The Up-and-Comers: Why Hospitality Cannot Afford to Overlook Gen Z

In PR, messaging is paramount. In hospitality, prestige is currency. But as consumer behaviour undergoes rapid transformation, clinging to traditional models in the name of prestige is becoming a strategic misstep. The most overlooked yet influential force in this shift is Gen Z. 76% of Gen-Z respondents expressed an increased interest in travel, according to a recent hospitality report by McKinsey, accounting for 20% of all luxury sales globally with a direct spending power exceeding $200 billion. They have an outsized influence on household and cultural purchasing decisions. They are not waiting for industries to adapt. They are rewarding those that already have and quietly abandoning those that have not.

What Luxury Brands Understand That Hospitality Does Not

Leading lifestyle and luxury brands have already realigned to meet this generation on their terms through intentional shifts in brand ethos, technology, and storytelling. Gen Z rewards innovation that feels personal, inclusive, and culturally attuned.
Consider Jacquemus, whose eclectic but irreverent brand identity speaks directly to Gen Z’s appetite for authenticity over extravagance. Its viral hyper realistic AR experiences and digital-first campaigns create community and commerce. Rolex, long regarded as the epitome of prestige, has subtly shifted its tone — investing in emotionally resonant short films and value-driven messaging that emphasizes legacy through a modern lens.
Without compromising on prestige, W has been an exception in redefining prestige as a lifestyle — rooted in bold design, immersive music culture, and hyper-local storytelling. They focus on digital-first experiences and unapologetic self-expression.

Why Hospitality Cannot Afford Inaction

These shifts are not cosmetic. They represent what prestige actually means to the next generation. This is where hospitality, particularly in its upper tiers, is falling behind. Many hospitality brands still equate prestige with exclusivity, formality, and legacy storytelling. While those elements hold value, prestige is evolving; it now includes cultural intelligence, social relevance, digital fluency, and emotional resonance.
Failing to recognize this evolution risks more than being out of touch. It means:

1. Losing Market Share: Gen Z actively curates their experiences and shares them. If a brand does not resonate with their identity or values, they will choose, and amplify, alternatives that do.

2. Missed Innovation Loops: Gen Z is not just reacting to trends; they are creating them. Engaging them meaningfully can unlock feedback loops, co-creation opportunities, and a renewed sense of brand energy.

3. Talent Attrition: Gen Z is entering the hospitality workforce with clear expectations around brand ethics, inclusion, work culture, and innovation. Brands that ignore these drivers will struggle to attract or retain top talent.

What We Know and What We Do

As a business deeply embedded in hospitality, communications, and consumer intelligence, we see the writing on the wall. We partner with clients to rethink prestige for a new era: merging legacy with innovation, exclusivity with inclusivity, and brand heritage with the cultural fluency that today’s consumers expect. When done right, this is not a dilution of identity, it is a reinvestment in longevity. Gen Z is not a peripheral segment, they are the market now, and the benchmark for future relevance.

Sources:
BurdaLuxury, 2025

RetailBoss, 2024