In June, we dive into the four major trends shaping the global hospitality industry in 2024: Health & Wellness, Sustainability, Artificial Intelligence, and Experiential Travel.
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Without further ado, let's check those 4 trends out...
1. Health & Wellness
Health and wellness has emerged as significant drivers in the hospitality industry across the globe right now. The global trend towards health tourism is evident, with an 8% year-on-year increase in popularity in most destinations. In the UK, we are excelling at bootcamp retreats such as Champneys, whilst in Tulum (Mexico) people are flocking for yoga retreats (pictured), whilst in Japan, therapeutic hot springs are leading the trend at driving tourists and travellers.
The movement towards alcohol-free beverages is also gaining traction, influenced by health-conscious consumers and changing social norms. In the UK alone, 1 in 5 people don't drink, and 29% drink less alcohol compared to 2019, with 66% of Gen Z reducing consumption. In the recent Low&No report released by KAM Insight (https://kaminsight.com/) they mention a new trend called zebra striping where people flip/flop between drinking alcohol to drinking no-alc (28& of consumers are doing this) meanwhile 44% of customers would be MORE likely to stay for ‘one for the road’ if the alcohol free range was better.
Cleanliness and standards are still surprisingly in everyone's minds post-COVID. 85% of U.S. hotels have adopted enhanced cleaning protocols over the past 2-years. Brand wise, Hyatt’s Global Care & Cleanliness Commitment and the Shangri-La Group's 'Shangri-La Cares' program in China are notable examples.
However the biggest wellness trend projected for 2024 is a focus on mental health and well-being, emphasizing holistic approaches and digital solutions. Platforms like BetterUp, backed by Prince Harry, provide personalized coaching and mental fitness training, serving companies such as Google, NASA, and Warner Media.
2. Sustainability
Sustainability is becoming a cornerstone of the hospitality industry. In Canada, eco-tourism bookings surged by 30% in 2023. The Clayoquot Wilderness Lodge in British Columbia is an exemplary model, focusing on conservation and eco-friendly operations.
Germany leads in eco-friendly travel offering unique experiences such as mud baths (images), with 50% of travellers prioritizing sustainability when they choose. Saudi Arabia plans to establish 30 eco-friendly resorts by 2030, while 65% of UK hotels have adopted green certification standards through programs like Green Tourism.
The adoption of electric vehicles (EVs) is another significant trend, with EVs accounting for about 14% of global new car sales in 2023, a sharp rise from 4% in 2020. However as an owner of an EV car, we all agree the infrastructure is not quite there yet when it comes to readily available charge points that don't cost an arm and a leg.
Retailers are also establishing take-back programs to recycle and repurpose old products. For instance, IKEA’s furniture take-back program allows customers to return used furniture in exchange for store credit, contributing to a rapidly growing resale market for apparel.
3. Artificial Intelligence (AI)
AI is revolutionizing the hospitality industry by driving innovation and improving operational efficiency. In 2024, AI usage in the U.S. hospitality sector is expected to grow by 23% annually. Notable examples include:
Popeyes utilizing AI technology for drive-thru orders across its UK estate, with customers using 'AL', a voice-activated AI assistant. 80% of UAE hotels integrating advanced technology to enhance guest experiences, such as Atlantis The Palm using AI for personalized services. The Henna Hotel in Japan (pictured) is even employing robots for various services, enhancing both efficiency and novelty.
Watch this video of the World's first fully automated restaurant:
4. Experiential Travel
Experiential travel continues to grow, with 70% of people worldwide seeking unique and different experiences. In the UK, experiential travel has increased by 30%, focusing on local and authentic experiences. The National Trust reported a 15% year-on-year increase in visits.
Munich's Oktoberfest attracts over 6 million visitors annually, with 7.3 million pints sold. The global competitive socializing market, including activities like Flight Club, TopGolf, and axe throwing, is projected to grow from $11 billion in 2021 to around $23 billion by 2028.
Food tourism contributes over CAD 2 billion annually to the Canadian economy, with Toronto's culinary tours growing by 25% year-on-year (pictured).
Adventure tourism in Brazil, particularly diving, has seen a 12% increase in interest. Meanwhile in China, new 5G nightclub experiences are being explored as solutions for struggling late-night sales.
Watch video:
Conclusion
In 2024, amid global conflicts and financial turbulence, these four trends—Health & Wellness, Sustainability, Artificial Intelligence, and Experiential Travel—highlight the progress and changes within society that we must embrace. From the growth of EV cars to the focus on self-care and health, AI-driven technologies, and the experience-seeking generation, these trends offer valuable insights for the hospitality industry.
For marketing success, adopt a "less is more" approach and focus on the trends that align with your business, making them your unique selling proposition to customers. Embrace these changes and look at your data to drive your marketing strategies.
Get in Touch
For more information and personalized marketing support, reach out to Alan Armstrong at Spaceman Marketing.
Email: Alan@SpacemanMarketing.co.uk
Phone or WhatsApp: 07462 068414
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