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The future of hotels

What will the hospitality industry look like in a few years' time? A recent report predicts that the rise of tech-augmented services, unique loyalty systems and the end of ‘room types’ will be the main disruptors for the industry in the years ahead. Read the summary below. 

 

Disruptor 1: The Rise of Tech-Augmented Hospitality

  • Artificial Intelligence will help build efficient, human-free solutions
  • However, human interaction is still preferred by guests in some circumstances
  • Example: The majority of people surveyed prefer to interact with staff rather than technology for reasons such as making a complaint (67%), asking for directions (69%) and checking in to a hotel (67%).
  • Self-service technology solutions ranked comparably for tasks such as ordering a taxi/airport transfer (42%), paying a bill (40%) and ordering room service (37%).
Automated service wins-2In conclusion: while technology continues to advance in the hospitality industry, it should be used to compliment human-service rather than completely replace it. “Artificial Intelligence solutions will empower humans to deliver unprecedented levels of hospitality service.”

 

Disruptor 2: Achieving Cult Status at Scale

  • Tomorrow’s travellers aren’t interested in simply collecting points to build brand loyalty, providing unique and personalised experiences is the key to gaining a cult status
  • Hotels can use technology to provide these experiences at scale, such as collecting data on returning travellers’ hobbies and dietary habits so that unique recommendations are made in advance
  • This data must be sourced from a variety of companies – using open-source API, the travel industry can band together and share this information to create a holistic view of their guest
  • Respondents said they would be happy for suppliers to share their personal information for purposes such as exclusive discounts (47%), relevant offers (37%) and a convenient booking experience (34%)
  • The element of surprise is important in making your hotel stand out from the rest, with 70% of global travellers stating they would like hotels to provide more tips of unique things to do.

Cult status-2In conclusion: Large hotel providers can still provide a boutique experience for customers by using technology to collect, store and share personal information. Serendipitous perks are the key to building brand loyalty, especially in such a competitive market where price transparency is so available.

 

Disruptor 3: The Beginning of the End for Room Types

  • Traditional room types will no longer be the norm, with ‘make-your-own’ bookings taking favour with guests
  • ‘Attribute-based booking’ will allow customers to personalise their experience by tailoring the amenities, inclusions and conditions that suit their needs
  • This may include things such as smart room technology, check-in times, tickets for local attractions or the type of mattress on the bed
  • By un-bundling amenities, hotels can get a better understanding of what their most valuable commodities are and create a pricing model that monetizes their most valuable assets.

Room types-2In conclusion: Guests will appreciate and come to expect a customisable hotel experience, and hotels need to have a clear idea of how to provide this without overwhelming them during the booking process. It is critical that hotels know the value of the attribute they provide and communicate this value efficiently and effectively.

 

To read the full report, click here.

 

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