The latest HotelHub Index revealed significant rate rises across many key business destinations while overall booking volumes dropped. These findings come as “temperamental” trade policies and a weakening dollar continue to affect travel both to and from the US. HotelHub powers hotel bookings for many TMCs.
The report, which examined the more than 1.75 million bookings made via HotelHub technology between July and September 2025, shows that the number of bookings for the quarter fell by almost 6% compared with the same period in 2024, with overall volumes down in 14 of the top 20 countries booked by HotelHub users. However, deeper analysis of the data reveals that a significant proportion of this shortfall – 45.35% – is due to fewer bookings from US-based travelers.
Overall, the total number of bookings made by American customers dropped by 8.52% compared with the third quarter 2024, which has had a marked impact on booking figures in other countries. Bookings at UK hotels, for instance, fell by 6.03% in the third quarter versus the same period in 2024; however, the reduced number of bookings from the US alone accounted for over a quarter (26.51%) of the deficit.
Bookings at hotels in the US itself continue to trend negatively, falling 7.86% overall compared with the third quarter of 2024. Notably, international bookings to the US were down 10.88% at the close of the quarter and September, typically one of the busiest months of the year, saw almost 14% fewer overseas travelers – suggesting that the hesitancy to travel to the US seen in recent months is not yet abating. This is also evidenced by the 4.2% decrease in lead times for US bookings versus the third quarter of 2024 (in contrast to a 0.59% increase in the global average) which points to a growing reluctance to commit to US travel too far in advance.
Meanwhile, as booking figures have dropped, the index shows that the global average rate per night has risen by 4.18%, going from $183 in the third quarter of 2024 to $191 in the third quarter of 2025. This is a considerable increase after moderate year-on-year rises in the first two quarters of this year.
As a region, Europe recorded a 7.41% increase in average prices compared with the third quarter of 2024, with rates at the higher end surging by more than 14%. In contrast, average US prices increased at a much lower rate than most other countries in the top 20 destinations for HotelHub users, up just 1.92% compared with the same period in 2024.
Paul Raymond, chief commercial officer, said, “At this stage in the year, it is probably safe to say that the trends we’ve seen to and from the US are here to stay for the rest of 2025.” What’s less clear, he said, is whether the shifts in global trade that have emerged this year and the new alliances that have formed out of necessity will be short-lived or become the norm in 2026 and beyond. While the declining strength of the US dollar will likely continue to impact outbound travel for American travelers, said Raymond, it may make the US a more attractive prospect to international businesses, swinging the pendulum back the other way.
One notable outlier in the data is Canada which has been going from strength to strength throughout 2025. Despite a 17.19% drop in bookings from the US, its second biggest originating market, overall third quarter bookings were up 8.47% compared with the same period last year. The total figures were bolstered by 14.67% jump in domestic bookings as well as a positive uptick in reservations from other countries.
