Business Confidence Survey Spring vs Summer Report
Business Confidence Index: Spring vs. Summer 2025
Tourism businesses across Explorers’ Edge (Muskoka, Parry Sound, Algonquin Park, and surrounding areas) reported a significant boost in confidence between spring and summer 2025, fueled by record-breaking performance and stronger-than-expected demand.
Key Highlights
- Confidence rebounded: In spring, only one-third of operators expected revenue growth in 2025. By late summer, 43% reported higher revenues than 2024, and pessimism had been cut in half.
- Record summer results: July hotel occupancy reached 80.7% with average room rates near $300, driving a 12.3% increase in revenue per available room (RevPAR) — well ahead of Ontario’s average (+7.8%)
- Demand recovery: Businesses operating at or above full capacity grew from 42% in 2024 to 47% in 2025, reflecting one of the busiest summers on record.
- Lingering challenges: Inflation, rising costs, and housing for staff remain top concerns, though staffing shortages stabilized at a “challenging-but-manageable” level.
- Positive outlook: Nearly half of businesses are optimistic about Fall 2025, suggesting momentum is carrying into the shoulder season.
Regional Context
Explorers’ Edge outperformed much of Ontario in 2025. Year-to-date RevPAR rose 8.7% in the region, compared with less than 1% provincially. Demand was driven by strong domestic travel and premium resort stays, positioning the region as one of Canada’s leading growth markets.
Actionable Priorities
To build on this momentum, the report recommends:
- To build on this momentum, the report recommends:
- Expanding regional marketing to attract both visitors and locals
- Extending the tourism season into fall, winter, and spring.
- Addressing cost pressures with efficiency and supportive policy.
- Strengthening workforce housing and training initiatives.
- Encouraging investment in upgrades and new services.
