Hyatt’s Catch-Up Play: Non-Luxury Brands in Smaller Markets
Summary
Hyatt is expanding in the U.S. by targeting smaller cities and focusing on select-service and extended-stay brands. They plan to open over 30 new hotels, totaling around 4,000 rooms, primarily using brands like Hyatt Studios, Hyatt Select, and Unscripted by Hyatt. This strategy indicates a shift towards more affordable, scalable brands, potentially creating opportunities for local lodging providers.
Key Insights
- •Hyatt is focusing on cheaper-to-build and cheaper-to-stay-in brands to scale more quickly.
- •Hyatt's expansion relies mostly on three brands that accounted for nearly two-thirds of Hyatt's U.S. signings in 2025: Hyatt Studios, Hyatt Select, and Unscripted by Hyatt.
Action Items
- ✓Consider how new hotel brands targeting smaller markets might impact your local market and adjust your pricing strategy accordingly.Effort: lowImpact: medium
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