2020 when National State of Emergency was declared and by 78% on March 16. On March 16th, 2020 at 3pm an order was issued to shut down all dine-in services. More than 16,500 Michigan restaurants and drinking locations were ordered to close or limit to carry-out and delivery services. On May 22, Gov. Whitmer began reopening restaurants and bars in northern Michigan and the Upper Peninsula, where cases and deaths related to COVID-19 were significantly lower. On June 1, Gov. Gretchen Whitmer announced that she will rescind the “Safer At Home” Executive Order. As of June 8, all Michigan restaurants and bars can reopen at half capacity. As of July 20, the year-over-year decline in seated diners was at 42%.

Michigan’s restaurant industry is estimated at $17.9 billion dollars in sales a year and employs more than 447,200 food service employees, making up 10% of Michigan’s employment according to the Michigan Restaurant and Lodging Association.