Boutique Hotels Market

Boutique Hotels Market Size Survey Report – In a Glance

As per the survey report on global Boutique Hotels market, the market is projected to foresee a CAGR of 7.1% between 2024-2033, and further generate a market size of USD 41.7 billion by the end of 2033. In the year 2024, the market size was valued at USD 24.9 billion.

• The global Boutique Hotels market is projected to grow on account of the rise in experiential travel.
• In Japan, the Boutique Hotels market growth can be attributed to the growing consumer demand for customized and unique travel experiences.
• KDMI analyst’s growth analysis foresees Competition from Alternative Accommodation to challenge the market growth.
• North America, Having The Highest Market Share in the Boutique Hotels market is projected to dominate the global market.

Boutique Hotels Market Analysis

Analyst’s Observation on Boutique Hotels Market Survey

A boutique hotel is a small, trendy hotel that is available to guests by offering unique design, personalized service, and a more intimate experience than larger hotel chains or groups. Compared to an ordinary hotel, a boutique hotel will usually have a unique theme or style. This individuality, along with their size and location, creates a warm atmosphere that helps to make guests feel special. The rise in experiential travel is fueling the growth of the global boutique hotel market. In the United States boutique hotels in urban locations were functioning at 40.5% occupancy, suburban locations at 38.4%, resort properties at 48.6%, and small-town hotels at 39.1% in the resort segment in 2021. Marriott International, Inc., Accor, and The Hoxton are some of the significant parties in the global market for Boutique Hotels.

Analyst’s Observation on Japan Boutique Hotels Market Survey

In Japan, the market growth for Boutique Hotels can be attributed to the growing consumer demand for customized and unique travel experiences. Business travelers need such hotels for their smaller business meetings or client dinners. They like boutique hotels due to their distinct features, cozy settings, and personalized treatment, which sets them apart from ordinary hotels. Boutique Hotels in Tokyo, Japan offer a unique and contemporary experience that steps away from large chain hotels and regular rooms. Kimpton Shinjuku Tokyo, HOSHINOYA Tokyo, and Andaz Tokyo Toranomon Hills are some of the significant parties in the market for Boutique Hotels in Japan.

Boutique Hotels Market Growth Drivers and Challenges

Growth Drivers

Increased demand for premium experiences: Guests value premium experiences that feel personal and unique, driving the demand for boutique hotels. Today’s travelers are looking for new and refreshing luxury options that cater to high expectations. Boutique hotels offer them attractively designed decor, and supreme personalized service along with modern amenities that act as standards for excellence. Additionally, it consists of unique creative concepts such as a theme design that reflects the local culture as well as natural greenery in their surroundings. Boutique hotels are typically a destination within a destination and characteristically offer a variety of services and unique experiences as well. Boutique hotels are well-positioned in the changing hospitality sector due to their innovation, luxury, flexibility, and distinctive offers.

Rise of wellness tourism: Maximum population is concerned about their health and well-being globally. Travelers now go to Boutique hotels with their health data, and these hotels help them by offering services such as personalized nutrition, yoga, and exercise routines and support guests' sense of well-being during their stay at the hotel. Wellness tourism is reshaping the hotel industry, making it a central point for travelers seeking to rejuvenate their minds and bodies. Diet food, luxury spas, yoga and aerobics sessions, and medication facilities become a major driver of Boutique hotel bookings and it is an essential part of resort operations. Wellness tourism is moving forward at a very fast step and creating new opportunities to grow the Boutique Hotels market worldwide.

Restraint factors

Competition from Alternative Accommodation: Alternative accommodations allow travelers to book exclusive, personalized stays in private homes or apartments, often at lower prices compared to boutique hotels. As these platforms continue to grow in popularity, they offer other flexible options for travelers in their budget, which can pull attention away from boutique hotels.

Premium Pricing: Location, amenities, and the level of service provided to guests by boutique hotels costs so high. Other large hotels are more open to poor pricing strategies, boutique hotel faces a much higher percentage loss compared to the large hotels because of premium pricing. This situation is hampering the market growth of Boutique Hotels.

Boutique Hotels Market Segmentation

Our experts at KD Market Insights have segmented the global Boutique Hotels market research report as:

Boutique Hotels Market Regional Synopsis

North America having the highest market share in Boutique Hotels market is majorly driven by increasing demand for high-quality hospitality services. A key factor in the success of boutique hotels in North America is providing outstanding customer service, meeting their individualized demands, and making personalized recommendations. The boutique hotel industry in the United States, known for its unique attraction and personalized service, is experiencing dynamic shifts in 2025 as it adapts to developing trends and changing consumer preferences. The U.S. boutique hotel sector become a multi-billion sector that is attracting many investors largely. The market size of this sector in 2024 was USD 18.36 billion which is increased as compared to the last few years. The upsurge of social media and digital platforms has aided boutique hotels to successfully showcase their unique offerings and connections with audiences in Canada.

Asia Pacific growing with fastest CAGR in the Boutique Hotels market is majorly driven by rising demand for personalized and unique travel experiences. In Asia Pacific this sector is particularly attractive to travelers looking for more than conventional hotel stays, preferring the custom-made experiences offered by Boutique hotels. In recent years, the hospitality landscape in China and India has witnessed a notable revolution with the increase of boutique hotels.

In the European region, the Boutique hotels market is experiencing significant growth due to the growing tourism industry and the increasing first choice for unique and authentic experiences among travelers. The boutique hotels sector has shown faster economic growth than any other sector in the United Kingdom. Spain experienced the highest increase in Boutique hotel bookings in Europe. For the summer of 2023, bookings were 17% above compared to the pre-pandemic levels.

In The Middle East region, the growing importance of wellness and flexible spaces has become a significant driver in the boutique hotel sector. In Mexico Boutique Hotels are developing hybrid spaces that combine accommodation with co-working areas and wellness facilities. Saudi Arabia reported a 26% increase in Boutique hotel bookings in 2023 which is higher as compared to the previous year.

As per our analysts at KD Market Insights, the following five players lead North America having the highest market share in Boutique Hotels market growth:

• Westin Hotels & Resorts
• Le Méridien Hotels & Resorts
• The Luxury Collection Hotels
• The Evelyn Hotel
• W Hotels & Resorts

Boutique Hotels Market Competitive Landscape

Some of the key players who top the global Boutique Hotels market share:

• Marriott International, Inc.
• Accor
• Rosewood Hotel Group
• Kimpton Hotels & Restaurants
• The Hoxton
• Soho Boutique Hoteles
• Ace Hotel
• The Standard Hotels
• Hotel Indigo
• Joie de Vivre (Hyatt)

1. Executive Summary
   1. Market Overview
   2. Key Findings
   3. Market Trends
   4. Market Outlook
2. Introduction
   1. Scope of the Report
   2. Research Methodology
   3. Definitions and Assumptions
   4. Acronyms and Abbreviations
3. Market Dynamics
   1. Drivers
   2. Restraints
   3. Opportunities
   4. Challenges
4. Global Boutique Hotels Market
   1. Market Overview
   2. Market Size and Forecast
   3. Market Segmentation
      1. By Type
      2. By Booking Channel
      3. By Tourist Type
      4. By Tour Type
      5. By Gender
      6. By Age Group
      7. By Target Audience
      8. By Offering
      9. By Region
5. Market Segmentation by Type
   1. Business Hotels
   2. Suite Hotels
   3. Airport Hotels
   4. Resorts Hotels
   5. Others
6. Market Segmentation by Booking Channel
   1. Phone Booking
   2. Online Booking
   3. In Person Booking
7. Market Segmentation Tourist Type
   1. Domestic
   2. International
8. Market Segmentation Tour Type
   1. Independent Traveler,
   2. Package Traveler
   3. Tour Group
9. Market Segmentation Gender
   1. Men
   2. Women
10. Market Segmentation Age Group
    1. 15-25 Years
    2. 26-35 Years
    3. 36-45 Years
    4. 46-55 Years
    5. 66-75 Years
11. Market Segmentation Target Audience
    1. Luxury Travellers
    2. Corporate Clients
    3. Millennials
    4. Sustainable Tourism Enthusiasts
    5. High Net-Worth Individuals
12. Market Segmentation Offering
    1. Rooms
    2. Dining
    3. Wellness & Spa
    4. Event Spaces
    5. Recreational Activities
13. Regional Analysis
    1. North America
       1. United States
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       2. Canada
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       3. Mexico
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
    2. Europe
       1. United Kingdom
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       2. Germany
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       3. France
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       4. Italy
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       5. Spain
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       6. Rest of Europe
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
    3. Asia Pacific
       1. China
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       2. Japan
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       3. India
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       4. Australia
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       5. South Korea
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       6. Rest of Asia Pacific
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
    4. Latin America
       1. Brazil
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       2. Argentina
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       3. Colombia
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       4. Rest of Latin America
          1. Market Size and Forecast
          2. Key Trends and Developments
          3.               Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
    5. Middle East & Africa
       1. South Africa
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       2. Saudi Arabia
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       3. UAE
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
       4. Rest of Middle East & Africa
          1. Market Size and Forecast
          2. Key Trends and Developments
          3. Market Analysis by Type, Booking Channel, Tourist Type, Tour Type, Gender, Age Group, Target Audience and Offering
14. Competitive Landscape
    1. Market Share Analysis
    2. Company Profiles
       1. All Company Names
          1. Marriott International, Inc.
          2. Accor
          3. Rosewood Hotel Group
          4. Kimpton Hotels & Restaurants
          5. The Hoxton
          6. Soho Boutique Hoteles
          7. Ace Hotel
          8. The Standard Hotels
          9. Hotel Indigo
          10. Joie de Vivre (Hyatt)
15. Strategic Recommendations
16. Appendix
    1. List of Tables
    2. List of Figures
17. References