At Cayuga Hospitality Consultants’ Annual Conference 2025, industry leaders examined where hospitality is headed and how to prepare for the next era of change. From AI integration and workforce evolution to shifting insurance markets and event space innovation, the conversation revealed a mix of challenges and opportunities.
1. AI Will Become the Industry’s Backbone, Not a Buzzword
Artificial intelligence is no longer futuristic—it’s functional. Hotels are already utilizing AI to integrate siloed systems, such as PMS, accounting, CRM, and forecasting platforms, to drive faster and smarter decisions. Tools like Placer.ai and PredictHQ help identify ideal customers through demographic, behavioral, and geolocation data.
As automation expands, the next opportunity lies in strategic human oversight: consultants and managers will interpret AI outputs, guiding capital investments and operational priorities rather than being replaced by algorithms.
2. Refinancing Pressure Will Reshape Ownership
With interest rates still elevated, the wave of refinancing is forcing owners to face hard choices: refinance at higher costs, sell, or seek new investment partners. Expect to see consolidation, creative deal structures, and a greater need for consultants who can help operators navigate financial and operational restructuring.
3. Insurance Costs Will Climb, and Coverage Will Shrink
Across the board, insurance is becoming more expensive and less comprehensive. Rates will rise regardless of claim history, coverage limits will contract, and government intervention may eventually be required to stabilize the market.
The industry will also pay more attention to smaller-scale risks, ranging from weather disruptions to cyber incidents, making proactive risk management and data-driven prevention essential.
4. Labor Shortages Will Force a Rebrand of Hospitality Careers
The industry’s talent pipeline is under strain. From frontline staff to engineers and tradespeople, shortages are driving up costs and extending project timelines.
The next evolution of workforce strategy will involve changing the narrative and positioning hospitality as a viable, long-term career. Employers who offer mentorship, clear advancement paths, and recognition of transferable skills will have a decisive advantage.
5. Hotel Schools Must Evolve or Risk Irrelevance
Hospitality education is at an inflection point. Traditional hotel schools must shift from operational training to career-building programs with placement support, mentorship, and exposure to technology. Future graduates will need to navigate AI tools, asset management, and financial strategy, in addition to service execution.
6. Outsourced Expertise Will Redefine Operations
Third-party food and beverage (F&B) and procurement partnerships are gaining traction as hotels seek to improve their margins and enhance the guest experience. Expect more specialized restaurant management, outsourced catering, and design-procurement hybrids that streamline development and bring creative expertise in-house.
At the same time, the event space battle is heating up: restaurants and standalone venues are drawing business away from hotels. To compete, hotels will need to transform ballrooms into authentic, experience-driven gathering places.
7. FF&E and Supply Chains Will Feel the Squeeze
Vendors are struggling with tariffs, bankruptcies, and a lack of skilled partners in the market. The resulting bottlenecks will prompt hotels to adopt longer lead times, diversified sourcing, and closer vendor relationships. Operators who build redundancy and transparency into procurement will weather the storm best.
8. Conversions Will Outpace New Development
Rising construction costs and capital constraints are accelerating a pivot toward conversions. Expect to see more professional, brand-aligned conversion projects that emphasize adaptive reuse and sustainability rather than ground-up builds. This trend will also fuel growth among agile regional management companies that can operate flexibly within diverse ownership structures.
9. Guests Will Redefine Wellness, Design, and Community
Modern travelers are changing faster than most operators can keep up. Millennials and Gen Z guests are increasingly focused on wellness, sustainability, and transparency, opting for low- or no-alcohol experiences and food with ethical sourcing.
A countertrend is also emerging: the desire for in-person connection after years of digital-first interactions. Hotels have a unique opportunity to serve as social anchors with spaces that blend health, community, and creativity.
10. Human Judgment Will Remain the Ultimate Differentiator
Across all conversations—AI, finance, design, and education—one theme resonated: hospitality is about people empowered by better data.
Technology will enhance, rather than replace, the industry’s human element. Whether it’s interpreting AI outputs, developing talent, or creating spaces that inspire connection, the next era of hospitality will reward those who combine analytical precision with emotional intelligence.
Discussion participants:
Charis Atwood, Susan Barry, Rick Blackburn, Tom Cleary, Joe Cozza, Jennifer Dohrmann-Alpert, Don Farrell, Juliette Gust, Gary Isenberg, Chuck Kelley, Prakash Khemlani, Haydn Kramer, James Kuester, Jay Landfair, Jim Miles, Debbie Miller, Stacy Moore, Katie Moulton, Mandy Murry, Jon Peck, Brian Schoettes, Stephanie Smith, Rick Tomljenović
About the Panel
Susan Barry
Susan Barry, President and Queen Bee of Hive Marketing and partner with Cayuga Hospitality Consultants, executes B2B marketing and commercial strategy projects for hotel owners, management companies, brands, investment groups and vendors. Thinking about trying something weird? We work with hospitality companies to deploy smart commercial strategy ideas. Special projects that don’t fit neatly into an org chart are our specialty. The hospitality industry relies on Hive Marketing when they need an injection of creativity through the lens of extensive hospitality industry experience. Reach out for sales, marketing, and revenue ideas that you’ve never heard before, executed with panache.
Joseph Cozza
Joe Cozza has had an extensive and distinguished career in the hospitality industry. His most recent positions were with Marriott International as the Catering Sales Leader, Northeast Region, and previously as Catering Sales Leader for New York. Prior to these positions, he was Vice President, Sales, and Marketing for Cipriani, where he was responsible for several premier, historic, and iconic event locations. Joe was the opening Executive Director of Marketing/Catering at the New York Marriott Marquis and held this position for 22 years. Prior to the Marriott Marquis he was the opening Director of Catering at the Grand Hyatt in N.Y. and the Philadelphia Fairmont hotel where he held senior leadership positions in food and beverage operations and catering sales. Earlier in Joe’s career, he held executive positions with Sheraton and Hyatt Corporations in Florida and New Jersey. Joe is an active partner and consulting member of Cayuga Hospitality Consultants.
Chuck Kelley
Chuck is a Partner with Cayuga Hospitality Consultants, a network of independent consultants specializing in hospitality/lodging. He spent 32 years with Marriott International, beginning as an Assistant Restaurant Manager and worked his way up to Executive Vice President responsible for Marriott’s Caribbean/Latin America Region. Along the way he held positions as Director of Restaurants, Director of Marketing, Regional Director of Sales and Marketing, General Manager and Country Manager Australia. A graduate of the University of Hawaii, with a BS in Travel and Tourism Management. He is a prior member of the Baptist Health South International Advisory Board and previously served as Chairman of the Caribbean Hotel and Airline Forum for the Caribbean Hotel and Tourism Association. He served with distinction in the US Army in Vietnam having earned a Purple Heart and Bronze Star for valor in combat.
Stacy Moore
Article written by Stacy Moore, Partner in Cayuga Hospitality Consultants and the founder of ToolKit Consulting. She has 40 years of experience in the foodservice industry as an owner/operator, franchisee, wholesale manufacturer, sales representative and consultant. With expertise in airports and non-traditional locations, she brings an owner’s mindset and a team-based approach to her consulting practice. Stacy has worked with clients to launch and grow brands, analyze and improve operations, find new markets, and build strategic partnerships.
Katherine Moulton
Katherine Moulton is an award-winning hospitality executive and industry leader with more than 30 years’ experience. She is widely recognized by peers and business leaders, including as Independent Hotelier of The World by Hotels Magazine. She also offers strong advocacy for hospitality excellence, education and mentoring as well as a commitment to community through diversity of board and institutional roles. Ms. Moulton is a Florida Supreme Court Certified Mediator and focuses her alternate dispute resolution work on issues related to the hospitality and related industries. Katherine is a Partner and the Executive Director of Cayuga Hospitality Consultants and president of Hospitality Advisory Services.
Stephanie Smith
Stephanie Sparks Smith, CHDM, is the CEO and Founder of Cogwheel Marketing™ and Cogwheel Analytics™, two sister companies helping hotels drive performance through smarter digital marketing and data-driven commercial strategy. With over 20 years of experience in hospitality and digital, Stephanie is known for bridging marketing, revenue management, and sales into a true commercial strategy.
At Cogwheel Marketing, the “relationship agency,” Stephanie’s team partners with branded and independent hotels to identify online gaps and maximize exposure by focusing on the entire customer journey. Deep hospitality expertise combined with a strategic approach maximizes brand systems and creates tailored digital strategies for each property and market.
Through Cogwheel Analytics, she developed a business intelligence and digital marketing reporting platform built for the hotel industry, delivering portfolio- and property-level insights through dashboards and benchmarking. In partnership with Microsoft AI Co-Innovation Labs, its AI-driven analysis and recommendation engine synthesizes data, uncovers trends, and delivers actionable strategies to help hotels optimize performance and revenue.
A recognized thought leader, Stephanie is active with HSMAI, holding a Certified Hospitality Digital Marketer (CHDM) designation. She is also a partner and consultant with Cayuga Hospitality Consultants. A frequent speaker at industry events and contributor to hospitality publications, she is widely regarded as both a strategist and an educator in the hotel marketing space.
About Cayuga Hospitality Consultants
Cayuga Hospitality Consultants is a global network of independent consultants focused on the hospitality industry. Consultants are available to work independently on assignments or can be organized as a team or task force to achieve the greatest possible results for our clients. Areas of expertise include operations, sales, marketing, finance, asset management, development, technology, insurance, litigation and sustainability for all areas of hospitality, including hotels/resorts, spas/clubs, restaurants/bars, and casinos. Consultants’ goals are to provide practical, profit-oriented advisory services across a broad range of hospitality property types and business models plus hands-on support implementing their recommendations.
For more information, view their hospitality consulting services or follow them on LinkedIn.
