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The November 2007, IBISWorld Market Resarch Company, reported that it is estimated that hotel and motel industry revenue in the United States will grow by only 3% within the next 5 years, where as it increased 2.1% from 2005-2006.
When looking at the numbers, it's easy to figure out why. The average rate for a room grew from $84 in 2001 to $97 in 2006. However, while there will be a slowdown in hotel and motel revenue growth, IBISWorld indicates that there will also be an increase non-traditional types of accommodation.
3 Reasons Why Non-Traditional Accommodations Are Becoming More Popular
There are several reasons why non-traditional types of accommodation are becoming more popular for tourists. One is because they offer a unique way of experiencing the country that is less starch-white linen and luxurious. Another reason is the money that one can save: backpackers with 10 to one room in bunk beds can also find rates that are 25% of usual hotel room rates. A third reason are the amenities offered elsewhere not included in traditional hotels, including spas, spiritual retreats, and all inclusive meals/drinks.
A Few Non-Traditional Accommodations:
Bed and Breakfast establishments offer home away from home settings. With always-friendly owners, the food is always freshly made, the family style eating arrangements offer a great place to meet new people, and the country-styled feel is often much more cozy than 3000 room hotels.
Hostels, be warned, are not for everyone. More often than not, they score ‘low' when it comes to privacy and cleanliness - but you can't beat how cheap they can get. If you're looking for day by day adventures and are going to spend more time out of than in your accommodations, then hostels are just right for you. They're dormitory style with bunk beds, ranging from 4 to 10 bunk beds in one room. Some hostels also have kitchens because eating out is often expensive for low-budget tourists.
Vacation rentals are great for the increasing number of people taking part in extended stays in one location, are also becoming more popular. Furished apartments, condos, or house rentals are available in most locations and offer more flexibility, will often have kitchens, and give a sense of "home" when you're in a city for an extended stay.
Boutique hotels are part bed and breakfast and part hotel - they have the best of both of these worlds and are often a little quirky or theme-driven (i.e. arts, fashion, etc). The friendly, casual, and flexible atmosphere of B&B's are coupled with the luxury and crispness of hotel service on a smaller and more attentive scale than your average 3000 room mega hotel.
Spa and health retreats are also popular today because they promote health, wellness, and offer relaxation of the mind, body, and soul. While offering spa, health, and fitness services, they also offer choice foods as well as accommodations to fit the retreat's theme.
Resorts have become popular because of the many all-inclusive packages offered. Accommodations, food and beverages, activities and entertainment all in one place at one price, is hard to beat. With hotels, having to pay extra for every little thing can rack up your bill, but knowing that you can have it all for one price at a resort is great for many tourists.


