As we do every year, we offer our take on the top 10 trends we see playing out in the hospitality world next year:

Coined by Wall Street Journal editor Jacob Passy and promoted by Hotel News Now Editor Stephanie Ricca, this is a new term for "bleisure," the combination of business and leisure travel that has emerged from those who continue to work remotely. The use of remote offices has become commonplace for many industries and is not merely a passing trend. Hotel public spaces and hotels with restaurants and bars have a chance to capitalize on this trend by adapting their offerings to meet the needs and wants of this emerging segment. This means free high-speed internet, ample plug sockets and great coffee.

How we interact with our guests will enable increased value creation in 2023. This requires us to genuinely think about the value proposition that our specific hotel offers. Identify what makes your market unique and tailor your efforts to reach this targeted guest segment by appealing to the guests that have grown to expect customized recognition and to be treated as individuals.

This is something that Gen Z and Millennial travelers especially are passionate about. Even healthy Baby Boomers want to do more aggressive sports activities. Hotels situated near immersive nature experiences are well-poised to benefit from this trend in 2023.

It is clear that employees who stepped up during the pandemic are now supervisors or even managers, and many of them have received limited to no training. This must change, as what has occurred is an elimination of middle management and promotions from line employees to middle management.

This might include food and beverage extravagance, captivating escapes, cannabis travel and/or spiritual experiences. Today’s travelers seek meaningful experiences that create stories worth sharing. Travelers seek to make a positive difference in the places they visit, from environmental initiatives to authentic cultural connections. Creating an immersive experience that identifies with the “why” of travel creates a huge opportunity to share options with guests who are traveling with a purpose.

Sustainability and diversity are top causes for socially conscious travelers, but mental health is becoming a big focus. The Global Wellness Institute expects to see a 21% annual growth in the wellness tourism industry — that means more events focused on holistic health, including meditation, physical activity and farm-to-table food.

Many will continue to travel to destinations closer to home throughout 2023. Between airline price hikes and the complicated bureaucracy involved in going abroad now, many deem foreign travel too expensive or not worth the hassle. There are many reasons vacationers stateside may choose to stay closer to home, including budgeting or environmental reasons. Those who operate in tourism-rich, drive-to markets will reap the rewards of uninterrupted demand.

Travelers are decreasingly seeking lavish displays of wealth, and instead prefer to spend wisely. With the somewhat grim economic forecast for 2023, the budget-friendly travel segment will increase. Minimalism has reinvigorated the age-old saying “less is more.” Limited and select service properties should keep a close eye on rates, especially during shoulder seasons, so they can capture a greater market share.

The trend toward digital and contactless services has gained new momentum. Make sure your check-in mobile keys and contactless payment processors are being monitored and maintained as complaints are frequent.

This is finally commonplace after being declared a trend years ago. Preventive medicine and self-care are undisputedly trending due to the fallout from the pandemic. Travelers will still indulge but will prefer a better fitness center, outdoor activities and healthy food options. The full-service segment should carefully watch this rapidly growing demand for personalized treatment plans delivered by experts when modeling their spa department revenue outlook.

By cultivating innovative responses to this ever-changing landscape, hoteliers can continue to reinvent themselves in the face of various disruptors expected over the coming year. There will always be increasing importance for bigger and better technology in the hospitality industry, but we are now seeing the importance of identifying our unique value proposition when developing our business plan.

We must define ourselves by more than what we sell. There must be a story that a guest tells about their experience. Otherwise, we are just another place.

Here’s to creating your recipe for success in 2023 and beyond!

Robert A. Rauch is founder of R.A. Rauch & Associates, a hospitality management and consulting firm based in San Diego.

Sarah Lynch contributed to this article. She is the assistant general manager of hotels in the RAR Hospitality portfolio.

The opinions expressed in this column do not necessarily reflect the opinions of Hotel News Now or CoStar Group and its affiliated companies. Bloggers published on this site are given the freedom to express views that may be controversial, but our goal is to provoke thought and constructive discussion within our reader community. Please feel free to contact an editor with any questions or concern.

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