Mexico Gains Prominence as a Luxury Hotel Market as Segment Evolves

Travelers Seek More Experiences, Sustainable Practices

(In Photo) Expedia Group’s Carrie Wilder (left) and Accor’s Nicolás Martínez speak on a panel about luxury and lifestyle hotels at the HVS’ 2024 Mexico Hotel and Tourism Investment Conference. (Bryan Wroten)

By Bryan Wroten
Hotel News Now

February 12, 2024 | 8:10 AM

MEXICO CITY — The luxury and lifestyle hotel segments in Mexico have been changing to adapt to new guest expectations and financial requirements.

A generational shift is driving the changes in what guests expect from a luxury experience, said Carrie Wilder, senior director of market management, Mexico and Caribbean, at Expedia Group, on a panel at HVS’ Mexico Hotel & Tourism Investment Conference.

“The privilege and the marble is out,” she said. “What’s in is being sustainable and being inclusive. That’s a different type of property.”

So many digital nomads traveled to Mexico during the pandemic and showcased inspirational travel through their social media channels, Wilder said. As a result, guests now crave unique experiences from luxury hotel stays.

Mexico “has been recognized a very, very long time by the high-end luxury traveler in North America as being a luxury market, and that’s evidenced by the high performance in these resort markets,” said Phil Keb, senior executive of luxury brand growth, Americas, at IHG Hotels & Resorts.

In 2023, some of the highest performing hotels in Cabo and Puerto Vallarta had higher average daily rates and revenue per available room than some luxury hotels in Maui and Southern California, Keb said.

Los Cabos Awarded “Best Destination in Mexico”

Los Cabos Awarded as the Best Destination in Mexico at the 2023 Travel Weekly Readers Choice Awards.

Marking a milestone in the travel industry, Los Cabos has been named for the first time as the “Best Destination in Mexico” at the twenty-first edition of the Travel Weekly Readers Choice Awards. The recognition, bestowed at the gala ceremony on December 13 at the American Museum of Natural History in New York, signifies a significant advancement for Los Cabos in its development as a world-class tourist destination.

This year, Travel Weekly, a key reference for travel industry professionals, has singled out Los Cabos over other prominent tourist destinations in Mexico. With the active collaboration of the Los Cabos Tourism Board, the destination is steering toward a tourism model that emphasizes respect for its environment, culinary variety and cultural enrichment. Thus, Los Cabos aims to provide genuine and high-quality experiences, setting a new standard in luxury tourism, distinguished by its commitment to exclusivity and elevated hospitality.

The award comes at a crucial moment, where conscious and sustainable tourism gains more global relevance. Following this trend, Los Cabos stands out for its breathtaking natural landscapes, top-notch hotel infrastructure, and its growing initiative in responsible environmental practices, offering more intimate and personalized experiences for each visitor.In addition to the recognition received at the 2023 Travel Weekly Readers Choice Awards, Los Cabos has been named in Travel + Leisure’s prestigious 50 Best Places to Travel in 2024 list, anticipating its continued and growing presence in the year 2024.

This additional honor underscores the global appeal of Los Cabos and its position as a leader in luxury tourism.Los Cabos has also received an additional 18 awards this year, highlighting its leadership in various areas such as environmental sustainability, innovation in marketing, excellence in virtual experiences, wellness, customer satisfaction, and its prominent position in sectors such as leisure tourism, weddings, and honeymoons. Among them are awards like “Best Sustainable Destination in Mexico,” “Best Worldwide Destination Marketing Campaign,” and “Destination with the Highest Customer Satisfaction in Mexico,” among others.

The awards received are a reflection of the collective efforts of the entire Los Cabos community, including hoteliers, tour operators, the State Government, FITURCA, FIPROTUR, the private sector, and local residents, who have contributed to the success and prestige of this region.These collective efforts have allowed Los Cabos to stand out on the international stage, consolidating its position as an innovative and benchmark destination in global tourism.