Charting a Winning Path Through Uncertainty
HIA’s leadership team, including CEO Charlie Fritsch, COO Chip Fritsch, and CRO Chris Hall, were on-site at The Lodging Conference 2025 recently to meet colleagues and share insights. The record breaking attendance (3,000+ attendees) was a clear indication of the industry’s optimism–despite remaining economic headwinds. Here is a summary of HIA’s key takeaways from this year’s 30th anniversary event – from the cautiously optimistic outlook for 2026 to industry trends to watch.
Opportunity Amidst The Profitability Squeeze – Insights from Charlie Fritsch, CEO:
Hoteliers are overall optimistic for 2026 and beyond. Though there is concern regarding margin pressures, there will also be opportunity with limited new supply, a better climate for acquisitions, consumer spending growth and better tools to maintain the bottom line.
While the industry is navigating near-term headwinds, the outlook for 2026 definitely includes strategic opportunity, not just cautious optimism. The primary concern for hoteliers we spoke with remains the profitability squeeze, as rising costs and inflation threaten to outpace revenue growth. However, with new construction and supply growth constrained by high costs, there is also opportunity for existing hotels to maintain or grow market share. By focusing on revenue management and expense control, the bottom line can be maintained.
Forward-thinking operators are also addressing margin pressure by diversifying their assets into high-yield niches, such as the growing “glamping” and outdoor living sectors showcased at the conference, in search of a greater return on investment.
Maintaining pricing power is also important as stressed by leading economist Bernard Baumohl in his conference remarks, and he projected 2026 as a pivotal turnaround year, bolstered by strong consumer spending and moderating inflation. On the ground, we’re hearing this play out as hoteliers report that group bookings are already up, with strong group demand expected to continue through 2026.
The climate could also be right for acquisitions – with limited new supply and two more interest rate cuts expected this year, that have already offered a psychological boost to the transaction market. This, combined with limited new supply, may fuel greater demand for acquisitions as a primary vehicle for growth, likely spurring a new wave of management company mergers and brand acquisitions.
2026 definitely looks like it will come with its share of opportunities. In the meantime, hoteliers can best position themselves to capitalize on these opportunities by adopting technology to help improve the bottom line. Scalable, integrated systems that deliver consolidated data in real-time, provide the visibility needed to protect profits, drive efficiency, and deliver exceptional value to owners and investors.
– Charlie Fritsch, CEO, HIA
Turning Inward To Control Costs & Boost Efficiency – Insights from Chip Fritsch, COO:
If I were to distill my conversations at the Lodging Conference into a single word, it would be ‘efficiency’.
While many people seem to feel that the economic uncertainty and headwinds in 2025 demanded a ‘wait and see’ approach, hoteliers are a resilient bunch and most I spoke with are actively charting a new path forward. The undeniable focus is on maximizing operational efficiency and strategically automating processes where possible.
With no crystal ball for the 2026 economy, many management companies are proactively turning their focus inward, rigorously scrutinizing their own operations. The critical question being asked is: ‘How can we streamline operations to control costs and counter pressure on profit margins?’ It’s often easier to cut costs than grow revenue, at least in the short term, and amidst rising operating expenses and persistent inflation, many hoteliers are hyper-focused on controlling the variables within their grasp. This ranges from negotiating vendor contracts to optimizing labor hours to choosing software that helps team members operate at peak proficiency.
It was great to speak with our HIA ERP & Accounting software customers at the conference, who are already leveraging tech for efficiency. Many customers told me they are getting better portfolio financial visibility and saving time for team members – and they want to see what else they can use the platform for.
– Chip Fritsch, COO, HIA
Consolidated Data & Visibility – Insights from Chris Hall, CRO:
Hoteliers are looking to to empower their teams—from the GM to the asset manager—with real-time, portfolio-wide data through better software. They want to eliminate delays in decision-making and be more data-driven as organizations.
Rising expenses mean every dollar counts – but you can’t count every dollar unless it is visible in your system, in real time. The changeability and uncertainty of recent years, and even the outlook for 2026, mean hoteliers need to be able to make rapid decisions and pivot easily.
Talking to hoteliers at The Lodging Conference, the main theme I heard is how important it is to get a clear picture of performance and to empower team members across your organization with it. That’s why I believe that now is the time of the ERP – the hospitality-specific ERP, to be exact.
Fragmented and legacy software systems make it a lot harder to get consolidated performance data – or even live cash visibility. There is a lot of interest from hoteliers to get onto systems that simplify multi-property management and improve accountability by consolidating financial and operational functions onto a single platform. The 400+ hotels we brought onto our hospitality ERP platform so far this year are a testament to that interest, as well as all the new conversations we are having.
I’m grateful we can offer technology that helps whole organizations – from General Managers with clear dashboards and performance trends, to corporate leadership with real-time visibility into each hotel’s financials, and for owners and investors with standardized reporting and transparency.
– Chris Hall, CRO, HIA
Conclusion
While each of these three executives had different key takeaways from this year’s event, they speak to the different themes at play. The Lodging Conference 2025 revealed an industry at a strategic inflection point, on one hand balancing near-term operational pressures, but on the other, optimistic and determined with a clear vision for future growth.
Ready to simplify your portfolio management? See how an ERP purpose-built for hospitality can drive your strategy forward. Request a Demo Now.
Jaime Goss has over a decade of marketing experience in the hospitality industry. At Hotel Investor Apps, Jaime heads up marketing initiatives including brand strategy, website design, content, email marketing, advertising and press relations.
