The pandemic had an impact on all industries, no matter what. The hospitality industry took one of the most significant blows among them; with innumerable restrictions on human movement and economic conditions suffering immensely, travel has become a luxury for almost two years since 2020.
The American Hotel and Lodging Association mentioned in a US News report that the pandemic has made the hotel industry and the associated jobs go back over 10 years. The damage has shaken up the whole industry, and businesses are struggling and adapting in their own ways to get back on their feet.
If you are a hotel real estate owner or property manager, then we are sure you have faced many challenges this past couple of years. But there are new trends in the industry that are making a positive change. Read this article to find out what these trends are in detail and make plans to use them to your benefit.
How hotel real estate is bouncing back post-pandemic
According to the Review Journal, the hotel industry in the USA expects to see a 63.4% occupancy rate in 2022, rising from 57.6% in 2021. With this expected rise, hotel real estate is also on the rise. The new tourists coming are rising the demand for new hotels, different kinds of tourism options, and sustainable hospitality options. The hotel industry is undoubtedly bouncing back, but many new changes come with it. Corporate and international travel is seeing a comeback
9 trends in 2022 affecting Hotel Real Estate
The hotel industry has stopped waiting for things to go back to “normal”; they have adapted to the “new normal” post-pandemic and have adapted the hotel real estate accordingly. Here’s how.
Digital hotel experience
Digital buyer experience was already on the rise in the real estate industry, but post-pandemic hotels have started to use new technology selections in their hotels. Check-in and check-outs have become contactless and happen through apps; housekeeping services like cleaning and upkeep are being done with smart appliances. Paying in cash at hotels has become almost obsolete, and e-payments are the new norm. The whole hotel experience is becoming digital with very little human interaction to keep up with the social distancing standards of the pandemic.
Virtual reality
Previously people traveled to beaches and mountains, but with the rise of technology and post-pandemic many hotels have started to adopt virtual reality experiences inside hotels. People can be sitting in a city hotel and enjoying a beach or forest experience through Virtual or Augmented Reality devices. Hotels have even come up with kiosks for such services, and many real estate owners are taking this trend quite seriously.
Rise of solo travelers
Hotels are now offering amenities and facilities that favor solo travelers. People have all genders have taken to solo travel and facilities like backpackers hostels instead of luxury hotels are on the rise. A budget-friendly solo traveler can not afford a luxury room and the hospitality industry needs to revamp its structures and business models accordingly to cater to this growing crowd. The strategy and leadership at your company need to take a closer look at the business process overview and make new plans to diversify the audience they entertain.
Travel Pulse survey has found out that 1 in 5 people are planning solo trips within the next year, and that is a huge market to tap into.
Rise of long-stay workation tours
Many offices are offering complete remote work options to their employees, like LinkedIn and PwC. This has encouraged long-stay workation tours where people can indulge in leisure and work simultaneously. This has made hotels offer more flexible stay options and open spaces for office workers to relax and give them a holistic workation experience.
Personalized, boutique options
Hotels are going the extra mile with assistive technology implementation plans and integrating CRM and property management software to make interaction with their clients more personalized. They are also offering boutique stays to clients to make them feel valued and get ahead of the competition.
Health and wellness tourism
The pandemic has taught people the importance of health, and health and well tourism are on the rise due to that. Hotels are now investing in buildings, spas, yoga centers, spiritual rooms, and more to make the most business from this market trend.
Sustainable hospitality is in demand
The commercial hotel industry produces a lot of waste and adversely affects the environment, but more customers and investors demand sustainable options. Business Travel News reports that Marriott had more than 20 customers ask about their carbon footprint levels, and they have started work to take this into account while building their hotels and managing their assets across the globe.
International travel is getting back
With active vaccination drives and the number of COVID cases going down and reducing travel restrictions, international travel is becoming more accessible and more frequent. There is a rising trend among hotel owners to cater to these international tourists with diverse demands. More offices are spending their budgets on sending employees for corporate tours, and that is boosting the commercial real estate hotel market.
The growing need for construction is driving the market
The sudden rise in international tourists and long-stay tourists has started a demand for major construction work in the real estate hotel industry. From the construction of customized hotels for long stays to include pleasure and favorable workspaces to the construction of sustainable properties, the demand is quite diverse. To keep up with such added work pressure, it is wise to start using construction management software like Procore to streamline and automate the whole process.
How property management can help you catch up with these trends
No matter the market trend, our real estate tech experts have customized software integration plans for all of them. At Assetsoft, we will help you keep up with all these trends with the best technology implementation plan with the right property management software in the market. Our software solutions have covered everything from automating customer interaction with RPA chatbots to managing construction work.
To know more about our services, give us a call. Talk soon!