HotelHub data for Q1 2025 shows a 7.76% drop in US hotel bookings, compared to 2024. Bookings in Canada, UK, and France, however, have increased. The global average rate for a hotel night remained constant at $177.
HotelHub is a leading hotel booking software provider. Their recently released data from Q1 of 2025 shows a substantial drop in US bookings. The US bookings dropped by 7.76% in Q1 2025 compared with Q1 2024. This downward trend is observed in spite of the radical changes made by the US administration to its domestic and foreign policies.
Hotel Bookings on the Rise in Other Countries
In Q1 2025, bookings for hotels in countries that are traditionally allies of the US were up. Canada experienced a 9.94% increase in bookings compared to 2024. Bookings in the UK and France increased by 7.15 and 3.02% respectively. This could suggest that business travel is shifting away from the US.
Stabilisation of the Global Average Hotel Rate
In spite of economic volatility, business travelers can be happy with the hotel rates in the first quarter 2025. According to all HotelHub reservations for the quarter, global average rates per night were $177. This was only a 0.19% rise from Q1 2024. The previous year, the rate had risen by nearly 8%.
Hotels in Major Business Hubs are reducing their rates
Hotel rates in some major business centres have dropped significantly compared with 2024. HotelHub’s top destinations, London, Paris, New York, saw average hotel rates drop by 3.92% each. Toronto and Los Angeles saw a 15% drop in hotel rates.
US Outlier in Booking Length Growth
HotelHub 2025’s findings also showed a continuing growth trend for booking lead times from 2024. The US, however, was the exception. While the global averages showed a similar growth rate for domestic and international bookings lead times in 2025, the US stood out. The lead time for international bookings increased in the US by 6.21% during Q1 2025. However, the lead time for domestic bookings decreased by 1.68%.
Paul Raymond is the Director of Business Development for HotelHub. He noted the changes in HotelHub data, especially the 7% decrease in Washington D.C. bookings and the 13% decline in New York bookings. He said that recent volatility could pose more challenges to business travelers, but also stressed the importance of face-to-face meetings for businesses as they navigate the “new normal”.
Download the App HotelHub Index 2025: Q1.
