20 Apr How will the hotel industry go in 2017? Here are all the projections
The hotel industry’s aim in 2016 was to increase sales & marketing and to optimize revenue management, and apparently it succeeded.
According to the European Hotelier Pulse-Check (the market research company Ascend, Clarion, Quality and Comfort rely on), more than half of the polled hotelier (56%) believe to have achieved this goal and to have increased the revenues from 2,5% to 10% thanks to revenue management strategies.
Consequently, also in 2017 we will keep relying on the European Hotelier Pulse-Check projections.
It looks like that for the current year, the most important elements in the hotel industry are still the same:
- Quality and characteristics of the rooms
Therefore, those who operates in this sector must satisfy at least these 3 key elements.
But what do travellers really need in 2017?
If last year trends that influenced the hotel industry were related to tasks like focus on the guest and innovation in the services that simplify activities, in 2017 to these requirements must be added tourist priority, which any hotelier who wants his business to flourish in 2017 cannot fail to respect:
- Digital Detox: travelers increasingly look for an escape from chaos and routine, sheltering in those facilities that offer absolute relax.
- Technology: despite the search for a quiet place to stay, what the traveler doesn’t want to give up is just his connection with technology, and asks accommodations facilities for a good and guaranteed wi-fi service.
- Health and Wellness: accommodations facilities that offer services dedicated to body’s health are among the favorites in 2017.
- Green: travelers are more and more environmentally conscious, they care about the territory and look for Km 0 products.
- Pet-friendly: from the simple availability of water bowls to more accurate pets facilities that the traveler doesn’t want to give up.
- More services: increasing facilities and options on how to spend the holiday is one of the most required services in luxury accommodations.
- Experience and emotion: not only luxury rooms and various facilities, the 2017 tourist looks for a real emotional experience in his holiday.
- Hospitality above all: as in 2016, also in 2017 and in the future years, the only thing a hotel manager cannot forget is the reason why his accommodation facility was born, which is the customer at the center of it all.
Quoting again the European Hotelier Pulse-Check, 64% of the polled hoteliers think that in 2017 the hotel industry can get a sustained recovery and that the rooms’ rates will continue to follow a good trend.
Also a constant expansion of the digital advertising and an increment of the travelers who book online through the hotel website, are the major trends for 2017.
In fact, 38% of the polled hoteliers stated that, during this year, they will encourage customers to book through channels with less distribution costs, i.e. website and OTAs.
Toward which services should we move?
The Sabre company drafted 4 strategies to intercept new clients:
- New normal: brands are moving to adjust and so intercept new lifestyle models and relationship that go beyond the traditional family.
- Post demographic empowerment: identify groups of people struggling to live the life they wish because of social conventions, trying to offer them something that meets their needs.
- Taste-led targeting: using the technology to customize one-to-one offer.
- Citysumers: focusing on cities leading the change and where these trends are prevailing quicker than elsewhere.
According to Giorgio Palmucci, President of Confindustria Alberghi (National association of hoteliers): “We are experiencing a strong digital change, a change of the transports and of the tourists that are rewarding Italy”. He also says: “Since 2008 we have been witnessing a remarkable increase of the foreign income”.
Therefore, we cannot say that there aren’t good prospects for 2017, on the contrary.
What is truly clear about hotel industry is that its online business can be really stressful.
Constantly updating all the website on which our business is present, promptly checking rooms’ availability and deferring offers, are procedures that take up a lot of time, time stolen to the essential work of the hotel manager.
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