Africa and the Middle East are poised for a dynamic 2025, with a combination of beautiful destinations, more affordable luxury experiences, and unparalleled cultural encounters that will attract more travelers. Tony Romer-Lee, AMEA, co-founder and managing partner of Valor Hospitality, shares his predictions for the forces that will shape the region's hospitality industry in 2025 and beyond.
Africa outperforms the competition in terms of average daily revenue (ADR)
Africa is rapidly becoming a premier leisure destination, outpacing other destinations in terms of ADR (average daily price) levels. With many of Europe's travel hotspots (Venice, Amsterdam, Barcelona) suffering from overtourism, Europeans are turning to Africa for its unparalleled value proposition and the promise of a truly relaxing holiday without the crowds. Attracted to attractive hotspots.
Destinations like Cape Town, Zanzibar and Mauritius will continue to solidify their status as must-see holiday destinations in 2025, meeting the growing demand for multi-generational travel experiences with diverse offerings for all ages. Sho.
“Loyalty programs and points redemption plans will further fuel demand for these destinations as travelers look to maximize their reward points in upscale yet affordable African destinations. “Yes,” says Romer Lee.
Rise of branded housing
This branded home is steadily gaining attention across Africa. These branded residential properties offer a blend of hotel amenities and the comforts of home, making them attractive to investors and travelers alike, especially amid the growing trend of remote work. “Developers can subdivide the property, sell individual apartments to investors, and have them managed by hospitality companies,” explains Romer Lee.
This model allows developers to more easily finance their projects while offering travelers the flexibility of apartment-style living combined with hotel-level services. The trend towards branded homes is particularly evident in destinations such as Cape Town and Nairobi, where remote working has increased demand for long-term, yet full-service accommodation.
Navigating visas for market access
Visas play an important role in driving the growth of tourism demand and regulating market access. Some African countries, such as South Africa, Tanzania, and Zanzibar, have embraced the importance of tourism in driving their local economies by introducing visa policies that facilitate inbound travel.
South Africa's remote work or “digital nomad” visa allows foreigners employed to work remotely to be based in the country. “They're not taking anyone's jobs, they're not costing the country anything, and they're bringing money into the economy,” Romer Lee said. Similarly, Tanzania, including Zanzibar, has taken a welcoming approach. “The results of this tourist-friendly approach are visible in the numbers,” he added.
There is still a lot of room for growth in the region, but visas must be managed responsibly and over time to ensure destinations do not become victims of their own success through overtourism, as is the case across Europe. He warned that this would need to be revised.
In contrast, Namibia has taken a more restrictive approach, revoking visa exemptions for 31 countries from April 1, 2025, citing a lack of reciprocity for its citizens. “This highlights the sensitivities around immigration even as destinations try to attract more tourists,” Romer-Lee said. He stressed that the region needs to take an approach that promotes inbound tourism. There is a need to “open doors, even if it is very difficult for politicians to do so for a variety of reasons.”
Investing in human resources to retain employees
The hospitality industry in countries such as Mauritius is suffering from talent shortages, with skilled workers being lost to higher-paying jobs overseas, resulting in staff being recruited from further afield. In response, leading hospitality companies are prioritizing training programs and soft skills development to attract and retain top talent across the region.
Owned by the South African University of Tourism, the Drostdy Hotel in Graaff Reinet serves as a practical training ground, providing practical experience and comprehensive education for hospitality students. “By investing in its workforce and cultivating a pipeline of skilled professionals, Africa's hospitality industry is poised for long-term success and delivering outstanding results to travelers drawn to the continent. We guarantee service and experience,” explains Romer Lee.
As Africa's hospitality sector responds to the evolving demands of travelers around the world, its success solidifies accessibility, responsible growth and its position as a leading travel destination for years to come. depends on the delicate balance of investing in human capital.
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