Hotel rates climb this Labor Day weekend: AAA

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Dive Brief:

• Hotel rates for this year's Labor Day weekend will be higher across both domestic and international markets , as compared to last year, according to a new AAA report. 

• For this year's holiday weekend, which spans Sept. 3 to Sept. 7, domestic hotel bookings will be 9% more expensive than last year, while international hotel costs will increase 12% for the same period, per the report. Fuel and domestic airfare costs will also be higher this year, but cruises and international flights will be less expensive. 

• Despite the rising travel costs, AAA Spokesperson Megan Cooper said Americans will continue to prioritize vacations this Labor Day, with a focus on top outdoor leisure destinations. 

Dive Insight:

The 2026 Labor Day weekend caps off a summer characterized by higher travel costs for U.S. consumers. However, travelers remain "eager to make the most of the holiday weekend," Cooper said, and will flock to domestic destinations including Seattle, Orlando and Boston. 

"Labor Day has long been a popular time for a final summer getaway, and travelers continue to prioritize vacations with family and friends," Cooper said.

This year, Americans will also head to Denver, Las Vegas and Anchorage, Alaska, amid "strong demand for Alaska cruises and national park vacations," per the report. Cruise demand, in particular, is driving interest in Seattle and Anchorage, while travelers often fly into Denver and Las Vegas to continue on to the Rocky Mountain, Arches, Zion and Grand Canyon national parks, per AAA. 

The findings come after traveler demand for outdoors-focused accommodations and experiences has grown in recent years. Hotel companies including Marriott International , Hyatt and Hilton have tapped into the trend through new nature-oriented brand offerings. 

"Travelers are seeking memorable experiences , and [AAA's] top Labor Day destinations reflect that desire," Stacey Barber, vice president of AAA Travel, said in a Monday statement. 

In May, Barber said travel demand would remain strong throughout the summer despite higher travel prices, with consumers taking advantage of holiday breaks. 

AAA projects that roughly 45 million Americans traveled over this year's Memorial Day weekend. Meanwhile, celebrations and events surrounding the July Fourth holiday drove U.S. hotel RevPAR growth , CoStar previously reported.