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As we look ahead to the second half of 2025 and beyond, the hotel and hospitality sector faces a paradoxical landscape: surging travel demand on one hand and shifting traveller behaviours and expectations on the other. To navigate this evolving market successfully, hotel developers must look beyond traditional forecasting and embrace a more holistic, data-informed strategy. 

At ForwardKeys, we’ve identified key trends set to shape the future of hotels – combining air traffic data, traveller intent, and policy analysis to highlight where the smart investments lie. 

1. Global Air Capacity on the Rise

Airlines are adding capacity at pace. For international flights, global air connectivity in July and August of 2025 is forecast to grow by +7% versus 2024 – with Southern Europe leading the charge for the summer peak season. 

New routes from the United States into EU27 and UK markets also signal optimism. These increases in connectivity are not random; they reflect real booking demand and confidence in regional tourism recovery. For hotel developers, this makes Southern Europe a strategic priority for capacity expansion. 

 

2. Identifying Opportunity: Underserved Routes

One of the most actionable insights for the hotel sector comes from matching seat capacity with actual travel intent. Our analysis reveals clear gaps between supply and demand, helping pinpoint which destinations are under-served (high demand, low capacity) or under-used (high capacity, low demand). 

These insights help developers avoid overbuilding in saturated markets and instead channel investment into locations with strong, yet currently unmet, demand – a smarter way to de-risk expansion. 

3. Travel Demand Remains Resilient

ForwardKeys flight search data confirms strong demand to EU27 and UK destinations for summer 2025. Notably, countries like Belgium and Poland are registering higher volumes of searches (+28% and +13% respectively), suggesting growing interest in emerging or secondary markets. 

High-value travellers are also driving growth. Premium cabin bookings for European destinations continue to climb, particularly for Paris and Lisbon. These travellers seek elevated experiences and are willing to pay for them – making them a critical audience for upscale and boutique hotel projects. 

 

4. Shifting Traveler Profiles: Know Your Guest

Policy matters. Destinations with more flexible visa frameworks – such as digital nomad or remote worker visas – are outperforming others in attracting longer stays. Germany and Austria offer contrasting case studies: Germany’s freelancer visa aligns with younger, long-stay professionals, while Austria’s lack of a dedicated visa for remote workers correlates with shorter stays and older demographics. 

Understanding how regulations shape traveller profiles is crucial for hoteliers deciding whether to build short-stay urban properties or longer-term apartment-style accommodation. 

5. Know Your Market, Own the Season

Understanding your markets is essential for making smart, data-driven decisions. For example, while US travellers are often seen as early planners, booking patterns vary — trips to Greece are typically booked well in advance, whereas trips to the UK tend to be last-minute. These differences impact when to launch marketing campaigns, adjust rates, or manage availability, showing why market-specific insights matter. 

This kind of nuanced understanding also plays a crucial role in addressing seasonality. Greece, again, serves as a strong example: while demand peaks in summer, flight search data reveals growing interest during the off-season, particularly from long-haul markets. With the right data, destinations can tap into this demand to support year-round hotel operations through targeted promotions and improved low-season connectivity. 

“Data is no longer optional. Whether it's choosing the right location using air traffic data, understanding future guests through traveller behaviour, or building for the right season by integrating policy context, the foundation of tomorrow’s hotels must be laid with today’s travel intelligence.”

Olivier PontiDirector of Intelligence and Marketing