Africa’s hospitality landscape: Trends and invocations shaping 2025 travel experiences
Africa and the Middle East are poised for a dynamic 2025 as they attract multitudes of travellers with a mix of beautiful destinations, more affordable luxury experiences and unparalleled cultural encounters.
Valor Hospitality‘s co-founder and managing partner for AMEA, Tony Romer-Lee, shares his predictions on the forces shaping the regional hospitality industry in 2025 and beyond.
Africa outcompetes from an average daily rate perspective
Africa is fast becoming a premier leisure destination as it outcompetes other destinations on an ADR (average daily rate) level. As many European travel hot spots grapple with over-tourism (Venice, Amsterdam, Barcelona), Europeans are drawn to Africa’s alluring hot spots by the unbeatable value proposition and the promise of a truly relaxing holiday, minus the crowds.
Destinations like Cape Town, Zanzibar, and Mauritius will continue to solidify their positions as must-visit holiday destinations in 2025, catering to the growing demand for multigenerational travel experiences with their diverse offerings catering to all ages.
“Loyalty programmes and points redemption plans will further fuel demand for these destinations as travellers look to maximise their rewards points at high-end yet affordable African destinations,” says Romer-Lee.
The rise of the branded residences
The branded residence is steadily gaining traction across Africa. These branded residential properties offer a blend of hotel amenities and the comforts of home, appealing to both investors and travellers, particularly in the context of the growing remote work trend.
“Developers are subdividing properties, selling individual apartments to investors who can have the units managed by hospitality companies,” explains Romer-Lee. This model allows developers to finance projects more easily, while providing travellers with the flexibility of apartment-style living combined with hotel-level services.
The branded residence trend has been particularly prominent in destinations like Cape Town and Nairobi, where remote work has driven the demand for longer term yet fully serviced accommodations.
Navigating visas for market access
Visas play a crucial role in driving tourism demand growth and regulating market access. Some African countries like South Africa, Tanzania and Zanzibar have embraced the importance of tourism in driving their local economies by implementing visa policies that easily facilitate inbound travel.
South Africa’s remote working or ‘digital nomad’ visa allows employed foreigners who work remotely to base themselves in the country. “They’re not taking anyone’s job, it’s not costing the country anything, and they are bringing money into the economy,” says Romer-Lee.
Similarly, Tanzania, including Zanzibar, has also taken a welcoming approach. “The results of this tourism-friendly approach are evident in the numbers,” he adds.
While there is still plenty room for growth in the region, he cautioned that visas need to be managed responsibly and revised over time, so that destinations do not become victims of their own success due to over-tourism, as can be seen across Europe.
In contrast, Namibia has taken a more restrictive approach by revoking visa exemptions for 31 countries from 1 April 2025, due to a lack of reciprocity for its nationals. “This highlights the sensitivity surrounding immigration issues, even as destinations seek to attract more visitors,” says Romer-Lee.
The region needs to take an approach that is driven by inbound tourism, he emphasises. It needs to “open its doors, even though that is quite hard for politicians to do for various reasons”.
Investing in talent for employee retention
Staffing challenges have plagued the hospitality industry, with destinations like Mauritius losing skilled workers to higher paying jobs abroad – resulting in the recruitment of staff from further afield. In response, large hospitality players are prioritising training programmes and soft skills development to attract and retain top talent across the region.
The Drostdy Hotel in Graaff-Reinet (pictured), which is owned by the South African College for Tourism, serves as a hands-on training ground for hospitality students by providing them with practical experience and a comprehensive education.
“By investing in their workforce and fostering a pipeline of skilled professionals, Africa’s hospitality industry is positioning itself for long-term success, ensuring exceptional service and experiences for travellers drawn by the continent’s allure,” explains Romer-Lee.
As Africa’s hospitality sector navigates the evolving demands of the global traveller, its success hinges on a delicate balance of accessibility, responsible growth and investment in human capital to solidify its position as a leading travel destination for years to come.
