Best and most efficient hospitality trends will be described in this article. When you mention widespread interruptions, the hospitality sector is the first that springs to mind. The COVID-19 epidemic affects all part of the industry except for the fundamentals of hospitality.
There are numerous more hospitality trends, which you’ll learn about below, but it’s safe to say that today’s business models in the industry are very different from those that came before them.
As a business owner, staying up to date with all industry changes and events that affect how you conduct business can be accomplished by keeping an eye out for the most recent trends.
We will examine the most recent and significant changes that are impacting the guest experience, tech adoption, and tourism, among other things, in this study on hospitality trends.
For instance, in order to lessen the spread of the virus, hotels and other lodging providers have already implemented stricter hygiene standards, increased cleaning at all locations, converted rooms into work-friendly spaces with wifi and convenient workstations, and some have even made investments in touchless technology and mobile apps (Global Data, 2021).
Due to the uniqueness of the hospitality industry, there are a wide range of trends that you, as a business owner, should take into account while creating your strategy to stay competitive.
We’ll go over some of the trends influencing today’s updated hospitality sector in the sections that follow.
Top 15 Best Hospitality Trends in 2022
Top 15 Best Hospitality Trends are explained here.
1. Online Communities
The way firms in the hospitality hospitality engage with clients has evolved as a result of internet communities.
Websites for businesses, social networking platforms, and travel sites like TripAdvisor all help hospitality facilities increase their level of transparency, which raises the calibre of the services they provide.
Multi-user interaction is very crucial to online marketing.
Therefore, online reviews have a substantial impact on a customer’s booking choices.
Word-of-mouth hospitality is still effective, and thanks to modern internet channels, guests can readily share their impressions of lodging establishments.
This makes it simple for business owners to identify their unique selling propositions.
Positive evaluations obviously increase the financial value of your company.
The opinions of recent or current hotel customers are more likely to be trusted by prospective guests.
Additionally, the data you may gather from online forums, such as the reviewers’ age, lifestyle, employment, gender, and interests, will provide you with useful insights.
By doing so, you stay informed about the market’s current trends and the improvements you need to make in order to provide better services. This is another hospitality trends.
Highlights of Online Community Trends
- Lower support costs (52 percent), innovation (32 percent), and customer retention (61 percent) are three ways that external communities affect complex company objectives (Higher Logic, 2019).
- According to 88 percent of community professionals, the company’s mission depends on the community (CMX, 2020).
- 77 percent of AEC initiatives have an effect on patron loyalty (Higher Logic, 2020).
- COVID-19 raised online consumer communities’ virtual involvement to 81 percent (Higher Logic, 2020).
2. Sharing Economy
The hospitality sector has long moved past the experimental phase of the sharing economy.
It has been reinventing the sector and is anticipated to expand in the years to come.
The sharing economy, which derives from the idea that two parties might share an underutilised asset or property, uses technology to make value transfers possible.
Peer-to-peer software, collaborative platforms, or open marketplaces might be used for this. This is another hospitality trends.
Online transaction coordination is simple in the sharing economy.
Even if this happens among private individuals, it has had an economic influence on well-known and top brands in several industries.
Expedia, Airbnb, and other sharing economy platforms are presently offering clients unique hospitality experiences.
For the first time since February, according to a report from Airbnb, gross booking value climbed from June 5 to June 7 of 2020—three months after the epidemic broke out in the US (Airbnb, 2020).
Additionally, it noted a rise in the popularity of reservations for cottages and cabins, indicating that travellers are seeking out more remote lodging.
In addition, 29% of reservations were made by larger groups and within a week of arrival, suggesting that families are arranging last-minute trips to see a different view.
The sharing economy also enables more adaptable management for hoteliers.
The same laws and regulations that apply to traditional hotels do not apply to lodging establishments and lodgings listed on such platforms.
Therefore, compared to local hosts, they are able to provide more reliable and superior consumer services and holiday experiences.
- It’s anticipated that the sharing economy would increase from $15 billion in 2014 to $335 billion in 2025. (Forbes, 2019).
In the US in 2016, sharing economy services were used by 44.8 million adults.
However, it is anticipated that this number would rise to 86.5 million in 2021. (Statista, 2019).
3. Voice Search
The present rise in voice search affects a variety of businesses. Technology, after all, frequently has endless potential.
The most recent digital assistant innovations on the rise are Amazon’s Alexa, Apple’s Siri, Google Assistant, and Microsoft’s Cortana.
The model is based on conversational language, even if many people believe that this AI is still in its early phases of development. Based on past questions, it seeks to comprehend the intent and context.
Additionally, it aspires to excellence in the consideration of several steps and queries, with a stronger emphasis on activities, tasks, and transactions.
Voice search is changing the reservation procedure in the hospitality sector.
Customers may now plan their vacations and do their research on their smartphones and tablets.
You may enhance conversions by adding voice search functionality to your website, which will link you with more qualified leads.
Think with Google as a source
- Around 24% of adults over the age of 18 own at least one smart speaker, which equates to 60 million people (Marketing Land, 2020).
- Since one individual often owns multiple speakers, the number of speakers in US households is estimated to be 157 million (Marketing Land, 2020).
- According to a 2019 survey, voice searches are used to buy common home items (SEJ, 2019).
Sustainability is now a top priority as we encounter increasing environmental problems every day.
As a result, a sizable portion of the hospitality sector engages in Go Green initiatives to reduce harmful environmental effects.
This was advantageous for both the environment and businesses.
More hotel customers are attracted and brought by it.
Customers are also more willing to pay for goods and services from businesses that embrace sustainability.
Hoteliers have implemented sustainable strategies on their properties over the past ten years.
This had a positive effect on the environment, improved the guest experience, and increased revenue.
Environmental technology are constantly improving and lowering expenses for hotels.
Governments have also begun providing financial incentives for the development of buildings using green technology.
These incentives include tax write-offs, accelerated regulatory approvals, financial awards, and insurance premium cuts.
Booking decisions are influenced by a sustainable business culture.
Studies have also shown that younger workers are more eager to work in fields where the development of the community is a priority.
Highlights of Sustainability Trends
- In 2019, tourism accounted for 5% of the world’s greenhouse gas emissions, and by 2035, that percentage is projected to increase to 130%. (Trivago, 2019).
- To comply with the Paris Climate Agreement, hotels must reduce their carbon footprint by 90% by the year 2050. (EHL, 2019).
5. Virtual Reality
The hospitality sector has been altered and improved through virtual reality (VR). With 57.4 million users in United States alone, it is one of the most significant developing technology trends of the present (eMarketer, 2020). Because of the numerous opportunities that VR presents, many firms now use it.
VR is used in the hospitality sector for booking procedures, hotel tours, and vacation experiences. Due to rising investments from companies like Samsung, Facebook, and Google, high-quality VR headsets are becoming a commonplace consumer good.
In addition to augmented reality, virtual reality (VR) enables users to digitally explore surrounding sites or enjoy a recreation of a hotel room.
VR has recently improved the client experience when exploring the neighbourhood. For the typical customer, VR offers more precise information about reserving a hotel room.
Reading through descriptions is a far cry from virtual reality, which allows users to virtually experience products. This is another hospitality trends.
In this way, hotels gain from the marketing principle of “try-before-you-buy.”
Featured VR Trends
- In the US, 42.9 million people utilised VR in 2019.
At the same time, 68.7 million individuals utilised AR at least once per month (eMarketer, 2019).
- Between 2018 & 2022, the size of the global AR and VR market is expected to increase by 7.7x (Techjury, 2020).
- The results of VR research predicted that global spending on VR apps and content would reach $8.034 billion in 2021. (Statista, 2018).
6. Mobile Technology
Nowadays, hotels and resorts use mobile platforms for their marketing, advertising, cross-selling, and guest loyalty campaigns.
Hotels and other connected businesses now absolutely must have mobile apps.
There are numerous types of hotel administration software on the market right now.
The effectiveness of mobile apps in the hospitality sector has been studied and validated.
Live and updated content, as well as mobile-friendly websites and applications, promote corporate growth.
Mobile technology also eliminates the distance between the guest and the hotel.
According to studies, the popularity of mobile apps for the hospitality sector is steadily increasing.
Through the use of high-quality photographs and videos, mobile technology, and more specifically mobile marketing software, has completely changed how guest services are presented.
Additionally, when hotel amenities like in-room dining, concierge, or other travel services are presented in top-notch multimedia formats, awareness and utilisation may rise.
The Top Mobile Tech Trends
- More than 295 million individuals are expected to be using mobile internet in 2023. (Statista, 2021).
- In a research from February 2019, mobile devices accounted for 48% of all online page views globally, ith Asia and Africa leading the way (Statista, 2021).
- According to Pew Research Center’s initial surey on smartphone ownership in 2011, nearly 81 percent of Americans now own smartphones, up from just 35 percent (Pew Research, 2019).
7. Personalized Guest experience
In the hospitality industry, there is always a struggle to draw in, sell to, and keep clients. The newest innovation in the hospitality industry to change it is the personalization of services. As a result, pursuing a personalised guest experience has emerged as a strong and transformative trend in the hospitality industry.
Prior to recently, it was impossible to personalise services due to the diversity of the hospitality sector.
It might be challenging to collect and use guest data for more meaningful engagement.
However, hotels soon discover that the work was well worth it. Your clients can receive a customised experience thanks to the utilisation of guest data.
You can then give them offers that are pertinent to their requirements and interests and tailor their stay at your hotel as a result.
utilising current data analytics software.
This can be accomplished by monitoring and studying guest trends and behaviour across various hotel establishments.
AI technology may also assist you in creating sales and marketing materials that are targeted and pertinent for particular customers or target audiences.
Studies show that as a significant brand differentiation, consumer experience may soon surpass price and quality.
As a result, providing excellent services is now even more important for hotels and other connected firms in the hospitality industry.
Trend Highlights: Personalized Guest Experience
- Nearly 91% of consumers are more likely to purchase goods from firms that make useful offers and suggestions (Accenture).
- Nearly 90% of consumers are open to sharing behavioural information if it results in a more convenient and affordable brand experience (SmarterHQ, 2019).
- The travel and hospitality industry reported the largest trend toward customised messaging, according to a study by SmarterHQ, Cheetah Digital, Liveclicker, and MailCharts.
38 percent of their marketing mix is focused on single consumers, while around 63 percent of their communications are tailored to specific customers (Liveclicker, 2019).
8. A New Generation of Traveoer
Reports differ on the demographics and features of travellers, but they all agree on one thing: the younger generation is setting the pace for change in the business.
The same is true for hospitality industries worldwide, where change has become the norm.
Developments must be made to appeal to this new generation of passengers if the firm is to remain stable.
The onus is now on business executives to comprehend this new generation’s personalities and preferences, which seemed to shift quickly from Millenials to the so-called Generation Z.
Numerous reports claim that Generation Z will soon outnumber Millennials in both population size and predicted purchasing power.
Forbes estimates that the direct spending power of Generation Z ranges from $29 billion to $143 billion.
The tourist industry’s fastest-growing sector is now youth travel as a result.
As a result, the market believes that drastic adjustments must be made based on the preferences of the next generation.
However, given the pandemic’s current stage, a lot of travelers—of all ages—are choosing not to travel anytime soon in order to reduce their risk of catching the virus.
But as the coronavirus vaccines become available in 2021 and travel restrictions are loosened, this pattern is certain to return.
Highlights of Generation Z Trends
- Gen Z travellers take 2.8 vacations annually (Travel Agent Central).
- According to reports, 57 percent of Generation Z will select a hotel, compared to 15% selecting an Airbnb (Unidays).
- 77 percent of Gen Z travellers are receptive to advice and inspiration when arranging a vacation (Travel Agent Central).
9. Global Tourism
The expansion of the hospitality industry was spurred in recent years by the increase in international travel.
However, since COVID-19 wreaked havoc in 2020, that has changed.
Currently, the industry is at risk of losing up to 100 million direct jobs (UNWTO, 2020).
The US only spent $679 billion on travel in 2020, “an unprecedented 42 percent annual decline (nearly $500 billion) from 2019,” according to statistics (US Travel Association, 2021). This is another hospitality trends.
We can anticipate that the travel and tourism sector will profit from the “revenge spending” spree that many consumers will engage in as countries begin to relax their travel restrictions and as hope spreads with the introduction of vaccines.
Customers will spend money on things like travel, dining in restaurants, and live entertainment that they were prevented from doing during the lockdowns, which will cause the industry to experience a revival (US Travel Association, 2021).
Joint health protocols will still be in place to safeguard both visitors and employees, of course.
In order to revive and support global tourism during the pandemic, more nations and businesses will rely on technology (especially touchless technology), inexpensive transportation, and offers that enhance travel experiences.
- The COVID-19 pandemic could result in the loss of 100–120 million jobs in the tourism and hospitality sectors (UNWTO, 2020).
- Only $679 billion was spent on travel in 2020, a 42 percent annual reduction from 2019. (US Travel Association, 2021).
- As nations begin to relax their travel policies, the “revenge spending” is thought to assist the tourism sector (US Travel Association, 2021).
Best Hotel Management Programs
- Oracle Hospitality
It combines technology and software to support you in streamlining the visitor experience and the backend procedure.
Check out our evaluation of Oracle Hospitality to learn more about this platform.
This web-based tool is intended to assist the owner of a bed and breakfast in running their establishment.
Read this RezOvation review to learn how practical it is.
- Small Hotelier
This approach, as its name implies, calls for the usage of compact lodgings that can help generate more bookings.
Detailed information is available in our Little Hotelier review.
It streamlines marketing and reservations management as an all-in-one tool.
Read this Cloudbeds review to learn more about its other features.
It’s simple to manage Airbnb and rental property issues with this powerful tool.
More information is available in our Guesty review.
10. The Advent of Unique Tourism Products
Development of Specialized Travel Goods Travelers are physically and psychologically satisfied by distinctive tourism offerings, especially those who are looking for more unusual encounters.
Sports tourism, health tourism, and other examples are a few. With the aid of these items, tourists can select particular locations as well as the activities they hope to complete there.
This tendency offers the market numerous chances to grow a specific firm. However, unlike the typical travel merchandise, a traveller cannot be made to use these. Most of the time, the traveller must make the effort to find it.
For this reason, in-depth research on consumer behaviour, preferences, and expectations is necessary. This trend’s propensity for an erratic demand is something else to take into account.
Some tourism-related products are highly influenced by seasonal, economic, political, and other circumstances. Consider safari travel, which depends on the ideal times of year to see wildlife.
This illustrates how demand varies throughout the year for various tourism-related goods. Here are some examples of distinctive tourism goods:
Sports tourism, health or medical tourism, adventure tourism, leisure travel, cultural travel, pleasure travel, and religious travel are all examples of tourism.
11. Emerging Popular Destinations
Travel restrictions are still in place in numerous parts of the world, so it might be difficult right now to travel to newly popular places.
Some of these include places in Asia Pacific like the Maldives and Europe like Georgia.
However, we anticipate that once travel restrictions are eased, tourists will return in droves to these locations.
Local economies profit more when tourists spend their money on hospitality services like hotels, restaurants, and entertainment venues.
As a result of the ongoing growth of tourism and hospitality services provided by each nation, prominent travel locations around the world are benefiting more financially.
As a result, some nations’ overall gross domestic product dependence on the hospitality and tourism industry was greater than that of other nations (GDP).
For instance, while tourism only makes up 3.7% of the UK economy, it accounts for 50.2 and 32.5 percent of the GDP in Macau and the Maldives, respectively (Statista, 2021).
The percentage is significantly lower in the US, where it is 2.6%.
With around 742.2 million visits as of 2019, Europe is remains the top destination for international travellers.
North America comes in second with 146.4 million overseas visitors, followed by Asia Pacific with 360.7 million (UNWTO, 2020).
Pacific Asia The Americas Africa
0200400600800 Middle East
Arrivals of International Tourists Worldwide
2019 (in millions)
Highlights of the Emerging Destination Trend
- With over 742.2 million tourists, Europe continues to be the most popular travel destination for visitors from outside (UNWTO, 2020).
- Tourism contributes significantly to the GDP of some newly popular locations, such as the Maldives (32.5% to be exact) (Statista, 2021).
12. Niche Markets
The hospitality sector is also looking into niche markets, which are smaller consumer bases with unique needs.
By meeting all of their individual needs, niche markets enable enterprises in the hospitality sector to provide the greatest services to a group of clients.
Southwest Airlines, an economical airline that substitutes peanuts for regular meals, is a wonderful example of this.
Southwest Airlines, the largest low cost airline in the world, caters to passengers seeking an effective and economical travel experience.
Another illustration is how hotels are attracting both amateur and professional musicians by providing state-of-the-art equipment in their music studios.
As part of room service, hotel guests may now also order drinks and a guitar.
Hotels can expand their options to offer their visitors and face less competition by pursuing niche markets in this manner.
Scores from the 2019 U.S. Customer Satisfaction Index for US Hotel Companies (0-100 score)
Highlights of Niche Market Trends
Hotels and other associated enterprises have additional opportunity to draw in new clients as a result of niche markets’ catering to groups whose needs are more specialised than those of the general market.
13. Smart Technology
Many different industries are being revolutionised by technology, but the hospitality industry is particularly affected because of the epidemic and the necessity for touchless sales points.
It not only provides several cost reduction opportunities, but it also creates improved income opportunities.
Operations, guest services, and marketing are all covered by hotel technology, which also enables hotel owners to increase their profitability. This is another hospitality trends.
Smart technology also improves visitor experiences.
For instance, occupancy sensors can automate guest interactions while also better meeting visitor needs.
This enables hotels to remain aware of their visitors’ tastes and tailor their services for certain clients based on the client’s prior visits.
Additionally, accommodations are changing to become “smart hotels.”
To do this, the hotel provides free WiFi access throughout, a mobile guest app that enables check-ins and check-outs, direct messaging, and a mobile key.
In-room technology that employs a tablet to replace paper compendiums, collateral, and alarm clocks is another feature of these smart hotels.
These will give visitors instant digital access to hotel workers.
Tablets can also be used to order space service, make reservations, send service requests, and manage the environment of the room.
The Top Smart Tech Trends
- Smart hotels improve the guest experience, bringing in more clients and increasing profitability.
- Hotel technology includes marketing, operations, and guest services.
- In-room technologies used in smart hotels include tablets, mobile keys, and staff access via the internet.
14. Online TravelAgents
Online travel agencies, or OTAs, are becoming increasingly popular in the hospitality industry.
OTAs only organised hotel accommodations in previous decades.
At this time, OTAs are diversifying their businesses by entering the apartment and vacation rental markets as well as the activities and tour markets, ride-sharing markets, food delivery markets, and restaurant markets.
OTAs, who are mostly used by Millennials, will likely keep growing in importance in the travel industry.
Additionally, according to L.E. Hotels, 51.5 percent of travel agencies noticed a rise in the proportion of Millennial customers during the previous two years.
This statistic demonstrates that consumers of OTA services have increased recently.
Additionally, specialist travel markets, including those for gastronomy and wedding vacations, are more advantageous for online travel agencies.
Trend Highlights on OTA
- Apartment and holiday rentals are now being offered through online travel agencies (OTAs).
- This year, OTAs noticed a spike in demand due to the growing number of Millenial clients.
- Niche travel markets aid in the expansion of OTAs.
15. Big Data
Hotels and other connected industries are understanding the concept of big data, which is more on the technological side.
By definition, big data refers to a very vast and diverse set of data that businesses encounter on a daily basis. This is another hospitality trends.
These data sets are frequently concerning client interactions and behaviour in the hospitality sector.
Big data is currently a crucial idea that folks in the hospitality industry need to be familiar with.
Additionally, it locates patterns and trends in the industry. It also offers a corporation a number of advantages.
The customer experience, targeted marketing, enhanced revenue management, extra services, and knowledge of the competitors are a few of these.
Revenue forecast for the Big Data market from 2018 to 2022
The Top Big Data Trends
- By 2027, the market for big data analytics is predicted to reach US$105.08 billion (Research and Markets, 2020).
- In 2019, roughly 45% of businesses use the cloud for at least some big data tasks (ZDNet, 2019).
- The big data market is anticipated to be worth $77 billion by 2023. (Entrepreneur, 2019).
Keeping Up with the Latest Hospitality Trends
The hospitality sector is no new to disruptions, but in order to combat the effects of the COVID-19 epidemic, it will need to pool all of its resources and take coordinated action.
Here, the pendulum of change has swung the furthest, so to speak.
With no mobile bookings or the typical property rents of today, the hospitality industry of only a few years ago seems nearly mediaeval.
It does not follow that in order to be competitive, you must immediately adopt all of these trends.
It might be smart to keep in mind, though, that some of these trends are gradually evolving into the standard, so it’s best to play catch-up while the going is good.
Similar to how technology ushers in most of the trends listed above, be sure to take advantage of it.
For instance, you can study how businesses are employing chatbots to deliver first-rate customer care, or you can use horizontal solutions like CRM software to cultivate long-term client connections.