Key drivers include higher satisfaction with guest rooms

Although the average daily rate (ADR) for a US hotel room climbed to a record high of $158.67 in 2024, hotel guests in every segment from economy to luxury feel they are getting better value for their travel dollar, according to the J.D. Power 2025 North America Hotel Guest Satisfaction Index. Key drivers of that improved perception of value are higher satisfaction with guest rooms, including condition, cleanliness and room amenities such as in-room smart TVs.

Andrea Stokes, hospitality practice lead at J.D. Power, said, “We’re at an important inflection point in the travel marketplace where several years of record-high hotel demand and the pace of room rate increases is starting to slow,

Hotel owner and operator investments in guest room décor and furnishings, said Stokes, in addition to bathroom updates, are paying off in higher satisfaction. One area in which hotels can significantly influence guest satisfaction without massive capital expense is with technology like smart TVs and updated room temperature controls, she said. Travel is becoming more complex with the potential for flight delays or increased road traffic, said Stokes, “so guests want hotels to provide the comforts of home.”

Additional findings of the 2025 study included:

• I want my smart TV: When asked what hotel amenities they consider “need to have” (vs. “nice to have”), 40% of guests selected “smart TV/ability to stream my entertainment,” up from 21% in 2019. Nearly three-fourths (72%) of guests indicated their room included a smart TV (up from 39% in 2019), and 60% said they used the smart TV during their stay.
• Capital investments are paying off: Guest satisfaction significantly improved year over year in investment-heavy areas such as condition of guest room furnishings and décor (up .05 points); condition of bathroom fixtures (up .05); and comfort of bed (up .04).
• Hotel app users are more satisfied: The overall satisfaction score among hotel guests who have their hotel’s mobile app downloaded on their mobile devices is 699 (on a 1,000-point scale), 68 points higher than those who do not use their hotel brand’s mobile app.
• Problems, while rare, can crush guest satisfaction scores: The average rate of guests experiencing a problem, such as an odd odor, housekeeping issue, excessive noise or check-in dispute, is just 12% across all hotel stays evaluated. When problems occur during the stay, however, guest satisfaction falls 217 points to 460 from 677.