Assessing the Digital Infrastructure of Your Hotels

CBRE Hotels | July 3, 2024

By Robert Mandelbaum, John Pomposello, and Adam Barry In 2023, U.S. hotels faced rising operating expenses outpacing revenue growth, resulting in declining profit margins. To combat this, hotels are leveraging technology to enhance efficiency and guest satisfaction. Key areas of technological investment include employee productivity tools, automated guest services, and improved cybersecurity. Analyzing IT expenditures from 4,121 properties, CBRE found that IT costs represented a relatively controlled 1.4% of total operating revenue, despite a 7.4% increase in 2023. Higher IT spending was noted in Resort and Convention hotels due to their e...