Extended Stay Hotel Market Competitive Analysis Outlook for 2025 to 2035

The global extended stay hotel market is a dynamic and evolving sector, consisting of multinational hospitality corporations, regional extended stay brands, niche boutique operators, and independent providers. Major global players leading the market include Marriott International (Residence Inn & TownePlace Suites), Hilton Worldwide (Homewood Suites), and InterContinental Hotels Group (Staybridge Suites & Candlewood Suites), collectively accounting for approximately 40% of the market share.

These brands dominate the market with a wide portfolio of properties, standardized extended-stay amenities, and strong loyalty programs.

Regional leaders, including Choice Hotels (MainStay Suites & WoodSpring Suites), Wyndham Hotels (Hawthorn Suites), and Accor (Adagio Aparthotels), hold around 25% of the market, offering a mix of midscale and economy extended-stay options. They emphasize affordability, localized experiences, and flexible long-term lodging solutions.

Niche and boutique extended stay brands, such as AKA, Sonder, and The Ascott Limited, account for about 15% of the market. These operators focus on premium experiences, serviced apartments, and upscale extended stays catering to business travelers, digital nomads, and expatriates. Smaller independent operators and stand-alone extended stay properties contribute roughly 5% of the market, often partnering with major brands for visibility or operating in specialized markets.

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Market Share by Key Players

Global Market Share, 2025 Industry Share %
Top 3 (Marriott, Hilton, IHG) 19%
Next 3 of Top 5 (Choice Hotels, Wyndham, Accor) 25%
Emerging & Niche Brands (AKA, Sonder, The Ascott Limited) 15%
Smaller Operators 5%
Regional & Specialized Extended Stay Providers (Various Local Players) 36%

Market Concentration 2025

Market Concentration, 2025 Assessment
High (more than 60% by top players) Low
Medium (40 to 60% by top 10 players) High
Low (less than 30% by top players) Low

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Segment Analysis

Luxury Extended Stay Hotels Generating Significant Revenue and Their Success Factors

Luxury extended stay hotels continue to generate substantial revenue by offering premium accommodations, exclusive services, and strategic locations that attract high-net-worth individuals, corporate executives, expatriates, and long-term business travelers.

AKA Hotels & Hotel Residences leads the luxury extended stay segment, earning significant revenue from properties in high-demand cities like New York, Los Angeles, and London. Their AKA Central Park location in Manhattan consistently attracts business leaders and affluent travelers seeking extended accommodations with spacious suites, high-end concierge services, and in-residence wellness programs.

Fraser Suites, another key player, generates strong revenue from properties in financial hubs such as Singapore, Dubai, and Paris. Fraser Suites Singapore, for example, capitalizes on demand from expatriates and long-term corporate guests working in multinational companies. The hotel offers fully serviced luxury apartments with personalized business services, gourmet dining, and premium recreational facilities.

Marriott’s The Ritz-Carlton Residences dominates the ultra-luxury extended stay category by combining five-star hotel services with residential-style living. The Ritz-Carlton Residences in Miami Beach attracts wealthy clientele who prefer long-term stays in spacious waterfront apartments, featuring private chefs, luxury spa services, and personalized concierge assistance.

Four Seasons Private Residences generates substantial revenue from locations in Bangkok, London, and Beverly Hills, where international executives and high-profile guests choose long-term stays for their privacy, security, and world-class amenities. The Four Seasons Residences Bangkok particularly benefits from demand among diplomats and multinational CEOs, offering premium business services and luxury wellness facilities.

These hotels succeed by targeting high-spending travelers who prioritize privacy, exclusivity, and premium services. Their ability to offer residential-style luxury with five-star amenities ensures consistent high occupancy rates and strong financial performance in the extended stay segment.

Extended Stay Hotels Generating Significant Revenue from Corporate Professionals

Extended stay hotels catering to corporate professionals generate substantial revenue by offering long-term accommodations with business-friendly amenities, strategic locations, and flexible pricing. These hotels attract consultants, executives, and remote workers who need comfortable, well-equipped spaces for weeks or months at a time.

Residence Inn by Marriott leads this segment, earning strong revenue from corporate travelers in major business hubs like New York, Chicago, and San Francisco. For example, Residence Inn San Francisco Airport Millbrae Station sees high occupancy from technology professionals working in Silicon Valley. With full kitchens, workspace-friendly suites, and proximity to corporate offices, the property remains a preferred choice for long-term stays.

Hyatt House also captures significant revenue by targeting professionals in industries such as finance and healthcare. Hyatt House Houston Medical Center attracts medical professionals on temporary assignments and business travelers visiting the Texas Medical Center, the world's largest medical complex. The hotel’s extended stay perks, including complimentary breakfast, 24/7 business centers, and in-room workspaces, make it ideal for corporate guests.

Staybridge Suites by IHG thrives in cities with growing corporate markets like Austin, Denver, and Toronto. Staybridge Suites Austin Airport generates high revenue from business professionals in the tech industry, particularly those relocating or on extended projects with companies like Dell and IBM. The hotel offers home-like amenities, including social evening receptions, making it attractive for long stays.

Element by Westin, known for its eco-conscious extended stay model, attracts corporate travelers in sustainability-driven industries. Element Boston Seaport District sees consistent bookings from executives in clean energy and biotech, offering apartment-style accommodations with green initiatives such as energy-efficient rooms and healthy food options.

These hotels succeed by offering extended stay solutions tailored to corporate professionals, integrating comfort, convenience, and proximity to major business centers. Their ability to meet business travelers’ evolving needs ensures steady revenue growth in the extended stay sector.

Key Revenue Source by Hotels

Hotel Brand Key Revenue Sources & Locations
Residence Inn by Marriott Generates strong revenue from corporate travelers in business hubs like New York, Chicago, and San Francisco. Example: Residence Inn San Francisco Airport Millbrae Station sees high occupancy from tech professionals in Silicon Valley.
Hyatt House Captures significant revenue from finance and healthcare professionals. Example: Hyatt House Houston Medical Center attracts medical professionals on assignments at the Texas Medical Center.
Staybridge Suites by IHG Thrives in corporate markets such as Austin, Denver, and Toronto. Example: Staybridge Suites Austin Airport earns high revenue from tech professionals working at Dell and IBM.
Element by Westin Appeals to corporate travelers in sustainability-driven industries. Example: Element Boston Seaport District consistently books executives in clean energy and biotech.

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Who Shaped the Year?

2024 marked a pivotal year for the extended stay hotel market as major players expanded their portfolios, introduced new services, and responded to shifting traveler demands.

  • Marriott’s Residence Inn (Global) -Residence Inn strengthened its leadership in the extended stay segment by expanding into high-demand corporate hubs like Tokyo, London, and San Francisco. The brand attracted business travelers and relocating professionals by enhancing its long-term stay benefits, including workspace-friendly suites and exclusive loyalty program perks.
  • Hyatt House (North America, Asia) - Hyatt House increased its market share by focusing on healthcare and corporate travelers. The brand saw strong demand at Hyatt House Houston Medical Center, where medical professionals and long-term patients booked extended stays near world-class hospitals. Hyatt House also introduced monthly stay discounts, making long-term accommodations more accessible.
  • Staybridge Suites by IHG (Global) - Staybridge Suites expanded its presence in growing tech and financial hubs like Toronto, Austin, and Dubai. The brand capitalized on the remote work trend, attracting digital nomads and corporate professionals with flexible booking policies, fully equipped kitchens, and communal workspaces.
  • Fraser Suites (Europe, Middle East, Asia-Pacific) - Fraser Suites excelled in the luxury extended stay sector, offering premium residences in Paris, Singapore, and Dubai. High-profile executives and expatriates chose Fraser Suites for its high-end services, including concierge assistance, business lounges, and wellness facilities.

Key Highlights from the Forecast for the Extended Stay Hotels Industry

  • Sustainability Initiatives - Extended stay hotels increasingly adopt eco-friendly practices, including energy-efficient buildings, waste reduction programs, and carbon-neutral operations. Brands like Element by Westin lead the shift with LEED-certified hotels and sustainable amenities, influencing long-term accommodation choices.
  • Personalized Long-Term Stays - Business travelers, expatriates, and relocating professionals seek customized extended stay experiences. Hotels now offer flexible booking policies, tailored workspace setups, and curated in-room services to meet individual guest preferences. Fraser Suites and AKA Hotels excel by providing personalized concierge services, home-office configurations, and long-term wellness programs.
  • Technology Integration - Digital innovations reshape the extended stay market, improving guest convenience and operational efficiency. Hotels integrate mobile check-in, smart room controls, and AI-powered customer support to enhance the guest experience. Marriott’s Residence Inn and Sonder leverage digital booking platforms, keyless entry, and automated room customization to meet modern travelers’ expectations.

Key Company Initiatives

Company Key Initiatives
Intrepid Travel Strong focus on indigenous tourism partnerships; B-Corp certified; committed to doubling female tour leaders by 2025; investing in community-based tourism projects; removed elephant rides from all itineraries; emphasis on local accommodation and transportation.
G Adventures "Ripple Score" transparency initiative measuring local spending impact; Planeterra Foundation supporting community tourism; G Values Fund for social enterprises; commitment to animal welfare policies; National Geographic partnership programs; local transportation and accommodation focus.
Abercrombie & Kent Philanthropic arm A&K Philanthropy supporting 40+ projects worldwide; luxury conservation-focused safaris; climate action initiatives in destinations; cultural preservation projects; sustainable luxury travel development; local artisan support programs; educational travel initiatives.
Lindblad Expeditions Partner with National Geographic in scientific research; zero single-use plastics commitment; carbon offsetting program; marine conservation initiatives; sustainable seafood program; citizen science projects; support local conservation efforts in destinations visited.
Overseas Adventure Travel (O.A.T.) Small group size policy (max 16 travelers); Learning and Discovery initiatives; strong focus on solo traveler programs; cultural immersion experiences; Grand Circle Foundation supporting education projects; local guide training programs.
Exodus Travels "People, Places & Planet" sustainability plan; Mountain Lioness Scholarship program; carbon reduction strategy; plastic reduction initiative; community-based tourism development; wildlife protection programs; local guide training and development.
Trafalgar Tours "Make Travel Matter" sustainability initiative; TreadRight Foundation projects; sustainable food programs; cultural heritage preservation; local artisan support; reduced printed materials policy; electric coach testing program.
Contiki "Contiki Cares" sustainability program; carbon offset initiatives; partnership with Ocean Cleanup; vegan-friendly travel options; sustainable accommodation partnerships; reduction of single-use plastics; youth environmental education programs.
Tauck World Cities program supporting cultural preservation; plastic elimination initiatives; partnership with Ken Burns for historical tourism; sustainable luxury travel development; charitable foundation supporting education; local community support programs.
Artisans of Leisure Ultra-customized luxury sustainable travel; artisan support programs; cultural heritage preservation initiatives; sustainable luxury accommodations focus; local expert partnerships; authentic cultural experience development; responsible tourism practices.
Big Red Group Digital transformation of experience tourism; sustainability initiatives across brands; local experience provider support; technology innovation in tourism; focus on domestic tourism development; small business partnership programs.
Wilderness Ireland Leave No Trace principles implementation; local community partnerships; sustainable adventure tourism development; cultural heritage preservation; local guide training programs; environmental conservation initiatives; responsible tourism certification.
Active Riding Trips Sustainable equestrian tourism development; local stable partnerships; animal welfare initiatives; cultural heritage preservation through horseback experiences; environmental conservation programs; support for local riding communities; responsible horse tourism practices.

Recommendations for Extended Stay Hotel Companies

  • Prioritize Sustainability - Implement eco-friendly initiatives such as energy-efficient buildings, waste reduction programs, and plastic-free policies to attract environmentally conscious long-term travelers. Hotels like Element by Westin already lead in LEED-certified operations and sustainable sourcing, setting a benchmark for the industry.
  • Enhance Personalization -Offer customized long-term stay options, including workspace configurations, extended meal plans, and wellness services tailored to business travelers, relocating professionals, and medical tourists. Fraser Suites and AKA Hotels excel in providing personalized concierge services and tailored executive accommodations.
  • Invest in Technology - Integrate mobile check-in, smart room controls, AI-powered guest services, and digital concierge platforms to streamline the extended stay experience. Sonder and Marriott’s Residence Inn already leverage contactless check-ins and keyless room entry, improving guest convenience and operational efficiency

Future Roadmap for the Extended Stay Hotel Industry

  • Expansion of Sustainable Extended Stays - Hotels will continue investing in green initiatives, from carbon-neutral operations to partnerships with eco-conscious suppliers, aligning with growing consumer demand for sustainable accommodations.
  • Rise in Culinary-Focused Long Stays -Extended stay hotels will capitalize on the trend of food-driven travel by offering regional culinary experiences, chef partnerships, and gourmet in-room dining options. Properties like Staybridge Suites and Hyatt House are already incorporating locally inspired food offerings to enhance guest experiences.
  • Increased Demand for Work-and-Stay Packages -
Table of Content
  1. Executive Summary
  2. Market Overview
  3. Key Growth Drivers
  4. Company Performance
  5. Market Concentration
  6. Segmented Analysis
  7. Who Shaped the Year
  8. Key Highlights from the Forecast
  9. Tier-Wise Company Classification
  10. Key Company Initiatives
  11. Recommendations for Brands
  12. Future Roadmap

Extended Stay Hotel Market Segmentation

By Room Range:

  • Economic Range
  • Middle Range
  • Luxury Range

By End User:

  • Travellers
  • Corporate Professionals
  • Management Trainees
  • Students

By Stay Duration:

  • Long Term
  • Monthly
  • Weekly
  • Daily

By Booking Channel:

  • Online Booking
  • In-Person Booking
  • Phone Booking

By Tourist Type

  • Domestic
  • International

By Demography:

  • Men
  • Women
  • Children

By Age Group:

  • 15-25 Years
  • 26-35 Years
  • 36-45 Years
  • 46-55 Years
  • 66-75 years

Frequently Asked Questions

Which companies hold the largest market share in the extended stay hotel industry?

Key players like Marriott, Hilton, and IHG collectively control about 19% of the market, leading in corporate and long-term business travel accommodations.

How much market share do mid-range extended stay hotels contribute?

Mid-range brands, including Choice Hotels, Wyndham, Accor, hold around 25% of the market, attracting business travelers, relocating families, and medical tourists looking for affordable yet comfortable extended stays.

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Extended Stay Hotel Market Share Analysis

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