Hotel Market
Hotel Market Size, Share, Competitive Landscape and Trend Analysis Report by Service, Room Type and Star Ranking: Global Opportunity and Industry Forecast (2025-2030)
Report ID:
1106
Industry:
FMCG
Published on:
Dec 2025
Hotel Market Summary
Hotel Market size was valued at USD 1472.15 Bn in 2024 and is expected grow to USD 2468.95 Bn by 2030, growing at a CAGR of 9% during (2025-2030).
Hotel Industry Trends and Analytical Insights -
North America Hotel Market was the largest revenue generating region market in year 2024, with market share accounted for 35.5%
In 2024, By Service Type, Accommodation Service dominated the Hotel Market, accounted for 72% market shares.
Leading Key players for Hotel Market in 2024 was Marriott International, Jin Jiang International, Hilton Worldwide, InterContinental Hotels Group (IHG) and H World Group (formerly Huazhu).
Market Size & Forecast
Market Size 2024: USD 1472.15 Billion
Projected Market Size 2030: USD 2468.95 Billion
CAGR (2024-2030): 9 %
North America: Dominated market in 2024
Hotel Market Overview
The Global Hotel Industry in 2024 demonstrated a strong comeback trend which was mainly influenced by the continuation of international travel and the return of corporate mobility to normal. Global hotel occupancy was between 67 and 70% on average, which was higher than the levels that existed before the pandemic in some regions. This was made possible by a 15–18% increase in international tourist arrivals compared to 2023. Revenue Per Available Room expanded in almost all major markets, and thus premium urban hotels reported a double-digit ADR growth since the demand came from business events, conferences, and digital nomads. Further, technology adoption became more advanced at a faster rate than before, as more than 40% of hotels were using AI-based dynamic pricing and automated guest-experience platforms with the aim to improve operational efficiency and lower service-delivery costs.
North America Hotel Market remained the most stable market on a regional basis, it accounted for over 68% of the occupancy and continuous growth of the ADR was supported by domestic vacation and corporate travel. Europe Hotel Market was able to open the borders for tourism in a great way and thus, the Southern part of Europe recorded the highest occupancy peaks above 74% during the periods of the main seasons. The fastest demand recovery was in the Asia–Pacific Hotel Market, it was China Hotel Market, India Hotel Market, and Southeast Asia Hotel Market which led the way, and there the volume of inbound tourists increased by 20–25%. The Middle East Hotel Market, supported by the hosting of mega events and the promotion of the destination, was the area that had one of the highest ADR levels globally, while Latin America Hotel Market was at a stable level of 60%+ occupancy, which was mainly the result of a resort-led recovery and the expansion of regional air travel.
Midscale and upscale hotel categories were the biggest leaders in terms of global bookings in 2024. They together accounted for more than 55% of the total room demand which was mainly driven by price-sensitive vacation travelers and hybrid work professionals. Luxury and lifestyle hotels saw a significant increase of 12-15% in the number of premium rooms being booked. This was largely influenced by the rise of experiential tourism and the influx of high-spending travelers from the US Hotel Market, Middle East Hotel Market, and Asia Hotel Market. Moreover, extended-stay properties were able to keep a good level of demand with the average length of stay ranging between 4.2 and 4.8 nights globally. Hotels also benefited from non-accommodation services became more and more significant in their revenue mix and thus they reported between 20 and 30% of the total revenue coming from F&B, wellness, events, and ancillary experiences.
This extensive analysis by Jadhavar Business Intelligence Pvt Ltd provides consumers with a complete and actionable picture of the Global Hotel Market, including market size, share, trends, and growth estimates from 2024 to 2030. It provides a complete overview of important locations and countries by Service, Room Type, and Star Ranking. Clients receive comprehensive market dynamics, business tool analysis (PORTER and PESTLE), a Technology roadmap, and regulatory updates. The study also includes country-specific projections, competitive benchmarking, Company profiles, and M&A activity, all of which aid in strategic planning, market entry analysis, and competitor positioning in Hotel Industry.
Hotel Market Dynamics
Hotel Market in 2024 was raised by digital-led travel behavior where more than 72% of global bookings were carried out via online platforms and mobile reservations exceeded 55%. The business travel situation got better as more MICE activity led to a 14% rise in conference driven room nights. Experiential travel continued to be the main source of growth, as every third international traveler chose wellness, adventure, or cultural stays. Green trends also shaped the Hotel Industry as almost 60% of guests opted for hotels providing energy-efficient operations and eco-certified amenities.
Hotel Market experienced transformational problems that were a result of its rising operating expenses. The labor-related costs went up 8–12% in the different major regions of the world due to the lack of employees. The pressures on a supply chain forced hotels to procure material for the rest of the year. They also lengthened delivery lead times by 20–25%. Uncertainties related to geopolitics and volatile international air capacity made it difficult for travelers to move, mainly in Europe and some parts of Asia. On top of that, close to 40% of independent hotels had reported that their margins were suffering due to the increase in OTA commissions and technology investments. The increased guest requirements for the personalization and the unproblematic digital experience have, in fact, deepened the competitive and operational level of issues as well.
In 2024, the Hotel Industry opened up different paths as a result of rapid digital transformation and new traveler segments. More than 45% adoption rates were recorded for AI-driven revenue management and automated guest-journey systems, which in turn created efficiency gains and new personalization avenues. Premium vacation and wellness tourism grew, with wellness-oriented stays goes up by almost 18% globally. The Asia–Pacific Hotel Market and Middle East Hotel Market kept on adding capacity very quickly, and hundreds of new hotel pipeline projects in gateway cities were the main support for that. The rise of long-stay and hybrid work travel has also led to the hotel industry had more opportunities, as extended-stay bookings had increased by 12–14% year over year.
Expert Insight:
Hotel industry that has firmly transitioned from recovery to structured expansion, where digitalization, premiumization, and regional diversification are redefining competitive advantage. The dominance of accommodation services and premium room categories indicates a clear shift toward yield-driven strategies rather than pure occupancy plays. North America’s leadership underscores the power of mature loyalty ecosystems and consistent ADR strength, while Asia–Pacific’s trajectory signals future market rebalancing as rising middle-class demand and pipeline growth accelerate. What stands out is the industry’s operational vulnerability—labor shortages, OTA dependence, and supply-chain inflation—which is forcing hotels to adopt automation, AI-based revenue systems, and asset-light models faster than anticipated.
Hotel Market Segmentation
The Hotel Market is segmented into by Service, Room Type and Star Ranking.
By Service
Based on Service the Hotel industry is segmented into Accommodation Service, Alkaline Service and Non-Accommodation Service. Among this Accommodation Service dominated the Hotel Market accounted for 72 % of total Hotel Market shares. This dominance was primarily driven by the recovery of moderation and corporate travel which lasted throughout the year, higher global occupancy levels, and strong ADR performance in midscale and upscale categories. The main revenue source of hotels came from room bookings which were further supported by increasing international arrivals and extended-stay patterns. Moreover, the sector was able to capitalize on the upturn in digital bookings and the use of dynamic pricing systems, both of which enhanced yield management efficiency, thus allowing accommodation to solidify its position as the main revenue contributor in the service mix.
By Room Type
Based on Room Type the Hotel industry is segmented into Single, Double, Twin, Deluxe / Premium, Suite and Others (hydropower, geothermal, and hybrid of solar & wind). Among this Deluxe / Premium dominated the Hotel Market accounted for 34.5 % of total Hotel Market shares. One of the major factors behind this dominance was rapid growth of experiential and wellness-focused tourism, by which hotels became more attractive. Hotels went on to renovate more and more of their premium rooms and also introduced more amenities which allowed them to grow their average daily rate (ADR) at a faster pace than that of standard categories. As the recovery of occupancy got stronger, travelers turned to mid upscale and premium tiers thus making Deluxe / Premium rooms the most commercially influential segment in 2024.
Hotel Market Regional Analysis
North America Hotel Market was the dominated global market in 2024, accounted around 35.5% of the total Hotel Market Shares. This market dominance was mainly powered by solid domestic travel demand, increased corporate mobility, and very high ADR levels that were maintained in most of the big cities. The region adored the advantages of well-developed digital booking ecosystems, lively MICE activity, and a steady flow of capital into both upscale and lifestyle hotel assets. The consolidation of the Hotel market was additionally strengthened by big hotel chains based in the U.S. Hotel which made it possible for North America to keep the highest revenue contribution and be the most stable in terms of operations when compared to other regions of the world.
On the other hand, Europe Hotel Market kept a solid position which was mainly backed by cross-border vacation demand, cultural tourism, and a peak-season occupancy that was higher than the global average. The Asia-Pacific Hotel Market displayed the quickest year-on-year increase that was mainly caused by a comeback of inbound travel, increasing hotel pipelines, and a growing middle-class spending - especially in China Hotel Market, India Hotel Market, and Southeast Asia Hotel Market. The Middle East Hotel Market was able to register a high ADR performance most likely due to the occurrence of mega-events, a luxury repositioning, and the destination development initiatives while Latin America Hotel Market was showing gradual progress as air connectivity and resort-led tourism were getting stronger in the major markets Hotel Market.
Hotel Market Competitive Landscape
In 2024, global hotel chains with a wide range of brand portfolios and strong global distribution capabilities were at the forefront of competition. The six major players - Marriott International, Hilton Worldwide, IHG, Accor, Wyndham, and Jin Jiang International - were backed by vast loyalty programs, complex brand architectures, and aggressive pipeline expansion. Both Marriott and Hilton were able to enjoy the benefits of some of the largest loyalty memberships in the world, which led to direct bookings and higher RevPAR. On the other hand, Jin Jiang and H World used their scale in China's high-volume domestic market to achieve cost efficiencies and rapid footprint growth. These factors gave the global mega-chains a solid grip on their dominance across the upscale, midscale, and luxury segments.
Beyond the top performers, major players like Hyatt, Choice Hotels, Radisson Hotel Group, and BWH Hotel Group have managed to consolidate their positions through niche-focused brand strategies and a selective global expansion. OYO, BTG Hotels, and BTH Hotels were very successful in the budget and economy segments, which have their main areas of focus, due to standardized offerings and tech-enabled operating models. Luxury specialists like Four Seasons, Wynn Resorts, and MGM Resorts International had able to continue attracting high-value travelers through premium service differentiation and curated guest experiences. Regional operators such as Motel One and Host Hotels & Resorts had been able to maintain their stability by focusing on asset-light models and location-driven competitiveness.
Hotel Market Scope:
Hotel Market Key Players –
Jin Jiang International
H World Group (formerly Huazhu)
Wyndham Hotels & Resorts
Accor Group
Choice Hotels International
Radisson Hotel Group
OYO
BTH Hotels
Hyatt Hotels Corporation
Host Hotels & Resorts
MGM Resorts International
Wynn Resorts
Best Western Hotels & Resorts
BTG Hotels Group (or BTG Homeinns)
BWH Hotel Group (formerly Best Western Worldwide umbrella)
Motel One / European-midscale chains
Four Seasons Hotels and Resorts
Hotel Market Frequently Ask Questions –
1) Who are the major Key players of Hotel Market?
Ans – The major key players of Hotel Market Are Marriott International, Jin Jiang International, Hilton Worldwide, H World Group (formerly Huazhu) and InterContinental Hotels Group (IHG).
2) Which Region accounted highest share of the Hotel Market in 2024?
Ans – North America region accounted highest share of the Hotel Market.
3) What was the market size of Hotel Market in 2024?
Ans - In 2024, market size of the Hotel Market was USD 1472.15 Billion.
4) Which Segment is expected to lead the Hotel Market during forecast period?
Ans - Service Segment was the top segment hold the largest share in Hotel Market.
5) What will be the market size of Hotel Market in 2030?
Ans - The market size of Hotel Market in 2030 will be USD 2468.95 Billion.