Serviced Apartment Market Size, Share & Trends Analysis Report By Type (Long-Term, Short-Term), By End-use (Corporate/Business Traveler, Leisure Traveler), By Booking Mode, By Region, And Segment Forecasts, 2024 - 2030

Serviced Apartment Market Size, Share & Trends Analysis Report By Type (Long-Term, Short-Term), By End-use (Corporate/Business Traveler, Leisure Traveler), By Booking Mode, By Region, And Segment Forecasts, 2024 - 2030

Serviced Apartment Market Growth & Trends

The global serviced apartment market size is anticipated to reach USD 248.92 billion by 2030, according to a new report by Grand View Research, Inc. The market is projected to grow at a CAGR of 12.7% from 2024 to 2030. Increasing urbanization and the rise of global business travel are driving demand for flexible and convenient accommodation options. Serviced apartments, with their home-like environment, cater to long-term travelers and expatriates by offering a blend of comfort and functionality. They provide a more residential setting compared to traditional hotels, making them an attractive choice for those seeking extended stays and a more personalized living experience while away from home.

The flexibility in rental duration and cost-effectiveness of serviced apartments compared to traditional hotels significantly drive their market growth. For long-term stays, serviced apartments offer a more economical option, providing substantial savings while delivering the convenience of self-catering and additional space. This blend of affordability and comfort appeals to both business and leisure travelers, as it caters to their needs for extended stays with the added benefit of a more home-like environment. This attractiveness to diverse traveler segments helps boost demand and drives the expansion of the market.

The incorporation of smart technology and advanced amenities in modern serviced apartments drives market growth by significantly enhancing the guest experience. Features such as digital check-in/check-out, automated systems, and high-tech entertainment options not only offer added convenience and efficiency but also cater to the tech-savvy preferences of today’s travelers. These innovations improve the overall appeal and functionality of serviced apartments, making them more attractive to both business and leisure guests who seek a seamless and modern living experience, thus boosting demand and expanding the market.

Key players in the serviced apartment industry are embracing several innovations. They are investing in advanced smart technology, such as AI-driven property management systems and IoT-enabled amenities, to enhance operational efficiency and guest comfort. In addition, they are focusing on personalized guest experiences through data analytics, offering tailored services and customization options. Enhancements in sustainability practices, including eco-friendly building materials and energy-efficient systems, are also becoming a priority to attract environmentally conscious travelers. Furthermore, integrating flexible booking options and seamless digital interactions, such as mobile check-in and virtual concierge services, are helping them adapt to evolving consumer expectations and retain their market position.

Serviced Apartment Market Report Highlights

• The growth of serviced apartments for long-term stays is driven by their cost-effectiveness, flexibility in rental duration, and the combination of home-like amenities with the convenience of hotel services.
• The demand for serviced apartments among ex-pats and relocators is driven by their need for flexible, comfortable, and fully equipped living spaces that offer a home-like environment with the convenience of professional services during their transition period.
• The dominance of direct booking for serviced apartments is driven by travelers' desire for better rates, personalized service, and greater control over their reservation details, often resulting in cost savings and enhanced guest experience.
• North America accounted for a substantial market share in the global market for serviced apartments driven by the high demand for flexible, long-term accommodations from business travelers and expatriates, who value the blend of comfort, space, and home-like amenities. In addition, the growth of major cities and the increasing trend towards remote work and extended business assignments further fuel the popularity of serviced apartments in the region.

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