In the modern hospitality industry, particularly within the scenic context of Cyprus, digital marketing strategies have become indispensable for achieving competitive success. Cyprus, renowned for its rich cultural heritage and breathtaking landscapes, offers boutique hotels a distinct opportunity to differentiate themselves in a crowded market. As consumers increasingly turn to digital platforms for information and bookings, the effective utilization of digital marketing by these establishments is crucial. The industry’s growing reliance on technology to attract new clients necessitates a strategic approach that not only engages potential customers but also establishes a robust digital brand presence. This study employs a mixed-methods approach, integrating qualitative interviews [n = 12] with hotel managers and digital marketing professionals alongside quantitative surveys [n = 158] to hotel guests. The aim is to examine the implementation of digital marketing strategies within Cyprus’s boutique hotel sector and evaluate their impact on critical business outcomes, including customer engagement, brand visibility, and overall performance. The research reveals significant regional variations in the adoption and effectiveness of digital marketing strategies among boutique hotels in Cyprus. In tourist hotspots, advanced digital strategies have successfully enhanced brand visibility and increased direct bookings, particularly among younger, tech-savvy customers. Conversely, hotels catering to business customers face challenges in achieving similar digital engagement, often relying on traditional online travel agencies. The study highlights the importance of integrating digital marketing with national branding initiatives and addressing challenges such as regional geopolitical tensions and varying levels of digital literacy. To fully capitalize on digital marketing opportunities, Cypriot boutique hotels should invest in digital training to amplify their reach and increase bookings. An integrated approach that combines social media, and search engine optimization is recommended to maximize online presence, sustainability, and profitability. This comprehensive strategy will enable boutique hotels to navigate the complexities of the digital landscape effectively and achieve growth.

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