Market Trends

🌎 Australia and New Zealand's travel industry grossed US$37.8 billion in 2024, surpassing pre-pandemic levels due to increased prices rather than visitor numbers. Digital adoption is nearing maturity, with online penetration at 59% in 2024, forecasted to reach 61% by 2028. Airlines are expected to grow from 2025, benefiting from partnerships and increased fares, while hotels and car rentals face challenges. Success hinges on attracting high-value customers and strengthening direct relationships.

🏨 Warner Hotels announced a £15.5m investment in Thoresby Hall, Nottinghamshire, transforming it into a flagship 'Reserve by Warner Hotels' destination. The project includes 221 refurbished rooms, a wellness retreat, and upgraded amenities. This is part of Warner's £120m transformation strategy since 2021, including projects like Studley Castle and Heythrop Park. CEO Paul Pomroy highlights strong UK short break demand, with Blackstone's backing reinforcing their market leadership.

🏨 UK hotel sector saw a significant boost in July 2025 with occupancy, room rates, and profits surpassing the previous year for the first time in eight months. London hotel occupancy reached a six-year high of 89.9%. Average daily rates rose to £271.52 in London and £184.34 in the UK. Gross operating profits increased slightly to 49.6% in London. The Oasis reunion contributed to the sector's success, alongside higher consumer confidence and economic recovery signs.

💸 Diego Acosta, Director at Flex Pay and HSMAI Revenue Optimization Board Member, reveals key insights on hotel distribution costs. Using tools like Juyo Analytics and Kalibri Labs' Hummingbird helps approximate reservation costs, although full granularity is challenging. Direct bookings aren't always more profitable due to additional expenses like ad campaigns and loyalty costs. Jens Egemalm of Pandox Hotels suggests a formula to assess true channel yield. Google’s PMAX campaigns can enhance direct booking strategies amidst competition.

📈 Today, the hospitality industry faces fragmented demand, expensive acquisition, and the need for personalization. Traditional departmental silos are outdated. A shift to a unified, revenue-centric approach is essential. Collaboration, data, and strategy integration are key. This transition, led by figures like Fernando Vives, aims for faster decisions, consistent messaging, and better customer segmentation. Companies must adapt strategically to counter rising Customer Acquisition Cost (CAC) and slower RevPAR growth.

📰 TROY, Michigan—In 2025, J.D. Power's North America Third-Party Hotel Management Guest Satisfaction Benchmark reveals declining guest satisfaction in food and beverage quality and facilities maintenance amid rising operating costs. 📉 77% of guests dined in branded hotels, up from 73% in 2024, yet satisfaction dropped in food quality and hotel facilities. The study assessed hotels with over 14,000 rooms, based on responses from 5,022 guests between May 2024 and May 2025.

🏨 Atrium Hospitality leads J.D. Power's 2025 North America Third-Party Hotel Management Guest Satisfaction Benchmark with a score of 722/1,000. They manage 73 hotels (18,404 rooms) across 25 states. Data from 5,022 guest responses (May 2024-May 2025) shows a decline in food and beverage satisfaction, with 77% dining on-site, up from 73% in 2024. Facility maintenance satisfaction also dropped, while staff service and guest room conditions met expectations.

🚄 Accor and LVMH are reviving the Orient Express, not just as a train but as a luxury lifestyle platform with trains, hotels, and yachts. Accor acquired sole ownership in 2022, with plans including the La Dolce Vita train (2025) and L’Orient Express (2026). Key hotels in Rome and Venice open in 2025 and 2026, respectively. The Corinthian yacht, launching in 2026, features 54 suites. This strategy aims to reposition Orient Express as a leader in heritage-based luxury travel.

📈 NYU IHIF conference revealed that data can hinder hotel performance if not collected and analyzed correctly. Misaligned incentives within hotel teams can affect profitability. Josiah Mackenzie, VP of marketing at Actabl, emphasizes the need for strategic data use to enhance profitability and team alignment. Leaders must overcome "analysis paralysis," focusing on actionable insights rather than vanity metrics, to drive results. Mackenzie’s experience spans over 15 years in leading hotel data projects globally.