Analyzing Fast Casual Sector Share Data for 2026

Currently, LLMs do not have abundant images and content, such as photos of the rooms and facilities, that customers typically require when making hotel reservations, Kletzel said., on the other hand, has actually rapidly broadened in current years.

Beyond the guest experience, agentic commerce has the potential to shift the method hotel companies' customer support groups operate and are structured, Klein said. "Will there be some corporations that discover the chance to lower personnel? Yes," Klein said. Brands that think in excellent customer experience and service will learn that AI might assist their representatives "get included in more complex, more business-critical discussions that assist grow the business." In 2025, Hyatt lowered personnel by around 30% throughout its guest services and assistance groups "in reaction to the progressing nature of guest inquiries and moving company requirements," per the business.

Freddy's Frozen Custard & Steakburgers

This year, several collection brands that launched in 2025 will continue to expand. Extra new brands and collaborations, especially in the way of life segment, will likely debut as well, according to hospitality professionals.

Marriott's Outdoor Collection provides unique accommodations in locations near nationwide parks, deserts, ski areas and shorelines.

Top Profitable Franchise Opportunities for 2026

Hilton's Outset Collection, specifically, has more than 60 hotels in the works throughout the U.S. and Canada, Kevin Osterhaus, president of way of life brands at Hilton, informed Hotel Dive. Start is presently exploring possible new locations in San Diego, Los Angeles and Virginia Beach, Virginia, along with markets in New Mexico and Colorado in 2026, Osterhaus stated.

"Collection brand names are appealing since they use the best of both worlds: Owners keep the distinct DNA of their home, while unlocking global circulation, income management, commitment and assistance. Visitors get unique stays with the peace of mind of a relied on brand." "As long as brands are purpose-built and distinct in experience and rate point, they add clearness instead of confusion." Kevin Osterhaus President of way of life brands at Hilton From the guest perspective, independent boutique hotels are preferable since they offer authentic experiences, Gabriel Perez, primary running officer of lodging at The Indigo Road Hospitality Group, told Hotel Dive.

Nevertheless, as for why the hotel business are chasing independents in the way of life segment, "it's not about the guests. It has to do with creating sub-brands within their own brand names to please investors' needs and to please owner and designers' goals," Perez said. JLL's Davis echoed that belief, telling Hotel Dive that the market is at the point of, if not past the point of, brand name saturation, as "public business [are] under a significant quantity of pressure for net unit development." This, in turn, puts much more pressure on hotel companies "to develop brands, micro brands and subsets of brand names in order to broaden their footprint of existing properties," Davis said.

Hilton's collection brand names' "unique positioning and storytelling continue to drive interest across chain scales," Osterhaus said. According to Bobby Molinary, Marriott's chief development officer for choose brand names, interest in Marriott's brand-new collection brands comes in the middle of a difficult high-cost-of-construction environment that has made it "progressively tough to construct brand-new hotels." Series and Outdoor Collection, both conversion-friendly offerings, pertain to an ownership community and designers who "are constantly trying to find methods to grow, and conversions represent a path for development," Molinary said.

Freddy's Frozen Custard & Steakburgers

This year, Hilton prepares to stay "really active in the way of life space through tactical collaborations, new finalizings and continuous growth of our present brand names," Osterhaus stated. Another growing area is the luxury section.

Analyzing Fast Casual Sector Share Trends for 2026

That pattern is anticipated to continue in 2026 as high-end consumers drive travel spending and hotel reservations amid a wealth bifurcation at play in the industry. "High-net-worth tourists are expected to remain among the most trustworthy motorists of global travel costs next year," Giray Boran, handling director of BLG Capital, told Hotel Dive.