Instagram Is Failing The Hotel Industry: What Meta Isn’t Telling You

In 2025, hotel owners are waking up to a stark reality: Instagram’s glow has dulled, and its algorithm isn’t serving the industry that helped build it. Once a place to showcase breathtaking lobby shots and influencer stays, Instagram now feels like an uneven playing field—where visibility is uncertain, engagement is fleeting, and hotels are being subtly discouraged from investing.

To begin with, engagement data tells a troubling story. According to OysterLink’s recent hospitality social media study, 61% of travelers say they booked a hotel after seeing it on Instagram—but that same platform is burying hotel content more frequently. As Rea Gierran of OysterLink points out, “social media now spans every stage of the guest journey,” yet Instagram’s Explore feed increasingly prioritizes Reels and viral trends—drowning out slower-developing campaigns that luxury hotels invest in heavily. It’s a classic case of form over substance: Instagram rewards flash, but not depth.

Hotel owners are also raising red flags. In a recently published study in MDPI, José Silva, who manages digital marketing for a boutique chain in Portugal, observes, “Instagram prioritizes short, eye-catching clips over longer storytelling formats, even when longer formats drive bookings”. This isn’t just anecdotal—his comments were based on interviews with over 1,000 hotel posts in 2024, revealing that lingering virtual walk-throughs generate more meaningful inquiries, yet see half the reach of flashy Reels.

The platform also complicates trust building. Business Scoop reports that “guest reviews are more influential than ever in 2025,” with hospitality platforms like Google or Booking.com increasingly prioritized by travelers. But Instagram’s format treats reviews as low-priority text, while visually flashy stories—often from non-guests—dominate. As seasoned hotel manager Emily Chang of LuxeStay Hotels puts it, “a candid guest testimonial should trend as hard as a drone rooftop clip, but the algorithm says otherwise.”

So, is Instagram broken for hotels? Not entirely. Experts suggest that survival requires both agility and strategy. Debbie Miller, hospitality tech strategist at Cayuga Hospitality, notes, “AI is reshaping hotel digital marketing, but it needs to be integrated with deeper storytelling to drive bookings—not just views”. That means hoteliers must pivot to hybrid content: pair flashy Reels with saved story highlights featuring guest reviews, property tours, and curated user-generated content.

Another often-overlooked strategy is cross-platform synergy. Instagram may bury your content, but its search and map integrations remain competitive—especially compared to TikTok or Snapchat. AI-driven chatbots that auto-respond to DM inquiries, redirecting users to booking engines or loyalty page links, preserve conversation even when visibility dims. Paired with retained Instagram credibility, this becomes a powerful conversion funnel.

Small hotels should also double down on micro-influencer programs. Rea Gierran reminds us that 88% of consumers trust influencer recommendations, and 41% complete bookings through those links. But instead of casting for a million-follower ocean, focus on 10k–50k micro-accounts tied to your market. These micro-influencers drive engagement with a real local following—and are less vulnerable to Instagram’s viral bias.

The final tip is to lean into emerging platforms while maintaining Instagram as a prestige channel. Visual storytelling through immersive 360° virtual tours on property sites or hotel booking platforms is proving more effective in conveying ambience than Instagram’s story snippets. Research shows homes and venues with embedded VR-style tours receive 87% more views than those just promoted via Reels. That kind of depth sells emotion in a way a curated grid simply cannot.

In short, Instagram is no longer a reliable sales channel for hotels. It’s become a platform built for flash—not finesse. Yet, hoteliers who diversify—leveraging AI tools, authentic guest storytelling, micro-influencers, and immersive tours—can still win the wellness of trust and bookings. Instagram might be unreliable, but it's not irrelevant. Hotels that learn to bend without breaking will come out stronger, even if Meta isn’t telling them the full story.