Future Trends in the Hospitality Industry: Millennials and Social Media Rule
For the longest time, the hospitality industry has been this stable, undisturbed market where progress is steady and revenue is pouring in consistently, year in and year out. Big names keep on getting bigger, widening their breadth, tightening their hold on the market.
And then Airbnb happened. Airbnb is a peer-to-peer accommodation marketplace connecting hosts — vendors of rooms or accommodations — and travelers via its website. It doesn’t own any real property but earns through processing fees. The simple business model made common people rent out their properties that would otherwise go unused. A couple of years after its inception, it more than doubled its clients and increased its market capital several folds. No hotel chain can claim the same level of progress when it was starting up.
Needless to say, it caused a stir within the hospitality industry.It might even have shaken up a few organizations which were more passive than proactive in their business approach.
But this was more than five years ago. Now, the “traditional organizations” in hospitality industry are fully aware of the threats of modernization and technology and the demands of the modern client. But the general attitude towards this shouldn’t stop with being just aware. What they need to do is identify the trends moving forward and make sure all the boxes listed below are checked.
Priority on Millennials
Millennial. It’s a word that is being thrown around very often these days. Apparently, this demographic has a ton of influence on a lot of things, and that includes the travel and hospitality industries. According to study by the Cornell Center for Hospitality Research, millennials are expected to represent 50% of all travelers to the USA by the year 2025. And the challenge? Millennial travelers don’t want the traditional travel experience. There’s actually more to those backpacking, camera-toting, social-media savvy kids you sat beside with on your flight from Singapore to California. Just when you thought they just travel for the Instagram-worthy photos, you realize that they actually want to learn something more profound and meaningful from their travels.
According to www.ehotelier.com, the Millennial traveller, already makes up over one third of the world’s h