U.S. Hotel Industry Experiences Strong Growth; Global Occupancy Grows for the First Time in Five Weeks

• Due to the Easter week shift, revenue per available room (RevPAR) for U.S. hotels increased by 7.0% yearly. 
• High-demand events such as sports tournaments and conferences have significantly boosted performance across host markets.

U.S. hotels saw a surge in RevPAR during the week ending 29 March 2025, with a 7.0% increase compared to last year. The growth was primarily driven by increased occupancy rates and average daily rate (ADR). The RevPAR during weekends was particularly high, recording an 18.5% increase.

Events such as the World of Asphalt Show & Conference and the KHSAA Boys’ Sweet 16 State Basketball Tournament significantly boosted performances in the host markets of St. Louis and Louisville, respectively. Other markets hosting NCAA basketball tournament games also experienced notable increases in RevPAR.

Upper Upscale hotel chains recorded the highest RevPAR gains of 10.1%, with Luxury hotels seeing an increase of 4.9%. Group demand in Luxury and Upper Upscale hotels skyrocketed by 40.8% compared to last year, mainly due to large-scale events.

Demand fluctuated in the border towns, with hotels near the Canadian border recording a demand increase of 5.4%, while those near the Mexican border saw a decrease of 4.0%.

Globally, the hotel industry also experienced growth, with Germany recording the highest RevPAR increase of 46.4%, driven by conferences and fairs. Future expectations suggest further growth in U.S. and global RevPAR, owing to the shift in Easter holidays.

Outlook

Week Ending 5 April

Week Ending 12 April

• Outlook: Uncertain.

• Challenge: Tough comparisons with 2024’s solar eclipse week (8 April), which boosted demand across smaller markets.

• Occupancy Forecast: Top markets show a 1.5 percentage point increase in bookings.

• Demand Forecast: Flat overall, as smaller markets won’t see a repeat of last year’s surge.

Week Ending 20 & 26 April

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