A multitude of tech trends are evolving the the hospitality industry. Technology that can automate and optimize specific tasks has helped hospitality businesses cut costs and increase revenue. For instance, hotels that can offer virtual tours have seen 135% more revenue from online bookings.
If you run a hospitality business, you don’t want to get left in the dust because of outdated methods. Staying on top of trends is critical. Here are some of the latest tech trends taking shape in the industry.
1. Articificial Intellgience
Artificial intelligence (AI) is a computer system that uses pattern recognition to complete tasks. AI is programmed to do a task based on customizablecriteria, which allows companies to automate various wings of their business to a very specific degree.
An example of AI in the hospitality industry is chatbots. Chatbots pose as customer service representatives and answer questions via an instant messaging service.. They reduce costs by decreasing the amount of employees on-site. So far, chatbot AI hasn’t been perfect, but its improvement depends on data. The more data that chatbots collect, the better they can answer real customer service questions.
Another example is predictive analytics. Predictive analytics is a machine-learning, AI integrated system that analyzes customer data to make predictions about the future. If two people click on a particular article, andone of them ends up booking a hotel room, predictive analytics would guess that the second person might also book a hotel room in the next 30-60 days.
2. Contactless transaction
Contactless transactions present a clean, efficient way to automate booking, checking in and out, and handling payment. As a result, it allows businesses to reduce costs and maintain revenue.
There are multiple types of contactless transaction methods. Near field communication (NFC) is the most common. NFC allows you to tap the chip of your card to the reader. It uses encryption to protect customer data. One example of NFC is Apple Pay.
Online payment is another contactless transaction method. To implement into your business and perform safe transactions, simply connect with a third-party payment provider.. PayPal and Stripe are the most common for the eCommerce and hospitality industries.
Why not partner with another business and pair with their services? It’s a method of contactless transaction, and it gives your business another platform through which to market to customers. Famous examples in food include restaurant partners like UberEats or DoorDash. The equivalent in the hotel industry is a website like Hopper. For example, for restaurants, you could pair with a service like UberEats or DoorDash. Essentially, this gives your business another platform to market and obtain customers. Additionally, for hotels, the Uber equivalent is Hopper, which helps promote hotels and increase booking rates.
3. Go virtual
A study found that the more interactive a tour, the more conversion rates increased. How could that be? We told you that virtual tours increased hotel revenue by 135%. Let’s look at two examples. tive.
Hotel 1 has a simple website with tons of photos of their rooms, amenities, and location. Hotel 2 has everything hotel 1 has and offers a virtual tour that has animations, music, and an effectivecall to action. Which would you book?
There isn’t anything more important than customer experience in hospitality, and virtual tours offer customers an excellent experience.Wouldn’t you always want to walk around and take a look first, before booking your room and paying the fee? They make customers feel more confident in their choice, more excited to click “book.”
4. Using the cloud
Cloud systems are a very effective way for businesses to store data andfiles and run servers. They’re also less expensive than traditional storage.
Not only do cloud systems reduce costs, but they also improve the efficiency of employees. The technologies used in cloud systems offer fast response times and automatic data collection that allows employees to focus on other responsibilities.
How do you integrate a cloud system into your business? You’ll want to set goals to know what you want to achieve by switching to a cloud system. Once you’ve found and compared a few third-party providers’ rates and features, you canbegin cloud staging, which is transferring your current data to the new platform.
5. Mobile check-in
Mobile check-in leaves wait times a thing of the past by providing a way for guests to communicate with staff when they arrive at the location. Hotel staffs can know the exact time to get ready for when guests arrive.
However, mobile check-in isn’t only used for hotels. Restaurants have also implemented itthrough their app or website to curb wait times. Customers schedule a reservation through the app and arrive when it’s time. In addition, customers can give their phone number to receive updates about their table status.
Generally, mobile check-in is done on a mobile app; however, you can also set it up on your website or through SMS messaging.
Putting it all together
An honorable mention would be cyber security. Hacking and data leaks are more prevalent than ever, so businesses of all sizes and industries must protect their customer’s data. Whether it’s your cloud system, website, or mobile app, you want your platform to be secure and safe.
New technology impacts how business is done in the hospitality industry each year. With advancements in AI and other technology, it’s a guarantee that there will be new trends in 5-10 years. While our list has some effective tech strategies for your hospitality business, the best thing you can do is always stay on the look out for trends. You never know which tech advancement might be the next big thing for your business.
