Growing numbers of hotel operators are focused on finding and expanding alternative revenue avenues to maintain and enhance profitability.

Matthew Pohlman, a partner at law firm Goodwin and co-chair of the firm’s global hospitality and leisure practice, says co-working spaces, innovative food and beverage concepts, and wellness offerings are all focal points for hotel owners and operators as sources of revenue growth. “Coming out of COVID, stakeholders have been looking at the box that constitutes a hotel with a bit more rigour than the pre-pandemic period,” he says. “Akin to a heat map, [they are analysing hotels] to understand where guests and visitors spend time. And some lessons have emerged, revealing meaningful inactivated spaces that are often dormant and non-revenue generating. This results in questions regarding whether those areas have potential uses that may lead to a higher level of activation or engagement — and therefore revenue.”

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