5 Key Takeways from ITB Berlin 2023

ITB 2023 was a whirlwind of learning about new trends, exploring brands from around the world, and meeting so many new wonderful people. During the three days, our team went to different talks on travel in the future, sustainability trends, hotel tips and tricks, the use of technology, and so much more. 

We learned important facts like 40% of hotel revenue is spent on marketing and distribution and we investigated the new innovations in hotel tech. We came away from ITB exhausted but with so many new trends and insights we want to share with you. To keep it short and sweet, here are our five key takeaways from ITB Berlin and what they mean for 2023 and beyond.

The Key Takeaways

Staff shortages are one of the biggest pain points

Employment in the tourism industry is down by 20% with employee experience suffering despite a salary increase of 20%. Right now, there is a lack of skilled workers within the travel industry with most entrepreneurs agreeing that companies are missing the right people. The workers within the travel industry are what make or break a brand, as employees are the ones that strive to create the perfect experience for the customer. Therefore, those at ITB put it simply: happy employees = happy guests. 

Moreover, despite the 20% increase of salary for workers in the travel industry, employers are struggling to cover basic expenses such as healthcare which is also contributing to the lack of staff. These factors, paired with the difficult application process, are key catalysts of the shortages. 

A solution to this issue is to make it as easy as possible for potential employees to apply to your company and keep an open mind to those applicants. It’s important to remember that we need different people for different types of problems.

Community > Amenities

We’ve talked about this before and we are saying again – it is THAT important – tourists want meaningful and local experiences. When they travel, people want to feel like the locals within their chosen destination, they don’t want to feel like outsiders. Amenities are no longer as important to consumers and while offering beautiful accommodation is significant to travel, travelers are looking to get involved or give back to the local community.

They also want to see your brand getting involved with the community. You can engage with locals by donating meals to your local children’s association or demonstrate your commitment to community service by dedicating hours to community projects. Since travelers want to see more of the local community, try to implement this into your business by including them in your staff or incorporating them into your entertainment. This can be done by hiring locals as tour guides, or performers for events and concerts. 

Once consumers see you are engaging both your brand within the local community as well as customers who choose to book with you, they will naturally gravitate towards the more authentic experience you are providing them. Include your work with the local community in a sustainability report and highlight it on social media. It is crucial to report the real impact of how you give back to your local community.

Stats are not reflective of reality

Booking.com states that 81% of travelers want to stay in more sustainable accommodations, however less than 10% actually do. Moreover, only a few of that 10% carbon offset their travel emissions. This proves that there are still many ways we can improve sustainable travel.

While the sustainability side of your business is incredibly important, most people don’t recognize that it also comes with a price. In order to engage your customers with your brand, you need to offer them something that is worth that price while advertising sustainability on the side. Furthermore, it is important to highlight all pillars of sustainability – environmental, social, and economic. 

Since customers increasingly want more interaction with local communities – this being an element of sustainability – start advertising your green business by showing them how you engage with your community and can help customers engage with the community as well. 

Travel will increase to 40 billion trips per year

ITB gave us a lot of valuable insight as to where travel is going. It is predicted that by 2040, 40 billion trips will be taken per year with carbon emissions estimated to increase by 169% by 2050. This means that the travel industry is rapidly increasing for both domestic and international trips. If travel continues to increase, it is critical that businesses become more sustainable to combat the negative effects of the 8% of carbon emissions for which the tourism sector currently accounts for. We need to make sustainable travel attractive and accessible to all travelers to ensure a green and healthy world.

Experiential travel is on the rise as tourists increasingly want to travel experiences that help them return better than they came. These trends include sleep tourism, healing and wellness holidays, life stage retreats, and psychedelic immersions.

Right now, human rights is one of the most important topics of tourism. ITB taught us that putting people first is the most important message, making it a key point for tour operators and hotels to focus on. By putting people first, it is important that brands conduct risk assessments of their destinations – both getting to and leaving – as well as consider all employees and customers that may be impacted by any decisions made as a company.

Investment in the local community and new tech is the secret to hotel success  

The pandemic saw a huge change in the way people work, with 2-3 days a week dedicated to working remotely. This means that working in hotels, cafes, or restaurants has become more popular, making them more busy. 

To keep up with this trend, it is important that brands focus on creating a good experience for all customers, not just those who are staying with them. By offering amenities to both travelers and locals, you can make your business the place to be as a local – integrating your business into the local community – which in turn will make it more appealing to travelers looking to experience local life.

Technology is another important change to guest experiences in hotels. It is predicted that the market valuation of hotels that adopt technology to improve their guests’ experiences will grow four times over the next ten years.

Google has dominated search engines for years which is why it is so significant that businesses learn how to use it to their benefit. When using Google for organic search, make sure that your rates, availability, and information are all up to date and available on Google. This will make your hotel more likely to appear in their free suggestions feature. Google is one of the best ways for customers to learn about your brand, so make sure to optimize its usage. 

As you can gather, we gained significant insight into the newest trends, met some amazing brands and people, and learned a lot about what we can do to further the sustainable cause. We hope to see you next year at ITB Berlin 2024!