Whenever things do open up, there will likely also be many more Europeans staying within Europe for vacations, not just locals in their own country. Pretty much everyone I know here in Switzerland has already ruled out intercontinental travel for 2021, but there is high interest in travel within Europe if possible. Given the slow vaccine rollouts here and around Europe, I'm not too optimistic about travel this summer...I've already assumed we will be spending our vacation weeks here, somewhere in the mountains.
The lodging trend has been similar here - city hotels are suffering a lot and some places have permanently closed. Prices have come down a bit and if business travel stays depressed, there could be further closures, especially as city breaks have limited appeal for most tourists (both domestic and foreign) in a country like Switzerland. We stayed in Bern recently for a long weekend and there were maybe 10-15 guests in our 100-room hotel. Even if things eventually bounce back, there may be an interim period with fewer rooms and/or lower prices until demand returns to high levels.
The mountains have fared somewhat better, at least in the popular resorts and villages. Places with few bookings just seemed to close rather than staying open for a few guests (understandable since many rely on seasonal staff) and a lot of the mountain hotels had mini-closures outside of the typical ski vacation times this past winter. Self-catering apartments have been in high demand and I'd expect that trend to continue. Last summer we saw a lot of European tourists in the mountain regions and this may be where the tougher competition will remain, especially on the lower end of the budget scale.
A few places that are usually swamped with tourists, Luzern and Interlaken for example, have been hit hard and some hotels have also closed (if only temporarily) because their usual visitors from abroad (US, Gulf States, etc) aren't around and there is very limited demand for overnight stays there by regional visitors. I know Luzern is also revisiting the AirBnb issue, as residents have been using the break in tourism to push for more restrictions on apartments being used for commercial purposes, so this may also end up reducing some capacity in the long run.