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Universal Taps Into Demand for Experiential Stays

In 2023, Taylor Swift’s Eras tour had a huge impact on hotel revenues across America, generating $208 million over and above normal seasonal levels. So, imagine if you were both a record label and a hotel provider. Well, that’s exactly the direction Universal Music Group (UMG) is going in with its new brand, UMUSIC Hotels. UMG aims to pair an amazing hotel experience with a music venue, to deliver the ultimate experiential stay.

“UMUSIC Hotels is a new global collective of immersive hotels inspired and powered by music.

Our properties serve to create unique experiences for guests and artists alike, with music and entertainment at the forefront of design and the overall guest experience,” explains Oscar Serrano, Senior Vice President, Sales & Marketing, UMUSIC Hotels.

UMusic Hotel - Theater

A Grammy-winning Hotel Opening

The first UMUSIC hotel opened in Madrid in October 2023. It was a hotel opening like no other, attended by celebrities and musicians from Madrid and beyond. Three-time Grammy Award winner, Ryan Tedder of OneRepublic, along with national artists David Bisbal, Pablo López, Amaia, and Ángeles Toledano, put on an invite-only performance, hosted by comedy actors Carlos Latre and Inés Hernand.

UMUSIC Hotel Madrid is in the heart of the Spanish capital amidst the bustling Centro district. Drawing inspiration from the city’s thriving culture, UMUSIC Hotel Madrid serves as a creative hub in the community and houses the historic Albéniz Theater. The theater can accommodate up to 898 guests and is currently home to the longest-running show in Broadway history, Andrew Lloyd Webber’s, The Phantom of the Opera, which runs from September 20, 2023, to April 7, 2024.

According to Serrano, the aim is to tap into the lucrative experiential stay market. Adding in the musical element broadens the hotel’s guest demographic, he shares:

“Music is universal! We don’t confine it to a specific demographic but instead aim to reach fans of all music and entertainment genres. Authenticity is key; our hotels provide a window into local traditions and stories, as well as exciting events and live entertainment, to enrich every stay.”

He added:

“We seek to provide unique experiences that go beyond ‘a shower and a bed’. Recognizing clients’ desire for tailor-made experiences that resonate with their interests while fitting into their budget and duration of stay, we offer various package options. By understanding each guest’s preferences and musical tastes, we can be creative and craft curated packages to enhance our value proposition.”

With a large catalog of musical talent and a wide fan base, UMUSIC Hotels is hoping a lot of its guests will book direct. However, Serrano and the team also appreciate the importance of partnering with third-party distributors who can provide added value to their distribution ecosystem.

Challenges and Trends for 2024

As a relatively new and innovative project, Serrano anticipates challenges in the year ahead, due to what he sees as the surge in new hospitality offerings and the diminishing differentiation among brands and their values.

“This places pressure on pricing, distribution, and marketing costs. Only brands with a clear and unique value proposition will be able to maintain a competitive advantage,” he says.

He also believes that technology must evolve to meet the new demands of hotel management, adding, “Companies need support that — beyond silos — favors a dynamic and adaptable approach rooted in strong customer service.”

Looking at revenue management, he believes the most important trends for 2024 to be:

  • Automatization and AI
  • Dynamic pricing
  • Personalization and customer segmentation
  • Integrated technology.


UMUSIC Hotels will expand in 2024, with upcoming openings in the US, Europe, and Latin America already announced.

Discover what other industry experts believe are the revenue trends to look out for in 2024. Download our latest special report, Trends & Predictions to Advance Your Hotel Revenue Strategy in 2024’.

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Sarah McCay Tams, Director of Marketing Communications

Sarah joined Duetto in 2015 as a contributing editor covering Europe, Middle East & Africa (EMEA). In 2017, she was promoted to Director of Content, EMEA, and in 2022 promoted to Director of Marketing Communications. An experienced B2B travel industry journalist, Sarah spent 14 years working in the Middle East, most notably as senior editor – hospitality for ITP Publishing Group in Dubai, where she headed up the editorial teams on Hotelier Middle East, Caterer Middle East and Arabian Travel News. Sarah is now based back in the UK.

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