Trends in the hotel market
Pandox is active in a dynamic industry with several strong trends and drivers, such as increased prosperity, a growing middle class and blurred work-leisure boundaries, combined with the possibilities offered by digitalisation. The pandemic has not changed people’s fundamental need to travel.
Growing middle class
The global population is growing and so is the middle class – a factor that normally leads to increased travel. People are also living longer, which means they are looking for new experiences later in life as well. Travel often has a high priority.
Experiences more important
New generation consumers are often more interested in gathering experiences than material possessions. Typically, they are on the hunt for the best destination, the best accommodation and the best food menu. The hotel is no longer just a place to sleep, but part of a life-style. The pandemic has made people value their freedom more than before.
Digitalisation is making things easier
Digitalisation is a trend that was further reinforced during the pandemic. Digitalisation has made the world smaller and blurred the lines between work and leisure. It has also accelerated the pace of change and made it easier to book both travel and accommodation. The pandemic has increased the need for digital solutions in physical hotel environments.
Shorter distances
The majority of guests arrive at their hotel by car, bus or train. Low cost flights to both long-haul and shorthaul destinations are also a strong underlying driver in the hotel industry.
Sustainability and values
Demand for sustainable products and services is increasing as knowledge levels among consumers and in society increase. For consumers it is increasingly important for the services they purchase to match their own values. The pandemic has been a catalyst for sustainability among both companies and individuals.