European Hotel Distribution and Market Trends

Summary

Despite ongoing economic uncertainties, the European hotel market has demonstrated continuous growth over the past four years, and total gross bookings are expected to reach a record high in 2014. The top five key markets – the U.K., Germany, France, Italy and Spain – have by far the most significant impact on how the European accommodation industry fares as a whole. Stable economic environments in the U.K., Germany and (to some extent) France have not only fueled domestic accommodation sales, but have also buoyed the Spanish and Italian hotel sectors.

While OTAs capture the majority of web revenues, new distribution technologies and evolving business models could provide more leverage for hoteliers in the future. This Spotlight explores Europe’s vibrant hotel marketplace, including size of the market, key trends and evolving online distribution dynamics.