Riding the wave of travel normalcy in 2023

2023 is set to be another defining year for the travel industry. In the last few months, we saw signs of travelers truly moving past pandemic concerns, with 67% of consumers planning a leisure trip in the next 12 months, while 35% say that travel has become even more important to them since the pandemic. We also saw China lifting its travel restrictions - a move that expects to further propel the recovery of Asia Pacific’s travel industry.?

This aligns with the optimistic outlook we have at Marriott International. Travel demand remains strong with a robust global booking trend, and we’re not seeing signs of a slowdown. Throughout 2022, we saw the power of travel in connecting people when we welcomed guests back to our properties across the world. To inspire more of these purposeful journeys and unforgettable moments, we are targeting to add more than 100 hotels in Asia Pacific in 2023, adding to our portfolio of 1,000 hotels in Asia Pacific, a milestone we recently celebrated with the opening of The Ritz-Carlton, Melbourne.?

“We believe our broad portfolio of brands, award-winning Marriott Bonvoy loyalty program, dedicated and empowered associates, and well-established owners & partners in each market, position us very well for future growth”

Luxury travel flourishes

Increased travel prices may be expected in 2023 but this will not deter travelers from taking flight –airlines in the region are reporting a 500% jump in demand. In fact, the luxury travel segment is expected to flourish as consumers increasingly seek experiential and purposeful travels that will enrich their lives. For instance, when Formula One returned to Singapore in 2022 after a two-year hiatus, Marriott Bonvoy members redeemed more than 12.5 million points for VIP access and once-in-a-lifetime moments with the Mercedes-AMG PETRONAS F1 Team, and we continue to see similar enthusiasm for experiences at the Australian Open and the recent Australian Grand Prix.?

International business trip spending expected to pick up pace

Even though businesses will approach budgets more cautiously, corporate travel spending is expected to increase – forecasted to be 32% higher compared to 2019. Today, planners want more flexibility than ever and expect hotels to have both the technical capabilities and human expertise to deliver.?

The key challenge for hospitality lies in how we can continue to deliver the highest level of quality and service, while keeping up with the increased expectations and shifting priorities of travel planners and business travelers. Recognizing this, Marriott’s latest “Spark This Moment” campaign hopes to inspire business travelers to spark connections and create memorable moments by showcasing how they can maximize their business trips across meetings, events, culture, culinary, connections, and sustainability.?

As a people-centric industry, we must take the lead and set new benchmarks for talent recruitment and retention that are aligned with the evolving priorities of today’s workforce. The World Travel and Tourism Council (WTTC) predicts that the global travel industry will add 126 million new jobs over the next decade, with 65% of them in Asia Pacific. In this competitive talent landscape, fair compensation alone is no longer a differentiator. We must also provide robust opportunities for career development, mentoring, leadership, and, most importantly, create a diverse and inclusive work culture where employees feel valued. To that end, we recently launched our new people brand, “Be”, to empower associates towards a fulfilling career that integrates both work and personal goals.

Building a more resilient travel future

If 2022 was the year of recovery, 2023 will be the year for us to build an even more resilient industry that can help us to weather future storms. While the global economic picture is uncertain, demand remains strong. We must continue to exercise diligence and flexibility to stay the course towards recovery and growth.?

Looking forward, travelers will continue to expect exceptional service while holding the industry accountable for their sustainability commitments and business practices. Thus, the industry must work collaboratively to build a more resilient future for travel, which will help us to become more agile in navigating today’s social-economic environment while ensuring that we remain hyper-focused on customer satisfaction and employee engagement.?