An experiment and a series of simulations found that in markets with few hotels, the addition of a same-brand outlet can lead to modest but significant sales increases for the original same-brand hotel. The researchers found an approximate 2% increase in profits and revenues — $4,300 in revenue and $2,900 in profit per month — for 70% of same-brand existing hotels. Adding a different brand hotel does not benefit existing hotel locations and could hurt its performance. “The same-brand benefit has its limit,” he said. “Customers also value multiple same-brand options when booking through websites like Expedia or Kayak.”