The hospitality industry has been undergoing tremendous changes and disruptions over the last two decades. While the Covid-19 pandemic is focusing many industry players on short-term business survival, understanding the top hospitality trends will be essential for long-term competitiveness.
What key trends have been steadily reshaping the industry and where is hospitality heading in the near future?
The study conducted among EHL faculty in the fall of 2018 has uncovered top 10 trends that hospitality players should not forget in 2020 while they are battling with the aftermath of the pandemic and they are:
#1 – Virtual communities
Social networks and in particular TripAdvisor have had a profound impact on customers..
#2 – Sharing economy
Airbnb represents a major disruption in the hotel industry, making the competitive landscape tougher than ever.
#3 – Online Travel Agents (OTAs)
They have had at least three major impacts on the hospitality industry – they have altered distribution channels, Booking Holdings and Expedia have almost replaced hotel brands thirdly they have built solid relations with travelers. Now, hoteliers have to pay to get access to these customers, thereby leading to a thinner profit margin for the former.
#4 – Digitalized guest experiences
Apps, in particular, are increasingly important in the way hoteliers manage the services they provide to their customers. Same goes with those who provide indoor gaming facilities such as baseball and golf simulators to satiate the hunger of guests who love sports.
#5 – Booming global tourism
Low-cost carriers enable more people to travel the world at a reasonable price.
#6 – Experience economy
Customers request extreme personalization, unique experiences, and so on.
#7 – Asset management practices
The separation between the management of operations and real-estate assets now allows hospitality companies to focus on their core business, thus improving efficiencies
New job profiles have emerged following the increasing complexity of the hospitality industry.
#9 – Generations Y and Z
These new generations have different requirements and needs compared to older generations.
#10 – Sustainability
People are becoming increasingly sensitive to environmental and social issues. A respondent said that this “has to be considered in branding, but beware of green-washers: consumers are now well-aware that window-dressing exists, and they will not buy it.”
SOURCE; EHL Faculty