Among the highlights, the talk by journalist and CBS News travel editor, Peter Greenberg, brought a critical analysis of what brands should avoid in 2025.
With his vast experience covering the industry and as a frequent guest at hotels of different categories, Greenberg issued a warning: a financial mindset based solely on cost-cutting is hurting hospitality and customer loyalty.
The Danger of Commodifying Experience
Greenberg began his talk by highlighting a common mistake: prioritizing price over value. He drew a parallel with the airline industry, where the relentless pursuit of savings has made service a tiring and impersonal experience.
"Airlines focused so much on cutting costs that they forgot about the passenger experience. The result? They lost trust, reputation and customers to competitors who understood the real value of loyalty," he said.
The same logic, according to Greenberg, is being applied to the hotel sector, where many chains are following the path of airlines, eliminating essential services and charging extra fees that devalue the guest experience.
Loyalty Programs without Loyalty
Another point raised was the ineffectiveness of loyalty programs. "Today, these programs no longer reward customer loyalty, only how much they spend," he criticized. As an example, he cited American Airlines, which changed its Concierge Key program, excluding 85% of its most loyal members for not spending enough.
The result? Affluent customers have migrated to competitors, taking thousands of bookings with them. The lesson for the hotel industry is clear: valuing the guest experience generates more returns than simply seeking short-term savings.
The Importance of Service and Team Decision-Making Power
Greenberg also highlighted cases where common sense and employee autonomy made all the difference. He told the story of a hotel in Washington, where a mistake in changing bags almost ruined a guest's important presentation. The hotel's doorman resolved the situation proactively, without bureaucracy, ensuring not only the guest's satisfaction, but her permanent loyalty.
"What this employee did was simple: he acted with logic and empathy. The problem is that, today, many hotels remove the decision-making power from their employees, making the service rigid and inefficient," he warned.
The Mini Bar Error and Perceived Value
Greenberg also criticized small savings that end up costing a lot, such as removing items that guests value. He cited the case of a London hotel that eliminated traditional mini-bars, replacing them with refrigerators stocked with free snacks and drinks. At the same time, they raised the room rate by £30. The result? Occupancy rates went up, and guests began to see more value in the experience.
"Small cost cuts, like charging for bread at an expensive restaurant or removing a premium sundae to save a few dollars, devalue the customer's perception. The focus needs to be on value, not just price," he concluded.
The New Hospitality for 2025
Greenberg’s takeaway message was clear: to stand out in 2025, brands need to stop following the airline industry’s mistakes and focus on the real customer experience. This involves:
- Develop a text that values genuine loyalty, not just financial expenditure;
-Trust the team to make quick and efficient decisions;
- Avoid cuts that devalue the guest experience;
-Prioritize perceived value over simple cost reduction.
The hospitality of the future will not be measured solely by occupancy rates or financial statements, but by the ability to create memorable experiences and trusting relationships with customers.
Report and photo: Mary de Aquino.