Cloudbeds, the intelligent unified platform powering hotel growth, released its 2026 State of Independent Hotels Report, the fourth annual edition benchmarking independent hotel performance. Compiled from 90 million bookings across tens of thousands of properties in 180 countries, the report provides a detailed quantitative view of 2025 performance, revealing accelerating divergence between independent hotels and OTAs.
The central finding is one of accelerating divergence. Across key performance metrics, independent hotels lost ground relative to OTAs in 2025. Yet the data also surfaces regional bright spots and behavioral shifts that point to meaningful opportunities for operators who respond strategically.
“2025 told many different stories for Independent hotels, and that divergence is only the beginning,” said Adam Harris, CEO of Cloudbeds. “With AI reshaping discovery, OTA dependence deepening, and margin pressure mounting, independent lodging has never needed clarity more. This report gives operators the sharpest view yet of the forces reshaping their market and most importantly, it provides a path forward.”
Key findings from the report include demand softening across independent hotels, with global occupancy slipping 0.6% year over year, while ADR and RevPAR declined 5.8% and 5.4% respectively. Regional performance split sharply, with EMEA being the lone bright spot, where ADR rose 6.0% and RevPAR advanced 3.9%. Asia Pacific recorded the steepest declines, with ADR falling 16.2% and RevPAR dropping 17.5%. North America posted modest declines overall, though Canada outperformed with RevPAR growth of 6.0%, while the U.S. declined 4.4%.
OTA dependence deepened, with OTA share of independent hotel bookings rising to 63.4%, and some markets approaching 80%. OTA cancellation rates hit 21.8%, more than double the 10.6% rate for direct bookings. Booking windows lengthened, with travelers booking an average of 40 days in advance in 2025, up from 38 days in 2023. Cancellation lead times grew to an average of 39 days, up from 35 in 2023, providing operators with greater advance notice and a wider opportunity to resell inventory. Short stays continue to dominate, with more than two-thirds of bookings being one to two nights, though bookings of 7 nights surged 25% year over year, signaling emerging extended-stay demand.
The full report includes regional performance breakdowns, country spotlights, booking behavior analysis, and expanded trend analysis with actionable recommendations for independent operators. The report is available for download at Cloudbeds' State of Independent Hotels Report 2026.
