In today’s hospitality sector, discussions among hoteliers invariably lead to artificial intelligence (AI). Announced as a transformative force, AI is poised to redefine everything from guest services and dynamic pricing to predictive analytics and content creation. However, a significant gap exists between this potential and its current implementation. This raises critical questions: what is the true state of AI adoption in the industry and what primary obstacles are impeding its progress?
To find out, we surveyed over 1,500 hotels across six European countries between January and April 2025 in collaboration with hotel associations from Austria, France, Germany, Greece, Italy, and Switzerland as part of a follow-up to a 2023 baseline study. The results are clear: AI adoption is advancing, but gaps remain between intention and execution.
Strong Intentions, Patchy Implementation
There is no doubt that hoteliers are interested in AI. When asked where AI could be most useful, 68% of respondents pointed to reservations, followed by marketing (62%), customer relationship management (51%), and data analysis (49%). The sector sees AI as a lever for performance, personalisation, and operational control.
— Source: HES-SO Valais-Wallis
However, actual usage lags behind. Adoption levels remain modest but are increasing. 41% of survey hotels use AI. While 43% of hotels report not using AI at all, 16% plan to adopt it in the near future. Active usage is concentrated among recent adopters: 29% have implemented AI within the past two years, while only 4% have more than three years of experience. These findings point to an early-stage market, with momentum beginning to build through experimentation and pilot applications.
— Source: HES-SO Valais-Wallis
The only truly mainstream applications among hotels having adopted AI are content generation tools like ChatGPT or Gemini, used by 74% of hotels, and online review analysis (44%). Beyond that, adoption drops quickly: real-time revenue management is at 42%, guest personalisation services at 38%, and predictive analytics at 37%. More advanced or infrastructure-heavy technologies like chatbots (31%), facial recognition (2%), robotics (3%), and waste analytics (8%) remain marginal, confirming that most hotels are still focused on easy-to-implement, guest-facing tools.
— Source: HES-SO Valais-Wallis
What’s Holding Hotels Back?
AI is not being held back by lack of enthusiasm but by limited knowledge and capability. The most cited barrier in our study was “poor knowledge of available AI solutions” (39%), followed by high setup costs (35%), technical complexity (34%), and lack of technical skills (32%). These challenges are especially acute for smaller and mid-sized hotels, which often lack the internal resources to manage tech upgrades.
Concerns over data privacy and integration hurdles are also prominent, particularly among larger hotels with complex legacy systems. Meanwhile, many hotels still express uncertainty about ROI, suggesting that AI’s promise remains unproven for some operators.
— Source: HES-SO Valais-Wallis
High Expectations, Measured Outcomes
Interestingly, among those already using AI, perceptions are more upbeat. On a 1-to-10 scale, hotels rated the overall benefits of AI at 6.6, with a median score of 7.0. 23% rated the benefits at 8 out of 10, and another 14% gave the highest score, while only 5% said they had seen no benefit at all.
The most frequently mentioned advantages include time savings (76%), improved communication (54%), and enhanced operational efficiency (51%). Strategic or transformative outcomes, such as sustainable development or automated guest journey design, remain niche, confirming that AI is currently seen as a performance enhancer, not yet as a revolutionary force.
From Hype to Hospitality Impact
We see this as a transition from the “curiosity phase” to the “operational anchoring phase” of AI in hospitality. Hotels are experimenting, but not yet scaling. To advance, vendors and tech providers must translate AI into tangible workflows, improving pricing in volatile markets, easing staff shortages, and enabling smarter communication.
The survey also reinforces that AI in hospitality is not one-size-fits-all. Smaller hotels need plug-and-play tools and training support; larger hotels require data governance frameworks and change management. Mid-sized properties, caught in between, must overcome internal inertia and fragmented tech stacks.
Where Do We Go From Here?
AI is no longer a distant promise for the hospitality sector, it is becoming a core component of strategic transformation. In a market shaped by rising customer expectations, staffing constraints, and increasing digital complexity, hoteliers can no longer afford to treat AI as a fringe experiment. True value comes not from isolated tools, but from integrating AI into a broader digital strategy that aligns with business goals, guest experience ambitions, and operational realities.
The path forward requires more than plugging in new software. It demands leadership commitment, staff involvement, and a shift in mindset, towards innovation, agility, and continuous learning. As hotels navigate this complex landscape, AI should not be viewed as a threat to traditional hospitality, but as an enabler. When thoughtfully deployed, AI empowers teams to focus on what they do best: delivering personalized, high-quality experiences. The future will belong to those who can pair human warmth with intelligent systems and lead their organizations through the next wave of digital transformation.
Roland Schegg
Full professor UAS
+41 (0)58 606 90 83
HES-SO Valais-Wallis
View source
Please visit:
Our Sponsor