Nov 25, 2020 > Written By Josh Corder, Hotelier Middle East
The rise of smart hotels and how they boost business
Consultancy firm Linesight says new technologies can bring in more guests, improve operational efficiency and streamline the workforce
Hospitality firms and establishments stand to gain a lot from the implementation of the latest technologies. Making the shift towards becoming a ‘smart hotel’ will help properties recovery from the pandemic and make operations more efficient.
That is according to global consultancy firm Linesight, which has released a report on the benefits of becoming a smart hotel.
“One of the most fundamental drivers behind the trend for smarter hotels comes in the form of the rise of experience consumption, which is a key catalyst in a sector wherein consumer needs are front and centre,” said the report.
“86 percent of consumers say personalisation plays a role in their purchase decisions, according to a recent Kahuna survey, and brands that incorporate personalisation by integrating data and advanced technologies report revenue increases of 6-10 percent (Qubit).
Among all industries, personalisation can increase revenues by up to 15 percent, so focusing on the customisation of a guest’s stay isn’t just an objective that meets market demands—it also improves the bottom line.”
For hotels, technology presents an excellent way to offer personalisation. Linesight says luxuries such as autonomous control of room temperature, shower temperature, curtains, entertainment systems and even the checking-in process, have become a natural expectation of the modern traveller.
Smart hotel measures can also help operational efficiency, added the report.
“The second key driver lies in operational efficiency. Integrating smart technologies, from the simple occupancy detection systems to the more complex smartphones operating the lights and electricity within a room, keyless access and mobile check-in – these measures are proving to offer tangible benefits to the running costs of a hotel.
Not only has new technology changed the hotel experience for guests and improved operational efficiency for staff, but it has also transformed the planning of construction projects. Better tools and more data sources have contributed to the information that project managers can draw from to offer clients current and predictive data-driven knowledge.”
It is estimated spending in the overall experience economy will reach US$8 trillion in the next eight years, largely driven by innovations in automation and ease-of-use through technology.