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Cloudbeds: Independent Hoteliers Will Optimize Performance in 2025

  • LODGING Staff
  • 13 March 2025
  • 2 minute read
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This article was written by Lodging Magazine. Click here to read the original article

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SAN DIEGO, California—Cloudbeds unveiled its 2025 State of Independent Lodging Report. The findings reveal 2025 is set to be the “year of optimizing performance” for independent hoteliers. Faced with persistent labor shortages, increased price sensitivity from travelers, and a rising market share for branded hotels—which now represent 72 percent of all U.S. hotels—independent operators must sharpen their strategies to stay ahead.

Now in its third year, the State of Independent Lodging Report offers a data-driven look into the global independent lodging segment, highlighting insights and trends across a range of property types that are occasionally overlooked in industry reporting.

Adam Harris, cofounder 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 don’t just survive.”

Key findings from the report include:

  • Occupancy trends indicate stabilization: Demand patterns remained steady in 2024, therefore independent hotels must focus on capturing market share to maintain occupancy levels in 2025.
  • Pricing hits a ceiling: After years of rapid growth, the global average daily rate (ADR) declined by 1 percent in 2024, reflecting softening demand and increased price sensitivity among travelers.
  • OTAs continue to dominate: In 2024, online travel agencies (OTAs) captured 61 percent of all bookings for independent properties, which are far more reliant on OTAs than branded hotels.

Based on aggregated and anonymized data from across the world, Cloudbeds has also identified five new trends poised to reshape the independent lodging market in 2025. These include the rise of value-driven travel, increased reliance on additional revenue streams, rising costs, labor shortages and high staff turnover, and the widespread adoption of AI in hotel operations.

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The report’s findings are grounded in 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).

Please click here to access the full original article.

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