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Outlook 2023: Hospitality sector

Outlook 2023: Hospitality sector

There is no doubt that the hospitality industry is one of the fastest-evolving industries in the world. Since the Covid-19 pandemic, the industry has experienced some significant changes, and the upcoming year will bring additional changes.

Due to the ease with which modern travellers can plan their itineraries and book accommodations online, hotels must prioritise improving their customer service, enhancing the quality of their facilities, and providing more convenient services for their guests. Hoteliers may set themselves apart from the competition by offering guests novel and unique amenities and services that they won't find anywhere else. Additionally, more and more people are placing a higher value on environmental protection, and as a result, travellers are increasingly prepared to pay a premium at hotels and resorts that provide environmentally friendly amenities and programming.

Here are a few important hospitality sector trends to watch in the coming year of 2023

Work Weds Pleasure

After the adoption of remote working during the pandemic, a new class of traveller has arisen - the digital nomad. These people prefer employers who are comfortable with them working remotely, so that they can travel to different countries at the same time. Some countries have even instituted special visas for such workers. If this trend continues, the hospitality industry can continue to get a boost. However, these travellers also have certain requirements beyond the usual - not just fast WiFi or sterile business centres, but also the solitude to work without distractions when needed. These travellers look for communities where they can interact with others who share their ethos, and they want a well-rounded experience. Hotels and resorts can leverage this to offer scenic and calm surroundings while the travellers work, as well as interesting activities to engage them during their personal hours.

Artificial Intelligence for Efficiency

The hospitality industry has already been integrating AI into a lot of their functions, such as bookings, personalising itineraries, forecasting weather conditions at the destination, and extracting insights from the customer and other data generated. Wider adoption of artificial intelligence can help more hospitality companies to increase efficiency and accuracy, which translates to lower costs. AI can also be leveraged to enhance the customer experience even further, which will lead to greater customer delight and, consequently, more business.

Eco-tourism and Sustainability

Hospitality is increasingly focusing on sustainability. Tourism was one of the fastest growing industries to embrace this trend in 2002. With global warming on the rise, it is more crucial than ever to encourage eco-friendly practices and sustainable living. Eco-tourism is a new movement that promotes sustainability practices by educating tourists about local cultures, safeguarding natural resources, raising awareness of environmental issues, and encouraging visitors to leave a good environmental footprint. Hospitality companies are also increasingly considering and implementing environmentally conscious practices, such as lights that turn off automatically when guests leave the room. Travellers, for their part, will seek stays in the future that help them with a smaller carbon footprint.

Wellness Travel

The wellness trend has been around for quite some time, but it is now more popular than ever. In order to lead a healthier lifestyle, people are taking the time to focus on their physical, mental, and emotional well-being. As a result, more travellers are opting for wellness travel. For example, the number of individuals choosing to stay in hotels with services such as meditation rooms, yoga studios, and healthy cuisine alternatives will continue to increase. Additionally, hotels and resorts offering full-service spas must keep a careful eye on this increase in demand and work on curating thoughtfully administered treatment plans.


by Vaibhav Jatia, Managing Director, Rhythm ResiTel


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