What is the Historical Analysis of the Extended Stay Hotel Market Size?
The extended stay hotel market has seen considerable growth due to a variety of factors.
•The size of the extended stay hotel market has seen significant expansion over the recent years. The growth is projected to rise from $57.09 billion in 2024 to an estimated $61.3 billion in 2025, with a compound annual growth rate (CAGR) of 7.4%.
The development in the past years can be credited to aspects such as business travel requirements, economic conditions, globalization, progressive travel trends, and workforce mobility.
What is the Forecasted Growth of the Extended Stay Hotel Market Size?
The extended stay hotel market is expected to maintain its strong growth trajectory in upcoming years.
• The market size of extended stay hotels is predicted to witness substantial expansion in the upcoming years, with an expected valuation of $82.41 billion in 2029, growing at a Compound Annual Growth Rate (CAGR) of 7.7%.
The expected growth during the forecast period is linked to factors such as the surge in remote working, increase in medical tourism, focus on sustainability and wellness, swing in housing choices, and accommodations for family travel. The predicative period will likely see trends like flexible and hybrid spaces, personalization through tech integration, contactless services, improved amenities and stringent health and safety standards.
What Key Factors and Trends are Driving the Growth of the Extended Stay Hotel Market?
The expansion of the tourism industry is anticipated to drive the growth of the extended-stay hotel market in the future. Tourism is a multifaceted phenomenon with cultural, social, and economic aspects that involves people traveling beyond their usual surroundings for various reasons, including personal enjoyment, business ventures, or professional obligations. Extended-stay hotels provide a home-like comfort to tourists, business professionals, and others by offering a range of services and amenities, such as housekeeping and food preparation, enabling them to remain efficient in an unfamiliar city or place. For example, the Office for National Statistics, an executive office of the UK Statistics Authority, reported in May 2024 an increase in international visitors to the UK in 2023 compared to 2022, with the numbers rising from 31.2 million in 2022 to 38.0 million in 2023. Thus, the burgeoning tourism industry is propelling the progress of the extended-stay hotel market.
What are the Market Segments in the Extended Stay Hotel Market?
The extended stay hotel market covered in this report is segmented –
1) By Type: Economic, Middle, Luxury
2) By Stay Duration: Weekly, Long Term
3) By Tourist Type: Domestic, International
4) By Booking Channel: Online, On Phone, In-Person
5) By Application: Travelers, Business Customers, Trainers And Trainees, Government And Army Staff, Other Applications
Subsegments:
1) By Economic: Budget Extended Stay Hotels, Economy Suites
2) By Middle: Midscale Extended Stay Hotels, Business Class Extended Stay Hotels
3) By Luxury: Upscale Extended Stay Hotels, Premium Extended Stay Suites
Pre-Book The Extended Stay Hotel Global Market Report 2025 Report For Swift Delivery And Comprehensive Insights:
What Trends are Shaping the Extended Stay Hotel Market?
The ongoing trend of innovations in the extended-stay hotel sector is garnering significant attention. Leading corporations in this market are developing resourceful brands to maintain their market stand. For example, Hilton Inc., an American hotel organization, rolled out Project H3, a novel lower-midscale extended-stay brand, in May 2023. The fresh brand provides distinct, apartment-style accommodation, featuring flexible spaces for relaxation, work, meal preparation, and self-care. This offering includes a full-amenity kitchen with a sizable refrigerator, dishwasher, microwave, two-burner stove, and more, accommodating visitors with stays of at least 20 nights. Additionally, the ground floor and reception area incorporate a front desk, a fitness center, a laundry facility, and a small retail outlet.
Who Are the Key Players in the Extended Stay Hotel Market?
Major companies operating in the extended stay hotel market include:
• Marriott International Inc.
• Hilton Worldwide Holdings Inc.
• Hyatt Hotels Corporation
• Accor Group
• G6 Hospitality LLC
• InterContinental Hotels Group PLC
• Wyndham Hotels & Resorts Inc.
• Choice Hotels International Inc.
• Extended-stay America Inc.
• The Ascott Limited
• Sonder Holdings Inc.
• InTown Suites
• Larkspur Landing
• National Corporate Housing Inc.
• Kasa Living Inc.
• Domio Inc.
• Ginosi Corporation
• Synergy Global Housing LLC
• My Place Hotels of America LLC
• Mint House Inc.
• Blueground
• The Locale LLC
• Bridge Street Motor Inn
• Bungalow Hotel
• Corporate Worldwide Stay LLP
• Le Square Phillips
• Les Suites Hotel
• WaterWalk Hotel Apartments
• Zeus Living Inc.
• Crestwood Suites Hotel
What are the Regional Insights into the Extended Stay Hotel Market?
North America was the largest region in the extended stay hotel market in 2024. The regions covered in the extended stay hotel market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
