Hotels Market to Hit USD 1.97 Trillion by 2032 Fueled by Rising Corporate Travel and MICE Demand, Says Mordor Intelligence

The global hotels market is growing at a 6.15% CAGR from 2027 to 2032, with North America accounting for 30.83% of the market revenue in 2026.

Hyderabad, India, Oct. 26, 2026 (GLOBE NEWSWIRE) -- According to Mordor Intelligence, the hotels market size is projected to grow from USD 1.37 trillion in 2026 to USD 1.46 trillion in 2027 and reach USD 1.97 trillion by 2032, at a 6.15% CAGR from 2027 to 2032. Rising purchasing power in China is supporting domestic travel and overnight stays, while corporate travel, meetings, incentives, conferences and exhibitions (MICE) are creating additional accommodation demand. Moderate international arrival growth makes converting existing traveler flows into hotel bookings increasingly important. Expanding hotel networks, stronger revenue-management capabilities and new resort rooms can help operators capture demand, although high development costs and staffing pressures may slow capacity expansion. 

Hotel Market Growth Drivers 

Domestic staycations support hotel occupancy 

Domestic travel is becoming an important source of hotel demand, as residents increasingly choose short breaks and staycations within their own country. This trend helps hotels maintain occupancy without depending entirely on international arrivals. Local leisure trips, weekend travel and seasonal getaways are also encouraging travelers to extend their stays, giving hotels more opportunities to generate room revenue and maintain steady demand throughout the year. 

International tourism recovery supports hotel demand 

The recovery in international tourism is creating a broader pool of travelers seeking accommodation across destinations. As more people resume cross-border leisure and business trips, hotels can benefit from increased demand for paid stays, particularly in established tourist and business hubs. The recovery also supports demand across different accommodation categories, from city hotels to resorts. However, uneven visitor growth across regions and travel periods can lead to fluctuations in occupancy, encouraging hotel operators to strengthen their international customer reach and adapt offerings to changing travel patterns. 

Rising disposable incomes support hotel demand 

Growing disposable incomes in emerging economies are giving consumers greater flexibility to spend on leisure and overnight travel. In China, improving household purchasing power is creating opportunities for hotels to attract more domestic trips and encourage longer stays. The trend can support demand across different accommodation categories, as travelers may prioritize affordable and value-focused options rather than consistently choosing premium rooms. Hotels that offer flexible pricing and packages can benefit from this expanding discretionary spending. 

Jayveer V, Senior Research Manager, Mordor Intelligence says, “Mordor Intelligence’s research on the global hotels market combines market data, industry developments, and demand trends to provide a balanced view of market dynamics. This supports informed decisions on growth opportunities, market positioning, and evolving demand across the global hospitality sector.” 

Key Segments Covered in the Hotels Market Report 

By Hotel Type (Value) 

• Business/Commercial Hotels 

• Boutique Hotels 

• Resort Hotels 

• Casino Hotels 

• Transit Hotels 

• Bed & Breakfast Hotels 

• Others 

By Price Category (Value) 

• Economy/Budget 

• Midscale 

• Luxury 

By Rating 

• 1 Star 

• 2 Star 

• 3 Star 

• 4 Star 

• 5 Star 

By Ownership Model (Value) 

• Chain Hotels 

• Independent Hotels 

• Managed Hotels 

• Others 

By Booking Channel (Value) 

• Direct Booking (Brand Website, Call Center) 

• Online Travel Agencies (OTA) 

• Travel Agents / Tour Operators 

• Corporate Contracts 
  

By End-User 

• Leisure 

• Bleisure 

• Business 

Luxury and Budget Hotel Segments Shape Growth Across the Global Market 

The global hotels market is supported by demand across economy, midscale and luxury accommodation. While budget hotels continue to serve value-conscious travelers, luxury hotels are gaining stronger growth momentum as premium room demand and revenue opportunities expand. This mix of value and premium offerings is creating diverse growth opportunities for hotel operators across different customer groups. 

Hotels Market Regional Insights   

Asia-Pacific is becoming a major growth engine for the global hotels market, supported by stronger travel activity, improving hotel performance and continued investment in hospitality infrastructure. New hotel openings and expanding accommodation capacity are helping destinations meet growing demand from both leisure and business travelers. Rising tourism activity across key markets is also encouraging operators to expand their presence and strengthen their hotel portfolios. This combination of improving demand and ongoing capacity development is creating further opportunities for hotel market growth across the region. 

North America remains a major growth market for the global hotel industry, supported by steady guest spending and continued demand for accommodation. Hotels are benefiting from a broad base of leisure and business travelers, while improving room demand is helping operators generate stronger returns from existing properties. Continued investment in hotel capacity is also supporting market expansion, giving operators opportunities to serve rising demand across established destinations. 

Europe continues to offer strong opportunities for hotels, supported by growing tourism activity and increasing demand for overnight stays. Rising international travel is helping hotels attract visitors across major leisure and business destinations, while domestic tourism adds another source of demand. Hotel operators are also expanding and upgrading their properties to capture changing traveler preferences, supporting further growth across the regional market. 

Access this Report in Japanese: https://www.mordorintelligence.com/ja/industry-reports/global-hotels-market?utm_source=globenewswire 

Overview – Global Hotel Industry        

Key Companies Covered in the Hotels Market 

• Accor S.A. 

• Marriott International Inc. 

• Hilton Worldwide Holdings Inc. 

• InterContinental Hotels Group PLC 

• Hyatt Hotels Corporation 

• Wyndham Hotels & Resorts Inc. 

• Choice Hotels International Inc. 

• Jin Jiang International Holdings Co. Ltd. 

• OYO Rooms 

• Radisson Hotel Group 

• Meliá Hotels International SA 

• Best Western International Inc. 

• Four Seasons Hotels Ltd. 

• Mandarin Oriental International Ltd. 

• Shangri-La Hotels & Resorts 

• Louvre Hotels Group 

• Minor Hotels Europe & Americas 

• Minor International PCL (Anantara, Avani) 

• Whitbread PLC (Premier Inn) 
  

• ESH Hospitality Inc. 

• Red Lion Hotels Corp. 

• Host Hotels & Resorts Inc. 

• MGM Resorts International 

• Kerzner International Ltd. 

• Kempinski Hotels 

Get in-depth industry insights on the hotels market research report: https://www.mordorintelligence.com/industry-reports/global-hotels-market?utm_source=globenewswire 

Explore related reports from Mordor Intelligence 

Luxury Hotel Market Size: The luxury hotel market is projected to grow from USD 150.2 billion in 2026 to USD 162.7 billion in 2027 and reach USD 239.4 billion by 2032, registering a CAGR of 8.04% from 2027 to 2032. Growth is supported by rising international travel, improving purchasing power in China and longer business-leisure stays. Hotel operators are also adapting their offerings through destination-focused luxury formats and a mix of direct and agency-based booking channels to capture evolving premium travel demand. 

Hospitality Market Growth: The hospitality market is projected to grow from USD 9.11 trillion in 2026 to USD 9.62 trillion in 2027 and reach USD 12.46 trillion by 2032, registering a CAGR of 5.31% from 2027 to 2032. Demand is expanding as travelers combine business, leisure and wellness into single trips, encouraging hospitality operators to offer experiences and services that extend beyond accommodation and enhance the overall stay. 

Extended Stay Hotel Market: The extended-stay hotel market remains competitive, with large hotel groups holding strong brand recognition and broad geographic coverage. Major operators compete alongside aparthotel specialists, regional players, furnished apartment platforms, and conversion-focused brands, creating a diverse market landscape. Brand positioning, corporate partnerships, customer trust, and the ability to expand properties efficiently remain important factors in attracting demand and building a stronger market presence. 

About Mordor Intelligence 

Mordor Intelligence is a global market intelligence firm, founded in 2014, helping businesses make informed decisions through data-driven insights, industry expertise, and advanced analytics. With 550+ domain experts and on-ground specialists across 150+ countries, the company delivers comprehensive intelligence across aerospace & defense, agriculture, automation, automotive, chemicals & materials, consumer goods & services, electronics, energy & power, financial services, food & beverages, healthcare, hospitality & tourism, information & communications technology, and logistics. 

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