This is one of the key findings from recent research undertaken by Cerve in partnership with EP Hospitality. Over 30 key leaders from across the industry responded to a series of questions to give a snapshot of data and AI within their organisations.
Key takeaways include:
- AI has certainly arrived in the Food and Beverage sector, although the current situation suggests a tactical rather than strategic approach at present. Over 90% of respondents reported using AI tools in some capacity, however, the degree of maturity varies widely. For many, adoption is still in its early stages, limited to specific tools or pilots rather than integrated AI strategies.
- The industry knows there is a tremendous commercial opportunity for effectively adopting data and AI strategies, but more work is required to articulate and quantify cost savings.
- The current level of data integrity is sub-optimal, which has the potential to restrict extracting the value of AI based projects, and a focus on creating a more accurate and robust infrastructure is required.
- The headwinds of recent years have deprioritised technical investment across the industry, but that is shifting as the sector’s desire to unlock commercial and operational benefits from data and AI is increasing.
The report in full is detailed below.
The Journey to Unlocking the Potential of Data and AI in Hospitality Businesses – It Still Has a Long Way to Travel
Cerve, in partnership with EP Hospitality – August 2025
Is the Opportunity of Perfect Data and AI in Hospitality Really Understood?
AI and data-driven technologies are beginning to reshape the hospitality industry, enhancing operations, improving guest experience, and unlocking new efficiencies. But while the potential is widely acknowledged, the path to implementation remains fragmented and uneven.
This summary draws on insights from a focused industry questionnaire sent to senior hospitality leaders across the UK. The aim was to understand how businesses are engaging with AI today: what’s working, what’s not, and what’s needed to accelerate adoption.
By capturing current attitudes, challenges, and priorities, our aim is to provide a clearer picture of the sector’s digital maturity and help identify the meaningful steps needed to support modernisation. These findings will contribute to a broader industry conversation, including a dedicated forum where hospitality leaders and technology providers can come together to share insight, shape best practices, and develop solutions that work in the real world.
Current Adoption of AI in Hospitality
AI has certainly arrived in Hospitality, although the current situation suggests a tactical rather than strategic approach at present. Most hospitality leaders surveyed indicated their businesses are either actively exploring or already using AI-powered tools. In fact, 91.7% of respondents reported using AI tools in some capacity.
However, the degree of maturity varies widely. For many, adoption is still in its early stages, limited to specific tools or pilots rather than integrated AI strategies. Three-quarters (75%) described their approach as actively exploring or using AI, while others (16.7%) said they are taking a more cautious, phased approach. Only 8.3% reported a blended or experimental stance.
While few rejected AI outright, several highlighted the need to prioritise day-to-day operational demands and resource constraints. AI is largely being explored for its potential to streamline processes, improve marketing personalisation, and optimise inventory or workforce planning but transformational use remains the exception rather than the rule.
Education and Understanding of Value
The industry knows there is a tremendous commercial opportunity for effectively adopting data and AI strategies, but more work is required to articulate and quantify cost savings. A striking insight was the limited awareness of AI’s commercial upside. For example, while models show AI adoption can lead to operational savings of up to 1% of turnover, 83.3% of respondents felt this message is not well understood across the industry.
An overwhelming 100% agreed that more education is needed on the cost-saving potential of AI with many respondents felt that AI is still framed as a “technology conversation” rather than a business one. Decision-makers, particularly those outside IT functions, often lack access to simple, relevant information about what AI can deliver, how it works in practice, and what ROI they can expect.
This gap in understanding is a key bottleneck. For AI to gain broader traction, it needs to be explained in operational and commercial terms, with clear use cases relevant to the pressures hospitality businesses face daily. This lack of visibility is reflected in other responses too—for example, 66.7% of leaders said they don’t know how much it costs their business to process a single purchase order, while only 33.3% were able to provide an estimate. Without clarity on such fundamental metrics, it becomes even harder to assess where AI can add value or deliver savings.
Legacy Infrastructure as a Barrier
The current level of data integrity is sub-optimal, which has the potential to restrict extracting the value of AI based projects, and a focus on creating a more accurate and robust infrastructure is required.
Legacy systems were repeatedly cited as a significant constraint. Two-thirds (66.7%) described their legacy systems as a moderate barrier, with ongoing but slow upgrades in place. A further 25% cited major barriers due to dependence on outdated systems that are hard to replace. Only 8.3% reported having already invested in modern infrastructure.
Even those interested in AI are held back by the time, cost, and risk associated with replacing core infrastructure. Some are addressing this gradually, but change is often slow, and the industry lacks clear pathways for modernisation.
Without reliable, centralised, and clean data flows, the benefits of AI are difficult to realise.
In many cases, the technology is ready, but the infrastructure is not.
Trust, Privacy and Cultural Resistance
Whatever commercial benefits derived from an effective data and AI strategy cannot compromise data security, no matter how substantial they are – trust and confidence in data security is non-negotiable. Trust was another core theme. A significant majority (66.7%) said they have moderate concerns around trust, describing themselves as cautious but open. An additional 16.7% viewed trust as a major concern and key barrier to adoption. The rest (8.3% each) either felt confident in their current approach or believed risks were being overstated.
Leaders expressed concerns about how their data is handled, particularly by third-party providers, and flagged this as a barrier to deeper engagement. While GDPR compliance was mentioned, the issue was broader: a general discomfort with the idea of sharing operational data externally. Some felt that providers need to be more transparent about how data is used, stored, and shared. Without this, even the most innovative tools can struggle to gain buy-in from senior leadership or frontline teams.
There’s also a cultural dimension. Several respondents described a lingering scepticism about data-driven decision-making within their businesses. This reflects broader challenges around change management, staff capability, and the pace at which digital innovation is being embraced across the sector.
A Sector Behind the Curve—But Ready to Change
The headwinds of recent years have deprioritised technical investment across the industry, but that is shifting as the sector’s desire to unlock commercial and operational benefits from data and AI is increasing.
Nearly all respondents agreed with the statement that hospitality is “up to 20 years behind” other sectors in terms of productivity and technology. Half (50%) strongly agreed with this statement. Only 8.3% expressed any form of disagreement.
At the same time, there is a strong sense of urgency. Many leaders view the current moment as a tipping point, where digital transformation is no longer optional, but essential to survive and compete. For those who can modernise effectively, the opportunity is significant.
A Call for Tech Partnerships and Sector-Specific Solutions
The day of “one size fits all” technology and software solutions has gone, and the future will be based on customised solutions to solve specific challenges, built on robust and accurate data. Several businesses voiced frustration that too many AI solutions are sold as “ready-made” platforms without sufficient understanding of hospitality’s unique environment. In fact, 58.3% of respondents agreed that providers often fail to listen to operators’ specific needs. Technology providers were described as focused on the tools rather than the operator, failing to engage meaningfully with how frontline teams actually work.
Respondents emphasised the need for more collaborative approaches: co-developing solutions through real dialogue, pilots, and feedback loops. These partnerships should prioritise the realities of hospitality operations, moving beyond one-size-fits-all products to services shaped around the day-to-day needs of teams on the ground.
What the Sector Needs Now
Based on the findings, four priorities emerge for supporting the hospitality sector’s digital evolution:
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Operational Education for Decision-Makers
Make the commercial benefits of perfect data and AI clear and concrete. Focus less on technical features and more on outcomes: revenue growth, cost reduction, guest satisfaction, and efficiency.
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Support with Infrastructure Modernisation
Many businesses are keen to progress but don’t know where to start. Tech companies specialising in hospitality can guide businesses from legacy systems to modern platforms through clear, manageable steps and providing perfect data ahead of strategic AI projects.
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Partnership, Not Just Product
The most impactful data and AI tools will come from genuine collaboration, not assumptions. Providers need to invest in sector expertise and ongoing support to ensure lasting value.
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Build Trust Through Transparency
Clear data policies, user controls, and shared value models will go a long way in reducing resistance and improving adoption rates. Trust is the foundation for progress.
Conclusion
The hospitality sector is not resistant to innovation, but it is pragmatic. Leaders are open to AI and data-driven technologies, but only where the case is clear, the risk is manageable, and the solutions fit their world.
The path forward depends not on pushing harder, but on aligning better, between what technology can do and what hospitality businesses actually need. The next phase of innovation in hospitality will be shaped not just by software, but by listening, learning, and building together.
