Non Residential Accommodation Services Market
By Type;
Hotels & Other Travel Accommodation-[Luxury Hotels, Midscale Hotels, Economy Hotels, Boutique Hotels and Others], Camping & Caravanning-[Recreational Vehicle Parks, Campgrounds and Trailer Parks] and Students & Workers Non-Residential Accommodation-[Student Hostels, Worker Dormitories and Temporary Housing Solutions]By Price Point;
Economy, Mid-Range and LuxuryBy Channel;
Direct Sales and DistributorBy Mode of Booking;
Online Bookings, Direct Bookings and OthersBy Geography;
North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031)Non-Residential Accommodation Services Market Overview
Non-Residential Accommodation Services Market (USD Million)
Non-Residential Accommodation Services Market was valued at USD 832090.88 million in the year 2024. The size of this market is expected to increase to USD 1094974.83 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 4.0%.
Non Residential Accommodation Services Market
*Market size in USD million
CAGR 4.0 %
| Study Period | 2025 - 2031 | 
|---|---|
| Base Year | 2024 | 
| CAGR (%) | 4.0 % | 
| Market Size (2024) | USD 832090.88 Million | 
| Market Size (2031) | USD 1094974.83 Million | 
| Market Concentration | High | 
| Report Pages | 371 | 
Major Players
- Marriott International, Inc.
 - Hilton Worldwide Holdings Inc.
 - InterContinental Hotels Group PLC (IHG)
 - Airbnb, Inc.
 - Booking Holdings Inc.
 - Expedia Group, Inc.
 - AccorHotels Group
 - Hyatt Hotels Corporation
 - Choice Hotels International, Inc.
 - Wyndham Hotels & Resorts, Inc.
 
Market Concentration
Consolidated - Market dominated by 1 - 5 major players
Non Residential Accommodation Services Market
Fragmented - Highly competitive market without dominant players
The Non Residential Accommodation Services Market is experiencing strong growth, supported by changing travel behaviors and the demand for versatile lodging solutions. Over 58% of global travelers are opting for flexible stays that combine affordability with convenience. This momentum is shaped by lifestyle shifts, rising tourism, and the increasing importance of personalized experiences.
Shift Toward Alternative Lodging
Around 61% of leisure travelers now choose serviced apartments and rental stays over traditional hotels. These formats provide cost benefits, privacy, and a homelike atmosphere, catering to professionals, families, and remote workers. The expansion of such preferences reflects a market transformation toward customer-centric lodging.
Digital Transformation in Bookings
Nearly 67% of reservations in this market are completed through digital platforms. Mobile apps, comparison tools, and AI-enabled booking services offer travelers convenience and confidence in their choices. Digital integration not only improves booking efficiency but also enhances transparency, which is critical for customer trust.
Corporate and Institutional Utilization
More than 55% of organizations rely on non residential accommodations for long-term projects, events, and workforce needs. Extended-stay models are proving beneficial in cost control and operational efficiency for corporate travel. This growing adoption underscores the sector’s importance in meeting business-oriented accommodation demands.
Non Residential Accommodation Services Market Key Takeaways
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Rising Business and Leisure Travel is driving demand for non-residential accommodations, including hotels, serviced apartments, and short-term rentals, to cater to diverse traveler needs.
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Expansion of Hospitality and Tourism Infrastructure is boosting market growth, with increased hotel chains, resorts, and boutique properties enhancing service offerings.
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Technological Advancements in Booking and Management are improving operational efficiency, guest experience, and online reservation systems for accommodation providers.
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Growing Preference for Short-Term Rentals and Alternative Lodging is influencing market dynamics, as travelers seek flexible, cost-effective, and personalized accommodation options.
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Post-Pandemic Safety and Hygiene Focus is shaping service standards, with operators adopting contactless check-in, sanitation protocols, and digital concierge services.
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Regional Growth in Emerging Economies is significant due to increasing tourism, urbanization, and disposable income, driving the expansion of non-residential lodging facilities.
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Collaborations and Strategic Partnerships are fostering innovation in loyalty programs, bundled services, and integrated hospitality solutions to enhance customer retention and market competitiveness.
 
Non-Residential Accommodation Services Market Recent Developments
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In June 2023, Marriott International launched a new luxury accommodation segment designed for extended-stay non-residential clients. The offering includes modern co-working spaces, blending comfort and productivity to meet the needs of remote professionals and long-term travelers.
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In November 2022, Airbnb expanded its service offerings to include long-term non-residential stays, catering to remote professionals and digital nomads. This move reflects the growing demand for flexible living solutions and extended-stay accommodations worldwide.
 
Non Residential Accommodation Services Market Segment Analysis
In this report, the Non Residential Accommodation Services Market has been segmented by Type, Price Point, Channel, Mode of Booking and Geography.
Non Residential Accommodation Services Market Segmentation by Type
The segmentation by Type defines the core structure of the market, encompassing diverse service offerings such as hotels, camping facilities, and worker accommodations. Increasing travel activities, urban expansion, and rising disposable income are driving growth, with the segment collectively achieving over 74% penetration in developed regions. Strategic investments, digitalization, and customer experience enhancements are transforming this sector.
Hotels & Other Travel AccommodationThe Hotels & Other Travel Accommodation category leads the market, supported by rising tourism and the adoption of digital booking platforms. Operators are focusing on personalized services and sustainable business models, while occupancy rates in luxury and midscale hotels are showing consistent recovery post-pandemic.
Luxury Hotels
Luxury Hotels cater to high-income travelers seeking premium comfort and experiences. The segment is growing steadily at over 6% annually, driven by brand partnerships, global expansions, and eco-friendly construction initiatives in urban tourism hubs.
Midscale Hotels
Midscale Hotels balance affordability with convenience, attracting business travelers and families. Enhanced digital management systems and loyalty programs are boosting market competitiveness in this segment.
Economy Hotels
Economy Hotels remain vital for budget travelers and group bookings. Strong demand in emerging economies has increased occupancy by 68%, supported by low-cost operations and flexible distribution channels.
Boutique Hotels
Boutique Hotels are gaining traction due to their unique themes and personalized service offerings. Operators are leveraging local culture and architectural aesthetics to strengthen brand differentiation and profitability.
Others
The Others category includes serviced apartments and resort accommodations. This sub-segment benefits from longer-stay travelers and business relocations, contributing to an expansion rate exceeding 5% per annum.
Camping & Caravanning
Camping & Caravanning has evolved into a mainstream travel option, supported by the rising interest in outdoor experiences and eco-tourism. Partnerships between tour operators and campground developers have enhanced infrastructure and safety, leading to adoption rates near 60% in certain regions.
Recreational Vehicle Parks
Recreational Vehicle Parks offer travelers flexible and cost-efficient mobility solutions. The segment’s growth is fueled by technological upgrades and the availability of renewable energy systems for remote sites.
Campgrounds
Campgrounds continue to attract nature enthusiasts, with digital booking channels improving accessibility. Operators are focusing on eco-friendly tourism and enhanced amenities to meet consumer expectations.
Trailer Parks
Trailer Parks provide low-cost housing and temporary stays for extended travelers. Regional authorities and investors are collaborating to modernize facilities, supporting a steady occupancy rate increase.
Students & Workers Non-Residential Accommodation
Students & Workers Non-Residential Accommodation is gaining prominence due to increased educational mobility and labor migration. Operators are implementing digital access systems and modular designs to improve efficiency and cost-effectiveness in shared housing environments.
Student Hostels
Student Hostels cater to the growing international student population. Universities are partnering with private providers to ensure quality housing and smart facility management solutions.
Worker Dormitories
Worker Dormitories support industrial and construction workforce housing. The segment is witnessing government-backed initiatives to improve living standards and enhance safety compliance.
Temporary Housing Solutions
Temporary Housing Solutions serve seasonal workers and disaster-relief needs. The introduction of prefabricated units and modular accommodation models is revolutionizing deployment efficiency and comfort levels.
Non Residential Accommodation Services Market Segmentation by Price Point
The Price Point segmentation outlines the market’s value distribution across different affordability tiers. Each category caters to distinct consumer groups and travel purposes. With dynamic pricing algorithms and data-driven yield management, occupancy optimization across price segments has increased by 65% globally.
Economy
Economy accommodations dominate the market in volume, driven by cost-sensitive travelers and regional tourism. Operators are leveraging digital booking channels and low-cost management software to maintain profitability.
Mid-Range
Mid-Range services focus on providing balanced comfort and affordability. Expanding partnerships with corporate travel agencies and integration of AI-based customer analytics are driving sustained growth in this tier.
Luxury
The Luxury segment reflects premium travel preferences and experiential stays. Hotels and resorts are focusing on sustainability, exclusive amenities, and digital concierge services to elevate brand loyalty and maintain strong occupancy performance.
Non Residential Accommodation Services Market Segmentation by Channel
The Channel segmentation defines distribution modes impacting market accessibility. With online penetration exceeding 70%, direct and distributor networks are innovating to enhance customer reach and optimize commission structures.
Direct Sales
Direct Sales channels allow providers to maintain control over pricing and customer experience. Enhanced brand loyalty programs and digital marketing campaigns are improving booking conversions and profitability.
Distributor
Distributor channels continue to play a vital role in corporate and travel agency bookings. Integration with global distribution systems (GDS) and API-based connectivity is facilitating broader market expansion.
Non Residential Accommodation Services Market Segmentation by Mode of Booking
The segmentation by Mode of Booking showcases evolving consumer preferences in how accommodations are reserved. Technological adoption and mobile application integration are reshaping the booking landscape, driving automation and improved customer satisfaction.
Online Bookings
Online Bookings dominate with an adoption rate exceeding 80%, reflecting the growing impact of digital platforms and social media marketing. Integration with AI chatbots and dynamic pricing tools enhances the booking experience.
Direct Bookings
Direct Bookings are gaining traction through hotel websites and mobile apps. Providers are leveraging customer relationship management systems to boost repeat business and optimize direct engagement strategies.
Others
The Others category includes phone reservations and walk-in customers. Though smaller in share, this segment remains relevant in low-internet-penetration regions and traditional hospitality settings.
Non Residential Accommodation Services Market Segmentation by Geography
In this report, the Non Residential Accommodation Services Market has been segmented by Geography into five regions: North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Regions and Countries Analyzed in this Report
North America
North America dominates the accommodation services market, with advanced digital infrastructure and leading hotel chains driving service innovation. Occupancy rates exceed 80% in urban centers due to strong business and leisure travel demand.
Europe
Europe maintains a mature hospitality ecosystem supported by stringent quality regulations and sustainability standards. The rise of boutique hotels and experiential stays continues to influence expansion across major tourist destinations.
Asia Pacific
The Asia Pacific region exhibits the fastest growth, with expanding middle-class tourism and government-led hospitality development programs. Market penetration for online booking exceeds 75% across major economies.
Middle East & Africa
Middle East & Africa are witnessing investment-driven expansion through luxury resort development and international brand collaborations. Regional tourism growth is fostering employment and boosting accommodation infrastructure.
Latin America
Latin America is experiencing steady growth as countries enhance their tourism appeal and infrastructure modernization. Partnerships between local operators and global hospitality groups are improving accessibility and service quality.
Global Non-Residential Accommodation Services Market Force
This report provides an in depth analysis of various factors that impact the dynamics of Non-Residential Accommodation Services Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Comprehensive Market Impact Matrix
This matrix outlines how core market forces Drivers, Restraints, and Opportunities affect key business dimensions including Growth, Competition, Customer Behavior, Regulation, and Innovation.
| Market Forces ↓ / Impact Areas → | Market Growth Rate | Competitive Landscape | Customer Behavior | Regulatory Influence | Innovation Potential | 
|---|---|---|---|---|---|
| Drivers | High impact (e.g., tech adoption, rising demand) | Encourages new entrants and fosters expansion | Increases usage and enhances demand elasticity | Often aligns with progressive policy trends | Fuels R&D initiatives and product development | 
| Restraints | Slows growth (e.g., high costs, supply chain issues) | Raises entry barriers and may drive market consolidation | Deters consumption due to friction or low awareness | Introduces compliance hurdles and regulatory risks | Limits innovation appetite and risk tolerance | 
| Opportunities | Unlocks new segments or untapped geographies | Creates white space for innovation and M&A | Opens new use cases and shifts consumer preferences | Policy shifts may offer strategic advantages | Sparks disruptive innovation and strategic alliances | 
Drivers, Restraints and Opportunity Analysis
Drivers:
- Rising Demand for High-End Interior Design
 - Urbanization and Infrastructure Growth
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Environmental Awareness-Environmental awareness is increasingly shaping the global non-residential accommodation services market, as travelers become more conscious of their ecological footprint and seek environmentally friendly lodging options. Hotels, resorts, and other accommodation providers are responding to this trend by implementing sustainability initiatives aimed at reducing energy consumption, minimizing waste, conserving water, and promoting eco-friendly practices throughout their operations. From adopting renewable energy sources and installing energy-efficient appliances to implementing recycling programs and reducing single-use plastics, accommodations are incorporating sustainable practices into their business models to appeal to environmentally conscious travelers.
Environmental certifications and eco-labeling programs play a significant role in the global non-residential accommodation services market, providing consumers with assurance that the lodging establishment meets certain environmental standards. Certifications such as LEED (Leadership in Energy and Environmental Design), Green Globe, and EarthCheck certify hotels and resorts based on their sustainability performance in areas such as energy efficiency, water conservation, waste management, and community engagement. Accommodations that achieve these certifications are often preferred by environmentally aware travelers seeking responsible and sustainable lodging options.
Environmental awareness in the non-residential accommodation services market extends beyond operational practices to include experiential offerings that promote nature conservation and environmental education. Eco-tourism and sustainable travel experiences are gaining popularity, with accommodations offering activities such as nature walks, wildlife conservation programs, and eco-friendly excursions that allow travelers to engage with and appreciate the natural environment responsibly. By incorporating environmental awareness into their offerings, accommodations not only attract environmentally conscious travelers but also contribute to conservation efforts and promote sustainable tourism practices on a global scale. 
Restraints:
- Environmental Impact of Quarrying
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Competition from Engineered Stone-Competition from engineered stone products presents a notable challenge for the global non-residential accommodation services market, particularly in the realm of interior design and furnishings. Engineered stone, such as quartz and other composite materials, offers an alternative to natural stone in various applications, including countertops, flooring, and wall cladding. Engineered stone products often mimic the appearance of natural stone while providing advantages such as uniformity, durability, and resistance to staining and scratching. As a result, they have gained popularity among accommodation service providers looking for cost-effective and low-maintenance solutions for their properties.
The competition from engineered stone extends beyond its functional benefits to its aesthetic appeal and design versatility. Engineered stone products offer a wide range of colors, patterns, and finishes, allowing designers and property owners to achieve customized looks that suit their branding, theme, or design concept. Additionally, engineered stone can be engineered to replicate the natural beauty of rare or exotic stones, providing accommodations with luxurious aesthetics at a fraction of the cost. This flexibility and adaptability make engineered stone an attractive option for non-residential accommodation services seeking to enhance the visual appeal and value of their properties.
The competitive landscape between natural and engineered stone in the non-residential accommodation services market is influenced by factors such as cost, availability, and sustainability. While engineered stone may offer cost savings and consistency in quality, natural stone remains prized for its uniqueness, authenticity, and perceived luxury. Additionally, considerations regarding sustainability and environmental impact play a role in decision-making, with some accommodation service providers opting for natural stone sourced from responsible quarries to align with sustainability goals and consumer preferences. As the market continues to evolve, finding the right balance between natural and engineered stone solutions will be essential for accommodation service providers to meet the diverse needs and expectations of their clientele. 
Opportunities:
- Expansion of Commercial Construction
 - Technological Advancements in Processing
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Sustainable Sourcing Initiatives-Sustainable sourcing initiatives are increasingly shaping the global non-residential accommodation services market as environmental and social responsibility become paramount concerns for both businesses and travelers. Accommodation providers are adopting sustainable sourcing practices across various aspects of their operations, from procurement of goods and services to waste management and community engagement. Sustainable sourcing initiatives focus on reducing the environmental footprint of accommodations by sourcing locally-produced goods, using renewable energy sources, and implementing resource-efficient practices such as water and energy conservation. These initiatives not only contribute to environmental preservation but also enhance the overall guest experience by promoting eco-friendly and socially responsible hospitality.
Sustainable sourcing initiatives in the non-residential accommodation services market extend beyond environmental considerations to encompass social and economic aspects. Accommodation providers are increasingly partnering with local communities and businesses to support economic development, promote cultural heritage preservation, and empower local artisans and entrepreneurs. By sourcing goods and services from local suppliers, accommodations contribute to the economic prosperity of the communities in which they operate while fostering authentic and immersive guest experiences. Additionally, sustainable sourcing initiatives may involve ethical labor practices, such as fair wages, safe working conditions, and respect for human rights, ensuring that accommodation providers uphold high standards of social responsibility throughout their supply chains.
Sustainable sourcing initiatives in the non-residential accommodation services market are driven by consumer preferences and expectations for ethical and sustainable travel experiences. Travelers are increasingly seeking accommodations that align with their values and support environmental and social causes. Sustainable sourcing practices not only appeal to environmentally conscious travelers but also enhance the reputation and brand image of accommodation providers, leading to increased customer loyalty and positive word-of-mouth marketing. As sustainability becomes a key differentiator in the competitive hospitality industry, accommodations that prioritize sustainable sourcing initiatives are well-positioned to attract and retain discerning travelers seeking responsible and meaningful travel experiences. 
Non Residential Accommodation Services Market Competitive Landscape Analysis
Non Residential Accommodation Services Market is witnessing consistent growth driven by strategic partnerships, mergers, and cross-industry collaborations. Key providers are focusing on technological advancements to improve booking platforms, guest management, and service integration. Market expansion across corporate housing, student accommodation, hostels, and serviced apartments is significant, with top companies capturing over 70% of market share.
Market Structure and Concentration
The market demonstrates a moderately concentrated structure, with major operators holding more than 65% of revenue share. Strategic collaborations and diversified strategies ensure stronger brand positioning and service quality. New entrants are investing in affordable, flexible, and digitally managed accommodation solutions, fueling growth and meeting rising demand for non-traditional living spaces.
Brand and Channel Strategies
Leading brands deploy multi-channel strategies through direct leasing, online travel platforms, and corporate contracts. Strategic partnerships with universities, businesses, and real estate developers strengthen adoption and brand presence. Top companies maintain over 55% regional share by offering tailored accommodation services backed by strong distribution networks, ensuring consistent growth.
Innovation Drivers and Technological Advancements
The market is propelled by innovation in digital booking systems, property management platforms, and smart facility integration. Over 60% of service providers are adopting IoT-enabled systems, AI-driven pricing, and contactless solutions. These technological advancements improve operational efficiency, customer satisfaction, and long-term growth across multiple accommodation segments.
Regional Momentum and Expansion
Strong expansion is observed in Asia-Pacific, North America, and Europe, supported by urbanization, student mobility, and corporate travel demand. Market leaders hold more than 50% share in these regions, leveraging localized expertise, scalable solutions, and collaborative strategies to sustain growth and reinforce competitive advantage.
Future Outlook
The future of the Non Residential Accommodation Services Market is anchored on continuous innovation, strategic partnerships, and sustainable expansion. Focus on smart living spaces, digitalized guest services, and environmentally conscious housing is expected to accelerate adoption. With ongoing technological advancements and collaborative strategies, the market is projected to sustain growth exceeding 70% in the coming years.
Key players in Non-Residential Accommodation Services Market include:
- Marriott International
 - Hilton Worldwide Holdings
 - InterContinental Hotels Group
 - AccorHotels
 - Hyatt Hotels Corporation
 - Four Seasons Hotels & Resorts
 - Wyndham Hotels & Resorts
 - Choice Hotels International
 - Best Western International
 - Mandarin Oriental International Limited
 - Shangri-La Asia Limited
 - The Indian Hotels Company Limited
 - Jumeirah International LLC
 - Extended Stay America
 - Red Roof Inn
 
In this report, the profile of each market player provides following information:
- Market Share Analysis
 - Company Overview and Product Portfolio
 - Key Developments
 - Financial Overview
 - Strategies
 - Company SWOT Analysis
 
- Introduction 
- Research Objectives and Assumptions
 - Research Methodology
 - Abbreviations
 
 - Market Definition & Study Scope
 - Executive Summary 
- Market Snapshot, By Type
 - Market Snapshot, By Price Point
 - Market Snapshot, By Channel
 - Market Snapshot, By Mode of Booking
 - Market Snapshot, By Region
 
 - Non-Residential Accommodation Services Market Dynamics 
- Drivers, Restraints and Opportunities 
- Drivers 
- Growing Travel and Tourism Industry
 - Business Travel Demand Surge
 - Technological Advancements in Booking
 
 - Restraints 
- Economic Instability
 - Competition from Alternatives
 - Regulatory Challenges
 
 - Opportunities 
- Emerging Market Expansion
 - Demand for Unique Experiences
 - Sustainable Practices Adoption
 
 
 - Drivers 
 - PEST Analysis 
- Political Analysis
 - Economic Analysis
 - Social Analysis
 - Technological Analysis
 
 - Porter's Analysis 
- Bargaining Power of Suppliers
 - Bargaining Power of Buyers
 - Threat of Substitutes
 - Threat of New Entrants
 - Competitive Rivalry
 
 
 - Drivers, Restraints and Opportunities 
 - Market Segmentation 
- Non Residential Accommodation Services Market, By Type, 2021 - 2031 (USD Million) 
- Hotels & Other Travel Accommodation 
- Luxury Hotels
 - Midscale Hotels
 - Economy Hotels
 - Boutique Hotels
 - Others
 
 - Camping & Caravanning 
- Recreational Vehicle Parks
 - Campgrounds
 - Trailer Parks
 
 - Students & Workers Non-Residential Accommodation 
- Student Hostels
 - Worker Dormitories
 - Temporary Housing Solutions
 
 
 - Hotels & Other Travel Accommodation 
 - Non Residential Accommodation Services Market, By Price Point, 2021 - 2031 (USD Million) 
- Economy
 - Mid-Range
 - Luxury
 
 - Non Residential Accommodation Services Market, By Channel, 2021 - 2031 (USD Million) 
- Direct Sales
 - Distributor
 
 - Non Residential Accommodation Services Market, By Mode of Booking, 2021 - 2031 (USD Million) 
- Online Bookings
 - Direct Bookings
 - Others
 
 - Non-Residential Accommodation Services Market, By Geography, 2021 - 2031 (USD Million) 
- North America 
- United States
 - Canada
 
 - Europe 
- Germany
 - United Kingdom
 - France
 - Italy
 - Spain
 - Nordic
 - Benelux
 - Rest of Europe
 
 - Asia Pacific 
- Japan
 - China
 - India
 - Australia & New Zealand
 - South Korea
 - ASEAN (Association of South East Asian Countries)
 - Rest of Asia Pacific
 
 - Middle East & Africa 
- GCC
 - Israel
 - South Africa
 - Rest of Middle East & Africa
 
 - Latin America 
- Brazil
 - Mexico
 - Argentina
 - Rest of Latin America
 
 
 - North America 
 
 - Non Residential Accommodation Services Market, By Type, 2021 - 2031 (USD Million) 
 - Competitive Landscape 
- Company Profiles 
- Marriott International
 - Hilton Worldwide Holdings
 - InterContinental Hotels Group
 - AccorHotels
 - Hyatt Hotels Corporation
 - Four Seasons Hotels & Resorts
 - Wyndham Hotels & Resorts
 - Choice Hotels International
 - Best Western International
 - Mandarin Oriental International Limited
 - Shangri-La Asia Limited
 - The Indian Hotels Company Limited
 - Jumeirah International LLC
 - Extended Stay America
 - Red Roof Inn
 
 
 - Company Profiles 
 - Analyst Views
 - Future Outlook of the Market
 

