Decline in Star-Rated Hotels and Vacation Rentals in Germany

The landscape of accommodations in Germany is shifting significantly, with a noticeable decline in the number of hotels and vacation rentals that carry star ratings. This trend has been highlighted by recent data from the German Hotel and Restaurant Association (Dehoga) and the German Tourism Association (DTV), which indicates that fewer establishments are opting for formal certification.

Once a hallmark of quality, star ratings are increasingly being overshadowed by online reviews and ratings. Norbert Kunz, the managing director of the DTV, notes that the rise of digital platforms has transformed how potential guests search for and book accommodations. Today, consumers often rely on user-generated reviews on online portals rather than traditional certification.

Statistics reveal a dramatic decline in classified vacation homes and apartments in Germany. In 2010, there were approximately 66,000 certified units; however, this number has plummeted to around 23,500 in recent years. Similarly, the number of star-rated hotels has reached its lowest point in 15 years. In 2011, over 8,200 hotels were recognized with star ratings, while in 2025, that figure is expected to drop to about 6,300. Furthermore, the proportion of star-rated hotels relative to all hotels in Germany has decreased from approximately 60% in 2015 to around 50% in 2022.

The decline has been particularly pronounced during the COVID-19 pandemic, as many establishments postponed their re-certification processes. The Dehoga has indicated that the overall number of hotels in Germany is diminishing due to closures and bankruptcies. Despite these challenges, the association emphasizes that the official German hotel classification remains an important guide for quality assurance in an evolving marketplace.

Tourism researcher Harald Zeiss expresses no surprise at the waning significance of star ratings. He points out that, despite efforts to modernize the certification process, the criteria for ratings often do not align with current consumer priorities. Today, factors such as Wi-Fi availability can outweigh traditional amenities like bidets in determining guest satisfaction. Travelers have access to advanced filtering options online that allow them to search based on specific needs, making the certification process seem less relevant. For many hotels, the effort required to achieve and maintain certification does not justify the perceived benefits.

This evolving dynamic raises questions about the future of accommodation classifications in Germany. As digital reviews continue to dominate consumer decision-making, the traditional system of star ratings may need to adapt to remain relevant.