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IDeaS, a SAS company, the world’s leading provider of hotel revenue management software and services, has released its annual trends report, 5 Predictions That Will Shape Hospitality in 2025. To help hospitality companies navigate the new year and beyond, IDeaS collected insight from some of the top minds in the industry, including hoteliers, management companies, and technology partners to identify the major trends hospitality organizations are likely to see, as well as how to implement new strategies and technologies to succeed.

“The hospitality industry is undergoing a profound digital transformation,” said Klaus Kohlmayr, chief evangelist and development officer at IDeaS. “As guest expectations continue to evolve and technology advances, hoteliers must adapt to stay competitive. By leveraging data-driven insights and innovative solutions, businesses can optimize revenue, enhance guest experiences, and build sustainable models. The future of hospitality lies in the intersection of technology, data, and human creativity—which is why we worked with some of the best and brightest in the industry to help shape this report. We hope these predictions will help hoteliers gain insights into future trends and leverage that information to begin thinking about what’s likely to come in the year ahead.”

Key predictions that will shape the hospitality sector in 2025 include:

  • The generational changing of the guard: Hoteliers are getting serious about the growing travel demand driven by both experienced and first-time travelers. Rising disposable income and the need to cater to the diverse preferences of everything from Baby Boomers to Gen Z and Millennials will be critical when building a personalized approach that is both sustainable and meaningful to all ages.
  • Hotels will continue to invest in next-generation technology: With a focus on AI applications to drive real value and efficiency, the collaboration between humans and AI will increase for optimal pricing and revenue management.
  • Experiential travel demand fuels new opportunities: As over-tourism continues to be a challenge for popular destinations, there are new opportunities for hotels to promote less-traveled areas. Focusing on personalized, curated experiences will be key to enhancing the guest experience.
  • Ancillary revenue and events will have a renewed focus: Room pricing pressure will play a role in the increased adoption of online booking and dynamic pricing for meetings and events. Hoteliers will also look to automate smaller events to streamline operations and staff efficiency.
  • The cloud revolution will continue to accelerate: Hotel systems continue to reach end-of-life cycles, forcing an ongoing migration to the cloud. As increased access to data empowers next-generation hospitality solutions, modern tech stacks will become crucial to meet next-generation guest expectations.

IDeaS collected insights from key industry thought leaders, including: Amadeus, Bookassist, Bookboost, Busy Rooms, D-EDGE, HOTELCUBE PMS, Jonas Hospitality, Mews, Newbook, Oaky, Optimand, Profitroom, Revinate, Sabre Hospitality, Stayntouch, Summerstar Tourist Parks, TrustYou, Userguest and UpsellGuru.