Reimagining Revenue in a Changing Hospitality Landscape

In October 2025, Cayuga Hospitality Consultants hosted a dynamic discussion on new pathways to incremental revenue in the hotel and restaurant industry. With economic pressures prompting owners to think differently about value creation, the conversation focused on one key question posed by moderator Gary Isenberg:

Why is now the right time for hotels and restaurants to expand their revenue mix?

According to the panel, the answer lies in both guest behavior and owner mindset.

The moderator was Gary Isenberg, President, Iron Mountain Hospitality Advisors and Cayuga Hospitality Consultant, joined by the following panelists:

Hospitality Spaces as Profit Centers

Consumers and travelers are begging for something new, places that make them feel something and provoke memories. Mandy Murry, CEO of Hospitality Concierge

She explained that lobbies, bars, restaurants, and even pickleball courts are evolving from amenities into curated social spaces that attract both guests and locals. These public spaces are having a moment, Murry added. They’re no longer just part of the hotel; they are the experience. And when you deliver on the emotion behind a stay, revenue follows naturally.

Owners are increasingly open to innovation. Calls are coming in about articles written two years ago, Murry said. Operators are asking how to create retail spaces and ancillary revenue centers within their hotels. They’ve realized if you always do what you’ve always done, you’ll always get what you’ve always gotten.

Digital Storytelling and the Power of Video

Marcy Albert, Senior Vice President of Sales at Hovr, shared how hotels drive incremental revenue by transforming their digital presence, particularly through video.

Incremental revenue comes from making every visitor to your website more valuable, Albert explained. With Hovr, hotels are seeing higher conversion rates on direct bookings, improved ADR mix, and more revenue staying in the direct channel.

The shift isn’t about creating new demand; it’s about capturing more of the demand that already exists by reducing friction and building trust.

Albert noted that digital video helps guests visualize and emotionally connect to spaces, from rooms to spas and event venues. If a bride sees a ballroom on video instead of a static photo, she’s far more likely to book a site visit, she said. That can lead to thousands in additional revenue.

Quick wins for hotels include:

• Adding interactive Hovr video overlays to room-type pages
• Integrating video into dining, spa, and event sections
• Expanding consistent video storytelling across the full booking path

The beauty of Hovr, she added, is that it’s lightweight. Hotels don’t need a full rebuild. We make existing content interactive and measurable. Guests scroll TikTok and Instagram for inspiration; they expect that same level of immersion when booking their stay.

Retail and F&B as Experience Platforms

Retail is also becoming a strategic differentiator for hotels. There’s no one-size-fits-all approach, Murry said. It’s a curated mix of branded merchandise that guests actually want, local artisans, and statement pieces that reflect the property’s personality.

The retail experience, she emphasized, extends far beyond a shelf of souvenirs. It’s visual, emotional, and part of the overall brand story. The space needs curb appeal. The staff should wear the products. Guests want what they see others enjoying.

For food and beverage, the panel agreed the opportunity is equally rich. From chef-led experiences and cooking classes to private-label wines and in-room wellness amenities, hotels can create meaningful touchpoints that also drive spend.

Murry shared examples:

• Partnering with local artisans for welcome gifts that become retail sales
• Offering curated minibar options like green juice, champagne, or locally sourced snacks
• Building late-night rituals like hot tea delivery or pre-packaged bedtime snacks
• Pop-up retail or tasting events at the pool, lobby, or pickleball courts

The right F&B experience creates both buzz and incremental revenue, she said. It’s not about selling, it’s about storytelling that inspires guests to spend more, stay longer, and share their experience online.

Wellness, Sleep, and New Revenue Frontiers

Scott Schwab, CEO of MettNaturals, highlighted how hotels are integrating wellness and sleep aids into their revenue strategies, from lobby displays and minibar products to pre-order upgrades.

Guests are increasingly prioritizing wellness and sleep quality, Schwab explained. That opens doors for hotels to offer products that enhance rest, reduce stress, and extend their brand into the guest’s home.

From CBD-infused wellness kits to relaxation-focused retail, these programs not only drive new income streams but also deepen brand connection.

Balancing Experience and Profitability

When asked how hotels can balance profitability with guest experience, Murry pointed to communication and authenticity.

Guests don’t mind paying for upgrades if they feel what they’re getting, she said. But a 65-inch TV isn’t an emotional upgrade. A late checkout, a better hair dryer, or a day pass that comes with a surprise smoothie, that’s memorable.

Her advice: keep every paid experience rooted in genuine hospitality. Deliver on what’s promised. Make it feel generous, not transactional. When you do that, revenue takes care of itself.

Quick Wins for Immediate Impact

The panel wrapped with actionable ideas hotels can implement right away:

• Offer late checkout / early check-in upgrades
• Create dog stay packages
• Introduce hair dryer or pillow upgrades
• Add charcuterie boards or snack boxes for in-room delivery
• Host retail pop-ups or wine tastings
• Add firepit blankets or seasonal beverage stations
• Strengthen video and communication tools to promote them

The Takeaway

Across the discussion, one theme echoed: incremental revenue doesn’t come from more inventory; it comes from creativity, storytelling, and experience design.

As moderator Gary Isenberg of Iron Mountain Hospitality summarized, Owners are looking for practical, measurable ideas that deliver immediate value. What this panel demonstrated is that innovation doesn’t have to mean reinvention. It’s about seeing what’s already in front of you and turning it into something extraordinary.

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