The success of the Buffalo Statler in 1908 as the first "modern commercial hotel" combined with increasing numbers of automobile owners helped inspire the first big growth stage of the hotel industry in the United States.
Landmarks such as the Plaza Hotel in New York and the Chicago Hilton and Towers were constructed during this hotel industry boom. This early 20th century boom wasn't confined to America. All around the world, magnificent hotels were constructed in popular metropolitan and vacation areas. The Great Depression in 1929 slowed this growing industry substantially, but did not stop it. The Waldorf-Astoria was one of the most notable hotels to be constructed during this period.
The second hotel boom followed World War II. Air travel was more common and affordable; airlines started to develop their own hotels. Business class hotels became common in all major cities. Casino hotels also started to develop during this time period.
During the third hotel boom, starting in 1980, niche markets started to become more defined. Airport hotels, marina hotels, ski hotels, et cetera began to be developed. Growth started to slow in the 1990s, which resulted in higher efficiency operations. Technology contributed to this as reservation and management database systems allowed for more effective marketing and record keeping of guest habits. It was also during this phase that renovations began to take on a new importance as chains wanted to keep costs down while maintaining a competitive edge.
From the late 1990's to today, the industry has been marked by additional cylical periods and further market niching. Boutique, lifestyle, and "green" flags are some of the most recent evolutions, which continue to be debuted during this challenging period in the global economy. Focus on demographically driven trends will continue to drive the hotel industry through the current downturn and into the next cycle of development.
