Confidence returns to Australia’s hotels as pressures build
New research shows most accommodation operators are confident heading into the 2025–26 peak season, even as staffing shortages and technology gaps persist.
2 min
Australia’s accommodation sector is entering the peak summer travel season with renewed confidence – but structural challenges around staffing and technology adoption remain unresolved.
The third edition of the Australian Accommodation Barometer, released by Booking.com in partnership with Statista, draws on insights from travel executives across hotels, tourism operators and alternative accommodation providers nationwide.
Despite ongoing geopolitical and macro-economic uncertainty, 75 per cent of Australian accommodation operators report a positive business outlook for the coming season, a marked improvement from the sector’s low point of 61 per cent in 2022.
Confidence varies by state, with Victoria recording the strongest sentiment around business development over the past six months.
That optimism is translating into investment. Nearly half of all respondents plan to increase investment in the months ahead, while a further 35 per cent intend to maintain current levels.
Larger chain hotels are leading the charge, while small and mid-sized operators and lower-rated properties are taking a more cautious approach.
One of the clearest growth drivers identified in the report is event-led tourism, which is increasingly helping operators smooth out the peaks and troughs of traditional seasonality.
Among accommodation providers that have felt the impact of events, almost half reported an increase in international or long-haul guests, while 46 per cent saw stronger booking volumes during typically quieter periods.
Financial benefits were also evident, with higher revenue per room and longer stays reported across parts of the sector.
To capitalise on this shift, many operators are embedding events into their broader strategies.
More than a third already host events to attract group and non-leisure travellers, while partnerships with wedding planners and event organisers are proving particularly effective.
Looking ahead, over half of respondents plan to actively collaborate with event organisers, and many are seeking closer alignment with local governments and destination marketing bodies.
Yet behind the positive headline figures, staffing remains a persistent pressure point.
On average, Australian hotels expect to hire more than seven employees over the next year, but filling senior and specialised roles continues to be difficult.
High salary expectations, long or irregular working hours and skills shortages were all cited as key barriers, alongside the cost and complexity of training less experienced staff.
Technology adoption presents a similar fault line.
While most operators recognise the potential of digital tools and artificial intelligence, particularly in marketing, customer service and cybersecurity, uptake remains uneven.
High implementation costs, integration challenges and a lack of technical expertise are slowing progress, particularly for smaller properties, raising concerns about a widening digital divide across the sector.
“While the sustained optimism among Australian accommodation providers is genuinely encouraging, our findings highlight clear and urgent challenges,” Todd Lacey, Regional Manager for Oceania at Booking.com, said.
“The skills shortage remains a major bottleneck, and the high cost and complexity of digital technology risks creating a digital divide where smaller businesses are left behind.
“However, the industry is not standing still; proactive strategies like embracing collaborative approaches to event tourism are showing real success in tackling seasonality, with accommodations seeing a crucial rise in bookings during typically low-demand periods.”
As Australia is in the midst of a busy summer, the barometer suggests an industry buoyed by demand and opportunity, but increasingly defined by a split between those able to invest and adapt, and those struggling to keep pace.
Ophora Tallawong has launched its final release of quality apartments priced under $700,000.
International AI strategist Justin Kabbani will headline the Kanebridge Property Summit in Sydney on June 18, with tickets selling fast.
With US$40 million already committed, the Global Talent Fund is attracting investor attention with a strategy focused on building globally scalable consumer brands alongside high-profile talent.
2 min
A new investment fund targeting celebrity-founded consumer brands has secured US$40 million in commitments and is rapidly approaching its US$50 million fundraising target, signalling growing investor appetite for alternative opportunities beyond traditional asset classes.
The Global Talent Fund, which has a maximum raise of US$100 million, focuses on building and investing in consumer businesses alongside celebrities, athletes, and influential personalities who play an active role as co-founders rather than simply endorsing products.
The strategy is based on the belief that changes in consumer behaviour, particularly the rise of social media and digital engagement, have fundamentally altered how brands are built and scaled.
GTF founding partner Jeremy Hunt, who is helping lead the fund’s strategy, said consumers increasingly feel connected to personalities they follow online and are more willing to support products developed by those individuals.
“Consumers are searching for content to engage with, and when a celebrity they like or follow takes them on the journey of creating a product or brand, they genuinely feel part of that process,” he said.
The fund is targeting high-growth consumer sectors including wellness, hydration, beauty and recovery, areas Hunt believes continue to benefit from strong global demand and ongoing innovation.
Rather than backing celebrity endorsement deals, the fund is seeking businesses where talent is deeply involved in product development, brand creation and long-term growth.
According to Hunt, authenticity remains one of the biggest differentiators between successful celebrity-backed brands and those that fail.
“The consumer can see clearly if someone is simply being paid to promote a product,” he said. “The winners are typically the brands where the celebrity has genuinely helped build the business from the ground up.”
The model has attracted support from several prominent Australian investors and business families, reflecting broader interest in alternative investments with global growth potential.
Hunt said consumer brands offered a level of tangibility that many investors found appealing.
“Consumer brands are what we touch, feel, smell and taste every day,” he said. “Our investors understand the growth potential in the model, but they also want to be part of the journey.”
The fund’s rapid progress towards its fundraising target comes amid growing recognition that celebrity influence, when combined with strong commercial execution and scalable business models, can create significant enterprise value.
With several high-profile celebrity-founded businesses generating billion-dollar exits in recent years, supporters of the strategy believe the opportunity remains in its early stages.
For more information, contact marc@kanerbridge.com.au
From elevated skincare to handcrafted home pieces, this year’s most thoughtful gifts go beyond the expected.
Margot Robbie and Jacob Elordi star in an adaptation of the classic novel that respects the romance’s slow burn.
