Front desk smart hotel technology…what is it, and what does it mean?
Artificial Intelligence (AI) integration can be found in nearly every business, especially in the hospitality industry. Plenty of blogs and articles discuss various smart hotel technology topics, but finding answers about AI and its use at the front desk can be overwhelming.
Common questions hoteliers may ask are:
- What is AI being used for in hotels now, and what will it include in the future?
- What are the advantages and disadvantages of AI technology in a hotel?
- Ultimately, is smart hotel technology worth investing in for your hotel?
In truth, AI is a complex topic. Even the leading development experts have trouble pinpointing what AI will look like in three, ten, or thirty years. We know consumers expect AI’s convenience wherever they spend money or require a service.
“Artificial intelligence (AI) is the simulation of human intelligence processes by machines, especially computer systems. These processes include learning (the acquisition of information and rules for using the information), reasoning (using rules to reach approximate or definite conclusions), and self-correction.” — SearchEnterpriseAI.
AI integration isn’t always easy, either. The biggest challenge is AI’s unpredictable nature. There are plenty of doom-and-gloom conversations about workforce replacement, industry disruption, and even robots that can outthink humans. There’s also the fear that AI will one day surpass humans in all ways, making the human race obsolete (thank you, wonderfully terrifying sci-fi films).
However, AI has the potential to significantly enhance the way that we live, work, and travel. AI will help hoteliers create more customized, memorable, and unique experiences. Regarding smart hotel technology and guest services, AI integration is a must-have.
Hotel Technology: How is AI Being Used at the Front Desk Now?
Today, there are plenty of ways to integrate a guest’s mobile device into their hotel stay. Mobile phones as wireless room keys are becoming more common, along with guest apps that can be downloaded and used for various services, room reservations, and remote check-in/out.
By providing a central hub where most—or all—of a guest’s needs are just a few taps away, smart hotel technology is already working hard at helping hotels create those unique, personalized guest experiences many travelers crave. Examples of current AI use in hotel smart technology include:
1. Automated Check-in and Check-out
Artificial intelligence is used for kiosks and mobile apps that enable guests to check in and check out without an employee’s help. Automated services reduce the workload at the front desk, which can eliminate long lines in the lobby. It also creates more time for front desk staff to focus on personalizing guest services.
2. Virtual Concierges
Mobile apps with chatbots and other AI-based services assist guests 24/7. Virtual concierges can answer guest questions, provide information on public transport, make restaurant reservations, suggest local areas of interest, and control in-room amenities.
3. Predictive Maintenance
AI can aid in identifying maintenance issues before they become a huge problem and keep track of scheduled maintenance duties. Data from multiple sensors and systems can be analyzed, and the staff can be alerted to potential issues, ensuring comfortable and uninterrupted guest services.
Advantages and Challenges of Smart Hotel Technology
As a hotel manager, you may see an AI personal assistant at your front desk as a major advantage, while your workforce may feel their jobs are threatened. You may be excited about smart rooms, while your guests may avoid them entirely due to personal data and privacy concerns. Therefore, it’s important that you understand some of the pros and cons of an advanced AI system before integration.
Pros of AI Hotel Technology
1. Improved Efficiency
When you use AI to automate routine tasks, your staff will have more time to focus on specific guest concerns. Automation can lead to reduced labor costs and improved efficiency.
2. Enhanced Guest Experiences
Improving guest experience is one of the hotel industry’s primary goals. Real success lies in providing a highly personalized, unique, and (hopefully) unforgettable experience for every guest. AI smart hotel technology can respond quickly to guests’ needs and offer personalized services like reservations or booking amenity appointments. Customized care can lead to brand loyalty and a positive guest experience.
As AI advances, more travelers want the convenience of AI mobile apps:
- A survey revealed that 80% of travelers would download a hotel app to check in and check out digitally, and 45% of guests would be more likely to order room service using that app.
- Another survey by Salesforce Report found that 81% of guests expect some kind of digital automation to make their stay more manageable and efficient.
3. Data-Driven Insights
Smart hotel technology not only gathers data but also analyzes it, which helps hoteliers make informed decisions on everything from pricing to marketing strategies.
When people visit your hotel online, data is collected. When they check in and use your Wi-Fi, more data is collected. AI at your hotel won’t just collect guest data but can organize, interpret, and provide helpful feedback and information to help you create the ultimate guest experience.
For example, what would you do if your AI reported that 67% of your guests asked questions like, “Where is my iron located in this room?” or “Set the room temperature to 70 degrees.” Ideally, you’d place the room’s clothing iron in a more prominent location and set the standard room temperature to the most common settings people find comfortable.
Whatever data is collected by and shared with your AI can be interpreted to improve guest services. Data collection is essential to providing the best guest experience, but it also has significant issues. Data privacy and security bring us to the disadvantages of AI-integrated hotel technology.
Cons of AI Hotel Technology
1. Privacy Concerns
With data being continuously collected and re-implemented across all aspects of the hospitality industry, it’s no wonder guests have concerns about their privacy and data security.
Protecting your guest’s data is not an option—it’s a necessity. As many businesses have learned, careless treatment of guest/user/client/customer data can result in data breaches that may potentially compromise millions—even billions—of individuals’ information.
In the hotel industry, Marriott International reported that cyber thieves had stolen data from approximately 500 million customers. In some cases, only names and contact information were compromised, but for others, everything from passport numbers, travel information, credit card numbers, and even preferred guest numbers were stolen.
Extraordinary measures must be taken by both your hotel and your staff when it comes to data security practices, including implementing smart hotel technology.
While it may seem easier to avoid AI at your front desk entirely, it is akin to burying your head in the sand and hoping the danger will disappear. Your hotel already has guest security and privacy protections; integrating AI at the front desk doesn’t change this reality.
Therefore, the conclusion is not to avoid AI hotel technology but to integrate it correctly with your existing technology systems.
2. High Initial Costs
AI integration requires a sizeable upfront investment. A medium-sized hotel may have an initial cost of $20,000 to $50,000. You will need software, hardware, integration, licensing, and upgrades. You will also need to train personnel to manage and maintain the system. This may be cost-prohibited for smaller hotels.
3. Potential Job Displacement
There are workforce challenges as AI automation runs the risk of job displacement. A McKinsey Global Institute study predicts that by 2030, 30 percent of hours of human labor will be replaced by automation and AI in the US. However, more employees will be needed to maintain and manage AI operations.
What Will Smart AI Hotel Technology Look Like in the Future?
AI integration in hotel technology is expected to continue to grow. Although the course of AI can be challenging to predict, most experts believe AI smart hotel technology will continue to improve in the areas AI is already used, like:
- Further integration into other systems, like loT (Internet of Things) devices and security systems, will create a smooth, cohesive, efficient centralized hub and highly personalized smart rooms.
- Advanced control through voice and gesture recognition software will allow guests to interact with your AI systems more intuitively and naturally.
- Data examination will expand as hotels use the information AI has collected to find market trends and pricing strategies while improving the efficiency and convenience of their operations.
Is Smart Hotel Technology the Right Choice?
In a word, yes.
AI can help your hotel respond to, interact with, and ultimately entice more traveling guests to your hotel. It can assist with creating more revenue by enhancing your guests’ experience, improving your booking data collection, allowing your hotel staff to focus more on providing better customer service, and other benefits that can improve your profits. Whether you integrate AI smart hotel technology into your front desk duties isn’t a question—it’s just a matter of time.
For more information about hotel industry technology trends and hospitality tips and tricks, visit our hotel blog page!
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