Urban Hospitality Transformation: Hotel Industry Dynamics and Tax Revenue in Padang City

Abstract

Hospitality transformation examines how the hotel industry has undergone a paradigm shift from merely providing basic services to becoming a modern urban economic system. A mature hospitality ecosystem triggers a simultaneous multiplier effect in surrounding sectors. This study aims to analyze the influence of the number of hotels, number of rooms, tourists, and GRDP on hotel tax revenues received by Padang City during 2015–2024. This research employs a quantitative approach using time series data. Data collection was conducted by accessing reports from the Central Statistics Agency, the Regional Revenue Agency of Padang City, and other official sources. The collected data were processed using multiple linear regression. Results indicate that all variables (number of rooms, tourists, and GRDP) exert a positive and significant influence, while the number of hotels shows a negative and significant effect. These findings affirm the need for a fiscal policy approach integrated with urban hospitality transformation strategies to optimize local own-source revenue potential through hotel taxation. Sustainable urban hospitality transformation requires innovation, digitalization, and cross-sector collaboration to ensure inclusive and competitive local economic growth