Market Trends

🛫 Fewer than 10% of bookings in Google AI Mode are through OTAs, while 56% are direct with hotels or suppliers. Propellic's study, analyzing 300+ booking journeys and 71,000 words of transcripts, highlights the need for a strong GEO strategy. Google Business Profiles are increasingly critical, acting as primary storefronts. Sundar Pichai confirms AI Mode as Google's future, shifting traditional search paradigms. Propellic CEO, Brennen Bliss, emphasizes controlling the AI ecosystem's collapsed funnel for competitive advantage.

🗺️ The UK short-term rental market, as of September 2025, shows mixed trends. Average daily rates (ADRs) are up: November ADRs hit £159, a 7% growth year-on-year. September and October rates grew by 4% and 5% respectively. Forward bookings dipped 5% in September and 3% in November, while October saw a 2% rise. Lead times decreased by 6% in September and 4% in October and November. Key Data launched new tools to aid property managers amid these shifts.

📈 Hospitality executives prioritize productivity to boost EBITDA, with 82% seeing its impact. 📊 Technology is key, with 53% emphasizing its role in strategic productivity. Main challenges include rising costs (74%), inefficient processes (42%), and outdated systems (58%). Automation (61%) and improved scheduling (45%) are potential tech solutions. Only 35% trust their data. The report by Sona and Peach 20/20 highlights the evolving focus on productivity through AI and tech advancements.

🏨 WASHINGTON, D.C., late August: A survey by the American Hotel & Lodging Association (AHLA) reveals financial strains on nearly 400 hotel owners/operators due to rising costs and uneven demand. 32% delayed development projects, 24% scaled back, and 8% canceled. Only 8% proceeded with new investments. 49% report understaffing. Leisure travel declines for 30% of hotels, while business/government travel drops for 15-17%. AHLA aims to advocate for policies that boost travel and reduce operational pressures.

🏨 Fall 2025, Austin, Texas: The Hospitality Asset Managers Association (HAMA) released its Industry Outlook Survey, with insights from 81 hotel asset managers, representing 33% of membership. Over 70% anticipate a 1-3% rise in RevPAR. Two-thirds are pursuing acquisitions, while 80% plan renovations in the coming year. The survey, linked to HAMA’s Spring 2025 Annual Meeting, reflects optimism for Q4 and a proactive industry stance.

🏨 Despite rising interest rates, UK hotels are investing millions in spa facilities. The Grand Brighton recently committed over £2 million to spa renovations, reflecting the booming wellness industry valued at £171 billion in 2022. Hotel spas offer diverse revenue streams from treatments to day packages, attracting wellness-focused travelers. Nearly 60% of consumers who traveled for wellness in 2024 plan to do so next year. A good spa combines design, functionality, and future-proofing with a strategic vision.

📈 Economic headwinds and supply chain disruptions are accelerating changes in the hospitality industry. Leaders must adopt agile supply chain methods using advanced technology, data insights, and supplier diversification to stay competitive. Procurement should integrate deeply with business strategy, using data analytics for real-time insights. Establishing KPIs and leveraging Group Purchasing Organizations (GPOs) can enable efficient change implementation. The focus is on achieving strategic growth while maintaining operational effectiveness and minimizing risk.

📚 Award-winning hospitality marketing leader Leora Halpern Lanz, Associate Professor at Boston University's School of Hospitality Administration, discusses visibility's impact on guest satisfaction. Using a hotel case study, she emphasizes the importance of both physical and digital visibility for enhancing guest experiences and satisfaction scores. Her book, "Developing Your Marketing Mindset," offers insights for hospitality professionals. Tune into the podcast “Developing Your Marketing Mindset” for more practical tips on transforming visibility into value for your business.

🏠 Hospitable launches a global education platform, Hospitable Academy, offering free expert-led courses to aid short-term rental hosts. The first course, “The Shift from Long-Term to Short-Term Rentals,” features 18 lessons in six chapters, focusing on increasing income, guest experience, and scaling operations. Led by Matthew Krueger, the course covers market analysis and daily operations. Future courses will include listing optimization and direct booking strategies, benefiting both new and experienced hosts.