By Lauren Hall, CEO and Founder of iVvy - 10.4.2025
While the last several years were defined by recovery, recalibration and short-term adjustments, 2025 became the first year in which hotel event venues operated under new long-term rules. The shifts that emerged this year weren’t temporary responses to disruption. They now form the structural reality shaping meetings and events revenue, operations and guest expectations.
For hoteliers, these changes represent both a challenge and a competitive opening. As group business continues its steady rebound, hotel teams that adapt quickly are positioned to win disproportionately in 2026.
Experience-Led Venue Selection Redefined the Competitive Field
One of the most consequential shifts for hotels was the broadening of what planners consider a viable venue. According to the IACC Meeting Room of the Future 2025 report, 51% of planners explored specialty or non-traditional venues this year, up sharply from 33%.
This diversification signals a fundamental change in planner priorities. Events have become brand expressions and attendee engagement moments, not just logistical gatherings. That has implications for hotels:
- Attendees now expect immersive, story-driven environments.
- Planners increasingly evaluate whether a venue can support identity, creativity and differentiation.
- Traditional hotel ballrooms face growing competition from stadiums, vineyards, museums and purpose-built experiential spaces.
Leading hotels have responded by investing in elevated design, flexible room sets, enhanced AV and more collaborative planning models. Technology-forward hoteliers are also leaning on digital twins, visualization tools and modular layouts to sell experience, not just square footage.
F&B Evolved into a Core Experience Driver (and Operational Pressure Point)
Food and beverage, long a pillar of hotel events revenue, became even more central in 2025. Planners rated F&B at 9.0 out of 10 in importance, compared to 7.9 just two years ago.
This wasn’t simply about food quality. It reflected broader trends shaping expectations:
- Cultural storytelling through menus
- Sustainability and responsible sourcing
- Elevated dietary inclusivity
- An appetite for interactive, experiential dining elements
For hotels, this amplified the operational need for precision. Misalignment between sales, the kitchen and banquet teams became more costly as menus grew more customized and attendee expectations more personal.
Many operators leaned more heavily on event management platforms, real-time communication tools and AI-assisted forecasting to streamline coordination and reduce rework.
Short Lead Times and Unpredictable Attendance Became the New Baseline
If 2024 hinted at instability, 2025 cemented it. Hotels reported significantly more late inquiries, last-minute confirmations and changes occurring after contracts were signed. RSVPs became harder to predict, affecting staffing models, purchasing and revenue pacing.
The impact was particularly acute for properties where M&E revenue is a major profit driver.
This forced many hotels to abandon long-standing workflow assumptions. Instead, the most successful teams shifted to:
- Continuous planning instead of fixed cycles
- Real-time operational visibility
- Flexible resourcing models supported by automation and cross-training
The need for dynamic event management tools and tighter integration across PMS, sales and catering systems became unavoidable.
Workforce Challenges Persisted, But Operator Strategies Matured
The 2025 Moore Kingston Smith Hospitality report reiterated what hoteliers already know: staffing shortages and burnout remain significant pressures. But unlike in prior years, the industry’s response evolved from short-term fixes to long-term workforce strategy.
Hotels increasingly recognized that:
- Administrative burden is a major driver of turnover
- Continuous training improves both morale and event quality
- Digital support tools are essential to reducing cognitive overload
- Empowered teams deliver more consistent guest and planner experiences
The most innovative properties embraced AI knowledge assistants, automated task management and unified communication platforms to support leaner teams without compromising service.
2025 Was the Year the Industry Stopped Waiting for “Normal”
The most meaningful change wasn’t operational—it was psychological. In 2025, hotel event teams stopped expecting stability to return and instead began designing for elasticity.
Elastic staffing.
Elastic event formats.
Elastic planning cycles.
Elastic attendee expectations.
Hotels that embraced this elastic model found they could reduce stress, improve collaboration and gain more confidence in revenue projections—even in unpredictable cycles.
What Will Define the Strongest Hotel Event Venues in 2026?
As the year closes, hoteliers face several strategic questions:
- How should event spaces be designed or retrofitted to support increasingly fluid event formats?
- How will F&B continue evolving as a differentiator for planners and attendees?
- How can hotels better support overextended operations teams through technology and training?
- What role will automation, AI forecasting and real-time data play in stabilizing M&E revenue?
One thing is certain: 2025 marked the beginning of a new operating environment for hotel event venues. The properties entering 2026 in the strongest position will be those that built flexible processes, empowered their teams and embraced the idea that resilience is not about returning to old patterns—but about redesigning around the realities of today’s meetings and events marketplace.
Lauren Hall is the CEO and Founder of iVvy, a a renowned software company that provides automation and cloud-based technology to help venues fill their function calendars and planners create unforgettable events. Lauren’s passion for entrepreneurship and over 25 years of business management experience at the executive and board levels make her a highly successful businesswoman. She has built multiple companies from startup to strategic and financial exit in various industries, including manufacturing, retail, advertising and technology, both in South Africa and Australia. Lauren co-founded iVvy in 2009 and has since overseen its growth to 10,000+ clients in 13 countries, expanding to New Zealand, Asia, Europe and North America.
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