Amadeus and Fast Future have launched the ‘Hotels 2020 – Beyond Segmentation’ report which says hotels must embrace extreme personalization and become ‘living innovation laboratories’ to survive the turbulent decade ahead.

92% expect total personalization around their choices and 96% thinkhotels will adopt a strong focus on strategy and innovation to address intense global competition

The report presents the findings of a major new foresight study commissioned by Amadeus – a leading travel technology partner and transaction processor for the global travel and tourism industry.

The report reveals emerging behaviors and demands of tomorrow’s hotel guest and what this means for the future strategies, business models, services and innovation approach of branded hotel groups over the next decade. The report looks to a future where augmented reality, customizable and responsive guest environments and service robots may become commonplace as guests demand deep personalization, increased comfort and innovative experiences.

The study highlights the new hotel business models that may emerge such as invitation-only hotels, hotels co-branded with luxury brands, white-label hotels and full-spectrum hotel chains that will deliver one-star budget to six-star luxury hotel properties.

Download the report

Key Findings

The study draws on a combination of desk research, expert interviews, international workshops in Delhi and Dubai and a global survey with 610 respondents. Key findings include that by 2020:

1. Guests will be able to tailor every aspect of their hotel experience

Traditional customer segmentation approaches will be replaced by personalized service spectrums and a ‘total service model’. The guest of the future will be able to tailor every aspect of their experience including technology, hotel services, the bedroom, the journey, pricing and communications.

2. The hotel of the future will be more personal, connected and responsive

With the rise of service spectrums and changing guest requirements it is likely we will start to see hotels that cater for multiple needs and demands. We will see innovations such as intelligent furniture, adaptive room environments, personalized entertainment, individually tailored nutrition and ‘thought control’ of guest facing systems and appliances.

3. Horizon scanning, anticipation and rapid implementation will become some of the hallmarks of successful hotel groups

The report details the characteristics of successful hotel chains of the future, including the ability to spot risks and opportunities, embrace open innovation, experiment, develop effective strategies and implement change programs quickly. The study highlights the central role of technology systems in helping hotel groups stay ahead and meet the needs of tomorrow’s guest.

Jérôme Destors, Director, Hotel IT, Amadeus said: “Only by looking at the global drivers and forces of change can we begin to understand the future hotel guest and what this means for hotel chains. In this report we have been able to build a compelling picture about the hotel of the future and what changing personal preferences mean for the guest experience in the next ten years. Critical to meeting the needs of future guests will be intelligent and responsive technology systems that can support hotels to evolve, anticipate changing customer needs and make the most of emerging opportunities.”

Rohit Talwar, Chief Executive of Fast Future Research and co-author of the report said: “What’s becoming very clear is that guests want far more say over the delivery of the hotel experience. In response, what we see is a shift from neatly defined customer segments to a more fragmented set of service spectrums that will demand hotels act in a way that is guest-focused, personal, connected and informed. This also opens the door for more partnerships with luxury and high street brands to enter the hotel market to create highly differentiated brand experiences.”

Survey Highlights

The global survey found that by 2020: