U.S. Hotel and Lodging 2026: Slow growth, a stable split and AI waiting at the door
Phocuswright report shows U.S. hotel room revenue rose 1% to $207.9 billion in 2025, ADR up just 1%, occupancy fell to 62.3%, first decline since 2020. 2026 projected revenue growth of 3% to $214.7 billion. International arrivals lag and geopolitical tensions are drags, but luxury and corporate travel rebound provide support. OTA and direct channels split stable at 52%/48%, with OTAs expected to grow faster in 2026-2027. AI is a marketing tool today, potentially a distribution channel tomorrow.
Impact and considerations
U.S. hotel market growth slows, distribution landscape stable but contested, AI may reshape distribution channels, offering strategic insights for the hotel industry.
Key points
- U.S. hotel room revenue rose 1% to $207.9B in 2025, occupancy fell to 62.3%.
- 2026 projected revenue growth of 3% to $214.7B.
- OTA and direct channels split stable at 52%/48%, OTAs expected to grow faster.
- AI is a marketing tool today, potentially a distribution channel tomorrow.
Sources and time
- Primary source
- PhocusWire / Phocuswright
- Other sources
- 0
- First source publication
- 30 Jun 2026, 16:00
- Page published
- 13 Aug 2026, 08:13
- Last updated
- 30 Jun 2026, 16:00
- Original links
- PhocusWire All News:U.S. Hotel and Lodging 2026: Slow growth, a stable split and AI waiting at the door (opens in a new tab)Primary source · en · Published 30 Jun 2026, 16:00