The U.S. Travel Insights Dashboard

JULY 2026

Travel spending reached $122.8 billion in July, 5.8% above the same month last year and 4.3% higher year to date. Hotel demand and group travel led that growth, while air passenger volume and overseas arrivals came in below last year and travel price rose more slowly than in June. Room demand nonetheless grew, which alongside the decline in overseas arrivals suggests domestic travelers accounted for the increase.

Lodging demand grew across hotels and short-term rentals

Room demand rose 2.8% in July and stood 2.0% higher year to date. Short-term rental demand added 2.0%, taking its year-to-date gain to 1.4%. Revenue per available room (RevPAR) grew 8.2% nationally, though the gain varied widely by location, with urban hotels at 14.8% and resort locations at 5.5%. 

Group and business travel extended their recovery

Group demand reported by more than 250 destination marketing organizations (DMOs) ran 6.6% above the 2023 to 2025 average, compared with 2.0% above that average across all hotel rooms sold, indicating group business outpaced the wider lodging market. Forward indicators point the same way for the months immediately ahead. Measured in late July and early August, room nights already on the books at those destinations for July through September were 1.5% ahead of the same point last year, and corporate hotel booking pace ran between 5.6% and 8.6% ahead for August through October. The strength is not uniform, as fourth quarter room nights were 1.2% behind the same time last year.

Air and overseas volumes softened, though several markets are growing

Volume was weaker for air travel. Air passenger volume fell 2.1% in July following a 1.3% decline in June, though on a year-to-date basis it remains level with last year. Overseas arrivals were 7.0% below last July and 4.7% lower year to date compared to the same period last year, reaching 77% of 2019 levels in the month. Performance varies considerably by origin market, and several markets are now running ahead of their 2019 arrival levels. For example, arrivals from India are at 132% of 2019 levels, air arrivals from Mexico are at 137% and Colombia sits at 132%.

July inflation eased but hiring cooled

As measured by the U.S Travel TPI (Travel Price Index) inflation slowed to 7.1% in July from 8.1% in June. The Consumer Price Index (CPI) grew 3.3% as travel prices rose faster than for the economy more broadly. The labor picture softened alongside it. Leisure and hospitality (L&H) employment fell by 40,000 jobs in July, a second consecutive monthly decline, although the sector still employed 16.9 million, 0.5% more than a year ago.