AI & the Hospitality Industry

20th February 2023
AI & the Hospitality Industry
Image courtesy: Solution Analysts

February 20, 2023: Travel & hospitality are undergoing technological evolution. Enhancing customer experience by leveraging emerging technologies like Artificial Intelligence rings a new level of disruption.
We bring you two takes by experts in the field.
1. Significance of AI in hospitality
AI in the Hospitality Market will experience a growth rate of approximately 10% during the forecast period of 2021 to 2026.
Key Driving Factors of AI in Hospitality Industry
Artificial intelligence is gaining increasing importance as it enables improved data analytics, the analysis of customer behavior, and the delivery of customized, high-quality services. There are the top 4 key driving factors of AI in hospitality that reflect in the process of digital transformation.
Higher Degree of Operational Efficiency
AI is modernizing the hospitality industry by improving operational efficiency with a 360-degree view of day-to-day processes. AI algorithms can analyse data and make predictions to optimize pricing strategies, minimize downtime, and improve inventory management. AI-powered chatbots free up staff to focus on more complex tasks.
Achieving Better the Customer Experience
When it comes to serving the best to the customers and converting them to their word of mouth, the hospitality industry is more concerned about it.
Artificial Intelligence (AI) in the hospitality industry helps hotels to achieve exceptional customer experiences by providing valuable insights into customer behaviour and preferences. As a result, businesses can offer them their services. An AI-based chatbot can provide prompt and consistent customer service 24/7, improving response times and customer satisfaction. Chatbots allow customers to interact with a business through multiple channels, including messaging apps and websites, providing increased convenience. Read full article here: Solution Analysts

2. AI can improve efficiency, increase revenue & enhance guest experience
Uses of AI in hotels:
Personalised experiences: AI can be used to personalise guest experiences by providing customised recommendations and offering more targeted services based on their preferences and behaviours.
Predictive maintenance: AI can be used to predict equipment failures and maintenance needs, reducing downtime and improving operational efficiency.
Chatbots: AI-powered chatbots can be used to provide 24/7 customer service, answer frequently asked questions, and process bookings.
Dynamic pricing: AI algorithms can be used to dynamically adjust room prices based on supply, demand, and other factors, increasing revenue and improving occupancy rates.
Energy management: AI can be used to optimise energy usage, reducing costs and reducing the hotel's environmental impact.
Facial recognition technology: AI-powered facial recognition technology can be used for check-in and security purposes, streamlining the check-in process and improving security.
Voice assistants: AI-powered voice assistants, such as Amazon's Alexa, can be integrated into hotel rooms, providing guests with hands-free control over room features and services.
In conclusion, AI is transforming the hospitality industry, and its impact on hotels is far-reaching. The benefits and potential savings of AI are numerous, and hotels that do not implement these technologies risk falling behind their competitors. While AI may impact staffing requirements, it also has the potential to create new job opportunities.
The author Douglas Peter is founder, of Michelle Adrian Consulting a boutique consulting for the hospitality and real estate sectors. Read the full article here