Luxury travel: trends and opportunities  

by | Aug 7, 2024

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by Tanya Girdhar John

Sri Lanka’s opening of its first hotel managed by an all-female team brought the attention of the world towards gender representation within hospitality workspaces. Amba Yaalu Kandalama, run by an all-female staff-from top management to maintenance-is a bold initiative given that women only comprise 10% of the country’s tourism workforce.

As we open the conversation about women in tourism and hospitality at large, there is no better time to focus on women’s impact within the sector than International Women’s Day.

Women in tourism: current impact and outlook

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Women currently make up 54% of the global tourism workforce

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In the hotel industry alone, women representation remains between 60-70%

So, where is the gender gap?

According to UN’s Global Report on Women in Tourism, majority of women in tourism work in the informal economy where they earn less and have less job security.

Female workers are underrepresented in leadership roles, currently holding less than 40% of the managerial positions within the sector.

Closing the gender gap–trends and opportunities 

Hospitality hub

The hospitality remains a hub of opportunities for women, who often dominate roles in accommodation, food and beverage services, and customer relations.

 

Rise of female travellers

The increasing number of female travellers is reshaping the travel industry. This is creating opportunities for female-run businesses that can cater to female traveller needs and preferences, such as safety, wellness, and personalised experiences.

Sustainable tourism

A 2023 study states that destinations with greater gender equality tend to have more sustainable tourism practices, showing the positive correlation between women empowerment and responsible tourism.

Entrepreneurial spirit

Women are entering entrepreneurship with ventures like boutique hotels, tour operations, and travel agencies, often with a focus on community-based tourism.

Addressing the challenges faced by women

Despite their significant contributions, women in hospitality and tourism continue to face numerous challenges:

  • Due to the gender wage gap, women in the industry often earn less than their male counterparts for comparable work which reinforces systemic inequalities.
  • Long hours or inflexible schedules, make it challenging for women who juggles family responsibilities and, sometimes motherhood alongside their career.
  • Women are often limited to stereotyped roles (i.e: receptionist, server) perpetuating traditional gender roles and discouraging them in leadership positions.
  • Many women in the travel and hospitality industries are unaware of their rights, available resources, and opportunities for professional development.
  • The lack of mentorship and resources makes it harder for women to acquire the skills and networks needed to advance their careers.

Strategies for women empowerment in hospitality

To create a more gender-inclusive hospitality and tourism sector, it is essential to implement comprehensive diversity, inclusivity and equity strategies for better employee welfare.

1. Addressing stereotypes with policy and advocacy

Industry stakeholders can advocate for policies that promote gender equality and empower women in the workplace while supporting organisations that are working to advance women’s rights in the industry. Challenging gender stereotypes within operations and in marketing and advertising materials, establishing the correct DEI strategies and awareness, addressing gender disparities in wages, and hiring and promotion practices are essential in ensuring workspaces remain safe and healthy and will encourage more women to participate within the industry.

2. Technology utilisation

Technology bridges the opportunity gap for women in tourism, enhancing access to training and mentorship and providing online platforms for them to connect, share resources, and network. Technology tools like mobile apps can also be used to promote women-owned businesses. In addition, effective roster management systems, cloud services that enable remote working, or performance tracking that alleviate biases in promotions and other opportunities will create workplaces that foster employee equality and equity.

3. Education and mentorship

UN Tourism has partnered with UN Women and external partners worldwide to bring gender issues to the forefront of the tourism sector. Similar initiatives, not only at the international level but also at regional and local levels, provide opportunities for women to learn and access equal opportunities within the industry. Scholarships, leadership training, financial literacy, entrepreneurship opportunities and networking opportunities for aspiring professionals are also helpful.

4. Flexible work arrangements

While equality is crucial in the industry, so too is equity; understanding and addressing the needs unique to women. For instance, on-site childcare facilities or childcare subsidies can make it easier for women to return to work after having children. Oftentimes, social responsibilities for women differ from their male counterparts, demanding their attention for other activities such as feeding hours. In such instances, flexible work schedules and remote work options enable women to balance work and family life.

Find the right technology solutions to empowers your employees. Book a Demo Today

Accelerate action for an empowered future

Imagine an industry where people are equally represented at all levels—from entry-level positions to C-suite executives—and empowered to reach their full potential, with their unique skills and perspectives creating a more inclusive, innovative, and sustainable future. As International Women’s Day 2025 urges all to accelerate action for gender equality, industry stakeholders are called to accelerate their commitment to realising the vision of gender equality within the sector. 

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In this blog

The global luxury travel market is booming. Not only is there an increasing spending by elite travellers to visit new places, but the preference for micro trips, escapism, and experience economy is also giving rise to the rapidly expanding tourism sector across the globe. The market is fuelled by the shifting customer behaviour of paying more for a truly memorable experience.

Who is the luxury traveller?

Contrary to popular belief, luxury travellers do not always mean “wealthy travellers.” For each group, luxury means a different experience.

  • Aspiring luxury: Often millennials, they are known for being digital savvy and their quest for unique, culturally immersive experiences. They love novelty, culture, history, and authentic experiences, as highlighted in a 2024 McKinsey State of Tourism Survey.   
  • Absolute luxury:  Absolute luxury is sought out by a small percentage of travellers with disposable income, who often fall under the baby boomer label and are considered high-net-worth individuals. Their idea of luxury extends to extravagant experiences defined by opulence and careful curation. 

Opportunities in the luxury travel market

Consumer behaviour trends in luxury tourism open new avenues for hospitality service providers.

1. Offering exclusivity

Those seeking barefoot luxury, which allows complete relaxation, prefer an exclusive “VIP” treatment that makes them feel like royalty. This treatment starts before the guest arrival and last throughout the stay; the hotel reaching out to guests with targeted websites that adapt to their language, targeted social media content, pre-stay questionnaires to record preferences, in-room services and guest servicing systems during the stay, post-stay feedback forms and finally, post-stay engagement messages.

Getting to know key details about the guests, catering to their needs, and maintaining an excellent post-stay guest relationship can make the guests feel valued and taken care of. Businesses further enhance the experience with room customisation, mobile-controlled in-room technology, smart guest engagement applications or in-room tablets. Luxury translates to absolute convenience; where the guest does not have to move at all to request a new towel to the room or adjust the room temperature.

2. Photogenic moments

Most modern travel and experience cultures are defined by Instagrammable moments. Ensuring a destination or an experience is ‘Instagrammable’ may not always be easy, but this is where guest data can come in. Looking at consolidated guest data and reports on a hotel’s ERP system to understand what guests love most about a property gives brands the foundation to work on selling the right experience. As social media becomes an important channel to communicate and connect with audiences, it is also encouraged to enhance guest-preferred experiences and highlight them on a brand’s official social network pages.

Hilton remains one of the best hospitality brands that have successfully implemented this strategy, highlighting the experiences exclusive to their brand on their social media. One such experience was rooms inspired by last year’s blockbuster success Barbie (at Hilton Bogota Corferias). The Aladdin suite (Hilton New York Times Square), complemented by tickets to the Broadway production of the story, is another example from the same group, promising and delivering the ideal Instagrammable moments that are popular during specific times of the year.

3. Branded experiences

Consumption of branded goods and services has always been a marker of luxury, and this is particularly popular among aspiring luxury travellers who use branding to validate their sense of luxury. This leaves an opportunity for hotel brands to explore. For example, offering branded products or services priced for the segment of aspiring luxury travellers, such as affordable amenities at luxury destinations. These types of branded experiences also extend to experiencing branded lifestyles within luxury resorts.

Branded experiences can come from outside the sphere of hospitality, where the industry partners with luxury lifestyle or fashion brands. For example, at the Beverly Hills Hotel in Los Angeles, visitors can shop for a limited-edition Dioriviera capsule collection. Beyond partnerships, a new trend in the market is luxury brands—lifestyle, fashion, automative etc.—expanding their offerings into hospitality and exploring their opportunity within the markets. The Bentley Residences in Miami and the Bulgari Resort in Dubai are some of the renowned properties maintained by these brands.

4. Diversified offerings

Diversification in the luxury market entails understanding the audience’s multigenerational nature and their spending capacity, a fact that was considered during Shangri-La’s multigenerational strategy. The Group’s launch of the Shangri-La’s family experience brand Fam.ily™ will create experiences for multigenerational families, even providing guests the support for their parenting journeys. According to Kuok Hui Kwong, chair of Shangri-La, there is a rise of a new generation of luxury consumers who wants to share experiences and quality moments with their families.

Other diversified offerings include out-of-the-box amenities that include more than just plush rooms. Instead, think of cooking classes with celebrity chefs, private wine tastings, or VIP access to cultural events—an easier feat to accomplish if the hotel leverages its guest data system and loyalty programs right.

How to make the most of your guest data to optimise your offerings? Discover now!

Creating opulence takes effort

The idea of luxury goes beyond simple offerings of having a personal butler. It is a segment defined by what defines most of the modern travellers, experience. Brands that tap into this market need to be crafty with their offerings, understand the preference of each segment, and provide exclusive offers created through the right combination of technology, marketing, partnerships, and personalisation.

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Nandika Udupihilla | IDS NEXT

Author

Nandika Udupihilla

Vice President & Country Head, Indian Ocean – Sales

Nandika is responsible for the Sales and Operations of the Indian Ocean Region, looking after Sri Lanka, Maldives, Seychelles and Mauritius. His years of expertise in IT and strategic management have helped contribute to streamlining the technological needs of IDS Next's global clients.

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