Procurement Market Intelligence Report
Hotel Rooms
Sourcing Guide & Market Intelligence
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Hotel Rooms Global Overview
Definition
Summary
Hotels provide short-term lodging and offer a variety of room types, including single rooms, double rooms, and suites. Business, leisure, and government travelers use these rooms, which are available throughout the country.
This Report Includes:
- Hotel Rooms
- Motel Rooms
Not in this Report:
- Conference Center Rentals
- Hostels
- Bed & Breakfasts
Global Hotel Rooms Procurement Trends
Discover the top international trends affecting procurement in the global Hotel Rooms market.
Warning Trends
Hotels continue to face labor shortages
- While the leisure and hospitality industry saw a surge in employment in September 2022, based on the latest available data from the Bureau of Labor Statistics, the hotel market only made up about 8.0% of that growth, indicating continuing struggles to fill open positions in the market.
Global Hotel Rooms Market - Suppliers by Region
| Country/Region | Number of Suppliers |
|---|---|
| #1 Europe | 398,460 |
| #2 Oceania & Southeast Asia | 228,820 |
| #3 China | 122,715 |
Explore supplier concentration across the globe
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Geography Drilldown - US, Canada & Europe
Average Cost of Hotel Rooms
United States
2026 Market Pricing$60.00 to $X,XXX.XX
per nightCanada
Europe
Average Price
Prices in the Hotel Rooms market range from $60.00 to $X,XXX.XX, depending on Hotel Location, Amenities and Occupancy Dates. For example, lower prices are associated with Minneapolis ($60.00 to $700 per night), whereas higher prices are associated with Oahu ($100 to $1500 per night).
Need the scoop on international price trends?
Between our Europe and Canada collections, we provide price data for 350 markets so you can instantly compare prices across borders. Or, use our custom research services for intel on prices in any region across the globe.
Hotel Rooms Category Price Trends
Pricing trends are indicated by the compound annual growth rate (CAGR) during a set period of time. For the Hotel Rooms market, prices in the US have grown 2.4% from 2022 to 2025. and +3.3% in Europe.
United States (2022-2025)
Canada (2016-2019)
Compound Annual Growth Rate
Europe (2022-2025)
Compound Annual Growth Rate
Wondering where prices are heading?
Price trend forecasts are available to subscribers, along with price driver projections and forward-looking cost structure data.
Cost Analysis - Total Cost of Ownership for Hotel Rooms
Total cost of ownership is Low in the Hotel Rooms market. The average cost of ownership differs depending on the contract but generally includes costs negotiated before the contract begins, costs billed during the contract period and unforeseen costs. For example, unforeseen costs in the form of Wage Inflation may raise the total cost of ownership unexpectedly.
Negotiated Before
Set Up Fees
Billed During
Membership fees
Consumables
Unforeseen
Wage Inflation
Buyer Power in Procurement Negotiations
In 2026, buyer power amounts to -2.4 in the United States. Buyer power is most positively impacted by Recent Developments. It is most negatively impacted by Switching Costs. Subscribers can access details on eight other factors that impact buyer power. Learn more
United States
Canada
Europe
Buyer power forecasts: your glimpse into the future
Develop strategies for the upcoming year and identify unforeseen opportunities for buying now
- Actionable "Buy Now" and "Buy Later" insights
- Near-real-time updates to current and forecast Buyer Power Scores
- Methodology and weightings for Buyer Power Score Components
Supply Chain Risk
The average level of supply chain risk is assessed as Medium, which has a negative impact on buyer power. The level of supply chain risk is affected by industry volatility, barriers to entry, competition, import penetration, regulation and industry financial risk. Buyers in this market can mitigate procurement and supply chain management risks by monitoring risk levels for individual first and second tier suppliers:
1st
Tier Suppliers
- Fruit & Vegetable Wholesalers
- Beef & Pork Wholesalers
- Egg & Poultry Wholesalers
- Computer & Packaged Software Wholesalers
- Furniture Wholesalers
2nd
Tier Suppliers
- Fruit & Nut Farmers
- Beef Cattle Producers
- Chicken Egg Producers
- Computer Manufacturers
- Furniture Manufacturers
Biggest Hotel Rooms Suppliers in the US by Revenue
The largest Hotel Rooms vendors by revenue in the US are Best Western International, Inc., Hilton Worldwide Holdings Inc. and Extended Stay America, Inc. Subscribers can sort and filter by market share concentration, profit level and other factors. Learn more
| Supplier | Operational Size | Headquarters | Number of Employees | Market Share (%) | Market Share Performance (3yr trend) | Total Revenue ($ million) | Profit Level (%) | Risk Level |
|---|---|---|---|---|---|---|---|---|
| Marriott International Inc. | Global | BETHESDA | >10,000 | 10-15 | ||||
| Hilton Worldwide Holdings Inc. | Global | MCLEAN | >10,000 | 10-15 | ||||
| Intercontinental Hotels Group Plc | Global | Denham, UK | >10,001 | 5-10 | ||||
| Hyatt Hotels Corporation | Global | Chicago | >10,000 | < 5 | ||||
| Accor | Global | Paris, FR | >10,001 | < 5 | ||||
| G6 Hospitality LLC | Global | Carrollton, TX | >10,000 | < 5 | ||||
| Travel & Leisure Co. | International | ORLANDO, NJ | >10,000 | < 5 | ||||
| Best Western International, Inc. | Global | Phoenix, AZ | 501-1,000 | < 5 | ||||
| Choice Hotels International, Inc. | NORTH BETHESDA, MD | 1,001-10,000 | < 5 | |||||
Looking for a list of suppliers by country?
Subscribers can access vendor information on Canadian and European suppliers, too. We also offer custom research services to help with vendor sourcing anywhere in the world.
Profit Analysis
The average profit margin across vendors in the Hotel Rooms market is 19.1% and steady. Profit levels shift depending on suppliers' spend on wages, purchases and overhead. The highest cost component for vendors is Overhead. The cost trend for this component is rising, when considering movement between 2025 and 2026. To understand cost forecasts for 2027 and uncover the implications on profit, start your subscription. Learn more
Vendor & Supply Chain Analysis
Average vendor risk is moderate among hotel room providers. While suppliers’ financial health is benefitting from increasing travel demand, many suppliers are still experiencing heightened risks due to market volatility.
Market share concentration is moderate among suppliers. Brands play a key role in market dynamics, and the top brands collectively garner a significant portion of market revenue. Consequently, these top brands have more pricing power than other companies, and buyers will often have to contend with higher rates from these hotels.
The supply chain for hotel rooms is subject to a moderate level of risk as labor shortages are affecting the market and demand remains volatile.
The United States is a net importer of bedroom furniture, meaning it imports more than it exports. While strong import penetration offers hotels a greater variety of options at a lower cost, it also increases the risk of supply chain disruptions and leads to higher transportation emissions.
Supplier Information
Hilton Worldwide Holdings Inc.
Hilton Worldwide Holdings Inc. is a global hospitality company operating hotels under various premier brands. Its portfolio includes over 7,500 owned and franchised hotel properties in more than 120 countries. Its brands include, among others, Waldorf Astoria Hotels & Resorts, LXR Hotels & Resorts, Conrad... Subscribe to learn more
Marriott International Inc.
Marriott International, Inc. is a global operator, franchisor, and licensor of hotel, residential, timeshare, and other lodging properties. Its portfolio of brands includes, among others, JW Marriott, The Ritz-Carlton, St. Regis, The Luxury Collection, W Hotels, EDITION, Bvlgari, Marriott Hotels, Sheraton,... Subscribe to learn more
Intercontinental Hotels Group Plc
Intercontinental Hotels Group Plc is a private company operating globally in the accommodation and food services sector. Founded in 1900, the company is currently headquartered in Denham, United Kingdom with an estimated employee count of over 10,000. Subscribe to learn more
Accor
Accor is a public company operating globally in the accommodation & food services sector. The company's offerings include serviced apartments and hotel rooms. Founded in 1967, the company is currently headquartered in Paris, France with an estimated employee count of over 10,000. Subscribe to learn more
Best Western International, Inc.
Best Western International, Inc. is a private company operating globally in the real estate & rental & leasing and accommodation & food services sectors. The company's offerings include event facilities and hotel rooms. Founded in 1946, the company is currently headquartered in Phoenix, Arizona, United States... Subscribe to learn more
Choice Hotels International, Inc.
Choice Hotels International, Inc. /DE is a global hotel franchising business. It owns and franchises economy, midscale, upper midscale, upscale, and upper upscale hotels in the US, the District of Columbia, and internationally. Its brand portfolio consists of Clarion®, Clarion Pointe™, Comfort Inn®, Comfort... Subscribe to learn more
Extended Stay America, Inc.
Extended Stay America, Inc. is a public company operating internationally in the accommodation and food services sector. The company's offerings include serviced apartments and hotel rooms. Founded in 1995, the company is currently headquartered in CHARLOTTE, North Carolina, United States of America with Subscribe to learn more
G6 Hospitality LLC
G6 Hospitality LLC is a private company operating globally in the accommodation & food services sector. The company's offerings include serviced apartments and hotel rooms. Founded in 1962, the company is currently headquartered in Carrollton, Texas, United States of America with an estimated 10000 employees.... Subscribe to learn more
Hyatt Hotels Corporation
Hyatt Hotels Corporation is a global hospitality company that develops, owns, and operates hotels and resorts under widely recognized brands. It owns and leases full-service hotels and resorts, service hotels, all-inclusive resorts, and other properties, including timeshare, fractional, and other forms of... Subscribe to learn more
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Procurement Management KPIs for the Hotel Rooms Market
Managing vendor performance throughout the contract period is easier when tracking specific key performance indicators (KPIs). For example, buyers should monitor Absenteeism rate and Average Resolution Time. Buyers may experience better performance throughout their contracts if they establish service level agreements (SLAs) based on Housekeeping Services and other factors.
| KPI | Level of Importance (1-5) | Measurements | Key Considerations |
|---|---|---|---|
| Absenteeism rate |
|
Number of required employees per day Number of absent employees per day |
If staff is routinely absent, work efficiency and service reliability will decline sharply. Routinely absent employees may also indicate suppliers do not thoroughly vet the character and qualifications of the employees they hire. |
| Average Resolution Time |
|
Total resolution time Number of resolved issues |
The average resolution time represents the average amount of time it takes to resolve an issue that arises. Hotels should be measured on their ability to quickly and effectively resolve issues. |
|
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Questions to Ask During Procurement Negotiations
How can I gain leverage during negotiations?
Reputation
How long has your company operated in the hotel market?
Have you ever had a claim filed against you for noncompliance with a government standard?
Vendor Financial Risk
How does your company maintain profit and stability during economic downturns?
Has your company diversified its purchases among multiple suppliers to reduce supply chain risk?
Cost Containment
Do you charge a resort fee to your guests?
Do you offer special group rates or corporate discounts?
The ultimate prep for procurement negotations
View all 26 negotiation questions for this category when you subscribe.
Hotel Rooms RFP Guidelines
What should my RFP include?
Organizational Overview
Buyers should give an overview of their organization, including industry, products and services, number of employees, and geographic regions.
Buyers should give an overview of their existing solution.
Statement Of Need
Buyers should list the desired location for the hotel.
Buyers should specify the total number of rooms needed and occupancy dates.
Project Budget
Buyers should include the budget for the contract, if relevant.
Vendors should include a pricing schedule outlining their various fees.
The RFP process made easy
Find out how you can access RFP templates for 800+ procurement categories to start writing better, more consistent RFPs.
We display average pricing information, trends and market data.
Our Reports include:
- Opportunity assessment
- Market dynamics
- Recent developments
- Positive and warning trends
- Buyer power levers
- Price environment and market pricing
- Geographic wage rates
- Global market updates
- Total cost of ownership
- Cost structure benchmarks and analysis
- Supply chain and vendors
- Global supplier breakdown
- Market share concentration
- Regulation and business requirements
- Vendor management and KPIs
- Sourcing strategy guidance
