Dive Brief:
- At hotels managed by third parties, guest satisfaction declined “significantly” year over year in the areas of food and beverage quality and facilities maintenance, according to J.D. Power’s 2025 North America Third-Party Hotel Management Guest Satisfaction Benchmark.
- While more guests staying at branded hotels run by major third-party management companies said they choose to dine on-property (77%, up from 73% in 2024), guests reported less satisfaction with food quality, dining area cleanliness, food and beverage presentation and ambiance, per the report.
- According to J.D. Power Hospitality Practice Lead Andrea Stokes, rising operating costs are putting pressure on hospitality management companies, which are responsible for guest satisfaction when the hotel owner does not operate the property. "We’re starting to see some challenges emerge where guest satisfaction is faltering," she said.
Dive Insight:
Guest satisfaction with hotel facilities also declined in 2025’s benchmark, most significantly with the appearance of hotel exteriors and grounds and the maintenance of pools, fitness centers and laundry areas, according to J.D. Power.
However, satisfaction with other key components of the hotel experience, such as staff service and guest room appearance, were “on par with 2024,” per J.D. Power.
The benchmark also ranked hospitality management companies with at least 14,000 rooms under management at branded properties in North America based on their overall guest satisfaction.
Properties operated by Atrium Hospitality ranked highest for guest satisfaction, followed by Crescent Hotels and Resorts and Davidson Hospitality Group.
Tariffs are impacting the cost of hotel food and beverage products, hospitality pros shared with Hotel Dive earlier this year.
Earlier this summer, another J.D. Power report found that, despite record room rates, U.S. hotel guests across segments feel that they’re getting greater value for the price of their stays. The luxury and upscale segments, in particular, had the highest guest satisfaction scores overall.