The Future of Hospitality: Key Trends to Follow in 2025 and Beyond

The hospitality industry is currently experiencing an era of constant change that is being driven by shifting consumer requirements, plenty of communication, and the impact of technological innovations.

It is expected that hotels and resorts across the world will pay more and more attention to creating memorable experiences for their guests and cultivating a loyal customer base by concentrating on what travelers of today value most, which is authenticity, convenience, and a personal approach.

In this article, we bring you the current trends in the hospitality 'industry—'bleisure’, hyper-personalization, and of course, the omnipresent AI.

The hospitality sector, in brief

For a better understanding of the evolving trends, let’s go back to 2024, which was a year marked by resilience and recovery, according to Research and Markets.

In 2024, the average revenue per available room (RevPAR) increased by 3%. This is a promising evolution because RevPAR is an essential indicator by which to understand the trends in the hospitality sector.

Naturally, some global uncertainties took their toll on the industry’s recovery, including prolonged geopolitical disputes, catastrophic weather events, and changing political environments.

Nevertheless, hoteliers have demonstrated incredible courage in the face of these difficulties, and this is why the industry is expected to grow in 2025 and beyond.

The size of the hospitality market is expected to register an increase from nearly US$5400 billion in 2024 to over US$5700 billion this year, which represents a compound annual growth rate (CAGR) of 6.2%, according to a report from The Business Research Company.

During the next few years, the market is expected to continue to grow at a CAGR of 6.1%, hitting a value of US$7239 billion in 2029.

Here are some key trends that will redefine hospitality in 2025 and beyond and what companies should do to succeed.

Trend #1. Technological advances are the backbone of modern hospitality

Innovation is improving operational efficiency and guest satisfaction, be this contactless services, AI-driven customization, or something else. Here are the technologies worth following:

Artificial intelligence (AI) and data analytics

For a long time, hotels have collected vast amounts of data about their guests but then had issues with how to use this effectively. Now AI can help with that, turning unstructured amounts of information into insights that can improve the guest experience.

We can therefore expect more companies to offer hyper-personalized experiences thanks to AI-powered tools such as Mews’ Smart Tips, which compiles data such as booking histories and guest preferences to offer front desk employees real-time guest insights.

Some hotels are already using AI-powered concierge services. Here’s an example of one:

Contactless front-end solutions

Due to shortages of staff and guests’ desire for comfort, it is obvious that digital keys and mobile check-ins should become standard.

This would maximize productivity while reducing in-person interactions, thereby freeing up employees to concentrate on providing high-level services.

Here’s an example of contactless check-in hotel software:

Virtual reality and robotics

Some hotels use robots to manage duties such as cleaning and room service to combine automation and human-centric hospitality. At the same time, virtual reality tours allow visitors to view properties before making a reservation.

Here’s a hotel in China with some of the services provided by robots:

And here’s a boutique hotel’s virtual tour:

Trend #2. Increasing focus on sustainability

A growing number of travelers are opting for brands that share their values in terms of contributing to a more environmentally friendly world.

Companies are therefore reacting to this trend by investing in energy-efficient systems such as solar energy and LED lighting and looking for sustainable solutions in dealing with waste, which includes composting and refillable toiletries.

For instance, farm-to-table initiatives, like São Lourenço do Barrocal in Portugal or Farmhouse Inn in California, as well as partnerships between hotels and local farmers, can cut carbon emissions and at the same time support local communities.

There’s a place for technology here too, since AI can be used to optimize food inventories.

Trend #3. Hyper-personalization

Travelers are looking for customized experiences, and by leveraging advanced data analytics, hotels can foresee the demands of their guests before they arrive.

1. It all begins with the reservation. If they can look at a client’s previous visits and preferences, hotels can provide that guest with a personalized package or exclusive offers. For instance:

Room upgrade to a suite for honeymooners
Complimentary access to meeting rooms or co-working spaces for those on a business trip
Loyalty discounts or surprise upgrades for loyal customers
Birthday/anniversary perks.

When customers check in, personalization can be offered in terms of the desired room temperature, pillow preferences, and even personalized food selections.
Post-stay interaction is also necessary. A customized thank-you note or an offer for a future trip keeps the hotel on a client’s radar and increases loyalty.

Trend #4. Bleisure travel

The combination of business and leisure travel, "bleisure," is expected to continue to grow because many people still prefer to work remotely, and therefore the lines between work and leisure become blurred.

Hotels respond by providing spaces with fast internet, co-working spaces, and extended-stay packages alongside leisure facilities.

Digital nomads looking for a sense of community are drawn to properties such as The Social Hub, which combines living spaces, workstations, and social areas.

Trend #5. Virtual tours and storytelling on social media

Since many travelers usually select where to stay based on their online experiences, brands can use various strategies to attract new guests:

Social media platforms such as Facebook, Instagram, TikTok, LinkedIn, etc. play an important role in helping hotels and resorts to attract guests and interact with them.
Virtual tours offer a sneak preview of facilities, rooms, and panoramas.
Storytelling features like behind-the-scenes footage and the story behind a property's architecture all help to create a personal connection.

Case study: Customer Experience in Hotel Chains

A consulting firm partnered with the RightAngle expert network to explore how major hotel chains are redefining the customer experience in response to evolving guest expectations and digital transformation.

The project focused on:

Customer-centric strategies adopted by hotel brands
New definitions of service personalization
Technology integration, including digital tools and AI-driven experiences
New sales channels , and monetization models
M&A trends and investment rationales.

To support this, RightAngle provided the client with the relevant seasoned experts, including:

Digital strategy leaders
Technology implementation experts in hospitality
M&A and investment advisors with sector-specific insights.

Outcome:

After consultations with the experts, the company gained practical insights that helped it to compare industry best practices, spot new opportunities for innovation, and evaluate potential investment directions.

Final word

The future of hospitality lies in the balance between cutting-edge technology and real human interaction. And let’s not forget the importance of sustainability and a more personalized experience that more and more guests are anticipating.

By being aware of the trends, brands can surpass guest expectations, building loyalty and driving long-term growth.