With service at its core, hospitality success embodies people, efficiency, and partnerships that sharpen profitability and enrich the guest experience.

In 2025, Hong Kong’s hospitality market was buoyed by rising arrivals, a broader tourism base, and stronger occupancy, yet the sector faced challenges. Insights from Colliers’ Senior Director of Hotel Advisory, Shaman Chellaram, anchor these shifts, as well as his role as a judge for the TDM Travel Trade Excellence Awards 2026 - Hong Kong.

Current Landscape of Hong Kong’s Hospitality Sector

The sector is regaining momentum with tourism recovering strongly, growing visitor numbers by 12% to 45 million by the end of November 2025. Key contributors included Mainland China and broader international markets. Challenges such as tightening operating margins, softer non-room revenues, and labor shortages persist, but new lifestyle and mid-scale hotel openings signal renewed confidence.

Strategies for Hotel Owners

To maximize property value, hoteliers are focusing on guest acquisition, operational efficiency, and smarter space use. Innovations, particularly in luxury and lifestyle segments, enhance guest experience and operational efficiencies. Technology, including AI, plays a crucial role in automating tasks and improving productivity.

Impact of Acquisitions and Partnerships

Acquisitions and strategic partnerships are vital for injecting capital and new ideas into the hospitality market, improving guest experiences and encouraging competition. Recent market entries in Hong Kong indicate a shift in branding and positioning.

Qualities of Successful Leadership in Hospitality

Effective leaders possess a clear vision, decisive execution, and cultivate a culture focused on guest experience. They leverage data fluency and technological adoption to enhance efficiency and adaptability.

Future Developments in Hong Kong’s Hospitality Industry

The Hong Kong government aims to boost the sector’s contribution to the economy significantly. Initiatives to enhance local experiences, along with new market entrants and upcoming events, are set to reshape the industry.

Evaluating TDM Award Nominees

Evaluations emphasize the importance of innovations that enhance guest experience and deliver social and economic benefits. Efforts that yield revenue growth and service excellence are particularly valued.