Cloudbeds and Duetto’s 2025 Hotel Market Pulse shows OTAs like Expedia gaining share and hotel pricing power softening globally

Published on November 15, 2025

Cloudbeds and Duetto’s 2025 Hotel Market Pulse shows OTAs like Expedia gaining share and hotel pricing power softening globally, marking a significant shift in the travel and hospitality landscape. As the world continues to recover from the impacts of the pandemic, the travel industry is witnessing evolving dynamics, particularly in how travelers book accommodations and flights. The rise of OTAs, including Expedia, has led to an increased volume of bookings, offering tourists more options and competitive prices. However, as pricing power in the hotel sector softens, travelers are finding opportunities for better deals, especially in popular destinations where hotel rates are adjusting to meet the demand. This shift not only affects how tourists plan their stays but also influences the broader travel experience, with airlines and destinations adjusting their offerings to accommodate a growing, more dynamic traveler market. As we move into 2025, understanding these changes will be crucial for both travelers and industry stakeholders looking to navigate this evolving landscape.

Cloudbeds and Duetto’s 2025 Hotel Market Pulse Update Shows OTAs Like Expedia Continue Market Share Growth and Global Hotel Rate Control Deterioration

As the world’s travel ecosystem continues to adjust to its post-pandemic version, the Cloudbeds and Duetto 2025 Hotel Market Pulse report provides insight into a variety of critical trends impacting the travel world, specifically hotels, and airline travel. One of the more significant trends in the report is the increase in the market share of online travel agencies, particularly Expedia, and the simultaneous decreases in hotels’ control over pricing. These trends also develop into significant travel planning opportunities and challenges in the available pricing landscape. This report’s findings, and their impact on travel within the airline and hospitality sectors, are highlighted in the following article with an emphasis on applicable advice for travelers.

RE: OTAs Like Expedia Gain Market Share

OTAs have always been an integral part in the coordination of the global tourism industry by allowing tourists to acquire services such as accommodation, flights, and other travel-related services. While Traveler behavior continues to shift, and booking services through different platforms becomes the norm, the Cloudbeds and Duetto report indicates that OTAs continue to dominate the industry and Expedia is the leader.

Expedia continues to receive positive reviews from customers and shows an increase in growth and room night volumes of almost 12% from the previous year. As users gain access to more affordable and competitive prices, Expedia is left gaining a strong position as an OTA and is regarded as one of the best in the industry. As more hotels are offered, customers are left with a smoother booking process, and users are more likely to receive a positive experience as a streamlined process is offered in Expedia over smaller and more budgeted competitors.

Despite Expedia and Competitors’ Growth, a Wider Phenomenon is Occurring. Other OTAs such as Trip.com and Hotelbeds have also experienced increases in volume, and have risen over 35% year over year. Now, travelers face a greater selection of Websites, each of which possesses a unique set of advantages. This improvement in market concentration translates to a greater number of offers available to travelers, as these Sites strive to attain a higher percentage of the travel Market.

For travelers wanting to get the most out of their money, this increase in competition is also meaning greater price disparities between the Sites. The increased competition is also meaning greater price disparities across multiple Sites. Travelers should keep in mind that although OTAs have the greater disparities in pricing, they may also have higher fees and more restrictive policies. Travelers should read the fine print.

Global Hotel Pricing Power Softens

The Cloudbeds and Duetto report reveals softening of pricing power in the hotel sector globally. Hotel rooms on major OTAs such as Booking.com and Expedia experienced small increases in Average Daily Rates (ADR). In contrast, on Vrbo, Hotelbeds, and Airbnb, ADRs dropped 10%, 5%, and 2%, respectively.

This trend shows hotel operators are having a harder time keeping room rates high. Compounding the problem is the global travel market’s increasing competitiveness; many hotels are having a harder time charging the premium rates that had become standard. In terms of the inflation, the real ADR, and what many hotels are actually charging, has dropped.

This can help travelers find lower-priced hotel deals as accommodations try to create more balance with their prices and demand. Destinations that have less hotel pricing power may become better deals for consumers. However, it is important for travelers to keep in mind that popular, high-traffic destinations may even have increased accommodation prices. Travelers should also try to book in advance as last minute bookings can contribute to higher prices. This is especially the case for high demand travel seasons.

Effects of the Transportation of Hotel Pricing Power

The loss of hotel pricing power will impact consumer travel in 2025 in a more complex manner. The softer pricing power will help accommodations create better pricing competition among hotels, creating a price lower choice for consumers. The softer price will benefit the consumer. However, hotels losing power in pricing may also lose power in profit, causing a reduction in hotel services and or amenities. This means lower staffing, less services, and overall a decreased hotel experience for consumers.

Advantageous market situations encourage travelers to book stay accommodations in advance to gain first doption on any possible promo deals. Marriott, Hilton, and Hyatt all have reward programs in which members retain amenities and/or discounts on bookings.

Impact on the Airlines and Flights

The airline industry also experiences a rebound. Recent studies indicate the airline industry will resume passenger capacity to that of pre-pandemic passenger levels by the year 2025, bringing in revenue beyond the industry’s expected growth. These studies correlate the increased demand for both domestic and international flights and the increased number of business, and leisure, travelers.

Particularly, those airlines with direct service offerings to primary tourist destinations stand to gain the greatest advantages. American Airlines, Delta, Emirates, and other major airlines have started to Add Servce to high-demand tourist destinations. Delta, for example, recently started offering more routes to international destinations in Europe and Asia than they previously offered, providing more choices to international travelers. In the same manner, Emirates continues to grow its volume of passengers on routes that Link the Middle East to major Cities in Europe and North America and Asia.

Tourists will have more choices for affordable non-stop flights with promotional offers to popular destinations. In major cities like Paris, New York, and Tokyo, travelers are advised to purchase flights several months in advance to obtain the lowest fares. Airlines have the opportunity to gain or lose market share within the marketplace so although there are rules established in regards to pricing when tickets are for high-demand destinations, lessoning the price of tickets may be a goalsed in order to gain market share, resulting in an opportunity for the traveler to gain the lower price tickets during valued booking periods.

Also, travelers should make best use of fare comparison tools tailored to find flights at the lowest fare. Numerous OTAs have modular flight tools that aid in comparing flight values across various airlines. Travelers should be cautious of other modifiers that affect the fare, like baggage, a seat on the flight, etc. which can also be pricey.

Travel Tips for Tourists in 2025

As the tourism sector embraces new changes, it offers some basic advice to tourists for Vacationing 2025:

1. Book in Advance: Whether a flight or a hotel, it is still one of the best strategies to get a good price to book early, especially for a sought after location in peak season.
2. Compare OTAs: When using OTAs like Expedia, Booking.com, or Trip.com, remember that they compete for the user’s business, so make sure to check a few, and use their competition to get the best prices.
3. **Sign Up For Loyalty Programs**: Hotel chains and airlines offer loyalty programs that allow you to earn and redeem points for discounts, upgrades, and other rewards. To maximize your trip, make sure to sign up for these programs.
4. **Flexible Travel Dates**: If your travel dates are flexible, you might be able to save money on flights and accommodation by shifting your schedule to travel during off-peak periods.
5. **Monitor Deals And Promotions**: Watch for airlines and hotels to offer what are called promotions. These are discounts made available during sales events, and even new route or new property launches.
6. **Research Any Local Restrictions**: There may be travel restrictions, or requirements to enter a country, such as, vaccination certificates or COVID testing. Always verify you have the most up to date information before you book.

Destinations in 2025

The travel industry is recovering, and so are the travel bookings. The following are noteworthy for 2025:

European Destinations: Paris, Rome, and Barcelona are hot, with Jet setters flocking to these cities. Luckily, for travelers, new hotspots like Lisbon and Budapest are cheap and growing in demand. Air France and Lufthansa are also offering more flights.

Asian Destinations: Tokyo and Bangkok are travel hot spots. New direct, and cheap flights, are on Singapore Airlines and Qatar Airways from New York and London to the major travel hubs.

Australia: There is good news for international travelers, as Sydney and Melbourne are back hosting world travelers. With Qantas and Emirates flights to Australia are growing, and 2025 will welcome travelers to Australia again.

Middle-Eastern Destinations: Dubai is a popular destination with newly opened, luxury editors. For a less static trip to Dubai, Emirates and Etihad Airlines move in and out of the Dubai rapidly.

South America: Major travel hubs are Buenos Aires and Rio De Janeiro, and travel is cheap and offered from most major airlines.

Cloudbeds and Duetto’s 2025 Hotel Market Pulse shows OTAs like Expedia gaining share and hotel pricing power softening globally. This shift is reshaping how travelers book accommodations and plan their trips, offering more competitive pricing and options.

Wrapping UP

Cloudbeds and Duetto’s 2025 Hotel Market Pulse report is shedding light on the evolving patterns in the global travel sector. Most travelers are benefitting today as they have more low-cost flight and accommodation options than at any other time. Booking and budget friendly accommodations is best done by searching and comparing prices across several OTAs

Most travelers can today reap the benefits, as they have more options than ever.

Airlines are meeting the increasing appetite, by broadening domestic and international travel routes.

With the right knowledge, travelers can easily make the right travel bookings for the seventeeth travel year of The 21st century. The increasing international demand for travel is broadening the routes Airlines, including the expansion of domestic travel.