Jan 4, 2013

8 Emerging Hospitality Industry Trends

Hospitality IndustryThe hospitality industry is optimistic and expects a brighter and better trend. As the economic landscape is progressing, there will be a change in the trend of “staycation,” and people will now intend to focus on the value of travel. In other words, tourists now look for comfortable, simple, yet high-quality experiences. It is important for hospitality companies to capitalize these opportunities to stay ahead in the industry. However, brand awareness and a multi-channel environment have heightened the competition. To meet the challenges , the hospitality sector should come up with strategic marketing initiatives.

Here are some of the emerging trends that people in the hospitality industry should keep in mind while preparing strategy.

1. Renewed Focus on Property Websites

As per statistics, American hotels spent about $2.7 billion as OTA commissions in 2010. To avoid this expense, hotels are trying to increase direct bookings. To achieve this, they are developing their own websites and trying to convince travelers to opt for direct bookings and avoid bookings through OTA. Hence, hoteliers should focus more on fresh content, rich media and frequent promotion updates in their websites to increase their online hotel booking.

2. Greater Emphasis on Content Marketing

Marketing experts will realize that to reach a wider audience, brand awareness is crucial. A consensus will develop of the fact that content marketing is the ultimate way to get the word out rather than traditional advertising. Hence, a strong online presence is vital. Engaging blogs, interactive social media platforms, webinars, newsletters, ebooks, photo and, video sharing media are efficient, yet cost effective tools that will enable your brand  to reach people quickly, resulting in effective lead generation. Besides, these days people prefer direct booking and make their transactions online, so, frequent updates, fresh contents, hassle free transaction modes and user-friendly navigation are imperative to stay ahead of the competition.

3. Quality

Travelers will focus more on the emotional value to their trip and will strive to experience a better quality of life during leisure travel. Hence, instead of opting for cost-effective getaways, they will look for a better experience and begin to place high value on splurging. Even though the trend of overnight leisure trips shall continue, there will be a sharp increase in travel spending.

4. Quality Food

Likewise, tourists are now more concerned with the food on the table, rather than focusing on celebrity chefs. They will be more demanding in terms of quality ingredients and will prefer healthy food with organic ingredients.

5. Social Network Integration

Social media plays an important role in attracting tourists. Personal connection is already at its epitome, and researching everything using social media is the recent trend. This applies to the hospitality industry, too. People tend to read and compare reviews before choosing their trip. So, effective online persona is imperative to get an edge over the competitors. Ensure that you participate in review sites and hotel listing websites. Updating blogs constantly and including testimonials from former guests are great ideas. The meeting planner tool comes in handy to strengthen the professional relationship with your customer. Twitter accounts that focus on customer service will help to draw more tourists.

6. Mobile Trend

Hotel marketers should focus on ways to capitalize mobile applications, as social media and mobile devices have already become inseparable. Smart-phones have replaced desktops and laptops, and social media updates from mobile phones are the preferred trend.

7. Embarking Visual Media

In order to allure potential travelers, embarking videos and photo sharing sites such as Instagram and Pinterst, is vital, as more and more people will view and share videos and photos that will become a great advertisement for the business.

8. Increase in the Number of International Visitors

There is expected to be a sharp increase in the number of international visitors to the USA. Hence, hotels can choose to refinance the business in order to meet the demand and to stay ahead of the competitors.

Read Also: Hospitality Industry – New Digital Trends

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This entry was posted in Hospitality, Hospitality Industry, Hotel Manager, Hotels, Property Owners, Travelers

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  • Patama Mokaves

    Thank you for sharing – the article is right on I believe. I my experience of speaking to hoteliers on a daily basis I, without fail, hear the desire to amp up direct booking…which may be why this is the first point listed in the article. Of course I am a strong believer of Point 6 as well and this is the reason I have co-founded and am the VP of Business Development for a company that provides an App platform to hotels. Our low cost (even a free package) and ability to manage from the cloud is with the hope of enabling every type of hotel (not just the 5* hotels who can afford an App) anywhere in the world the opportunity to capitalize on the mobile revolution. Very glad to see that mobile apps are trendsetting for 2013!

  • Mathias Aguta

    Emerging trends include a younger, affluent and mobile generation who are business leaders in the corporate world.

  • Erich Frohli

    These trends should not be missed, again the trend is for more transparency, media, soft emotions and the changing habits of collecting and sharing information.

    We do include this “emerging trends” in our hotel development projects, added the green energy as a center point to ensure sustainable profitability. Sustainable green energy (energy + hotels) and media is soon no more just a trend, it will be a must to keep on top.

  • jeff kala

    As the year 2013 starts to unfold am now much more brighter and much more aware of the trends that may come head on in the hospitality industry.Much more confident as i share these with my hotel management students here at tsavo institute of technology-voi,kenya.I believe that international quality adherence in all aspects of the industry will be a major concern to all service seekers as well as to the service givers.

  • Jim Papovich

    Great article; helpful.

  • Andrie Lim

    I agree to the idea that, nowadays, more and more customers are traveling with the focus on emotional value which certainly puts quality in place. Customers will have no burden of paying extra money if there is quality of what their paying. As one of the private aviations company–NetJETS–once said, “Price is what you pay. Value is what you get”. At this time of economic, more customers demand good quality as well as affordable price and the hospitality industry must managed to delivering these demand. Therefore, I agree, that eliminating an overly cost OTA, should be one of the effective solutions as suppose to saving cost to maintaining quality at an affordable price.

  • Ann Rommel

    With the increase in international visitors, we need to keep in mind the cultural differences. In Europe and the middle east most hotels provide bidets. Here in the USA not so…that is why Freshends makes so much sense for the hotel industry. It is a simple inexpensive addition and added touch of luxury that is greatly appreciated by travelers. …and Will save you $$$$ on the cost of linens!

  • Derek Blackburn

    Is the industry equipped too deliver a better experience for guests, particularly to meet the emotional needs and expectations? We will need to see some serious investment in training if we are to raise the game.

  • Tressera Trujillo

    I agree that direct bookings online is the trend and here to stay. And with that, Reputation is the foremost, single most important attribute for increased bookings. According to Matrix Report, “past experience, reputation, recommendations and online reviews . . are now more important to hotel guests than either location or price.” Furthermore, World Travel Market noted that 35% of hotel customers changed their hotel selection after reading about them on social media sites.

    So in essence, the article is so right in saying that social network integration is really a current ‘must’ to reach out to new patrons, along with developing your 5 star reputation and leveraging that 5 star reputation.

  • Delilah Dagmi

    Direct bookings reduce cost, not only by saving on commissions, but by contributing to increasing guest satisfaction.
    Reservations made through OTA’s lack details that help us, as hoteliers meet and exceed guest expectations. The creation of experiences and delivery of detailed service that build customer loyalty, ultimately increasing revenues.
    Use social media, but remember not to over do it! Amusing, helpful blogs, using trivia ie conversation starters is a good avenue to pursue. Keep followers coming back, and have your property continuously mentioned!

  • This is great news because Downtown Savannah offers do much to the tourist seeking quality in accommodation, food and activities. To reply to this we are relocating our award winning Roastery from East Savannah right into the heart.
    Our national and international customers have expressed a desire to tour our Roastery and to experience the Disneyland of coffees that we offer and the whole experience of being connected at the production level to feel the connection with the artisan roasters.
    We desire that too!
    Being able to connect with our customers and engage them in the grass roots experiences of organic produce and the sensuality of farm to table collaboration.
    Our Roastery will be a single source for the freshest seasonal produce from Savannah and Georgia’s best. We want our visitors to have a different and memorable experience.

  • Kim Dinsmoor

    I agree with these trends, but do feel staycations are going to remain strong. Younger travelers are enjoying multiple getaways.

  • Altaf Patel

    Hi! It is reality for no.1 but the budgetary hotel have to evaluate that implementing Direct CRS will be cost effective, as per RM reality and forecast. Or should keep on with B2B,B2C, and STR as affordable.

  • Kim Jaggers

    Great information, thank you for sharing!! Social Media, Third Party, and referrals are key for maintaining and increasing the occupancy %. That’s why it is so important to review the tpi comments and follow up in a time maner.

  • Mozumder

    I am very happy and proud just looked like hotel, another important thing is that, we want to know very deeply all opportunity.

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