The rebound in visitation to Orlando continues to gain momentum in 2004, pushing the number of visitors to 48 million by year’s end, according to the newly updated destination forecast commissioned by the Orlando/Orange County Convention & Visitors Bureau, Inc.® (Orlando CVB) from its research vendor, Global Insight, Inc.

In reviewing the updated forecast, the following trends have been identified:

• Combined domestic and international arrivals are expected to increase 6.7 percent in 2004 to 48 million visitors, 5.4 percent in 2005 to 50.6 million visitors and another 4.8 percent to 53 million visitors in 2006.
• International visitation is expected to increase 7.1 percent in 2004 to 2.5 million visitors, 7.4 percent in 2005 to 2.6 million visitors and 6.5 percent in 2006 to 2.8 million visitors. The projection for 2004 marks the first increase in international visitation since 2000. However, the forecasted 2004 international arrivals remain well below the 2000 peak of 3.7 million visitors. Arrivals from the United Kingdom are expected to lead the increase in international visitors to Orlando, with U.K. visitors expected to increase 9.7 percent in 2004 to approximately 1 million visitors. Improved global economic conditions and currency exchange rates should benefit international arrivals as the weak dollar makes U.S. travel more affordable for visitors from the United Kingdom and the Eurozone.
• Growth in 2004 is expected to be very broad based with increases in all major categories, including day visitors (3 percent); overnight visitors (9.1 percent); business travelers (5.1 percent) and leisure travelers (7.1 percent). Overnight convention/group meeting travel, which has been slower to rebound, will see stronger increases by the end of 2004. It is expected to increase 8.1 percent in 2004 to nearly 3.8 million business travelers, 3.7 percent in 2005 to 3.9 million and another 2.9 percent in 2006 to reach 4.0 million.
• From 1997 to 2002, room-night supply increased faster than room-night demand in five out of six years, resulting in declining occupancy rates. Forecasted growth in both domestic and international visitors should support strong room-night demand growth of 12.2 percent in 2004. With little growth in supply anticipated for 2004, higher room-night demand is forecasted to boost occupancy levels to 67.8 percent in 2004, from 62.7 percent in 2003. Occupancy levels are forecasted to increase to 72.6 percent in 2005 and 76.2 percent in 2006.