Boutique Hotel Sector: Top Growth Trend for 2013

Growth in the boutique hotel sector is showing no signs of abating, and is emerging as a key area of growth for 2013.

As the fastest-growing hotel segment in the capital, HVS forecast that it would double in size between 2011 and 2013. Suppliers and trade events are also following trend to support and capitalise on this growth.

Recession Proof?

A key reason behind growth in Boutique hotels is the sector’s resilience in the current financial climate. Re-branding to attract a higher RevPAR from a smaller pool of guests has proved to be a winning formula throughout the economic downturn.

The recent Hotel Supplier Survey from revealed that independent and boutique hotels are driving profitability across the supply chain. A massive 69% and 32% of hotel suppliers identified profitability in the independent and boutique sectors respectively.


Such a figure may have been inconceivable ten years ago when the market was dominated by mid-range brands.

The Independent Hotel Show

To bring together an otherwise “still maturing” supply chain to the boutique, luxury and independent hotel sector, SME London and Fresh Montgomery have organised the first trade event to specialise in the top-end market.

Launching on 16th-17th October 2012, The Independent Hotel Show provides a much-needed conduit between luxury hoteliers and top suppliers. In this fractured segment of the market, the Independent Hotel Show is destined to become a business-critical event for companies operating at the top end of the market.

“This sector of the hospitality industry has expanded and acquired huge importance within the past five years,” explained SME London managing director, Tim Etchells.

“Until now, no trade show had existed dedicated to this quality end of the hospitality market. We launched The Independent Hotel Show to bring the owners, operators and key decision-makers together with the industry’s top suppliers, service providers and designers.”

All evidence suggests that 2013 will the defining year for luxury and boutique hotels in the UK, whether they be branded, chained or independent. The sector will mature, and consequently, the supply chain behind it will also broaden.

Intelligent suppliers working ahead of trend will establish their presence in this market early and secure their market share before the competition intensifies.

Types of hotels proving most profitable


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