Market Trends

📈 Duetto and Cloudbeds released the first Hotel Market Pulse report analyzing global hotel performance from January 1 to July 31, 2025, compared to 2024. Expedia's room night volume increased by nearly 12%, while OTA gains from Trip.com, Hotelbeds, and Despegar exceeded 35%. Global average daily rates dropped: 10% on Vrbo and 5% on Hotelbeds. TRevPAR increased: Latin America (+4.6%), North America (+3.5%), and Europe (+2.5%). Labor costs rose by 4.6% in North America and 3.9% in Europe.

🎁 More than a third, or 37%, of UK residents plan to travel domestically to visit family and friends this Christmas, according to a survey of 45,000 by Travelodge. Only 4% will go overseas. Among these, 14% will sleep on sofas or floors. The survey also reveals 49% prefer regional Christmas markets, with Bath leading the list. Traditional meals remain popular: 65% will have turkey. Casual outfits dominate, with 45% opting for comfort.

📅 11 November, France: The bank holiday weekend diverged from the previous All Saints' holidays, with most regions experiencing a downturn despite the favorable weather. The French Riviera thrived, buoyed by the luxury sector and international visitors, whereas northern and western cities faced notable decreases. This analysis, based on MKG data, highlights how the weekend's performance challenges markets' adaptability to fluctuating demand.

🗺 Provence-Alpes-Côte d'Azur saw an 11.8% RevPAR increase over the 11 November 2025 weekend, driven by a 10.7% rise in average daily rates, mainly in luxury hotels. Visitor numbers slightly increased (+0.5 points) due to favorable weather and international tourists. Cannes and Nice excelled, with Cannes' RevPAR surging 34.3%, linked to the European Pensions & Investments Summit starting 12 November. In contrast, other French regions didn't perform as well.

🏨 Nov 14, 2025: U.S. hotels face mixed fortunes. Economy and mid-scale segments struggle with RevPAR barely above zero, while luxury hotels see over 5% RevPAR growth through August 2025. Luxury ADRs are up 5% year-on-year, but demand from younger travelers and value shifts pose risks. Luxury-hotel growth forecasts show 4-5% CAGR in major regions, with investment favoring premium assets. Hoteliers must enhance brand value and manage costs amid a tightening market.

📊 A Florida coastal independent hotel increased direct bookings by 35% and RevPAR by 25% in six weeks by enhancing visibility. Independent hotels struggle with visibility across OTAs, Google, and local searches, not necessarily with marketing, pricing, or promotions. RevOptimum's Hotel Visibility Program aids by improving OTA placements, Google visibility, and search discovery, thus boosting direct bookings. Improving these visibility factors is essential for independent hotels to be seen and booked.

🏨 Hotels have improved transient direct bookings using sophisticated marketing, resulting in higher margins and stronger brand control. However, group rooms and meeting space sales still depend on outdated processes and intermediaries, affecting profits. A shift to direct group booking using targeted digital advertising, intelligent sales tools, and automation can reduce costs, speed up conversions, and enhance data ownership. This strategy offers significant commercial gains, aligning group sales success with transient booking achievements.

🗺️ European Travel Commission's Q3 2025 report shows a 9.9% expected rise in traveller spending. International arrivals to Europe increased by 3%, with overnight stays up 2.7%. Southern Mediterranean destinations like Malta (+12%) and Cyprus (+10%) reported growth, while Germany (-2%) and Türkiye (-1%) saw declines. AI in travel planning doubled to 18%, with China leading at 40%. Long-haul arrivals from Japan and China increased by 24% and 21% respectively. Europe anticipates a 6.8% rise in arrivals for 2026.