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Hospitality industry trends

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According to the World Travel & Tourism Council, the Travel and Tourism industry is currently among the largest and fastest-growing industries worldwide, forecasted to support 328 million jobs, or 10% of the workforce, by 2022.

Emerging markets - including the Middle East, Africa, Asia and the Pacific – are the new tourist destinations that are increasingly drawing crowds.

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Hospitality industry trends

  1. 1. CURRENT AND FUTURE HOSPITALITY INDUSTRY TRENDS Prof. Dragana Vuković Vojnović Student: Snežana Simić Index no. 58m/13 Novi Sad, 2014
  2. 2. Hospitality Industry Trends Introduction 1. Global tourism business. 2. Who is modern traveler? 3. Hospitality industry trends with a focus on the hotel business. 2
  3. 3. Hospitality Industry Trends 3 THE FACE OF TOURISM AND HOSPITALITY IS CHANGING Global tourism business • According to the World Travel & Tourism Council, the Travel and Tourism industry is currently among the largest and fastestgrowing industries worldwide, forecasted to support 328 million jobs, or 10% of the workforce, by 2022.¹ • Emerging markets - including the Middle East, Africa, Asia and the Pacific – are the new tourist destinations that are increasingly drawing crowds. ² For example, China is now the third most-visited country around the world, and the number of Chinese traveling to other countries is increasingly developing.
  4. 4. Hospitality Industry Trends 4 Table 1. Countries expected to grow their travel and tourism demand most rapidly up to 2017³ Table 2. Countries expected to generate the largest volume of travel and tourism demand in 2017³
  5. 5. Hospitality Industry Trends 5 MILLENNIALS Modern traveler • Millennials will become the core customers within the hospitality and travel industries over the next five to ten years. • Within this group of GenY travelers, there are many different markets considering the fact that exploration, interaction and experience are the major focus of Millennials. • GenY travelers are looking for an overall gourmet experience for a reasonable price, that will cause the industry to revamp their lobby bars, restaurants and food service. ⁴
  6. 6. Hospitality Industry Trends Modern traveler 6 EXPERIENCE IMPACT • As people travel more and become more experienced tourists, they are increasingly looking for diverse experiences on their trips. TECHNOLOGY IMPACT • Trends show that travelers now rely on technology for every step of their vacation, from booking airfare online to sharing their travel experience on social networking sites. MONEY & QUALITY IMPACT • Travelers are their money. progressively seeking value for
  7. 7. Hospitality Industry Trends 7 • They strive to experience a better quality of life Modern traveler during leisure travel. • They will focus more on the emotional value to their trip. • Instead of opting for cost-effective getaways, they will look for a better experience and begin to place high value on splurging. • The trend of overnight leisure trips shall continue, there will be a sharp increase in travel spending. • Travelers are looking for healthy eating options. They will be more demanding in terms of quality ingredients and will prefer healthy food with organic ingredients.
  8. 8. Hospitality Industry Trends Modern traveler`s habits⁵ 8
  9. 9. Hospitality Industry Trends Modern traveler`s habits⁵ 9
  10. 10. HOTEL Hospitality industry trends with focus on hotel business.
  11. 11. Hospitality Industry Trends 11 1. Advanced Technology • Intelligent hotels with advanced technology using the guest’s virtual fingerprint in order to perform all the operations (check-in, charges, check-out, etc.). ⁴ 2. Electronics and Ergonomic Support • “Modern guests” travel with two, three or more devices, so electronics (adequate and easy-to-reach plugs, bandwidth capabilities, free Wi-Fi) and ergonomic support (seating and surfaces) for guests becomes essential for hotels.
  12. 12. Hospitality Industry Trends 3. Direct Bookings • Today’s hotel website needs fresh content, updated promotions, and rich media. • All of this content needs to be marketed across all channels (desktop web site, the mobile site, social media profiles). 4. Mobile Bookings • Now mobile booking is available as an app for Smartphones, android tablets, and iPad… • Mobile booking is available for booking hotel rooms, restaurant reservations, flights, rental cars, etc. 12
  13. 13. 13 Hospitality Industry Trends fast booking fast Wi-Fi 5. fast checkin, WOW customer service-the only way to ensure repeat business. ROOM SERVICE REINVENTED • With room service revenue drastically decreasing. Therefore some hotels are giving up on this service, but the majority of hotels are dedicated to reinventing the concept. 6. Sustainability • More hotels will become completely self-sufficient by supplying their own energy, especially those in rural areas. 7. More green and eco-lodgings
  14. 14. Hospitality Industry Trends 14 8. Development of mega hotels (multi-purpose facilities with casino, shops, theatre, theme park, etc.). 9. More boutique hotels. 10. Increasing employee salaries in order to retain the existing staff. • By 2020 about half of all world workers will be Millennials. Millennials increasingly want to work for employers that serve a greater purpose, contribute to society and provide space and time for staff to take the initiative in trying to do their best.
  15. 15. Hospitality Industry Trends 15 o Expectations of modern tourist are changing the face of tourism and hospitality. o In order to meet the needs of consumers hotels modernizing their offer, therefore the main new trends are: • Developing advanced technology with adequate support • Modern property sites with direct booking option • Providing better customer service • Investing in ancillary facilities.
  16. 16. Hospitality Industry Trends Key words Global Business Emerging Markets Modern Traveler Millennials Online Hotel Booking Virtual Fingerprint Mobile App Content Marketing Social Media WOW Customer Service Healthy, Organic-food Eco-lodgings 16
  17. 17. Hospitality Industry Trends 17 References 1. World Travel & Tourism Council, “Economic Impact 2012”. 2. http://www.ladylux.com/ 3. International Journal of Economic Practices and Theories, "Current and Future Trends 4. 5. 6. 7. 8. 9. in Tourism and Hospitality, The Case of Greece”, Soultana (Tania) Kapiki, Januar 2012. http://www.hospitalitynet.org, “Top 10 Hospitality Industry Trends in 2014”, Robert Rauch. http://www.sdl.com , “The Modern Traveler’s Habits”. Chicago Tribune: “The End of Room Service? Not so Fast.” June 19, 2013. http://www.hotelcluster.com, “8-emerging hospitality industry trends”, 2013. http://www.cntraveler.com, “Hot list hotel, spa, restaurant design predictions”, 2013. http://www.slideshare.net, “Hotel 2030 – Emerging Trends”, 2013.
  18. 18. Hospitality Industry Trends 18