Catching Corporate Events in 2025: What Hotels Need to Know

The successful corporate events business should be no surprise. There is strong worldwide demand for events and meetings, and 2025 promises to be the same. 

While hybrid and remote working models are the new reality, businesses want face-to-face reunions to restore teams, foster morale, and most importantly, deliver results. This offers tremendous potential for hotels to capture an increased segment of the corporate event market, most notably sales kick-offs (SKOs) scheduled in early 2025. 

Looking forward, there are a couple of important questions to ask. What will travel budgets be like? How will businesses modify their expectations? How will businesses balance their goals with the necessity for more face-to-face collaboration? 

The Economic Landscape: 2025 Corporate Travel Trends 

As we distance ourselves from pandemic-manned unpredictability, numerous companies are upping their 2025 event budgets. They desire to leverage employee enthusiasm, enhance company culture, and build stronger client relationships. 

Employees are keen on events as well. According to a Freeman survey, 82% of eventgoers enjoy meeting face-to-face, and 75% consider them the most reliable source of information. 

Moreover, 60% of businesses have discovered that face-to-face gatherings are most productive in terms of generating income, compared to hybrid and virtual events. This viewpoint enables businesses to view meeting expenses as an investment in their overall success. 

What to Expect from Corporate Budgets 

In 2024 Meeting Planner Survey, 47% of planners said they were most dissatisfied by costs. As economic conditions return to normal, corporate event planners will spend their budgets on in-person events. 

Projections anticipate global business travel costs to moderately increase in 2025. Air prices, accommodation prices, and automobile rental costs are all expected to rise somewhat. Businesses will seek to revive their price strategies, emphasize the overall picture, redirect KPIs, and keep optimizing their meeting plans. 

Nevertheless, planners will strive to balance cost efficiency with quality. Your hotel will be able to compete by looking for innovative methods to stretch their budgets and still provide superior experiences. 

Emerging and new corporate budget trends include: 

Demonstrated ROI: Businesses are already becoming more strategic in event expenses, expecting clear return on investment (ROI). Most events have to be connected to specific business goals and produce quantifiable outcomes. 

Increased Budgets: With the recovery of the economy and the companies getting used to new styles of working, there is a common tendency towards increased budgets for corporate events. This is particularly true for organizations that place importance on face-to-face interaction and team-building. 

Divergent Pricing: Worldwide economic growth will yield different regional prices, enabling strategic planning to reduce some expenses. Hotels must make their pricing strategies consistent with top accounts. Nevertheless, robust ADR and relief in occupancy demands provide hotels with still having the price power. 

2025 Meeting Cost Projections 

Based on CWT’s Global Business Travel Forecast, rates are likely to go up in cost-per-attendee and ADR. Look at this: 

Cost Per Attendee: 

• 2023: $155 per day, a 3.1% drop from 2022. 

• 2024: Expected to go up to $162 per day, a 4.5% increase. 

• 2025: Expected to increase to $169 per day, another 4.3% increase. 

Global Average Daily Room Rate (ADR): 

• 2025: $165, a 1.9% increase on 2024. 

• 2024: $162, a 2.5% increase on 2023. 

• 2023: $158, a 3.9% increase on 2022. 

Why Hotels Are Poised to Win 

By knowing the changing corporate events scene and playing to your strengths, hotels can grab a big piece of the 2025 market. Join the trend towards hybrid experiences, place a focus on employee wellness, and partner with companies to design influential events that drive success. 

Some ideas to align your property with planner priorities follow: 

• Sustainability Initiatives: Adopt environmentally friendly practices, including minimizing waste, using sustainable materials, and local sourcing. 

• Hybrid-Friendly Venues: Provide adaptable spaces that can hold in-person and virtual participants, making everyone feel welcome. 

• Provide Flexible Cancellation Policies: Be empathetic to companies’ difficulties and provide flexible cancellation policies. 

• Technology Integration: Make sure your venue is equipped with the most up-to-date technology to host hybrid events, including high-quality audio and video conferencing systems. 

• Experiential Expertise: Assist businesses in designing differentiated experiences outside of standard meetings, building team spirit and interaction. 

At Sazinga, we are experts at assisting hotels in identifying and engaging with accounts that provide a consistent flow of business. Our sophisticated data analytics and market intelligence enable hotel general managers and sales directors to identify the right opportunities, maximize their strategies, and ultimately drive revenue. 

Join the future of business travel with Sazinga, and we’ll assist you in turning your 2025 plan into a profitable source of ongoing business.