The average daily rate (ADR) represents the average rental income earned for an occupied room per day. In 2022, the ADR of the United States hotel industry was forecast to reach *** U.S. dollars. By 2024, that figure was forecast to increase to *** U.S. dollars.

The average daily rate (ADR) of the United States hotel industry was ****** U.S. dollars in 2022, reflecting an increase over the previous year. The decline in ADR in both 2020 and 2021 can be attributed to the disruptions in travel and stay-at-home restrictions implemented due to the coronavirus (COVID-19) pandemic. What is average daily rate (ADR)? Average daily rate is a key performance indicator of the hospitality industry. It shows the average room rental price per day in either a specific hotel (independent/chain), or in this case the average room rental price per day of many hotels within the U.S. Other useful KPI’s that are used in the lodging industry are the occupancy rate and revenue per available room (RevPAR).

As of October 2024, the city with the most expensive hotel rate in the United States was Boston. Visitors to the East Coast city could expect to pay 320 U.S. dollars for a doube room during that period. Meanwhile, New York ranked third with an average rate of 284 U.S. dollars.

The graph depicts the average price of a hotel room in 2010 and 2011* around the world. In Europe, the average cost for a hotel room was 167.76 U.S. dollars.The Hotel Price Index (HPI) is based on bookings made on hotels.com. The prices shown are those actually paid by the customer. The sample set are about 110,000 properties in more than 18,000 global locations.

Average hotel room prices - additional information

In both 2010 and 2011, the Caribbean was the most expensive region in the world to for hotel stays, with an average hotel room price of 207.11 U.S. dollars in 2011. The Caribbean, located to the south east of North America and the Gulf of Mexico, includes many popular vacation destinations such as the Bahamas, Cuba, Barbados and the Dominican Republic. The region is well-known for its natural beauty and luxury resorts. In 2013, Soufriere, St. Lucia, was one of the most expensive destinations for U.S. travelers in terms of hotel costs, second only to Bora Bora in French Polynesia, where the average daily rate for a hotel was 770 U.S. dollars. Despite the cost, Caribbean cruises were the most popular vacations in the U.S. according to travel company Travel Leaders Group.

A close neighbour of the Caribbean, North America saw the lowest average hotel price in 2010 and 2011. While low in comparison to other regions, the average daily rate of hotels in the U.S. has risen year-on-year since the global recession of 2009 and, in 2013, the U.S. hotel industry generated 163 billion U.S. dollars in revenue. The United States also has some expensive destinations of its own: the most expensive U.S. city for hotel rates in 2013 was Honolulu, Hawaii, with an average daily rate of 230 U.S. dollars. New York ranked second at 211 U.S. dollars a night.

As well as being the region with the second highest average hotel price, hotels in Europe also charge the most for room service. Six out of ten of the most expensive cities in the world for hotel room service were located in Europe in 2014. Helsinki in Finland was the most expensive at just under 90 U.S. dollars.

Graph and download economic data for Producer Price Index by Industry: Hotels and Motels, Except Casino Hotels (PCU721110721110) from Dec 2003 to Aug 2025 about casino, hotel, PPI, industry, inflation, price index, indexes, price, and USA.

The average daily rate (ADR) of hotels in the United States was ***** U.S. dollars as of November 2020. Due to the impact of the coronavirus pandemic in the hotel industry, this figure dropped to about **** percent when compared to last year's figure.

What is average daily rate?

Average daily rate is a key performance indicator of the hospitality industry. It shows the average room rental price per day in either a specific hotel (independent/chain), or in this case the average room rental price per day of many hotels within the U.S. Other useful KPI’s in the lodging industry are the  occupancy rate and revenue per available room (RevPAR).

Monthly ADR trends

Patterns are quite easy to discern in the monthly ADR of U.S. hotels. It often peaks annually in October and shows a dip in January. This dip could be due to lower spending from consumers after the expensive winter holiday season. Additionally, U.S. hotel ADR rates have shown annual growth month-to-month since 2011.

Graph and download economic data for Consumer Price Index for All Urban Consumers: Lodging Away from Home in U.S. City Average (CUUR0000SEHB) from Dec 1997 to Aug 2025 about lodging, urban, consumer, CPI, housing, inflation, price index, indexes, price, and USA.

In the last quarter of 2024, New York registered the highest hotel prices for business travelers among major U.S. cities. On average, a business visitor in the 'Big Apple' could spent around *** U.S. dollars on hotel accommodation per day.

The average for 2021 based on 11 countries was 67.92 index points. The highest value was in Chile: 102.05 index points and the lowest value was in Paraguay: 47.2 index points. The indicator is available from 2017 to 2021. Below is a chart for all countries where data are available.

The average price of accommodation in hotels and similar lodging establishments in the Brazilian City of Rio de Janeiro in amounted to 117 U.S. dollars in February 2024. The average price of hotel rooms reached the highest peak of the previous year in January, at 115 U.S. dollars.

This statistic shows the average hotel price in New York in the United States as of December 2014, sorted by star rating. According to the GoEuro Accommodation Price Index, a five star hotel cost an average of 669 U.S. dollars per night.

According to Cognitive Market Research, the global mid range hotel market size is USD XX billion in 2023 and will grow at a compound annual growth rate (CAGR) of 6.00% from 2023 to 2030

The demand for mid range hotel market is rising due to therise of online booking platforms and travel websites has greatly enhanced the prominence of mid-range hotels.
Demand for one double bed remains higher in the mid-range hotel market.
The online booking category held the highest mid-range hotel market revenue share in 2023.
North America will continue to lead, whereas the Asia Pacific mid-range hotel market will experience the strongest growth until 2030.

Market Dynamics of MID Range Hotel Market

Key Drivers of MID Range Hotel Market

Enhanced Guest Experience and Amenities to Provide Viable Market Output

The mid-range hotel market is the constant focus on enhancing the guest experience. Mid-range hotels are increasingly investing in amenities and services that appeal to a wide range of travelers, including families, business professionals, and tourists. These hotels are incorporating modern technology, such as mobile check-in services and high-speed Wi-Fi, to cater to the needs of tech-savvy guests.

In January 2023, Marriott revealed the inauguration of the first-ever Westin Hotels and Resorts establishment in Uttarakhand, India. The Westin Resort and Spa, Himalayas, is now open for business.

Additionally, they are expanding their offerings to include on-site restaurants, fitness centers, conference facilities, and recreational activities. By providing a diverse array of services, mid-range hotels create a compelling value proposition for guests, ensuring customer satisfaction and loyalty. This focus on guest experience drives positive reviews, repeat business, and positive word-of-mouth referrals, contributing significantly to the growth of the mid-range hotel sector.

Strategic Location and Accessibility to Propel Market Growth

The strategic location of mid-range hotels plays a pivotal role in driving their success. These hotels are often situated in prime areas, offering easy accessibility to popular tourist attractions, business districts, transportation hubs, and entertainment venues. Their convenient locations make them an attractive choice for travelers seeking both comfort and accessibility. Mid-range hotels frequently capitalize on their proximity to key points of interest, allowing guests to explore the local culture and attractions effortlessly. Moreover, their accessibility to public transportation options and major highways makes them convenient choices for travelers, ensuring a steady flow of guests throughout the year.

Restraint Factors of Mid Range Hotel Market

Rising Economic Fluctuations to Hinder Market Growth

The mid-range hotel market is its sensitivity to economic fluctuations. During periods of economic uncertainty, consumers tend to reduce their travel budgets, opting for more budget-friendly accommodation options or cutting down on travel altogether. Mid-range hotels often find themselves in a precarious position, as they need to balance providing quality services with competitive pricing. Economic downturns can lead to reduced occupancy rates and lower average room prices, impacting the overall revenue of mid-range hotels. Additionally, these hotels face pressure from both ends: the need to maintain a certain level of service quality to attract guests and the necessity to keep prices affordable.

Pressure from Alternative Accommodation Platforms

One of the key restraints impacting the mid-range hotel market is the growing competition from alternative accommodation providers, such as Airbnb, Vrbo, and other short-term rental platforms. These alternatives often offer larger spaces, home-like amenities, and flexible pricing, which can be more appealing to families, groups, and long-stay travelers. Many travelers now prefer the personalized, local experience that these platforms promote something mid-range hotels may struggle to replicate within their standardized service models. As consumer preferences shift toward more authentic and cost-effective lodging options, mid-range hotels face the challenge of redefining their value proposition to retain market share, especially in leisure-driven travel segments.

Opportunity for mid range hotel market

Rising Demand for Affordable Yet Comfortable Travel Options is C...

This statistic shows the average hotel prices in Boston in the United States as of December 2014, sorted by star rating. According to the GoEuro Accommodation Price Index, a five star hotel cost an average of 252 U.S. dollars per night.

As a result of the coronavirus (COVID-19) pandemic the hotel industry has taken a hit in 2020. In May 2020, the average daily rate (ADR) of hotels in Europe was ***** U.S. dollars. Daily hotel prices were lowest in the Asia Pacific region during the same month.

Hotel rate changes worldwide

In each region, corporate average daily hotel rates are forecast to increase by 2020. Asia’s rates are predicted to be higher than the global average, increasing by about ***** percent. Latin America should see a smaller rise of about *** percent, due to the more modest growth in demand within this region. However, these rates were forecast prior to the coronavirus (COVID-19) pandemic therefore will be subject to change.

Hotel occupancy rate

Average daily rates in the hotel industry tend to change throughout the year as they are closely linked to hotel occupancy rates. Specific regions are visited more frequently during certain times of year. For instance, hotel rooms in the Americas were rented more frequently during the summer months, compared to the colder winter months in 2019.

Index Time Series for AdvisorShares Hotel ETF. The frequency of the observation is daily. Moving average series are also typically included. The fund is an actively ETF that seeks to achieve its investment objective by investing, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in securities of companies that derive at least 50% of their net revenue from the hotel business. It may also invest in companies involved in other lodging and travel-related services. The fund invests primarily in U.S. exchange listed equity securities, including common and preferred stock, real estate investment trusts and ADRs. It is non-diversified.

This statistic shows the average hotel price in San Francisco in the United States as of December 2014, sorted by star rating. According to the GoEuro Accommodation Price Index, a five star hotel cost an average of 454 U.S. dollars per night.

Cost of living can vary wildly depending on the city that people live in. Some are hugely expensive while others are comparatively cheaper. This variety can also be seen in the average overnight price of hotels. In September 2023, New York held the highest hotel rate in North America when compared to other selected cities. The average overnight price for a hotel room in New York was 504 U.S. dollars.

In 2019, the average daily rate (ADR) of the hotel industry stood at about ***** U.S. dollars in the Americas. Prices in this region have been steadily increasing over the past decade.

Hotel rates

The ADR of a hotel frequently changes throughout the year. For instance, average daily rates in Europe tend to be significantly higher during the summer months, reaching approximately *** U.S. dollars in June 2019. Comparatively, in the winter period ADRs are typically lower, reaching around *** U.S. dollars in February 2019. This trend was also visible in the Americas over the last five years; however, to a lesser extent. In terms of daily hotel rates, the United States has seen a pattern of growth since 2009. The average price has grown by just over ** U.S. dollars since then.

Revenue per available room

In 2019, European hotels generated the most revenue per available room (RevPAR), namely some ** U.S. dollars per room. Just like ADRs, the RevPAR is changeable depending on the month in which the room was booked. Revenue per available room is higher in peak seasons, therefore, it grows in the most popular seasons for each destination and decreases in low seasons.

The average cost for overnight accommodation in San Francisco was *** U.S. dollars in September 2023, up from the previous month's total of *** U.S. dollars. Overnight accommodation costs in the city experienced an overall increase since the beginning of the year.

The average price of accommodation in hotels and similar lodging establishments in Mexico City in amounted to 110 U.S. dollars in February 2024. The average price of hotel rooms reached the highest peak of the previous year in October, at 119 U.S. dollars.