Hotel Food Strategies Shift as Guests Prioritise Local Dining

Guest Preferences Drive F&B Strategy

Questex consumer research, presented at The Hospitality Show last week, reveals a notable change in guest dining habits. The study found that 44 percent of hotel guests actively choose not to utilise on-property food and beverage services, primarily motivated by a desire to explore local culinary experiences.

This insight, discussed during a session moderated by Brandy Rand, Vice President and Market Leader of Hospitality at Forge, highlights a growing challenge for hoteliers aiming to position their establishments as comprehensive dining destinations.

Industry leaders, including Davidson Hospitality Chief Operating Officer Jason Reader, Wyndham Hotels & Resorts Chief Commercial Officer Scott Strickland, and The Ritz-Carlton Bal Harbour General Manager Fabien Gnemmi, addressed these evolving preferences, exploring how properties can make their restaurants and bars competitive against external options and third-party delivery platforms.

Hotels Embrace Local Integration

Instead of attempting to restrict guests to on-site dining, hotel executives now advocate for integrating with the local food scene. Fabien Gnemmi of The Ritz-Carlton Bal Harbour suggested that hotels should act as guides to the surrounding community, believing that assisting guests in exploring local options fosters retention.

Luxury properties, Gnemmi added, often form alliances with prominent restaurant groups to enhance their own culinary brands, attracting both hotel guests and local patrons. Jason Reader from Davidson Hospitality reinforced this view, stating that hotels should not expect guests to dine exclusively on property.

He stressed the importance of creating distinct identities for hotel restaurants and bars, treating them as standalone establishments rather than mere “outlets”. Reader noted that strong online ratings on platforms such as Yelp are crucial for hotel restaurants to capture demand.

Navigating Third-Party Delivery

The rise of third-party food delivery services presents another layer of complexity for hotel food and beverage programmes, particularly given the investments properties make in their own offerings. Brandy Rand pointed out that Questex research shows guests who frequently order room service are also highly inclined to use third-party delivery platforms.

This suggests a strong guest preference for convenience. While some luxury hotels, like those Fabien Gnemmi manages, initially viewed this trend as a “pain point”, the overall industry perspective is shifting towards guest-centricity. Wyndham Hotels & Resorts has actively embraced this trend in its select-service segment.

Scott Strickland, the company's Chief Commercial Officer, confirmed a partnership with Grubhub. Wyndham encourages guests to use the service by offering loyalty points and ensures hotel staff can accommodate deliveries with appropriate storage solutions.

Breakfast Trends and Future Outlook

Despite the broader trend of guests seeking external dining, Questex research indicates that hotels retain a strong position for the first meal of the day. The study found that 57 percent of guests choose to dine on property for breakfast.

This suggests that while guests are keen to explore for lunch and dinner, convenience and familiarity play a larger role in morning meal choices. Hoteliers recognise that the approach to food and beverage must be adaptable, varying significantly by property type and location.

Jason Reader cited airport hotels as an example, where late-arriving guests might be more inclined to use delivery services. The consensus among industry leaders is that hotels cannot capture every meal, but they can create compelling dining experiences, offer convenience, and integrate with local offerings to remain relevant.

Implications for Asia's Hospitality Sector

The trends observed in global hotel food and beverage strategies hold significant implications for Asia's diverse hospitality sector. Many Asian destinations are renowned for their vibrant street food scenes and local eateries, which often serve as primary attractions for travellers.

Hotels in key Asian hubs such as Bangkok, Singapore, and Ho Chi Minh City could find guests increasingly opting for external dining to immerse themselves in authentic local flavours.

To respond, Asian hotel operators may need to intensify efforts to differentiate their in-house restaurants by focusing on unique concepts, collaborating with local chefs, or curating dining experiences that complement the surrounding culinary landscape.

Furthermore, adopting partnerships with popular regional food delivery platforms, similar to Wyndham's strategy with Grubhub, could help properties retain a share of guest spending and enhance overall guest satisfaction in markets where such services are widely used.

This shift could drive innovation in hotel dining across the continent, prompting a re-evaluation of traditional F&B models by the end of 2027.