Skift Reports Surge in Last-Minute Hotel Bookings in U.S.

What's Happening?

The Skift Travel Health Index has recorded a 3% year-on-year growth in global travel performance for the first half of 2025. A notable trend is the increase in last-minute hotel bookings, particularly in the U.S., where 40% of reservations in June were made within a week of check-in. This trend is also observed globally, with 21% of hotel bookings made within seven days of arrival, up from 18% in 2019. Cities like New York and Singapore are experiencing shorter booking windows, while Paris shows increased booking confidence with higher occupancy rates compared to 2024.

Why It's Important?

The shift towards last-minute bookings indicates a change in consumer behavior, driven by cautious sentiment amidst economic uncertainty. Despite this, traveler demand remains resilient, suggesting that hotels and travel companies may need to adapt their strategies. The trend highlights the potential for dynamic pricing and last-minute promotions to maximize revenue, as travelers are willing to pay higher rates closer to arrival. This evolving behavior challenges traditional early-bird discounting policies and requires strategic planning to capture later-stage demand.

What's Next?

Travel companies may need to reassess their pricing strategies to accommodate the shift in booking patterns. The Skift Travel Health Index provides valuable insights for strategic planning, tracking travel performance across major global economies. As the industry adapts to these changes, businesses might focus on enhancing their offerings to attract last-minute bookings, potentially leading to innovations in marketing and customer engagement.