Analysis

AI beds down in hospitality but cost pressures constrain investment

Analysis
AI beds down in hospitality but cost pressures constrain investment

Artificial Intelligence is deepening its role in hospitality, the Business Confidence Survey from NIQ, powered by CGA intelligence and Sona reveals—but weak confidence about investment and knowledge are holding back productivity gains 


The exclusive poll of leaders of more than 13,000 hospitality venues found nearly three quarters (72%) are likely to implement AI solutions in the next 12 months. Well over half (58%) agree AI will bring positive changes to the industry, while only 8% disagree.  

The survey indicates that the use of AI is currently heaviest in data and marketing. Close to half (49%) of leaders say it is helping with data-related functions like sales forecasts and reports, and 47% are deploying it in the creation of marketing materials. High numbers are also leveraging AI in reports (45%) and emails (43%).  


However, there is much less use of AI so far in many other areas of hospitality like staff shift scheduling (27%), marketing strategies (27%), HR functions (27%) and stock optimisation (12%). Only a quarter (26%) of leaders think their business is equipped to implement AI solutions on a large scale—and the figure is almost twice as high (51%) at independent businesses, where resources and knowledge about technology are often more limited. 

Under-exploitation of AI is being caused by pressures on business confidence and budgets. More than half (53%) of leaders say they have been forced to cancel some investment plans this year, and just 26% of leaders feel optimistic about prospects for their business over the next 12 months. After relentless increases in inputs including labour, energy, food and drink, leaders are being forced into difficult decisions on spending. 

The Business Confidence Survey also highlights the need for more education about AI-powered solutions. Levels of understanding are rising, and three in four (76%) leaders say they know more about AI solutions than they did a year ago. Nearly half (47%) of leaders learn more about solutions through online research, while 37% have been helped by technology providers. However, other potential sources of knowledge have been less used, including staff champions (27%), consultants (27%) and trade shows (12%). This suggests an opportunity in 2026 for businesses to empower staff as AI champions, creating new roles and responsibilities that enhance careers rather than replace them.


View from the experts

Karl Chessell, director – hospitality operators and food, EMEA at NIQ, said: “AI can drive dramatic improvements in productivity across hospitality, and this survey shows how leaders are increasingly aware of its benefits. However, adoption is far from universal, and the use of AI solutions has tended to be piecemeal rather than strategic. There are sound reasons for that, with pressure on sales and profits compromising investment in technology and a shortage of confidence holding back deployment. But freeing up spending and education—from technology partners and in-house experts in particular—will be the two keys to unlocking the advantages of AI in 2026, and they will need to be priorities for businesses that don’t want to risk being left behind.” .

Paul Watson, VP of hospitality at Sona, said: “The research demonstrates that hospitality leaders are eager to embrace AI. By making AI practical and accessible, operators unlock efficiencies in scheduling, communication and compliance, so they can focus on what matters most – delivering great guest experiences and supporting their teams. With the right tools and training, AI can create opportunities for staff and strengthen businesses through these challenging times, particularly as we look ahead to 2026.” 


About Business Confidence

The Business Confidence Survey from NIQ and Sona drew responses from leaders at CEO, MD, chair, board and other senior management levels, with combined oversight of more than 13,100 hospitality sites. The research was conducted in late July and early August 2025.  

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