As per Future Market Insights (FMI), the United States boutique hotel market revenue is set to be worth US$ 17.6 billion by the end of 2023. In the long term, the boutique hotel market is expected to be valued at a total of US$ 29.3 billion by 2033, growing at 5.2% CAGR.
The preferences of travellers have been changing over recent years. Experiential travel, the desire for authenticity, and the demand for sustainable practices have increased, creating a favorable environment for boutique hotels.
These establishments align with the preferences of specific market segments, such as millennials and Gen-Z travelers. Such segments tend to prioritize personalized experiences and support for local businesses.
The United States boutique hotels are emphasizing stylish and unique elements, often reflecting the local culture and history. The interior and exterior of boutique hotels tend to be visually appealing and create a distinctive ambiance.
Increasing popularity of independent travel and solo travelers has benefited boutique hotels. Independent travelers often seek accommodations that offer a more intimate and personalized experience. Boutique hotels, with a focus on individualized service and a unique atmosphere, cater to the needs and preferences of these travelers.
Boutique hotels differentiate themselves by providing personalized and attentive service to their guests. The small scale of these establishments allows for a more intimate and individualized approach. Guests receive a high level of attention and tailored recommendations and get a personalized and memorable experience.
The United States boutique hotels often offer unique amenities that set them apart from others. These include features such as on-site spas, rooftop bars, art galleries, gourmet restaurants, and specialized activities and experiences.
The location of boutique hotels plays a significant role in its appeal. Several travelers look for luxury accommodations in boutique hotels that capture the local culture and offer authentic experiences. In Texas, boutique hotels reflect the state’s rich history, natural beauty, and urban vibes. This helps in attracting guests who want to immerse themselves in the local atmosphere.
Several boutique hotels offer an exceptional dining experience, including on-site restaurants helmed by renowned chefs. These culinary offerings, often focus on local and seasonal ingredients.
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Unique Experience: Increasing avenues for enjoying unique and personalized experiences has been a key factor driving this market. Boutique hotels differentiate themselves by offering specialized amenities, and local cultural experiences to create memorable adventures.
Locally Sourced: Boutique hotels in the United States often incorporate regional design elements and local networks. This help in creating a sense of immersion for the guests in the destination.
Integrating Technology: Boutique hotels are embracing technology to enhance the guest experience. This includes features such as mobile check-in, keyless entry, in-room automation systems, and personalized digital concierge services. This caters to the tech-savvy and convenience-oriented demographic of travelers.
| Attribute | Key Insights |
|---|---|
| Estimated USA Boutique Hotel Market Size (2023E) | US$ 17.6 billion |
| Projected Market Valuation (2033F) | US$ 29.3 billion |
| Value-based CAGR (2023 to 2033) | 5.2% |
| Collective Value Share: Top 5 Countries (2022A) | 15% to 20% |
The boutique hotel market in the United States is poised for high growth and presents opportunities for hotel operators and investors. The market experienced a Y-o-Y growth of ~4.4% during 2022 to 2023. The demand for personalized and authentic travel experiences has grown. Combined with the recovery of the travel industry, it sets a positive outlook for the boutique hotel sector.
Travelers are increasingly prioritizing unique stays that offer a sense of place and cater to individual preferences. The boutique hotels are well positioned to thrive in the United States market.
In today’s digital age, social media and online presence play a vital role in driving demand for boutique hotels. Guests actively seek out and share their experiences on platforms such as Facebook, Instagram, and TripAdvisor.
The boutique hotels in the United States create a connection with the local community and culture. They often collaborate with local artisans, and source local ingredients for their restaurants. They also provide opportunities for guests to experience the local lifestyle. Such hotels might be found in city centers, historic districts, and scenic locations.
Boutique hotels are often located in trendy and desirable neighborhoods. This helps them offer convenient access to local attractions, shopping, dining, and entertainment options.
The United States boutique hotel market has gained popularity in recent years as travelers seek more unique and personalized accommodations. It appeals to a wide range of travelers, including leisure tourists, business travelers, and those who are looking for an experiential stay. It aims to differentiate itself by providing an alternative to the standardized hotel experience. Hotels focus on individuality, attention to detail, and a sense of local authenticity.
The United States boutique hotel market is expected to increase at a CAGR of 5.2% during the forecast period 2023 to 2033.
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One of the primary attractions of boutique hotels is the emphasis on personalized service. These hotels strive to offer exceptional and attentive service to each guest. They are catering to individual needs and preferences.
The small size of boutique hotels allows for a more intimate and customized experience, fostering a strong connection between staff and guests. Boutique hotels offer customized itineraries and recommendations based on guests' interests and preferences. This ranges from suggesting local attractions, arranging unique experiences, to providing insider tips.
Boutique hotels aim to tailor the guest experience to their tastes. This personalized approach helps guests make the most of their stay. It ensures that preferences and interests are taken into account.
For instance, a group of service providers including Rosewood, Virgin, The Nines, and Muzéo can deliver personalized and individualized services.
The rise of social media and online platforms has significantly contributed to the growth of the market. Boutique hotels can leverage these platforms to display unique features, designs, and experiences. It will help in reaching a broad audience of travelers.
Positive reviews, user-generated content, and influencer endorsements can boost visibility and attract guests to boutique hotels.
Boutique hotels often rely on repeat guests and word-of-mouth referrals. Providing exceptional service, memorable experiences, and personalized attention leads to guest loyalty and positive recommendations. The repeat and referral business contributes to the sustained growth and success of boutique hotels.
Several boutique hotels embrace local sourcing, support local businesses, and incorporate sustainable practices. They often collaborate with local artisans, offer locally sourced food and beverages, and implement eco-friendly initiatives.
This commitment to the local community and sustainability resonates with eco-conscious travelers who prefer to support responsible and ethical establishments.
For example, Hotel Brooklyn Bridge, a sustainability-focused boutique hotel, collaborated with Brooklyn Grange, a rooftop farming company. They have an on-site rooftop farm where they grow organic produce used in their restaurants. It provides guests with farm-to-table dining experiences and supporting local agriculture.
Boutique hotels are embracing sustainable practices as a fundamental part of operations. They are focusing on energy efficiency, water conservation, waste reduction, and recycling, local sourcing, community engagement, staff training, and guest education.
These establishments strive to create unique and personalized experiences while minimizing environmental impact. Through a commitment to sustainability, boutique hotels exemplify the merging of luxury, comfort, and responsible travel.
Leisure & Vacation Visits Hold a Significant Share of the Boutique Hotel Market in the Region
In the United States, leisure and vacation visit purposes hold a substantial share of the boutique hotel market. Boutique hotels have gained popularity among leisure and vacation travelers. People who are seeking unique and personalized experiences during trips will likely drive demand in the forthcoming decade.
Leisure travelers in the United States are individuals or families who take time off from regular routines to relax, unwind, and enjoy recreational activities. They often choose boutique hotels for their distinct charm, intimate atmosphere, and personalized service.
Boutique hotels offer a range of amenities and services that cater to leisure travelers. These include spa facilities, on-site dining options, and concierge services to assist with arranging local activities and experiences.
4 to 6 Nights’ Stays Highly Popular Among Travelers
The duration of visits to boutique hotels in the United States can vary depending on several factors. This includes the purpose of travel, destination, and individual preferences. Few guests prefer short getaways or a weekend escape. Others might choose to extend their stay for a more immersive experience.
Large shares of guests choose to stay at boutique hotels for a slightly long duration, typically ranging from four to six nights. These stays are often associated with exploring a particular destination, engaging in activities that require more time, or simply desiring a more leisurely experience.
Medium-length stays allow guests to fully immerse themselves in the boutique hotel's ambience. They can take advantage of local attractions, and enjoy the personalized amenities on offer.
The 26 to 35 Age Group is Key to High Demand in the United States Boutique Hotel Market
The 26 to 35 age group has become a significant contributor to the growth and success of boutique hotels in the United States. Their preference for unique experiences, personalized service, design aesthetics, and connection to local culture is driving the market. These factors has shaped the boutique hotel industry and influenced the focus and offerings of various establishments.
It is important to note that boutique hotels can attract guests from a wide range of age groups, and each demographic. It contributes to the overall appeal and success of these distinctive accommodations.
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Boutique hotel service providers focus to differentiate themselves from large chain hotels. They are also delivering personalized, authentic, and exceptional experiences by focusing on boutique hotels personalized service, local experiences, design and ambiance.
They are also utilizing technology integration, and continuous innovation, boutique hotels position themselves as unique and sought-after destinations in the hospitality industry.
They are offering a distinct design and theme that reflects the local culture or history. They are often to create a one-of-a kind atmosphere and experience for guests.
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| Attribute | Details |
|---|---|
| Forecast Period | 2023 to 2033 |
| Historical Data Available for | 2018 to 2022 |
| Market Analysis | US$ billion for Value |
| Key Countries Covered | USA |
| Key Segments Covered | By Number of Bookings Nationality Type(Tour Type, Demographic, Age Group, Duration of Visit, Purpose of Visit, Organization of Stay) |
| Key Companies Profiled | Ace Hotel; Kimpton Hotels; Thompson Hotels; The Standard Hotels; The Hoxton; 21c Museum Hotels; Graduate Hotels; Joie de Vivre Hotels; Proper Hotels; The James Hotels; The Sydell Group; Pendry Hotels; Viceroy Hotels & Resorts; The Guild Hotels; The Line Hotels; Auberge Resorts Collection; Sixty Hotels; Dream Hotels; The Beekman, a Thompson Hotel; 1 Hotels; Hotel ZaZa; The Driskill Hotel; Hotel Saint Cecilia; The Joule, Dallas; The Adolphus, Autograph Collection; The Post Oak Hotel at Uptown Houston; The St. Anthony, a Luxury Collection Hotel, San Antonio; The Bevy Hotel Boerne, a DoubleTree by Hilton; Hotel Emma; The Tremont House, A Wyndham Grand Hotel; The Emily Morgan Hotel, a DoubleTree by Hilton; The Stella Hotel; Hotel Granduca Houston; The Kimpton Pittman Hotel; The Hotel Galvez & Spa, a Wyndham Grand Hotel; The Lancaster Hotel; The Otis Hotel, Autograph Collection; Lone Star Court, a Valencia Hotel Group property; The Fairmont Dallas; The Carpenter Hotel; Others |
| Report Coverage | Market Forecast, Company Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives |
By Number of Bookings
The valuation of the United States boutique hotel market reaches a notable sum of US$ 17.6 billion in 2023.
The United States boutique hotel market is estimated to achieve a valuation of US$ 29.3 billion by 2033.
The United States boutique hotel market is poised to witness a 5.2% CAGR upswing in demand through 2033.
The predominant trend in the United States boutique hotel market centers around a pronounced focus on personalized guest experiences.
Leisure and vacation visits segment is poised to maintain its preference through 2033 in the United States boutique hotel market.
1. Executive Summary
1.1. USA Market Outlook
1.1.1. Who Is Travelling?
1.1.2. USA Travel Gross Bookings
1.1.3. Travel Gross Revenue
1.1.4. How Much Do They Spend?
1.2. Tourism Evolution Analysis
1.3. FMI Analysis and Recommendations
2. Market Spending
2.1. US Boutique Hotel Spending (US$ million) and Forecast (2023 to 2033)
2.2. Total Spending Y-o-Y Growth Projections (2023 to 2033)
3. Average Occupancy Rate
3.1. USA service Providers
3.1.1. Average Rooms (By Player Category, Tier 1,2,3 )
3.1.2. Average Cost per Room
3.1.3. Average Occupancy Rate
3.1.4. Event Centers and Other Unique Features
4. Top City - Market
4.1. New York City, New York
4.2. Miami, Florida
4.3. Los Angeles, California
4.4. San Francisco, California
4.5. Chicago, Illinois
4.6. Austin, Texas
4.7. New Orleans, Louisiana
4.8. Portland, Oregon
4.9. Nashville, Tennessee
4.10. Seattle, Washington
5. US Number of Bookings, 2022
5.1. By Nationality Type (% of Demand)
5.1.1. Domestic
5.1.2. International
5.2. By Tour Type (% of Demand)
5.2.1. Independent Traveler
5.2.2. Tour Group
5.3. By Demographic (% of Demand)
5.3.1. Men
5.3.2. Women
5.4. By Age Group (% of Demand)
5.4.1. 15 to 25 Years
5.4.2. 26 to 35 Years
5.4.3. 36 to 45 Years
5.4.4. 46 to 55 Years
5.4.5. 66 to 75 Years
5.5. By Duration of Visit
5.5.1. 1 to 3 Nights
5.5.2. 4 to 6 Nights
5.5.3. 7 Nights & More
5.6. By Purpose of Visit
5.6.1. Professional & Business
5.6.2. Visiting Friends & Family
5.6.3. Leisure & Vacation
5.7. By Organization of Stay
5.7.1. Package
5.7.2. Non-package
6. Consumption Trends in Boutique Hotel
6.1. Websites used for Destinations Research
6.1.1. Online Travel Agency
6.1.2. General Search
6.1.3. Travel Review Sites
6.1.4. Travel Search Engines/Apps
6.1.5. Vacation Rental Site
6.1.6. Other Players
6.2. Innovation in Mode of Advertisement and Promotional Activities
6.3. Growth Parameters
6.3.1. Changing Travel Preference expected to Attract more Travelers to Boutique Hotel
6.3.2. Low Cost Accommodations Expected to drive Boutique Hotels
6.3.3. Introduction of Boutique Hotels into an Untapped Market is likely to Provide Opportunities
6.3.4. Others (during the course study)
7. Challenges & Looking Forward
7.1. Success Stories: Case Studies
7.2. FMI Recommendations
8. Market Stakeholders Landscape - Key Direct Suppliers
8.1. Service Providers
8.1.1. Ace Hotel
8.1.2. Kimpton Hotels
8.1.3. Thompson Hotels
8.1.4. The Standard Hotels
8.1.5. The Hoxton
8.1.6. 21c Museum Hotels
8.1.7. Graduate Hotels
8.1.8. Joie de Vivre Hotels
8.1.9. Proper Hotels
8.1.10. The James Hotels
8.1.11. The Sydell Group
8.1.12. Pendry Hotels
8.1.13. Viceroy Hotels & Resorts
8.1.14. The Guild Hotels
8.1.15. The Line Hotels
8.1.16. Auberge Resorts Collection
8.1.17. Sixty Hotels
8.1.18. Dream Hotels
8.1.19. The Beekman, a Thompson Hotel
8.1.20. 1 Hotels
8.1.21. Lone Star Court, a Valencia Hotel Group property
8.1.22. The Fairmont Dallas
8.1.23. The Carpenter Hotel
9. Social Media Sentimental Analysis
9.1. Travel Influencers: A New Phenomenon in the World of Tourism
9.2. Social Media Platforms Preferred
9.3. Consumer Perception for Destinations On Social Media Platforms-Positive and Negative Mentions
9.4. Trending #Hashtags
9.5. Social Media Platform Mentions (% of Total Mentions)
9.6. Region-Wise Social Media Mentions (% of Total Mentions)
9.7. Trending Subject Titles
10. Assumptions and Acronyms Used
11. Research Methodology
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United States Boutique Hotel Market
