≡-Los Cabos in Mexico Breaks 2025 Tourism Records as Hotel Rates Fall, Domestic Travel Rises, and Wellness Becomes the New Luxury – Viral of Today

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Home » MEXICO TRAVEL NEWS » Los Cabos in Mexico Breaks 2025 Tourism Records as Hotel Rates Fall, Domestic Travel Rises, and Wellness Becomes the New Luxury Sunday, July 13, 2025Los Cabos, Mexico, is having a milestone year in 2025, hitting new tourism records on the heels of an irresistible combination of forces: lower hotel costs, record domestic tourists, and a vibrant wellness travel market. As average hotel costs dropped for the first time in years, the destination became even more affordable to an increasingly wider audience. At the same time, domestic travel has grown by over 8%, fueled by expanding aerial links and national intrigue. Perhaps most visibly, the destination’s growing focus on wellness travelùnow among the top motivational drivers among nearly one in five touristsùhas turned Los Cabos into an elite luxury retreat for wellness-minded, high-value tourists from Mexico and abroad.Tourism Soars Beyond Previous RecordsSo far this year, Los Cabos has already registered 4.13 million tourists by year-end estimate. This prediction is higher than that of 2024, which was 3.93 million, and that of 2023, which was 3.86 million, and therefore, shows a 5% growth year on year.While the initial boom of tourists after 2020 has flattened, the current upward trend again confirms that long-term plans from the destination regarding infrastructure, airlift, and various segments of tourists are bearing tangible results.Hotel Prices Realign After Years of IncreasesOne key shift comes from average hotel rates. For the first time in a few years, rates across Los Cabos are dropping by just a little. The average daily rate for March 2025 was $498, down from $553 in March 2024—a 10% decline—then dropped further to $488 in April.These reductions are not evidence that there’s been a drop-off in demand. Far from it, occupancy remains strong. The rate movements are purposeful, aligning market expectations, reinforcing healthy occupancy, and appealing to a broader type of traveler.Pricing Trends Exhibit Regional DifferencesAll areas within Los Cabos did not respond to market conditions to the same degree. Cabo San Lucas, the largest hotel market, which has over 9,400 units, experienced its rates rising 5%, to an average day rate of $355, and recorded the highest occupancy, 78%, in April 2025.Meanwhile, San José del Cabo’s hotel rates fell 18%, to an average rate of $279 per night. On upscale beachside hotel-lined La Ruta Escénica, room rates fell 6% to an average rate of $665. These local variances indicate that hoteliers are making pricing tweaks to better match customer demands, location, and spot demand.Domestic Tourism Keeps Healthy PaceDomestic travel continues to become increasingly important to Los Cabos’ success by 2025. The destination received over 463,000 Mexican tourists within the first four months alone, a 8.5% increase from the same period a year ago. Currently, the segment provides 32% of the entire visitor base.Although international arrivals declined by 0.4%, they still account for the lion’s share and there have been over 913,000 foreigners. Expanded airlift from major Mexican cities has stimulated domestic interest. Mexico City is still the top sending state followed by Jalisco. From abroad, the United States continues to dominate, notably California, while Canadian arrivals improved by over 4%, assisting somewhat to make up the modest decline from the United States.Visitor Loyalty Reaches Exceptional LevelsAnother intriguing pattern is the rate of return visits. Through March 2025, 38% of tourists were return visits. Such extensive loyalty equates to satisfaction and long-term appeal—major assets in an increasingly global and competitive tourism market.Since new tenants pay much more to acquire than to retain, this loyalty bodes well for good continued revenue generation and long-term success.Wellness Travel Is a Growth DriverWellness travel continues to become one of the earmarks of travel to Los Cabos. Roughly 18% arrive to travel with wellness on the mind, to take part in spas, retreats, and mindful downtime. These tourists spend well, to the tune of more than $3,000 per visit, and report overall satisfaction higher than 90%.With the global wellness industry valued over $650 billion, this trend perfectly aligns with Los Cabos’ luxury positioning and its goal to provide upscale experiences.ConclusionLos Cabos isn’t just growing by the numbers — by value, it’s evolving too. From its record-breaking tourism projections and shifting hotel rate models to rising domestic travel and wellness-inflected products, 2025 will be a milestone year. The destination continues to lead the way, illustrating that sustainable, experience-driven travel is Mexico’s future in tourism.

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