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Hyatt Doubles Down on Luxury: What Hotel Operators can Learn

San Francisco, CA - November 15, 2023: Interior glass elevators in the Hyatt Regency Hotel in the Embarcadero waterfront in San Francisco.

Hyatt Hotels is making a calculated move to expand in two directions: scaling its presence in the mid-market while aggressively growing its luxury and lifestyle brands.

The company recently announced plans to introduce over 50 new luxury properties by 2026, including an international debut of its Miraval wellness brand in Saudi Arabia. At the same time, Hyatt is developing more than 120 midscale hotels under its Hyatt Studios and UrCove brands. This dual-pronged strategy positions Hyatt to serve a diverse range of travelers while solidifying its foothold in the high-end market.

The decision underscores a crucial shift in hospitality. While budget-friendly stays will always be in demand, the luxury segment is experiencing a strong resurgence, attracting high-net-worth individuals and travelers willing to splurge for elevated experiences.

As GEM Journal Today previously reported in its analysis of luxury hotel investments in 2025, investors continue to show strong interest in premium properties due to their higher margins and resilience against economic downturns.

Hyatt’s moves provide a blueprint for success for hotel operators looking to compete in this space.

Luxury isn’t just about price – it’s about personalization

Hyatt’s focus on growing its high-end portfolio reflects a larger trend in hospitality: today’s luxury guest expects more than just an expensive room.

Personalized services, seamless technology integration, and unique experiences differentiate premium hotels.

Hyatt has leaned into this by enhancing its digital concierge services, allowing guests to tailor their stays through mobile check-ins, room customizations, and personalized wellness programs.

Independent hoteliers can adopt a similar approach without massive corporate backing. Investing in guest data collection – through surveys, loyalty programs, or AI-driven customer insights – allows hotels to anticipate needs before a guest checks in. A frequent business traveler, for instance, may appreciate an expedited check-in process, while a wellness-focused guest might be interested in an in-room aromatherapy menu. These small but impactful details help create a sense of exclusivity and care, making guests more likely to return.

Hyatt’s commitment to personalization also extends to staff training. Employees are equipped with tools to recognize and respond to guest preferences in real-time.

This reinforces the idea that luxury isn’t just about what’s offered – it’s about how it’s delivered. GEM Journal Today previously explored this concept when covering the sales strategies behind luxury hospitality, emphasizing the importance of staff empowerment in creating an elevated guest experience.

Read more: The 4 Benefits of Personalization for Your Hotel Guests

Wellness and exclusivity are driving high-end travel

Another defining characteristic of Hyatt’s luxury expansion is its emphasis on wellness tourism. With the global wellness industry now valued at over $1.5 trillion, hotels increasingly incorporate health-focused amenities to attract affluent travelers.

Hyatt’s upcoming Miraval The Red Sea resort exemplifies this trend, offering immersive wellness experiences beyond a standard spa treatment. The property will feature curated mindfulness programs, nature-immersive activities, and wellness cuisine designed to provide a holistic retreat.

For independent hoteliers, this signals a growing expectation among luxury travelers: wellness should be seamlessly integrated into the guest experience, not treated as an add-on.

This doesn’t necessarily mean building a full-scale wellness retreat but finding ways to elevate existing services. Whether it’s offering sleep-enhancing turndown amenities, hosting guided meditation sessions, or providing organic, locally sourced dining options, hotels that prioritize well-being will have a competitive edge in the luxury market.

Exclusivity is another major driver behind Hyatt’s high-end strategy.

Luxury travelers seek more than just comfort – they want unique experiences. Hyatt is responding to this demand by expanding into destinations that offer cultural immersion and private, high-touch services. Its upcoming openings include properties in high-demand locations like the Maldives and Kyoto, where travelers seek a blend of opulence and authenticity.

Smaller hoteliers can replicate this by curating destination-specific experiences, partnering with local artisans, or offering private tours that provide guests a deeper connection to the location.

Read more: How to Cater to Wellness Travelers in 2025

The takeaway: Luxury hospitality is an evolving standard

Hyatt’s doubling down on luxury is more than just a corporate expansion – it indicates where the hospitality industry is heading. The growing demand for high-end experiences redefines luxury, shifting the focus from simply providing opulence to curating highly personalized, wellness-driven, and exclusive stays.

For independent hoteliers, the key takeaway is that luxury is no longer defined by price alone. Guests seek tailored experiences, high-touch service, and exclusivity that make their stay unique.

By adopting strategies prioritizing personalization, well-being, and cultural integration, hotels of all sizes can compete in this space and cultivate long-term guest loyalty. Hyatt’s latest moves serve as a reminder that investing in these elements isn’t just a trend – it’s the future of hospitality.