Localization is Key to Success: 99% of Hotels Report Higher Satisfaction Amidst Asia’s Tourism Boom

A new research report released by digital travel platform Agoda, titled Tailored to Win: Capturing Asia’s Tourism Boom, has issued a definitive call to action for the hospitality sector, highlighting that tailoring guest experiences to cultural, linguistic, and behavioral preferences is essential for market success. The findings are dramatic: hotels adopting advanced localization strategies saw near-universal improvement in guest satisfaction and loyalty, with 99% reporting higher satisfaction scores and 91% noting guests are willing to pay a premium per room.

As Asia cements its position as the world’s fastest-growing travel engine, its share of global international arrivals has risen sharply from 9% in 2022 to nearly 28% by early 2025. This rapid growth, driven by rising incomes and improved connectivity across the region, has complicated traveler expectations, proving that the “Asian traveler” is no longer a single archetype. The report underscores that localization is now a decisive competitive edge, with hotels culturally and linguistically adapting to neighboring markets witnessing stronger demand from nations like China, Japan, South Korea, and Singapore. The financial returns are significant: hotels achieving advanced stages of integrated tailoring report a 59% stronger RevPAR (Revenue Per Available Room) impact and up to 95% higher repeat bookings. Yet, the report notes that only about one-third of hotels have reached this integrated stage. Data gaps persist as a challenge, with 55% of hoteliers citing limited awareness of guest cultural preferences, preventing more targeted investment. To bridge these capability gaps, nearly 80% of advanced localizers are relying on online travel agencies (OTAs) like Agoda for guest insights and digital tools that enable multilingual and multi-currency engagement.

Andrew Smith, Senior Vice President of Supply at Agoda, emphasized that “true success comes from understanding the nuances of each market.” He added that Agoda helps partners “turn these cultural nuances into measurable impact,” empowering them to grow by being as local as their guests expect. The report calls on hoteliers to audit their current guest mix, invest in multilingual and culturally trained staff, and partner with digital platforms to deliver personalized, data-driven experiences at scale, urging the industry to move from standardization to true localization.

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