| Study Period | 2020 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 50.40 Billion |
| Market Size (2030) | USD 70.68 Billion |
| CAGR (2025 - 2030) | 7.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
US Online Accommodation Market Analysis
The United States Online Accommodation Market size is estimated at USD 50.40 billion in 2025, and is expected to reach USD 70.68 billion by 2030, at a CAGR of greater than 7% during the forecast period (2025-2030).
The online accommodation market in the United States is experiencing a period of growth due to the prevalence of mobile apps and websites, the growth of businesses, and the implementation of modern, user-friendly portals by key market participants. Furthermore, the increasing disposable income and the country's vast tourism industry are further aiding the market's development.
Hotels' revenue is determined by the average daily rate and the number of rooms occupied, as well as the availability of food and beverages. Technology has had a significant impact on the online accommodation sector in recent years, with the number of users expected to grow by over 10 million in the United States from 2017 to 2022. The Accommodation market is keeping its pole position in the Travel and Tourism Segments when it comes to revenue and user penetration. For Asian Tourists, accommodations are the most preferred service in Travel and Tourism.
According to a report, international hotel bookings have experienced a slowdown in the fourth quarter of 2022, in the United States compared to the levels prior to the pandemic. The percentage of hotel reservations made online through an Online Booking Transfer (OBT) linked to HotelHub remained significantly elevated during the quarter in comparison to pre-COVID-19 booking trends. In the United States, around 75% of reservations were made online, which was significantly higher than the previous quarter.
US Online Accommodation Market Trends
Rise in the Number of Visitors in California
California has a substantial presence in the United States online accommodation market and is projected to experience a sustained increase in the sector over the next few years. This is largely due to the expansive tourism industry in the state, which is the primary source of economic growth. California's travel and tourism sector is comprised of a variety of businesses that provide services to travelers, such as lodging, transportation, rental vehicles, restaurants, and retail stores, as well as attractions and gasoline service stations. Tourism providers benefit from traveler spending across all segments of the industry and all regions of California. The California tourism industry experienced a 32% increase in revenue in 2022, and the state is on track to surpass the record set prior to the COVID-19 pandemic in terms of visitor expenditure, employment, and tax generation.
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The Rising Use of Mobile Applications and Websites is Driving the Market
Due to technological enhancement and digital trends, the Online Accommodation Market in the United States has undergone a major transformation. There would be a boost in the market margin over the next few years because of the increasing penetration of mobile applications for online accommodation booking. The online travel booking market is also being positively affected by the increasing online accommodations as there will be a large market for the travel industry. As Internet penetration is growing around the globe as well as in the United States, most hotel owners support digital platforms to make use of the digital revolution.
While booking an overnight stay through a travel agency or a specific accommodation provider’s website is still a viable option for most United States residents, the hospitality industry has seen a dramatic shift in the last couple of years with the emergence of booking websites such as Booking.com and Hotels.com, as well as Airbnb. While providers like Airbnb have come under fire from critics and governments over allegations that short-term rentals are contributing to the rising cost of living in tourist destinations, they still make up a significant portion of the United States tourism industry.
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US Online Accommodation Industry Overview
The United States Online Accommodation Market is consolidated in nature In terms of market share. Some of the major international players operating currently dominate the market. The competitive factors that drive the performance of these major companies are pricing, availability, and providing service as described. However, there is a need for more technological advancement in these websites so that the user experience can be increased. The major players dominating the market are Booking.com, Hotels.com, Expedia, Hotwire and Orbitz.
US Online Accommodation Market Leaders
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Booking.com
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Hotels.com
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Expedia
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Hotwire
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Orbitz
- *Disclaimer: Major Players sorted in no particular order
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US Online Accommodation Market News
- September 2023: Philippine Airlines launched PAL Holidays powered by Expedia Group, a one-stop travel website that offers travelers a seamless and comprehensive platform for all their travel needs. The new site is now live in the US, Canada, Australia, and the Philippines. The new platform is powered by Expedia Group’s White Label Template technology. It is designed to help passengers effortlessly plan and book their entire journey, including PAL flights, hotels, transportation, and exciting travel activities, all in one convenient location.
- March 2023: Expedia Group announced a new API partnership with Wheel the World, a travel booking platform for accessible travelers in wheelchairs, effectively enhancing a seamless, end-to-end travel experience for travelers with disabilities. Through Expedia Group’s Rapid API technology, Wheel the World customers will have access to Expedia Group’s extensive directly sourced hotel inventory with the ability to filter properties by their accessibility needs and preferences.
US Online Accommodation Industry Segmentation
Online accommodation is the mechanism through which guests can create secure online reservations. Through the hotel reservation system software, guests can choose how long they will stay and the type of room they want, get add-ons, and pay securely online through a payment platform.
The United States Online Accommodation Market is segmented By Platform type (Mobile application & Website) & By Mode of Booking Type (third-party online portals & Direct/Captive portals). The report offers Market size and forecasts for the United States Online Accommodation Market in value (USD) for all the above segments.
| By Platform Type | Mobile Application |
| Website | |
| By Mode of Booking Type | Third Party online portals |
| Direct/Captive portals |
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US Online Accommodation Market Research FAQs
How big is the United States Online Accommodation Market?
The United States Online Accommodation Market size is expected to reach USD 50.40 billion in 2025 and grow at a CAGR of greater than 7% to reach USD 70.68 billion by 2030.
What is the current United States Online Accommodation Market size?
In 2025, the United States Online Accommodation Market size is expected to reach USD 50.40 billion.
Who are the key players in United States Online Accommodation Market?
Booking.com, Hotels.com, Expedia, Hotwire and Orbitz are the major companies operating in the United States Online Accommodation Market.
What years does this United States Online Accommodation Market cover, and what was the market size in 2024?
In 2024, the United States Online Accommodation Market size was estimated at USD 46.87 billion. The report covers the United States Online Accommodation Market historical market size for years: 2020, 2021, 2022, 2023 and 2024. The report also forecasts the United States Online Accommodation Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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US Online Accommodation Industry Report
Statistics for the 2025 United States Online Accommodation market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. United States Online Accommodation analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
