Top Hospitality Industry Trends to Watch Out in Next 5 Years

  • Himanshu Verma
  • Sep 12, 2023
  • 9 Min Read
Hospitality Top trends Reshaping the Hotel Industry

Article posted by

Himanshu Verma

Digital Marketing Manager

Himanshu is the Digital Marketing Manager at Closeloop. He likes to share his knowledge and experience with the world; blog is one of the mediums. He writes on topics of his interests, such as online marketing, brand building, business growth, sales, lead generation, etc., and believes in adding value to readers’ lives. He loves traveling, sports, and army culture.

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Over the last few years, the hospitality industry has undergone a radical transformation. This period of transformation is expected to continue until 2024. The post-pandemic transition and demographic shifts will all play a crucial role.

Many hotels and hospitality brands have developed ways to create great experience for guests. These will likely remain the same for many years.

The hospitality industry, like all other industries, adapts to changing guest preferences and the demand for hospitality and travel software solutions is going to become more efficient.

Travel is changing at all stages, including how security checks are performed, how we book our flights, how we check in to hotels and how we travel to our destination.

This blog explores the various trends that will impact the hospitality industry by 2024. We explore the most lucrative and penetration-oriented trends, from digital content strategies that are emerging to innovative hospitality industry with cutting-edge technologies.

Hospitality Trends Not to Miss Out in Coming Five years

Most people have smartphones or mobile devices, so companies that offer travel services should make it easy to book online, check-in for flights, and get destination information. These trends are not only popular but can also improve the customer experience, increase brand visibility and credibility, as well as increasing satisfaction rates.

It is essential to keep up with the latest technological trends in order to remain competitive. We've chosen the most relevant and interesting examples of how the hotels and tourism agencies can use smart technology to stay on the top.

Mobile Booking Systems

According to research, in countries such as South Korea, Japan and India, smartphones account for 60% of all web traffic. While European countries have traditionally been more conservative, mobile bookings are on the rise in these countries. Businesses must cater to the increasing demand for mobile bookings and make sure that their services are easy to access and user-friendly.

Mobile bookings are a growing trend in travel planning and booking. Mobile booking is gaining popularity among companies due to the many benefits it offers, including contactless payments and easy cancellations. It also has personalized experiences options, loyalty programs, notifications, as well as in-depth insights into customers. Mobile bookings are becoming more popular due to technological advancements, new features, affordable smartphones and tablets and an increase in mobile internet usage worldwide.

IoT & Cloud Computing

IoT allows for remote management and monitoring of physical objects in the hotel or resort, including TVs, thermostats, and door keys. Siri, Google and Alexa voice-based intelligent assistants can also be used to control connected devices remotely.

Cloud-based services allow us to access everything we need remotely. Cloud-based applications, along with IoT devices (Internet of Things), can speed up operational complexities, such as assigning duties to staff coordinating housekeeping while ensuring compliance with currently implemented safety and hygiene standards.

Virtual Check-In/Out

We've seen emergence of hospitality and travel software solutions in hospitality industry for some time now that allows guests to check in and out of their accommodation virtually. It improves customer experience as the process is much quicker and easier. This can also make it easier for guests to arrange transportation to and from their hotel at certain times.

The hotel staff also benefits from remote or virtual check-in/out, as they can manage their employees' time better and have fewer people at the front desk. Staff at a hotel are able to provide a more memorable experience by being alerted when a guest is arriving and can offer extra services or assistance without the hassle of a traditional check-in.

Integrating Chatbots

In the travel industry, chatbots have become a popular addition to mobile apps. They make communication easier and more cost-effective. Chatbots are a great way to communicate with your hotel without having to download an app. They can instead rely on innovative chatbot solutions, which will result in lower development costs and greater hotel loyalty.

Chatbots can reduce operational costs while improving customer satisfaction, loyalty and efficiency. Chatbots can improve the brand image and reputation of a business. Chatbots can also gather valuable data about customer behaviour, which they can use to optimize marketing and exceptional service for customers.

AI Integrated Systems

In the near future, Artificial Intelligence (AI)-powered systems will be used in a big way by the hospitality industry. The system may include facial recognition, mask detection, and thermal camera integration in order to enhance safety and security on the premises.

Geofencing can be used to help brands create location-aware apps that provide real-time updates to consumers and restore their confidence in the safety of the tourism industry. Brands can send push notifications to customers with instructions, directions, promotions, and special offers based on the customer's current location. They can be combined with touchless check-ins, smart queues, or even prompting modern travelers to pay on their smartphone during check-out.

Campaigns Focused on Customer Journey

Bookings are now a part of the customer-centric experience. 90% of consumers demand a personalized shopping experience from retailers and brands.

American Express Global Business Travel discovered that 61% of travellers would prefer a policy which allows for a mixture of personal and business travel and also allows extended stays and the inclusion of family members and significant others. The goal is to have as many new and unforgettable experiences as possible. This could include adding some shoulder dates, taking advantage of luxury hotel amenities or inviting a guest.

Virtual Reality

Virtual reality is a technology that has gained a lot of attention in recent years. It has also found its way into the hospitality industry, where brands use it to market their products. VR marketing is the use of this technology to provide customers with immersive experiences. This can be used to market a venue, a product or a service.

It's not an option that everyone can afford, but you can use it on your web browser to give users the chance to explore a place differently. This is a fantastic tool for a PR campaign, as it can help to attract media attention and new customers.

Adoption of Big Data

Many executives in the travel sector have realized the importance of analytics for businesses. This decision was highly beneficial to their growth and overall success. The use of big data is now a part of the modern tourism industry. Nearly all successful businesses have their techniques for data collection. information that travel companies gather is used to customize their offers and adjust specific to the needs of each customer.

Data analysis is crucial in assessing the current performance of a business. For example, hoteliers can use historical occupancy rates to predict future demand by using past trends. They can then optimize their pricing and promotion strategies if demand is predictable.

Online Payment

Contactless payment systems are another significant advancement in travel technology. Travel companies can process payments faster, particularly when customers do not have cash credit or debit card access. This technology not only streamlines transactions but also improves customer satisfaction by saving them time. Contactless payments were initially a convenience. However, they have now become a vital part of tourism marketing, especially in response to COVID-19.

Contactless technology is the basis for the most modern and technologically sophisticated payment solutions available in the global tourism industry. More than 5 lakhs+ merchants from 77 different countries already accept contactless cards. This shows the widespread acceptance of hospitality and travel applications integrated with digital payment gateways. Contactless payments are primarily used for their convenience, speed and enhanced security when using different devices. This contributes significantly to a positive experience for customers.

Augmented Reality

Tourism is one of the industries that has embraced augmented reality. This technology enhances a real-world environment rather than replacing it. The cost-effectiveness of this technology is one of its many advantages. Users can experience augmented reality with just a smartphone, tablet or internet connection.

Tourism can use augmented reality as a tool to enhance the customer's experience by offering valuable information and entertainment. Enterprise mobility solutions can, for example, enhance photos with filters and effects to make them more appealing. Customers can get real-time location information by pointing their smartphones at local attractions. This will enhance their understanding and engagement.

Hotel Robots

Hotel technology is evolving rapidly, and robots are one of the most fascinating trends. There are already examples of hotels using robots to greet guests on arrival or provide tourist information 24/7. But the applications are expanding far beyond that.

The robots can help with cleaning activities such as vacuuming floors and killing bacteria, which is important to make your property secure. Some hotels use robots to assist with luggage transportation, security and room service.

Artificial intelligence and machine learning will allow robots to become more efficient and reliable over time.

Increasing Cybersecurity

Cybersecurity is a growing concern for professionals in travel management, with the increasing threat of cyber-attacks. Travel companies are especially vulnerable due to the large number of employees and extensive access to customer data. Phishing attacks and ransomware are two of the biggest threats to this industry. To ensure your business's safety, you should invest in cybersecurity training and use various hardware and software tools.

Voice Control

Voice search technology has become more popular thanks to the rise of smart speakers, smartphones and AI assistants. This has had an impact on the travel sector. Voice search is becoming more popular as travellers use it to find easily and book hotels, flights, and other travel experiences. Businesses need to optimize travel and hospitality app development with voice searches in order to stay on top of the game. Consider voice search when designing your website to tap into the growing trend of voice-driven users.

Voice-controlled devices are being installed in hotel rooms. This allows guests to control the temperature and lighting without needing to speak to staff. The industry is expected to continue expanding this trend, which will enhance convenience and personalization for travellers.

Prioritizing Sustainable Travel

The concept of eco-friendly practices and sustainable tourism has grown in popularity as environmental concerns are increasing amongst eco-conscious travelers. Travellers now actively seek out eco-friendly accommodation and show a preference for businesses that prioritize sustainable practices. Your hotel can appeal to an increasing market of eco-conscious travellers by offering sustainable options such as carbon offset initiatives and eco-friendly accommodations. It not only attracts new customers, but it also helps preserve our planet for the future.

Automating Services

The goal of self-service automation is to put the decision-making process in the guest's hands rather than the hotel staff. This trend is a direct result of trends seen across many sectors.

Self-service kiosks are taking centre stage. Online registration, questionnaires for targeted feedback, and the option to pre-set amenities in a room have also become popular. This does not mean that the traditional staff has been eliminated. Instead, their services are being enhanced with an increased sense of internal automation.

Wrapping Up

Travel agencies have had to implement new strategies due to the advancement in technology. In 2024, the major technology trends for the travel, tourism, and hospitality industries will revolve around the management and analysis of vast amounts of data. Companies then use these to customize their services. In order to achieve this, companies will continue on their journey of digital experiences and automation in their booking and reservation services.

In the travel and tourism sector, other trends are also growing, such as the Internet of Things, Artificial Intelligence, independent websites and contactless check-ins. This is especially true for medium and large businesses.

You're now ready to begin preparing for the major marketing trends that will affect the hotel industry this year and beyond. Update your marketing strategy to reflect the latest trends in your market.

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