Faced with persistent staffing shortages, increased price sensitivity among travelers, and the growing market share of branded hotels—which now represent 72% of all hotels in the U.S.—independent operators must fine-tune their strategies to stay ahead.
Now in its third year, the State of Independent Lodging report offers a unique, data-driven view of the global independent lodging segment, highlighting key insights and trends across a wide range of property types that are often overlooked in industry reports.
Adam Harris, Co-Founder and CEO of Cloudbeds, said: “Hospitality is fundamentally human, and independent properties represent its heart and soul. Cloudbeds is helping these businesses transform challenges into opportunities, proving that being independent doesn’t mean being alone. Together, we’re building a future where independent hospitality businesses not only survive, but, with access to technology like Cloudbeds Intelligence, lead the way forward.”
Key findings from the report include:
Occupancy trends indicate stability: Demand patterns remained stable in 2024, therefore, independent hotels should focus on capturing market share to maintain occupancy levels in 2025.
Prices hit a ceiling: After years of rapid growth, the global average daily rate (ADR) declined 1% in 2024, reflecting softer demand and greater price sensitivity among travelers.
OTAs continue to dominate: In 2024, online travel agencies (OTAs) captured 61% of all bookings for independent properties, which are much more reliant on OTAs than branded hotels.
Drawing on a wealth of aggregated and anonymized data from around the world, Cloudbeds has also identified five emerging trends poised to reshape the independent accommodation market in 2025. These include the rise of value-driven travel, a greater reliance on additional revenue streams, rising costs, labor shortages and high staff turnover, and the widespread adoption of AI in hotel operations.
The report's findings are based on data from more than 20,000 independent properties in 150 countries. The results are divided into four regions: North America, Latin America (including Mexico), Europe, and Asia-Pacific (including Australia and New Zealand).
Source: Cloudbeds.
