From rising costs and shifting guest expectations to the surge in blended travel, hotel leaders are tackling a range of challenges shaping the hospitality landscape. Hotel Business caught up with Jolyon Bulley, CEO, Americas, IHG Hotels & Resorts; Jeff Doane, chief commercial officer, Omni Hotels & Resorts; and Jeff Wagoner, president/CEO, Outrigger Hospitality Group, to see how they are facing these challenges.
—Gregg Wallis
What is the biggest challenge your brand is facing in the current hospitality environment, and how are you addressing it?
Bulley: We’ve been working closely with our owners, developers and supply chain partners to navigate the macroeconomic volatility that impacted our industry in the first half of the year. However, we’re cautiously optimistic that we’re past the peak of uncertainty given the emergence of rate and inflation stability, low unemployment numbers and trade talks turning into trade deals.
More broadly, we’re focused on ensuring our 20 brands stand out for travelers and owners in an increasingly crowded marketplace. This push for identity and distinction already is generating traction for several of our new brands, and we’re already hearing great buzz among owners for our new Ruby hotels premium brand ahead of its planned U.S. availability later this fall.
Doane: The current environment demands agility, particularly when it comes to navigating short-term economic uncertainty, evolving trade policies and rising inflation. As a privately held, family-owned brand, we have the advantage of taking a long-term view, but we’re not immune to the realities shaping the industry right now. Despite these concerns, we are able to put our customers first by enhancing their experience through product and service improvements.
Wagoner: One of the biggest challenges today is managing rising costs while continuing to deliver the kind of experience guests expect. At the same time, the resort marketplace has never been more crowded, with many brands competing for attention. Outrigger addresses both by staying true to barefoot luxury and investing in Signature Experiences that set us apart, such as the Cirque du Soleil resident show at Outrigger Waikiki Beachcomber Hotel, which has already become a major draw.
How have guest expectations evolved over the past year, and how is your brand adapting?
Bulley: IHG offers a stay for every traveler and occasion. The common factor is a focus on exceptional service, local connections and thoughtful design—whether that’s in delivering the basics for value-conscious guests; helping business travelers balance productivity and relaxation; or welcoming those seeking a luxurious retreat.
Our six Luxury & Lifestyle brands are adapting their services and offerings to match travelers’ growing prioritization of once-in-a-lifetime memories. Through our loyalty program, we can create personalized itineraries ahead of guests’ arrivals. We also tailor specialized welcome gifts and in-room amenities to guests’ interests and offer diverse programming that capitalizes on these desires for bespoke environments and a sense of place (such as highly personalized wellness experiences at our Six Senses resorts).
Jeff Doane
Omni Hotels & Resorts
Doane: We’re seeing a shift toward more personalized immersive travel. Guests want more than comfort—they want authentic experiences rooted in the destination. With that in mind, we’ve debuted curated Signature Experiences unique to each property, from private fishing expeditions with resort chefs at Omni Amelia Island to unique forest bathing experiences at Omni Bedford Springs. We’ve also evolved our Select Guest loyalty program to reward cumulative spend across stays and layered in destination-specific perks. It’s a practical evolution that reflects the convergence of business and leisure travel, while ensuring every stay feels locally authentic.
Wagoner: Over the past year, we’ve seen stronger demand for cultural authenticity, wellness and sustainability. At Outrigger, barefoot luxury means creating experiences where travelers can feel the ocean, connect with local traditions and relax in comfort. Whether it’s reef-safe initiatives, live music on the beach or wellness offerings, we’re adapting to meet guests where their values and desires intersect.
What trends are you seeing in demand across your portfolio, and are there any notable shifts in business versus leisure travel?
Bulley: Our global leisure, business and groups segments all enjoyed year-over-year revenue gains in the first half of 2025. Additionally, blended travel demand continues to grow. Crowne Plaza’s 2025 “Leading the Charge in Blended Travel” white paper found that two-thirds of U.S. and U.K. travelers combine business trips with personal leisure time, up from 53% in 2022. For IHG, this emphasizes the need for our branded properties to offer spaces and amenities that balance guests’ need for productivity with their desire to relax, unwind and explore.
Doane: It’s clear that the previously noted uncertainty has led to both our leisure and business customers being somewhat tentative in their decision-making. For all segments, this has led to a much shorter booking window. Despite this, Omni has fared well as we are seeing more customers choosing Omni over our competitors. Leisure demand has shown good growth over previous years, while group and business travel has rebounded in a way that’s more diversified than before. We’re leaning into that balance by designing properties and programming that serve both segments.
Jeff Wagoner
Outrigger Hospitality Group
Wagoner: Leisure travel continues to be the strongest driver across our portfolio, particularly as guests prioritize beach destinations. What’s exciting is the rise of blended travel, guests extending vacations with remote work or combining leisure with small group gatherings. Our resorts are naturally designed for this shift, offering the balance of work-friendly comfort and the authentic, local experiences people crave when they log off.
How are rising interest rates and economic uncertainties impacting your development pipeline or investment decisions?
Bulley: Our continued strong development activity reflects owners’ confidence and interest in building or converting to IHG branded hotels. We opened a record number of global rooms in the first half of 2025 and recently surpassed more than one million open global rooms.
Amidst some challenging conditions, IHG maintains a role as a connector for our owners by linking them with the financial institutions and partners who can best support their projects, or negotiating favorable supply chain terms.
Our development pipeline also reflects owners’ growing interest in quicker-to-market conversions. Conversion projects represent more than half (57%) of all 2025 global IHG room openings thus far. The faster ramp up times and quicker access to IHG’s leading global enterprise have boosted popularity for our conversion-friendly brands—such as Vignette Collection, voco hotels and Garner hotels—and the perception of conversions as a “win-win” for IHG and owners.
Doane: Rising interest rates and economic uncertainty certainly add complexity, but they haven’t slowed our commitment to growth. We’re able to make strategic investments that we know will deliver value for decades, not just quarters. Our $1.5 billion reinvestment plan is focused on high-impact projects: restoring legacy properties with built-in character, while continuing to expand into strategically selected markets
Wagoner: Like all hospitality companies, we’re mindful of interest rates and global uncertainty. But our approach is disciplined and long-term. We focus on projects that are a natural fit for barefoot luxury in premier beach resort destinations. That strategy, paired with strong partnerships, allows us to navigate short-term cycles while building enduring value.
What role does technology play in your brand’s strategy?
Bulley: We’re continuing to explore the full capabilities of modern hospitality technology but recognize its power to solve business challenges for our guests, owners and organization. In evaluating potential digital innovation, we ask three key questions: How would a tool, program or upgrade help promote our hotels? How would it optimize our operations? And, how would it improve engagement between hotel colleagues and guests?
Through this approach, we’ve developed and deployed a powerful and connected ecosystem across our global portfolio. Our focus on cloud-based technologies removes operational burden from our hotels. Our focus on AI boosts colleague efficiency while unlocking new areas of growth. Our focus on value-based solutions mitigates costs for hotel owners. And our shift from homegrown to best-in-class, third-party solutions keeps IHG at the forefront of technological change.
Doane: Technology is a critical enabler for us, but we’re intentional about using it to enhance, not replace, the high-touch hospitality Omni is known for. Operationally, we’re leveraging digital platforms to drive efficiency without compromising service—whether that’s smarter inventory management through our diversified supply chain, enhanced forecasting for group business or data-driven insights that help each property tailor its programming to guest preferences. The goal is simple: blend operational agility with a guest experience that feels effortless, personal and distinctly Omni.
Wagoner: Our focus is on using technology to enhance the guest experience. We’ve integrated AI into our call center, which allows us to respond faster and more accurately to guest inquiries while freeing our hosts to handle more complex or personal needs. Looking ahead, AI will also play an important role in personalization, helping us anticipate guest preferences and tailor recommendations. At the same time, tools like real-time service requests continue to streamline the journey.
Looking ahead to next year, what is your outlook for growth and performance, and what gives you the most optimism or concern?
Bulley: We’re monitoring the latest economic and industry developments but remain optimistic for the months ahead. Our Americas development momentum includes a pipeline that sits at more than 1,000 hotels and nearly 106,000 rooms. On the broader scale, we’re encouraged by recent trade agreements and believe we are past the “peak macroeconomic uncertainty.”
We’ve also been reminded of hospitality’s resilience, and how people maintain a fundamental desire to travel and physically interact. In fact, the WTTC predicts that travel will contribute a record $12 trillion to the global economy this year. The combined power of our enterprise platform and leading brands positions us to capture our share, and we’ll continue to evolve our strategy to drive our brands and business to their full potential.
Doane: Our outlook is strong as we continue to make high-impact reinvestments across the portfolio. Projects like Omni Fort Lauderdale Hotel, opening in Q4 2025; our first international resort Omni Pontoque Resort at Punta de Mita, opening Q4 2026; Omni Midland Hotel, opening Q4 2027; and Omni Raleigh Hotel, opening Q4 2028, are strategically positioned to capture both domestic and international travelers.
On the group side, our convention-connected developments and experiential meeting offerings position us well to serve a market that’s increasingly blending business with leisure.
Wagoner: The Hawaii market has been somewhat soft this year, which has moderated overall performance. At the same time, we’re optimistic about the return of international travel, particularly from Asia, which we expect to strengthen meaningfully in 2026.
Encouragingly, we’re already seeing green shoots from Japan—an important source market for Hawaii—which gives us confidence as we move into the new year. One of our advantages is our diversified footprint across Asia-Pacific and other premier beach destinations, which helps balance market-specific fluctuations. We’re also expanding strategically, with Outrigger Phi Phi Island Resort in Thailand opening in Q4 2025.While near-term dynamics vary by market, the long-term demand for authentic resort experiences remains very strong, and that positions us well moving forward.
