11 Hospitality Trends in 2025

November 1, 2024 Nicky. M
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Just when it seems like the ins and outs of the hospitality industry are finally figured out, something changes overnight, leaving hoteliers feeling the whiplash of shifting guest expectations and evolving industry trends.

But in the midst of these constant changes, one innovation is emerging as a game-changer: artificial intelligence (AI). Research shows that AI is quickly becoming the hotelier’s ultimate assistant. As one of the fastest-growing global trends, it’s transforming our industry landscape—and the competition—faster than ever.

But AI is just one hospitality industry trend we’re navigating today. To help you stay ahead, we’ve dived into the latest industry data to unpack the top 11 hospitality trends of 2025 and explore how each one can help you win over guests.

 

Quick highlights

1. AI is transforming hotel operations, offering personalized guest experiences and optimised pricing.

2. Integrated platforms are replacing multiple systems, giving hotel teams a centralised view of operations.

3. General Managers are focusing more on strategic vision and guest engagement, as automation handles day-to-day tasks.
4. Guests increasingly prefer to pay only for what they use, driving hotels to offer unbundled services.
5. Revenue per available meter (RevPAM) is growing, as hotels monetise third spaces like gyms, spas, and co-working areas.
6. Tech adoption helps alleviate staffing challenges, with automation and mobile tools easing workflows amid labour shortages.
7. Direct bookings are rising as hotels reduce reliance on OTAs.
8. Sustainability efforts resonate with eco-conscious travellers, as guests increasingly choose green properties.
9. Guests now expect flexible payment options across channels.
10. Hotels are ramping up cybersecurity defenses by adopting two-factor authentication (2FA), data encryption, and secure, cloud-based systems.
11. Wellness offerings are expanding beyond gyms, with hotels incorporating healthy dining, relaxation-focused décor, and biophilic design.

11 Hospitality Trends in 2025

Revenue per available meter (RevPAM)

Hospitality Trend #1: Integrated systems are taking over

Hotel tech adoption is on the rise globally, with 78% of hoteliers planning to increase their tech budgets in the next three years. The big hospitality tech trend for 2025? Unified simplicity. In other words, hotels are moving away from juggling a bunch of different systems.

Instead, they’re opting for all-in-one platforms that bring data and tools together in one place—a major focus at the Independent Hotel Show 2024. This shift helps hotel teams get a real-time view of everything happening—from guest check-ins and loyalty programs to room reservations and service requests. With this kind of setup, staff can make faster, better decisions that make their work easier, boost the guest experience, and drive profits.

 

Hospitality Trend #2: Artificial intelligence goes beyond the hype to real business value

AI is shaping up to be more than just a trend—it’s a huge opportunity for the hotel industry. Big brands like Hilton have already saved over $1 billion by using AI to track and manage energy, water, and waste based on things like occupancy and weather forecasts. But the potential isn’t just for large chains; independent hotels can leverage AI, too.

AI is transforming guest interactions through real-time personalization. Chatbots now handle inquiries with a human touch, making each guest feel seen and understood. On the pricing front, hyperdynamic AI tools scan social media, past guest data, and even world news to adjust room rates, ensuring hotels stay competitive while maximising earnings.

🛎️ ChatGPT is now officially recognized as a search engine. Discover how this development impacts travel searches.

Hospitality Trend #3: The GM of tomorrow: strategic vision, human connection

As AI and automation take on more of the day-to-day, the General Manager’s role is shifting. GMs are now key for balancing tech with a human touch, ensuring guests feel personally welcomed and supported. This evolution means today’s GMs are less about hands-on operations and more about strategic decisions that enhance both guest experience and team morale.

 

Hospitality Trend #4: Revenue through unbundling and customisation

While all-inclusive packages aren’t going away, 2025 projections show guests increasingly want to choose—and pay for—only what they’ll use. This approach means experimenting with unbundled offerings based on guest preferences using data to decide what add-ons make sense.

For deal-focused guests, RaccoonUpsell shines by re-engaging them pre-arrival with personalised offers they might otherwise overlook during booking. It’s the perfect complement to our core booking tools, adding value by catching guests at the right time to boost both satisfaction and revenue.

 

Hospitality Trend #5: Third-space utilisation

RevPAM (revenue per available meter) is a hotel performance metric increasingly appearing in revenue reports. It tracks third-space usage in hotels, tapping into non-room revenue by monetizing spaces like spas, gyms, and co-working areas.

RoomRaccoon’s Grey Rooms feature helps hotels easily unlock these new revenue streams. During peak season in 2024, our customers earned an extra $1,992 (R35,300) on average by selling alternative spaces, with those offering function rooms seeing even greater returns.

 

Hospitality Trend #6: Technology adoption helps alleviate hospitality staff shortages

The hospitality industry is still grappling with ongoing staff shortages, rising wages, and employee burnout — all of which impact guest satisfaction and profitability. As travel demand soars, from eager leisure tourists to returning business travellers, even the best-run properties feel the strain.

Now is a critical time to explore how technology can ease this burden. By adapting operations with mobile and automated tech, hotels can streamline workflows amid staffing challenges. Brewhalla in Fargo, a boutique hotel, reports that 50% of guests use online check-in, saving staff hours each week. Additionally, Domani Hotels has successfully reduced workload by 50% through the integration of automation in their daily operations.

 

Hospitality Trend #7: Direct bookings maintain momentum

The RoomRaccoon 2024 Booking Channel Trends Report highlights a notable trend: direct bookings are picking up steam as hotels shift strategies to reduce dependency on OTAs, aiming to foster more personalized guest relationships while benefiting from lower commission fees. The report analyzed data from over 2,000 RoomRaccoon users, revealing that using intuitive booking engines and targeted marketing, such as Google Hotels

, is proving highly effective in increasing direct bookings. This trend supports hotels’ broader goals for sustainable growth and building guest loyalty.

 

Hospitality Trend #8: Sustainability shapes a greener future in hospitality

While tourism fuels over 10% of global GDP and millions of jobs, it also strains local communities and the environment, leading governments to address over-tourism in cities like Rome, Barcelona, Amsterdam, and The Algarve. For example, Rome has recently implemented a reservation system for Trevi Fountain visits.

Travellers are also making greener choices, with 81% considering sustainability important and 71% planning to stay in eco-friendly properties, according to a Booking.com report. This shift presents a prime opportunity for hoteliers to embrace sustainable practices that appeal to conscious travelers.

 

Hospitality Trend #9: Omnichannel payments upgrade experiences for both guests and staff

Guests expect flexible payment options—whether online, in-app, or in-person. In fact, 55% won’t book if they can’t pay how they prefer. Hotels are now turning to omnichannel payment systems that bring all payment options into one seamless flow—think of it as a “universal remote” for payments, uniting VCC payments from OTAs, in-person transactions, and website bookings into a single, streamlined system.

 

Hospitality Trend #10: Strengthening cybersecurity to protect guest data

In recent years, stories of security breaches have become all too familiar across every industry—including hospitality, where the “cyberpocalypse” is no longer just a distant threat. According to a 2023 Trustwave report, 31% of hospitality organisations have faced a data breach at some point, and shockingly, 89% of those experienced multiple breaches within a single year.

Faced with this reality, hotels are stepping up their defenses. Many are implementing two-factor authentication (2FA), encrypting sensitive data, and adopting secure cloud-based systems to manage guest information.

 

Hospitality Trend #11: Wellness in every detail: from food to décor

More and more travelers are looking to keep up their healthy habits while on the road. Guests are looking for immersive wellness experiences that fit seamlessly into their stay. Think guided nature walks, outdoor fitness classes, mindfulness workshops, or nutritious, farm-to-table menu options.

When it comes to designing hotel spaces, one standout trend at the Independent Hotel Show was biophilic design, which adds natural elements like greenery and natural light to boost relaxation and well-being.

 

It’s never too early to prepare for what everyone will be talking about next year. Staying flexible and forward-thinking will help your property stand out and keep guests coming back in 2025 and beyond.

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Nicky. M

Nicky is RoomRaccoon's Senior Content Manager, combining a love for travel with a practical approach to improving hotel performance through tech and insightful tips. Join her journey where travel, hospitality, and technology meet.

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