A demand generator can be defined as any facility, activity or event that brings customers or guests into the market and produces demand for specific products or services. Demand generators range from institutions, commercial and industrial businesses, sports facilities, meeting and conference facilities to local festival and cultural activities and natural attractions to density of the local population and other socio-economic factors.
With respect to hotel feasibility analysis, total market demand is typically broken down into four segments, Corporate, Leisure, Meeting & Conference and Government & Other. While the presence of demand generators in a market is generally considered to be positive, it is necessary to consider not just their presence in the market, but when, and how they will contribute demand to a specific product or service.