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Technology Trends in Hospitality
Five Top Trends Globally
2
Direct Booking Mobile Messaging Hotel Apps
PersonalizationHotel Service Automation
1. Direct Booking – Why Every Hotel Should Adopt
• Build direct relationship with guests
• Know guests better to serve them better
• Grow loyal customer base and increase repeats
• Offer an end to end personalized and superior customer experience
• Increased bottom line due to minimal commission payout
• Less cancellation as compared to about 40% cancellation in OTAs Source: AsianHospitality
• Direct booking gains 2X average booking value compared to OTAs Source: SiteMinder
3
Brands Going Direct
4
Brands Advertising Direct Booking
5
Brands Advertising Direct Booking
6
Brands Advertising Direct Booking
7
Case Study: Hilton Worldwide
• In 2016, Hilton rolled out a multi-million-dollar global campaign “Stop Clicking Around - discounted rates for
their loyalty program members
90% increase
HHonors enrollments
55% occupancy
Only by HHonors members
5X increase
Bookings from web direct channels vs OTAs
150% YoY increase
Business from mobile app
70,000
App downloads in a week; 200% YoY increase
Campaign performance
8
Expedia ex-CEO Addressing Hoteliers
“You guys all criticize me for how much I
charge you for guests to come to your
hotel. I think you’re looking at it wrong.
Look at us as the cheapest source of
referrals that you could imagine. If they
come through me, you pay me once, and if
they come back to me again and again,
shame on you. You should make them a
loyal customer”
Source: Skift
2016 global hotel industry revenue – $570 billion; OTAs collected $16 billion in commissions Source: Morgan Stanley Research
9
Dara Khosrowshahi
2. Mobile Messaging
• Engaging guests with mobile messaging services improves hotel’s Net Promoter Score (NPS) by 20% Source: Tnooz
• 94% of business & 80% of leisure travelers interested in using smartphones to message hotel staff Source: PhoCusWright
10
Possible Mobile Messaging Scenarios
• Flight reservations and notification
• Car rental
• Directions
• Hotel booking
• Mobile check-in
• Restaurant reservations
• “Room Ready”/”Table Ready” Notifications
• Locating luggage
• Promotions and coupons
• Hotel concierge
• Room service
• Housekeeping
• Valet parking
• Directory service
• Tourist attractions
• Event updates
• Ticket sales
• Any FAQs
“Texting is more appealing because it is more immediate. This is sure to resonate, especially for Millennial for whom
e-mail is passé and text is everything”
- Chekitan Dev, professor at Cornell University's School of Hotel Administration
11
Best Leverage of Mobile Messaging
12
Integrate mobile messaging platform with PMS
• Retrieve room number, guest name automatically
• Guest profile gets better with every conversation
Text mine to understand guests better
• Understand semantic of a conversation
• Identify critical data (via NLP), auto-feed to guest profile
Deploy chatbots
• Helps reduce cost and time to reply
• Leveraging AI, chatbots can learn by itself on-the-job and answer new questions
Global Brands Rolling Out Mobile Messaging
13
Guests text for any services Guests text valet to let them know their car
is ready for pickup
Get feedback on their room renovations
• I want to chat with hotel
• I need to store all hotel bookings at one place
• I don’t want to spend more time for my check-in/check-out
• Room #304 is my favorite in this hotel
• I want to pre-order my food before check-in
• I want to browse restaurants menu and order food
• How much did I spend so far?
• I want to know list of activities I can do around the hotel
• I want to rate my food delivery service as EXCELLENT
• Tell me the running offers in F&B and Spa
• Can I upgrade my room by paying Rs 500 more?
3. Hotel Mobile Apps
Guest Expectations
14
Hotel Mobile Apps – Global Trends
84%
hotels want to have their own
mobile app - allow customers to
check-in, manage stay
Source: HospitalityTech
80%
prefer notifications for things such as
booking confirmations and room readiness
Source: Avaya
60%
guests like to book hotel that
enables to check-in, use mobile
room key, request services
Source: Acuant
75%
of guests willing to share personal
data, in exchange of personalised deals
Source: Zebra Hospitality
32%
increase in original booking
value through room upgrades
15
Competitive industry is completing guest travel lifecycle
16
Source: PhoCusWright17
Benefits of Hotel Mobile App
• Saves lot of time
• Eliminates unnecessary stress
• Experiences a memorable trip by
discovering places or activities around
• Experiences an enhanced stay with
every info/action at hand
• Improved guest experience
• Use of technology to automate or perform tasks
• Integration with PMS streamlines operations
• Increased (additional) revenue
• Improved service level standards
• Get to know the guest better
For Guests For Hotels
18
4. Hotel Service Automation
60% of hoteliers believe the inability of staff to effectively communicate severely diminishes the guest experience
Source: Avaya
“The real disruption and innovation in
hospitality doesn’t lie in technology or
constructing great spaces. It’s about the
service, and the people delivering it”
-
Two Roads Hospitality CEO Niki Leondakis
19
Source: PhoCusWright20
Source: PhoCusWright 21
Ideal Hotel Service Automation Setup
• Receive notification of guest service requests in mobile
• Auto-assign jobs depending on staff location, skill, roster
• Know SLA of each request
• Take up a request, work on it, close it – all in mobile
• Message/chat with other staff
• Convert requests into work order for other departments
• Knows all requests his/her team is working on
• See overdue tasks
• Assign, re-assign and re-open tasks
• Reports that generate actionable insight
• Top performing departments, top staff, type of
tasks that get overdue, etc
Department Staff/Runners Department Manager/Supervisor
22
5. Personalization – Why It’s Needed
Source: Hotel 2020: The personalization paradox IBM report
Reason: Pressure to keep room rates down
• Intense competition
• Ever-increasing guest expectations
• Diverse traveler needs
To maintain profit margins
• Hoteliers need to reduce cost
• Look at alternate revenue source
• Break the guest perception of commoditization
Understanding guest needs and preferences
• Enables delivery of personalized services
• Increased customer satisfaction
• Lowered service costs
• Improved guest loyalty
23
5. Personalization – Why It’s Needed
24
Examples of Personalization, Brands Struggling To Implement All Scenarios
25Source: IBM
Personalization – How It’s Done
“Our job is to identify personalized characteristics
(e.g., temperature of the room, dietary
preferences, TV programming of choice, language
choice), capture that information and provide it to
the guest regardless of which hotel they visit.”
- Nick Price, ex-CIO, Mandarin Oriental Group
92% of hotels believe that guests will expect personalisation in all services in hotel Source: Springer
26
“Hyatt’s goal is to provide a personalized
experience for each guest. We aim for more
heads-up time (interacting with customers) than heads
down (focused on computer input).
It’s a matter of having the right tools in place to
enable our staff members to give a personalized
experience to our guests.”
- Cliff Tamplin, ex-VP IT, Hyatt Hotels
27
Personalization – How It’s Done
Personalization – Ideal Setup
• Maintain a single golden copy of guest profile
• Collect data about guest actively (non-intrusive) and passively and feed into guest profile
• Use systems with common data sources to capture guest information across touch points
• Free front-line employees from process / system mechanics, empower with tools to enable a more intimate
guest interaction
• Deploy location based services like beacons to offer personalized service that result in additional revenue.
Ex: Marriott has placed beacons near spas, restaurants and bars, to send promotional messages to nearby guests about spa packages, drink
specials or restaurant offerings
• System intelligently bring up contextual data about guest.
Ex: Offering late check-out to targeted users, prompting for guest favorite Mutton Biryani when guest orders food
28
1. Direct Booking
• Web booking engine
• Sky Res – web based Central Reservation System
• Channel Manager connects – IDS has two way integration established
with below channel managers and its PMS for seamless booking sync
29
2. Mobile Messaging
Stay Ahead
• A guest experience management platform that allows guests to manage their post booking experience
• Hotel and guests can chat with each other
• Guest gives feedback after finishing a chat conversation
• Reports available on chat feedback given by guest
• Available on Android, iOS
30
3. Hotel Mobile Apps
Stay Ahead
• Guests can pre-check in to their favorite room
• Create digital identity profile once, use it every time while doing
pre-check in
• Guests can view bill during stay, give feedback
• Raise service requests and track them
• Order room service
• Upgrade room
• Hotel can send personalized offers/deals to guests during stay
+ more
31
View outstanding bill & request for checkoutRaise hotel service request 32Browse rooms, select to pre-checkin
4. Hotel Service Automation
FX Service
• An app for hotel staffs (of all departments) to view service requests raised by guests
• View, act and close service requests
• Visual reminder of overdue requests
• SLA for every request
• Raise request on behalf of guest
• Manager can assign, re-assign, re-open requests
• Rich insightful reports to take impactful decisions
33
Runner view: List of all NEW tasks Filter tasks by department Manager view: Assign tasks to runners View detailed task log
Features
34
5. Personalization
FX Check-in
• App for hotel users to check-in guests anywhere in the hotel
• Guests are shown personalized offers upon arrival based on past stay and preferences
• Guests see and select a room of their choice
FX Check-out
• App for hotel users to check-out guests anywhere in the hotel
• Guests give feedback
StayAhead
• Depending on guest past stay and preference, app recommends food items to order
• Activities / things to do around hotel 35
The future is now….
….with
Contact
Charles Finny
+91 99161 34605
easy@idsnext.com

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Technology Trends in Hospitality - FHRAI 52nd Annual Convention – Bengaluru, Sept. 2017

  • 1. Technology Trends in Hospitality
  • 2. Five Top Trends Globally 2 Direct Booking Mobile Messaging Hotel Apps PersonalizationHotel Service Automation
  • 3. 1. Direct Booking – Why Every Hotel Should Adopt • Build direct relationship with guests • Know guests better to serve them better • Grow loyal customer base and increase repeats • Offer an end to end personalized and superior customer experience • Increased bottom line due to minimal commission payout • Less cancellation as compared to about 40% cancellation in OTAs Source: AsianHospitality • Direct booking gains 2X average booking value compared to OTAs Source: SiteMinder 3
  • 8. Case Study: Hilton Worldwide • In 2016, Hilton rolled out a multi-million-dollar global campaign “Stop Clicking Around - discounted rates for their loyalty program members 90% increase HHonors enrollments 55% occupancy Only by HHonors members 5X increase Bookings from web direct channels vs OTAs 150% YoY increase Business from mobile app 70,000 App downloads in a week; 200% YoY increase Campaign performance 8
  • 9. Expedia ex-CEO Addressing Hoteliers “You guys all criticize me for how much I charge you for guests to come to your hotel. I think you’re looking at it wrong. Look at us as the cheapest source of referrals that you could imagine. If they come through me, you pay me once, and if they come back to me again and again, shame on you. You should make them a loyal customer” Source: Skift 2016 global hotel industry revenue – $570 billion; OTAs collected $16 billion in commissions Source: Morgan Stanley Research 9 Dara Khosrowshahi
  • 10. 2. Mobile Messaging • Engaging guests with mobile messaging services improves hotel’s Net Promoter Score (NPS) by 20% Source: Tnooz • 94% of business & 80% of leisure travelers interested in using smartphones to message hotel staff Source: PhoCusWright 10
  • 11. Possible Mobile Messaging Scenarios • Flight reservations and notification • Car rental • Directions • Hotel booking • Mobile check-in • Restaurant reservations • “Room Ready”/”Table Ready” Notifications • Locating luggage • Promotions and coupons • Hotel concierge • Room service • Housekeeping • Valet parking • Directory service • Tourist attractions • Event updates • Ticket sales • Any FAQs “Texting is more appealing because it is more immediate. This is sure to resonate, especially for Millennial for whom e-mail is passé and text is everything” - Chekitan Dev, professor at Cornell University's School of Hotel Administration 11
  • 12. Best Leverage of Mobile Messaging 12 Integrate mobile messaging platform with PMS • Retrieve room number, guest name automatically • Guest profile gets better with every conversation Text mine to understand guests better • Understand semantic of a conversation • Identify critical data (via NLP), auto-feed to guest profile Deploy chatbots • Helps reduce cost and time to reply • Leveraging AI, chatbots can learn by itself on-the-job and answer new questions
  • 13. Global Brands Rolling Out Mobile Messaging 13 Guests text for any services Guests text valet to let them know their car is ready for pickup Get feedback on their room renovations
  • 14. • I want to chat with hotel • I need to store all hotel bookings at one place • I don’t want to spend more time for my check-in/check-out • Room #304 is my favorite in this hotel • I want to pre-order my food before check-in • I want to browse restaurants menu and order food • How much did I spend so far? • I want to know list of activities I can do around the hotel • I want to rate my food delivery service as EXCELLENT • Tell me the running offers in F&B and Spa • Can I upgrade my room by paying Rs 500 more? 3. Hotel Mobile Apps Guest Expectations 14
  • 15. Hotel Mobile Apps – Global Trends 84% hotels want to have their own mobile app - allow customers to check-in, manage stay Source: HospitalityTech 80% prefer notifications for things such as booking confirmations and room readiness Source: Avaya 60% guests like to book hotel that enables to check-in, use mobile room key, request services Source: Acuant 75% of guests willing to share personal data, in exchange of personalised deals Source: Zebra Hospitality 32% increase in original booking value through room upgrades 15
  • 16. Competitive industry is completing guest travel lifecycle 16
  • 18. Benefits of Hotel Mobile App • Saves lot of time • Eliminates unnecessary stress • Experiences a memorable trip by discovering places or activities around • Experiences an enhanced stay with every info/action at hand • Improved guest experience • Use of technology to automate or perform tasks • Integration with PMS streamlines operations • Increased (additional) revenue • Improved service level standards • Get to know the guest better For Guests For Hotels 18
  • 19. 4. Hotel Service Automation 60% of hoteliers believe the inability of staff to effectively communicate severely diminishes the guest experience Source: Avaya “The real disruption and innovation in hospitality doesn’t lie in technology or constructing great spaces. It’s about the service, and the people delivering it” - Two Roads Hospitality CEO Niki Leondakis 19
  • 22. Ideal Hotel Service Automation Setup • Receive notification of guest service requests in mobile • Auto-assign jobs depending on staff location, skill, roster • Know SLA of each request • Take up a request, work on it, close it – all in mobile • Message/chat with other staff • Convert requests into work order for other departments • Knows all requests his/her team is working on • See overdue tasks • Assign, re-assign and re-open tasks • Reports that generate actionable insight • Top performing departments, top staff, type of tasks that get overdue, etc Department Staff/Runners Department Manager/Supervisor 22
  • 23. 5. Personalization – Why It’s Needed Source: Hotel 2020: The personalization paradox IBM report Reason: Pressure to keep room rates down • Intense competition • Ever-increasing guest expectations • Diverse traveler needs To maintain profit margins • Hoteliers need to reduce cost • Look at alternate revenue source • Break the guest perception of commoditization Understanding guest needs and preferences • Enables delivery of personalized services • Increased customer satisfaction • Lowered service costs • Improved guest loyalty 23
  • 24. 5. Personalization – Why It’s Needed 24
  • 25. Examples of Personalization, Brands Struggling To Implement All Scenarios 25Source: IBM
  • 26. Personalization – How It’s Done “Our job is to identify personalized characteristics (e.g., temperature of the room, dietary preferences, TV programming of choice, language choice), capture that information and provide it to the guest regardless of which hotel they visit.” - Nick Price, ex-CIO, Mandarin Oriental Group 92% of hotels believe that guests will expect personalisation in all services in hotel Source: Springer 26
  • 27. “Hyatt’s goal is to provide a personalized experience for each guest. We aim for more heads-up time (interacting with customers) than heads down (focused on computer input). It’s a matter of having the right tools in place to enable our staff members to give a personalized experience to our guests.” - Cliff Tamplin, ex-VP IT, Hyatt Hotels 27 Personalization – How It’s Done
  • 28. Personalization – Ideal Setup • Maintain a single golden copy of guest profile • Collect data about guest actively (non-intrusive) and passively and feed into guest profile • Use systems with common data sources to capture guest information across touch points • Free front-line employees from process / system mechanics, empower with tools to enable a more intimate guest interaction • Deploy location based services like beacons to offer personalized service that result in additional revenue. Ex: Marriott has placed beacons near spas, restaurants and bars, to send promotional messages to nearby guests about spa packages, drink specials or restaurant offerings • System intelligently bring up contextual data about guest. Ex: Offering late check-out to targeted users, prompting for guest favorite Mutton Biryani when guest orders food 28
  • 29. 1. Direct Booking • Web booking engine • Sky Res – web based Central Reservation System • Channel Manager connects – IDS has two way integration established with below channel managers and its PMS for seamless booking sync 29
  • 30. 2. Mobile Messaging Stay Ahead • A guest experience management platform that allows guests to manage their post booking experience • Hotel and guests can chat with each other • Guest gives feedback after finishing a chat conversation • Reports available on chat feedback given by guest • Available on Android, iOS 30
  • 31. 3. Hotel Mobile Apps Stay Ahead • Guests can pre-check in to their favorite room • Create digital identity profile once, use it every time while doing pre-check in • Guests can view bill during stay, give feedback • Raise service requests and track them • Order room service • Upgrade room • Hotel can send personalized offers/deals to guests during stay + more 31
  • 32. View outstanding bill & request for checkoutRaise hotel service request 32Browse rooms, select to pre-checkin
  • 33. 4. Hotel Service Automation FX Service • An app for hotel staffs (of all departments) to view service requests raised by guests • View, act and close service requests • Visual reminder of overdue requests • SLA for every request • Raise request on behalf of guest • Manager can assign, re-assign, re-open requests • Rich insightful reports to take impactful decisions 33
  • 34. Runner view: List of all NEW tasks Filter tasks by department Manager view: Assign tasks to runners View detailed task log Features 34
  • 35. 5. Personalization FX Check-in • App for hotel users to check-in guests anywhere in the hotel • Guests are shown personalized offers upon arrival based on past stay and preferences • Guests see and select a room of their choice FX Check-out • App for hotel users to check-out guests anywhere in the hotel • Guests give feedback StayAhead • Depending on guest past stay and preference, app recommends food items to order • Activities / things to do around hotel 35
  • 36. The future is now…. ….with
  • 37. Contact Charles Finny +91 99161 34605 easy@idsnext.com