The hotel landscape is evolving — from expanding guest preferences to the rise of essentialism tourism and much more. Businesses must be aware of hospitality trends and use the right hotel management software to entice guests and deliver a modern experience.
Here are the key hospitality trends and opportunities you should consider to make your business thrive in 2024 and beyond.
Compare Top Hotel Management Software Leaders
In this guide, we’ll walk you through every major innovator and disruptor you need to know to attract the right customers and deliver a seamless experience. Are you ready?
Top Trends:
Key Takeaways
- Business travelers are increasingly blurring the boundaries between work and leisure tourism as hybrid work models become prevalent.
- Luxury brands are partnering with event organizers, medical camps and outdoor activities to expand the guest experience and attract wellness seekers.
- AI plays a major role in analyzing behavioral and transactional data to create rich, sophisticated predictive models that offer guests seamless, hyper-personalized experiences.
- Tumultuous economic conditions are paving the way for “essentialism tourism,” where guests are cost-sensitive and prefer to leave a positive impact on the local community.
- Environmental sustainability is big on the agenda, and hotels must embrace a greener outlook to attract a growing number of environmentally conscious travelers.
Top Hospitality Trends In 2024
Here are the key trends and opportunities you should consider to make your business thrive in 2024 and beyond.
1. Bleisure Travelers
Hybrid models that blend remote and office work are the talk of the town. According to the Bureau of Labor Statistics, 27.5% of the U.S. workforce worked remotely in 2022, while a few academic surveys found the number closer to 50%.
With big tech companies (like Twitter, Facebook, and Amazon) adopting hybrid models, professionals seek a balance between work and leisure. Recognizing the challenges of remote work — such as staying connected and building relationships — individuals are increasingly choosing working vacations or work-from-hotels.
According to Expedia, 76% of business travelers plan to take a bleisure trip in the coming 12 months. Additionally, the global spending for bleisure travelers is expected to double between 2021 and 2027, jumping from $150 billion to $360 billion.
Hotels can capitalize on this opportunity by customizing their services for these travelers. Providing amenities like ample plug sockets, free WiFi, meeting rooms and good coffee can elevate the stay experience. As the line between business and leisure continues to blur, hotels that adapt to these trends stand poised to thrive.
Ritesh Raj, COO and CPO of Cuddlynest, said:
I’ve seen a rise in ‘Digital Nomads’ leveraging our platform to find hotels that offer dedicated workspaces and business facilities. This trend is likely to continue as more companies adopt flexible work policies, leading to the emergence of the ‘Hotel-as-a-Service’ (HaaS) model.”
Here are a few unique strategies you can consider to accommodate this traveler segment:
- Configuring suites with a desk/office setup.
- Creating communities for like-minded professionals to work together.
- Separating workspaces from generic vacationers.
- Renting tech-friendly rooms on a 9 a.m. to 5 p.m. basis.
- Offering special discounts when guests book accommodation along with workspaces.
Compare Top Hotel Management Software Leaders
2. Wellness Seekers
Embracing a holistic approach to travel, wellness tourism is set to be a defining trend moving forward. The global wellness tourism market is expected to grow at a 10% CAGR, reaching an impressive $2.3 trillion by 2033.
Major brands have already started taking notice and are launching initiatives to take advantage of this opportunity. Under Canvas, Basecamp and LOGE are just a few examples of hospitality businesses focusing solely on the outdoors.
Luxury tents offered by Under Canvas. Source
The global camping market is expected to reach $24.93 billion by 2028, growing at a 6.15% CAGR.
But it’s not just conventional outdoor activities and spa offerings. Travelers are now seeking health diagnostic technology and treatment plans curated by experts. They want personalized or group sessions focusing on vitality, healing, stress management, emotional balance, mindfulness and improved sleep.
Meeshka Brand, VP of Operations at Sandandelevation, said:
Wellness tourism’s growing popularity can be attributed largely to customization as well as personalization. They have an assortment of individualized wellness activities and facilities that are made according to the personal preferences and the needs of modern travelers.”
A study found that personal wellness matters to travelers, and a significant segment is ready to invest more in improving sleep quality. This growing demand is a significant opportunity for hotels as wellness seekers will gladly pay for vegan options, yoga sessions and in-house F&B services if you can convince them that you care about their well-being as much as they do.
According to Brand:
What makes wellness tourism attractive is its combination of luxury with relaxation. Wellness retreats and resorts always include lavish rooms, gourmet meals from organic sources as well as state-of-the-art equipment, thus creating an indulgent experience for holidaymakers.”
3. Hyper-Personalization and Transformational Marketing
Personalization stands out as a pivotal trend reshaping guest expectations. According to Statista, 72% of respondents express a higher likelihood of visiting a destination when they receive personalized ads. However, the challenge is bridging the gap between conventional segmentation and the elevated expectations of today’s travelers.
In 2024, hyper-personalization transcends standard segmentation, with customers now expecting one-to-one interactions that resonate with their unique preferences and behaviors. It involves collecting and analyzing data to craft individualized experiences for each guest.
This is a trend with high impact, according to Raj:
I strongly believe in the power of ‘Hyper-Personalization’ in enhancing guest experiences. It not only enhances their stay but also builds loyalty and trust. In the future, I see predictive tools playing a key role in delivering superior guest experiences.”
Today, a large section of guests don’t travel just for enjoyment but for profound experiences that can transform them personally. Therefore, hospitality marketing must keep up with the zeitgeist.
Mariana Palmeiro, Expert Guest Faculty at Glion Institute of Higher Education, predicts that we’ll witness a shift in hotel marketing messages to emphasize the notion of well-being and transformation through traveling, a tactic she refers to as “transformational marketing.”
Digitization helps pull off this tactic, and she believes the message will thus evolve to something like the following:
I see that you are traveling because you are trying to change something in your life. We can be part of that journey by being the place where you sleep, where you look after your health and fitness, or by becoming your place of work while you explore how your career can move forward.”
A few effective ways in which you can personalize your guest journeys to the right tune are:
- Use CRM solutions to collect guest and prospect data.
- Deploy BI and Big Data software to analyze guest data and identify patterns and trends.
- Publish original, quality content that markets your business’ unique selling points.
- Offer guests a feedback form after checkout to identify areas of improvement.
Get our Hotel Management Software Requirements Template
4. AI Integration
In the hotel industry’s evolution, AI takes center stage — from personalized recommendations based on individual preferences to streamlined operations and seamless front desk activities. The global AI market is flying and is expected to grow at a 36.8% CAGR through 2030, and it’s evident why.
Beyond efficiency, AI mimics human interactions, guiding customer journeys and providing assistance as chatbots. Its impact also extends to strategic decision-making, helping you forecast demand, refine revenue strategies, adjust room pricing and analyze customer segments for data-driven insights.
However, ethical considerations and a thoughtful balance between human-machine interactions are crucial. AI can enhance various aspects of the industry, but it’s important to recognize that it’s a complement and not a replacement for the indispensable human workforce.
Louise Lindres, Partner Enablement Manager at SiteMinder, said:
It’s important to note that there are still several guests who are used to the traditional ways of hoteling and crave 1:1 interaction, especially after the pandemic. Soon, the usual ‘reception desk’ shall be a memory of the past, but instead will adapt to a more freeform, making it casual yet still intimate. Like when a person receives a visitor at home.”
5. Immersive Technologies
Immersive technologies like augmented and virtual reality (AR and VR) are revolutionizing guest experiences in the hospitality industry. The global AR and VR market is expected to grow at a 12.6% CAGR to reach $581 billion by 2028.
Virtual and augmented reality tours can transport guests to destinations before arrival, providing a preview of accommodations and amenities. Additionally, gamified engagement strategies and AI-powered storytelling add layers of interactivity, making the guest experience not just transactional but a dynamic and memorable journey.
Weighing in on immersive tech, Raj told us:
These technologies can provide immersive experiences, leading to the emergence of ‘immersive marketing’. I’m excited to see how these technologies will transform the way we market our properties and lead to the rise of ‘experiential marketing’ in the industry.”
Hotels can provide inclusive and accessible experiences, ensuring guests not only stay but actively participate and immerse themselves in a tailored, technologically enriched hospitality journey.
Compare Top Hotel Management Software Leaders
6. Essentialism Tourism
Amid a backdrop of economic challenges, essentialism tourism is emerging as a defining trend in 2024 as households grapple with elevated living costs.
The personal consumption expenditure (PCE) price index is a popular measure of inflation. The U.S. Bureau of Economic Analysis reported a 3% year-over-year increase in the index in October.
Mark Zandi, chief economist at Moody’s Analytics, tweeted on X. Source
Despite this, the UN World Tourism Organization projects a rebound in global travel, reaching 95% of pre-pandemic levels, driven by a surge in “revenge tourism” post-pandemic.
In this evolving landscape, travelers are redefining their priorities, moving away from flashy displays of wealth. They seek purposeful spending with a positive global impact. This shift necessitates hotels to pivot by offering cost-sensitive individuals distinctive and competitively priced experiences.
According to Raj:
As prices rise, travelers will become more selective, focusing on experiences that offer value for money. This trend will push the industry to focus more on creating meaningful and memorable experiences.”
To meet these expectations, hotels must not only cater to budget-consciousness but also embrace local sustainability and community engagement, aligning with the ethos of essentialism tourism.
Lindres believes partnerships are a key piece to success:
Partnerships with the hotel’s internal suppliers, non-governmental organizations and government relationships shall take a more active role in creating a more holistic experience and addressing the community aspect.”
7. Environmental Sustainability
The pandemic has accelerated a shift in consumer behavior, with people enjoying improved air quality during the economic slowdown.
The absence of tourism also played a significant role. According to the sustainability benchmark index, the average carbon footprint of a hotel stay decreased by 3% in 2019.
But today, as people desire more travel, the hospitality industry must shoulder its responsibilities towards the UN’s SDG goals.
According to the Glasgow Declaration, tourism stakeholders agree that the hospitality industry’s future resilience depends on its ability to cut carbon emissions by 50% by 2030.
The strong desire to travel combined with environmental awareness is giving rise to a new trend, “sustainable tourism,” that blends sustainability with the love for traveling.
A Global Sustainable Tourism Council (GSTC) report found that 76% of consumers want to travel more sustainably, and 43% are willing to pay extra for travel options with a sustainable certification.
This data presents a major opportunity for hotels to align themselves with the global community and attract a growing traveler segment.
According to the GSTC report, booking.com awarded the “Travel Sustainable” badge to more than 500,000 accommodations globally. Here are some other recognized certifications you can consider for your business:
Here are a few other tips for a greener tomorrow:
- Minimize unnecessary use of electricity, heaters and coolers.
- Invest in Energy-as-a-Service (EaaS) solutions for efficient energy consumption.
- Track daily utility consumption.
- Use biodegradable and recycled materials to construct new infrastructures.
- Install solar panels as a primary source of electricity.
- Capture and reuse water used in spas, golf courses and other amenities.
Compare Top Hotel Management Software Leaders
Next Steps
Right now, the hospitality sector from a few years back almost looks archaic, and the main challenge is to sustain the changes. Identifying the right hotel tech and hotel management software can help you capitalize on the new hospitality trends of 2024 and stay ahead of the curve instead of playing catch-up.
If you’re in the market for a new solution, consider preparing a personalized requirements checklist to sift through the sea of options available. You can also use our free comparison platform to compare popular systems based on features, cost and other criteria.
Can you think of any other hospitality trends influencing the industry in 2024? How are you preparing for the future? Join the conversation by dropping a comment below.
SME Contributors
With over 15 years of experience in the travel tech ecosystem, Ritesh Raj is the Co-Founder, COO and CPO of CuddlyNest, a growing online accommodation booking platform across 200+ countries. Ritesh’s expertise extends to roles such as Chief Marketing Officer at Future Systems for Information Technology (FSIT) and Advisory Board Member at Sparta Technologies, showcasing his strategic contributions to the industry.
Louise Lindres is the Partner Enablement Manager of SiteMinder, a leading hotel management software. She has more than two decades of experience in international and domestic hotel operations for top brands like Mandarin Oriental, Four Seasons Hotels and Resorts, and The Setai Miami Beach. She’s an expert in the hospitality industry’s pre-opening, closing and operational matters.
Meeshka Brand, Founder of Sand and Elevation, a premier outdoor travel blog, blends her Pacific Northwest passion with 15 years of operational leadership. As VP of Operations at Northwest Construction & Landscape, LLC, she manages day-to-day operations and client relations. With diverse experience in PR and marketing, Meeshka leverages her expertise to craft unparalleled Pacific Northwest adventures, offering comprehensive guides and itineraries on her blog.