The defining word of hotel performance in 2026? Adaptability. But we don’t mean the kind solved by an on-trend menu redesign or updating the art in the lobby. This time, the shift runs deeper.
Economic pressure is impacting demand, rates, and margins. That’s why many hotels are pivoting from a room-centric financial model to a diversified one, where ancillary revenue plays a leading role. By expanding income channels and rethinking the guest journey, forward-thinking teams can unlock stronger margins and long-term stability.
Let’s review the best hotel revenue generating ideas in 2026 and explore how to select the best strategies for your team.
Key Highlights
Total revenue per guest matters more than ever
Diverse hotel revenue generating ideas decrease risk
Modern tech, like Canary’s Dynamic Upsells, unlocks new income streams
Why Hotel Ancillary Revenue Should Be a Priority
Hotel ancillary revenue should be a priority to diversify your sources of income and protect your hotel from risk. While room revenue is still a hotel’s primary source of earnings, it’s no longer the most reliable one. STR shows most hotel classes declining in RevPAR year-to-date in 2025. With inflation and changes in demand squeezing hotel room margins on both ends, revenue now needs a boost from elsewhere.
As a result, ancillary revenue is becoming an essential contributor to profitability. Even during the troubled year that was 2020, resort hotels created additional income, making it 18% of total operating revenue. Now that percentage is growing as all types of properties get smarter about monetizing guest touchpoints.
It’s still important to fill beds, but once bookings are finalized, attention can now shift to the additional spend that occupied rooms generate. From automated upsells to premium experiences, there are dozens of ways to boost revenue while also improving satisfaction.
Top 15 Revenue Generation Ideas for Hotels
Coming up with revenue generating ideas for hotels takes a bit of creativity alongside knowing your ideal guest. It’s likely that the best fit for your hotel may be a unique mix of techniques. There’s no one-size-fits-all, but the following 15 hotel revenue generating ideas are a powerful starting point.
1. AI-Driven Guest Personalization
Guest personalization used to be about collecting and storing as much guest information as possible. Then came the big question: how do we use this day to day?
AI tools have given us an answer. Their capability to analyze large amounts of data makes it simple to understand guest preferences and tailor experiences that increase hotel revenue. By looking at past booking behavior, demographics, and real-time interactions, hotels can serve highly relevant offers with ease.
For example, a returning guest who previously booked a late checkout could automatically receive that offer again, this time with a discounted rate if they request early. Tools like Canary AI drive this type of personalization that leads to higher engagement and increases conversion rates for ancillary services.
2. Answer Every Call
The phones rarely ring at a convenient time. There’s a real guest standing in front of you, someone on the line who needs attention, and another caller already on hold.
In 2026, you don’t have to choose.
AI Voice agents can now handle every call and answer questions on your behalf, forwarding only those that require personal attention. They handle multiple callers at once, eliminating missed revenue opportunities. With Canary AI, all conversations can be tracked in a single unified inbox.
3. Yield Management Practices
Yield management allows hotels to maximize revenue by adjusting prices based on demand, booking windows, and market trends. Beyond rooms, amenities such as spa access and late checkout also fluctuate in demand.
By using historical data and forecasting tools, hoteliers can identify high-demand dates for specific amenities and adjust pricing accordingly, capturing more revenue during peak periods while driving volume during slower times.
4. Direct Booking Incentives
Direct bookings are more profitable than OTA reservations. Value-based incentives encourage guests to book directly without discounting room rates.
Examples include:
Complimentary breakfast
Dining credits
In-room amenities
Flexible cancellation policies
Exclusive access to amenities
5. Early Check-In and Late Checkout Fees
Flexible arrival and departure options generate incremental revenue while improving the guest experience and helping housekeeping manage workloads.
Because early access is limited, charging for it ensures demand remains manageable while serving guests who truly value flexibility.
6. Automated Upselling and Cross-Selling
Proactive upselling increases the value of every booking, particularly during the pre-stay phase. Guests appreciate seeing options and requesting upgrades ahead of arrival.
Automated tools can offer:
Discounted suite upgrades
Breakfast, parking, or wine packages
Spa appointments or late checkout
7. Personalized Guest Segmentation
Segmentation allows hotels to tailor offers based on guest type, behavior, and preferences. Business travelers, leisure guests, families, and VIPs respond to different offers.
Understanding your guests enables smarter targeting and higher ancillary conversion.
8. Food and Beverage Promotions
F&B is a key driver of guest spend. Effective strategies include:
Wine-pairing dinners
Room service bundles
Arrival treats
Signature takeaway items
Loyalty incentives for in-house dining
Themed event nights
Grab-and-go options
Afternoon tea
Lounge access
9. Group Booking Packages
Group bookings offer high-volume opportunities when bundled correctly. Tailored wedding and event packages increase convenience for organizers and revenue for hotels, while personalization options create additional upsell opportunities for individual guests.
10. Local Experience Partnerships
Experiencing local culture is a major travel motivator. Partnering with nearby businesses allows hotels to offer curated experiences such as:
Wine tastings
Walking tours
Family activities
Cooking or art classes
These partnerships generate incremental revenue and position the hotel as a gateway to the destination.
11. Wellness and Spa Upsells
Wellness remains a top priority for travelers. Even without a full spa, hotels can offer yoga classes, chair massages, soundbaths, or wellness kits.
Promoting wellness add-ons throughout the guest journey boosts both revenue and differentiation.
12. Pet-Friendly Services
Pet travelers are willing to pay for convenience. Popular offerings include:
Pet welcome kits
Dog walking or pet sitting
Dedicated play areas
Pet-friendly services can become a strong unique selling point.
13. Automation and Self-Service Kiosks
Automation streamlines operations and increases upsell conversion. Results cited include:
Reduced check-in times
Higher mobile check-in adoption
Significant increases in upsell revenue
Guests value speed and control, leading to consistent performance gains.
14. Hosting Events and Experiences
Event spaces can generate revenue year-round through:
Ticketed events
Sponsored activations
Event add-ons with room packages
Experiential programming enhances brand visibility and non-room revenue.
15. Remote Work Optimization
Remote work presents new F&B and workspace opportunities. Offers may include:
Coffee and work hub access
Snack and beverage bundles
Dedicated remote work packages
These draw guests into revenue-generating public spaces.
How to Choose the Best Strategies to Boost Hotel Revenue
To select the right mix, leadership teams should consider:
Revenue impact
Property type and size
Guest demographics
Technology readiness
Budget and resources
Competitive landscape
Seasonality and demand trends
Staff training and culture
Low-lift, high-impact initiatives are often the best place to start.
Increase Hotel Revenue with Canary’s Guest Management Solutions
Canary’s Guest Management Platform enables hotels to automate upsells, personalize journeys, and unlock new revenue streams while reducing workload and improving guest experience.
Key features include:
Dynamic Upsells
Mobile Check-In and Smart Checkout
Canary AI
Digital Tipping
Guest Messaging
Digital Compendium
Frequently Asked Questions
What do major hotels generate their revenue from?
A mix of room revenue and ancillary services such as F&B, spa, events, parking, and upsells.
What is a hotel’s biggest source of revenue?
Typically rooms, though ancillary revenue is increasingly critical to profitability.
Which AI-driven personalization tactics boost ancillary spend the most?
Pre-arrival messaging, mobile check-in upsells, and in-stay targeted offers.
What are the key hotel revenue metrics?
TRevPAR
GOPPAR
REVPOR
