Practical advice from Vito D’Amico, CEO of MyForecast RMS, on turning future tourism market trends into opportunities.
Sustainability
In January 2024, the Accor group conducted a survey across seven European countries regarding travelers’ sensitivity towards more responsible use of natural resources. The results were clear, confirming recent trends. In Italy alone, 82% of respondents consider sustainability in their travel decisions, and overall, 7 out of 10 Europeans find the option of an eco-friendly, zero-impact location essential when booking a trip. Supporting the revenue potential of sustainable choices, 38.8% of Italians would be willing to pay up to 10% more to stay in a genuinely sustainable accommodation.
Concerns about climate change also affect booking behavior, with many travelers preferring to avoid peak travel seasons. For 32% of respondents, this decision is cost-driven, while 19% are motivated by comfort, seeking to avoid the sweltering temperatures that increasingly affect destinations like Italy, Spain, Portugal, and Greece during the summer.
How to Seize this Opportunity
- Share your eco-friendly efforts on your official channels. Highlight local, low-impact activities, and promote any green initiatives your region supports;
- Join a carbon offset program and create a rate plan that includes this service;
- Include off-peak, low-impact experiences as ancillary services that attract specific market niches;
- Offer free upgrades to guests booking in the low season and re-list more affordable rooms to increase occupancy.
Destination Duping
Expedia has reported on this trend, where travelers increasingly avoid mass tourism hotspots, opting for similar but less crowded and more affordable destinations. The concept of “dupe” —meaning “duplicate, copy”—has gained traction, with a Skyscanner survey showing that 93% of travelers would consider such an alternative destination for their next trip. For example, Osaka instead of Tokyo, or Catania instead of Crete.
How to Leverage this Trend
- Promote niche, exclusive initiatives highlighting your property as an alternative to the crowded destinations;
- Partner with niche sales channels catering to travelers interested in “destination duping”;
- Collaborate with emerging local businesses to offer unique services;
- Create low-season offers with dedicated services and rates for those seeking less tourist traffic.
Artificial Intelligence
The unstoppable advancement of generative AI has reached the hospitality sector. Thanks to data analysis gathered throughout the guest journey, hotels can now deeply understand guest behavior and expectations, allowing for a highly personalized and effective response. The impact extends beyond the traveler. According to a Statista survey, AI-driven revenues in the travel industry grew from 9% in 2018 to 21% in 2021. By 2024, this number is projected to reach 32%. In other words, nearly one-third of annual revenue could stem from AI by the end of the year.
How to Capitalize on this Opportunity
- Create a dynamic pricing strategy based on demand analysis and fluctuations;
- Establish a communication strategy to understand guests’ expectations and create a personalized stay experience, checking in on satisfaction before, during, and after their visit;
- Develop a loyalty program;
- Invest in training for your staff.
Bleisure
Despite a trend toward reducing remote work, the post-pandemic era has solidified a new concept of business travel that balances business with personal enjoyment. According to the “2024 State of Business Travel” survey by Skift and Navan, over 68% of respondents plan to add personal travel days to a business trip. This trend is further confirmed by the EY Future Travel Behaviors Observatory.
How to Tap into this Market
- Offer services that combine traditional business offerings with leisure experiences, especially wellness and sensory-focused activities;
- Create specific rate plans and amenities (e.g., reserved areas, lounges, workstations) for business travelers who bring leisure companions or companies seeking more productive business trips for employees;
- Clearly communicate that your hotel provides ancillary services sought by bleisure travelers;
- Enhance key ancillary services: transfers to and from stations and airports, concierge services, express check-in/check-out.
Experience-Based Travel
Numerous surveys and statistics confirm that travelers across all categories prioritize local experiences. A recent survey by Get Your Guide shows that 98% of respondents plan their activities at the destination before even booking accommodations. Over 80% plan their trip up to three months in advance, conducting detailed web and social media research.
During this phase, the importance of social channels for hotels cannot be overstated. They should be carefully maintained and regularly updated to inspire potential guests to dream about their stay. Real-time photos and videos showcasing the property, including rooms, common areas, special events, and unique details, can capture the imagination of potential guests. Email marketing campaigns are also crucial, providing users with an informal channel through which they’re encouraged to book directly. Personalized and targeted communications allow hotels to maintain direct contact with customers, offering exclusive promotions and updates that foster interest and loyalty.
How to Take Advantage of this Trend
- Define your target audience and create tailored packages that offer unique cultural and sensory experiences in your region;
- Adopt an effective marketing strategy to promote these experiences three months in advance, targeting anticipated peak periods;
- Ensure that communication and booking processes for experiences are straightforward, incorporating tools on your website that inspire those in the research phase;
- Stay in touch with guests who have already booked by suggesting new experiences and ideas.