The branded hotel industry is increasing every year in the world therefore many hotel groups are developing their brand portfolio to match the demand of the world market. (Harvey, 2007) So the main question for this dissertation is: why does generation Y chooses to stay at branded hotels? What is it that makes them choose branded and not independent hotels? The answer to this question could be very beneficial for professionals in the hotel sector worldwide as well as for the researcher who has a genuine interest about brand loyalty and the hotel industry. The research is focusing on three European countries: Ireland, Spain and Sweden.