At the TDM Global Summit Bangkok 2026, Ermanno Lelli, Senior Consultant and Director at Ermanno Lelli F&B Consulting delivered a clear message to hotel operators: Food and Beverage is no longer a secondary function but a core driver of profitability and guest engagement.
A Shift Away from Legacy F&B Models
For years, hotel restaurants and bars operated as support functions, primarily serving in-house guests while contributing marginally to overall profitability. Complex operations, slow innovation cycles, and limited commercial focus led many hotels to outsource F&B to external brands, trading operational ease for reduced margins and diminished control over the guest experience.
That dynamic is now changing. With improved operational tools and evolving guest expectations, hotels are increasingly reclaiming their F&B spaces. What was once considered a challenge is now being repositioned as a strategic asset capable of generating both revenue and brand differentiation.
Digital-First Marketing Levels the Playing Field
The rise of social media has fundamentally reshaped how hotel F&B outlets attract and engage customers. Marketing, once dependent on significant budgets and large teams, can now be executed effectively with mobile-first content and direct digital engagement.
This shift allows hotels to compete more directly with standalone restaurants and bars. By leveraging accessible tools and real-time content strategies, operators can drive awareness, increase footfall, and generate incremental revenue without heavy investment.
Local Spirits Take Centre Stage
Consumer demand is increasingly shifting toward authentic and locally rooted experiences. Drawing comparisons to China’s transformation of baijiu into a premium category, the session highlighted a similar trajectory emerging in Southeast Asia.
Hotels that integrate local spirits into their offerings can tap into this growing preference, creating culturally relevant experiences that resonate with both domestic and international guests. This approach not only enhances differentiation but also strengthens connections with local suppliers and communities.
Low-ABV Cocktails Drive Volume Growth
Low ABV refers to alcoholic beverages with a lower-than-usual percentage of alcohol by volume. Low-alcohol cocktails are rapidly gaining traction, particularly among younger consumers who prioritise moderation without compromising on experience. This shift is influencing how hotels design their beverage programmes.
From a commercial standpoint, low-ABV offerings encourage repeat consumption and longer dwell times, leading to increased per-guest spend. For operators, this represents a practical and scalable way to align with evolving drinking habits while improving overall revenue performance.
Nostalgia Returns as a Revenue Lever
Nostalgia is emerging as a powerful driver of F&B innovation. Concepts from the 1980s and 1990s, including classic cocktails and frozen beverage formats, are being rediscovered by a new generation of consumers.
For hotels, this presents an opportunity to reintroduce proven concepts with minimal investment. By combining familiarity with modern presentation, operators can create engaging experiences that feel both new and accessible to today’s audience.
Tequila Leads the Global Beverage Shift
Tequila and agave-based spirits are now at the forefront of global beverage trends. Once considered niche, tequila has evolved into a mainstream category with strong consumer appeal and significant revenue potential.
As preferences shift away from heavier spirits, tequila offers a versatile and commercially effective alternative. Its growing popularity makes it a key focus area for hotel bars looking to remain relevant and competitive in a rapidly changing market.
Simplicity is the New Profit Strategy
A key takeaway from the session is the importance of simplifying F&B offerings to drive efficiency and profitability. Overly complex cocktails and extensive menus often increase operational costs and slow service, limiting repeat consumption.
By focusing on high-quality, easy-to-execute offerings, hotels can improve service speed, increase order frequency, and optimise margins. Simplicity, in this context, becomes a strategic advantage rather than a compromise.
The insights shared by Ermanno Lelli highlight a broader transformation in hospitality. Food and beverage are no longer just about service—it is about strategy, positioning, and profitability.
For hotels willing to rethink traditional models and embrace new trends, F&B offers a significant opportunity to drive both revenue and guest engagement in an increasingly competitive landscape.
