Trends in Luxury Hospitality

Even hoteliers have to stay ahead of the curve when it comes to industry trends. One of the key shifts, according to panelists at the GHA conference, is the rise of new source markets. "More people from Africa and Asia will be traveling," said Simon Naudi (Corinthia) with confidence. Choe Peng Sum (Pan Pacific) agreed: "The Chinese and Indian markets are exploding. Unless you know how to tap into those markets, particularly the FIT sector, you’ll miss out. That’s where the alliance can help." He emphasized how alliances like GHA can play a crucial role in accessing these markets. Still, while China and India are growing fast, the majority of GHA hotel guests – around one-third – still come from the U.S., with no signs of slowing down.

Beyond market shifts, the CEOs also pointed to evolving guest expectations. For Dillip Rajakarier of Minor Hotels, the post-pandemic traveler has a new mindset – one with significantly higher expectations that hotels must now meet. Multi-generational travel is becoming increasingly important in his properties, alongside the booming wellness trend of longevity. It’s no coincidence his company launched a Longevity Hub in Bangkok last year in collaboration with luxury skincare brand La Prairie.

Choe Peng Sum also noted a shift in guest demographics at Pan Pacific Hotels. "We’re seeing more and more young travelers – and I often wonder where they get their money from," he joked. Like Minor Hotels, Pan Pacific properties are welcoming more multi-generational families who want to vacation together. Sustainability is also rising on guests’ priority lists, paired with a strong desire for memorable, one-of-a-kind experiences.

Current Challenges for Hoteliers

If you follow the news, global politics, and world events, it might be easy to assume the travel industry is once again heading into rough waters. But the CEOs of the luxury hotel brands under the Global Hotel Alliance (GHA) see things differently – and more optimistically. "We are operating in a volatile global environment," GHA CEO CHris Hartley says, "but as an industry, we have learned to adapt and stay agile in response to these fluctuations, and therefore remain optimistic."

His fellow CEOs share that outlook. Dillip Rajakarier, CEO of Minor Hotels, doesn’t see geopolitical instability as a direct challenge. "We need to focus on what we can realistically control," he says. For him, the real issue lies in talent: "Our biggest challenge is finding the right people with the mindset luxury hospitality demands." Simon Naudi, CEO of the Corinthia Group, agrees. For him, attracting the right team starts with running hotels in a way that appeals to today’s workforce. "Only then can we attract top talent,” he states.

Choe Peng Sum, CEO of Pan Pacific Hotels Group, does acknowledge global tensions: "Geopolitics impact people’s sense of safety. That shouldn’t be underestimated – we need to be prepared."

Despite the concerns, all leaders are united on one point: luxury travel isn’t slowing down anytime soon. "Whenever there’s uncertainty, there are opportunities", says Kempinski CEO Barbara Muckermann. "We are not seeing a slowdown in travel; in fact, we believe the next five years will be exceptionally strong for our industry. China is a sleeping giant, and it’s waking up." People may rethink their priorities right now, she adds, but the future of luxury travel remains firmly on the rise.