Global RevPAR for Independent Hotels Declines 5.4% in 2025 Amid Structural Cost Challenges, Reports Cloudbeds
🏨 In 2026, independent hotels face a profit challenge. Global RevPAR fell by 5.4% in 2025, while ADR dropped 5.8%. With labor costs now accounting for 60% of operating expenses in Europe, 47% in North America, and 43% in Latin America and Asia Pacific, structural cost increases persist. OTA reliance grew to 63.4%, raising distribution costs by 25% since 2019. Inflation above 3.8% and increased hotel supply intensify pressures. Only 11% of European hotels prioritize GOPPAR, highlighting a needed shift in focus.
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