AH July 2025

News

10

www.asianhospitality.com

July 2025 | Issue 238

.S. hotel owners

and developers

remain confident in

the industry’s resiliency

despite ongoing headlines

about tariffs, inflation and

interest rates, according to a

Wyndham Hotels & Resorts

study. Support in marketing,

revenue management,

operations and access to

executive leadership are key

factors they consider when

choosing a brand.

Wyndham’s inaugural

“Hotel Owner Trends Report,”

which the company said is

based on a survey of hundreds

of owners and developers,

found that extended-stay

hotels remain a focus.

“There’s a lot of noise in

the marketplace right now, and yet

more than 90 percent of hotel owners

and developers are optimistic about

what the next five years hold for them,”

said Amit Sripathi, Wyndham’s chief

development officer. “That’s because

they know that in hospitality, they’re

playing the long game. For example,

while most admit to concerns over

current economic volatility, four out of

five say they still plan to expand their

portfolios over the next five years.”

Nearly 98 percent of those surveyed

are open to new branded offerings,

highlighting the value brands add

over independent operation. About

55 percent prefer traditional brands,

while just under 45 percent seek soft

brand options.

More than 80 percent of hotel owners

and developers say a strong loyalty

program is critical to a hotel’s success,

with about 62 percent of those open to

joining or switching brands ranking it

among their top five factors, Wyndham

said.

Interest in expansion spans nearly

all segments, with 39 percent targeting

lifestyle and boutique hotels, 36

percent focusing on midscale and

upper-midscale, and 35 percent on

economy.

Extended-stay tops list

Extended-stay hotels remain a focus

for owners and developers, with

96 percent of those surveyed citing

opportunity driven by demand and

developer return on investment,

the report said. Nearly 59 percent

recognize that operating in extended-

stay requires a different approach from

traditional brands and that adopting

this model is key to success. Wyndham

launched extended-stay brands ECHO

Suites in 2022 and WaterWalk in 2024.

All respondents expect new business

to grow over the next five years as

multi-year infrastructure spending

rises, including beyond the extended-

stay segment, driven by projects

funded through these investments, the

survey found.

More than 80 percent of hotel

owners and developers, in extended-

stay and other segments, say cross-

sell and upsell opportunities are key,

calling them critical or very important

to their hotel’s success.

Tech integration

is key

The majority of owners

and developers list access

to technology as a top-five

factor when choosing a

brand, the study said. About

20 percent say investing

in technology is how they

plan to differentiate their

hotel from the competition.

Wyndham has invested

nearly $350 million in

technology since going public

in 2018.

Scott Strickland,

Wyndham’s chief commercial

officer, said the message

from hotel owners and

developers is that they want the right

brands and partners.

“They want the best technology, the

best rewards program, and the best

support,” he said. “That’s exactly what

Wyndham offers, and it’s why our

franchisee retention rate has grown

to nearly 96 percent, including our

economy brands, which are among the

highest in the industry.”

About 61 percent of hotel owners

have invested or are considering

investing in streaming, digital room

keys, and self-service kiosks to

enhance guest experience. Nearly 46

percent have done or are considering

the same for EV charging stations.

More than 90 percent of hotel owners

use AI in some capacity, with over

70 percent applying it to operations

and more than 60 percent using it for

guest services, the survey found.

Approximately 33 percent of hotels

already use guest messaging platforms,

with nearly 30 percent planning to

invest or increase investment. Similarly,

33 percent offer mobile tipping, and

nearly 30 percent expect to invest or

increase investment in it.

Survey: U.S. hotel owners

confident despite challenges

Owners and developers continue to focus on extended-stay hotels

U.S. hotel owners remain confident in the industry’s resiliency despite

headlines about tariffs, inflation and interest rates, according to a Wyndham

Hotels & Resorts study. Amit Sripathi, Wyndham’s chief development officer,

pictured, said owners “know that in hospitality, they’re playing the long game.”