The Hospitality Sales & Marketing Association International (HSMAI) Foundation has released its fourth annual State of Talent Report, outlining the top trends impacting talent across hospitality’s commercial disciplines — sales, marketing, and revenue optimization. The report’s analysis of key talent trends reveals a dramatically transformed workplace landscape in 2025, driven primarily by artificial intelligence adoption, demographic shifts and post-pandemic workplace evolution.

At the heart of this year’s report is a clear message: the next five years in AI and talent strategy will define the next 50 for the industry. AI’s dual role as both a catalyst for creativity and a disruptive force is altering job structures, career pathways and organizational priorities at an unprecedented pace. Simultaneously, the report warns of a shrinking employment base and intensifying competition for skilled professionals. In this environment, talent itself becomes the ultimate differentiator, and organizations that place people at the center of decision-making will lead the industry forward.

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“AI has moved from a future consideration to a current imperative,” said Brian Hicks, president and CEO of HSMAI. “Its speed, scale, and potential are unlike anything hospitality has seen since computerization. The organizations that act decisively to integrate AI into their commercial strategies, while investing equally in upskilling and leadership, will be the ones that define the next era of hospitality.”

The State of Talent Report identifies and ranks nine interrelated trends shaping the industry’s workforce priorities. These insights serve as a guide for leaders navigating transformation at the intersection of people, technology, and purpose.

The 9 key talent trends identified by HSMAI in the 2025 State of Talent Report are:

1. The Rise of Artificial Intelligence
2. Retention Through Upskilling, Reskilling and Upward Mobility
3. Meeting the Needs of Multigenerational Workforces
4. Leadership Defines Culture and Organizational Purpose
5. Prioritizing Emotional Wellness
6. Return to Office and Hybrid Work Models
7. The Rise of the Gig Economy and Fractional Staffing Models
8. Transforming Employee Engagement
9. Cross-Functional Teamwork and the Evolution of Commercial

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The report offers deeper insights into each of these trends through literature reviews, interviews with industry professionals, and case studies, providing clear guidance for strategic planning and resource allocation for hospitality industry leaders. The findings emphasize that winning organizations will be those that place talent strategy at the core of their business models, making deliberate decisions about what to insource, what to outsource and how to build an environment that anchors growth, profitability, and long-term competitiveness.

“The commercial success of the hospitality industry depends on its ability to align people strategy with revenue growth strategy,” said Lori Kiel, CHDM, Chair of the HSMAI Foundation and Senior Vice President of Revenue Management at Pyramid Global Hospitality. “AI, demographic change and workforce expectations are rewriting the playbook — and the organizations that invest now in talent excellence will shape the industry’s next chapter.”

The State of Talent Report, a cornerstone of the Foundation’s mission to advance commercial talent in hospitality, is made possible with the support of the HSMAI Foundation’s corporate talent partners. The report is authored by Dorothy Dowling, Managing Director, Horwath HTL and a special advisor to the HSMAI Foundation board.

For more information about the HSMAI Foundation and its programs, visit www.hsmaifoundation.org. For interview opportunities, please contact hsmaipr@mmgy.com.