AI Use Cases that Have Hoteliers Excited

A recent Accenture report predicts that AI could double annual economic growth rates by 2035. 

Validating this claim, a PwC study estimates a staggering $15.7 trillion boost to the global economy by 2030, thanks in part to AI applications. 

So, hoteliers should take note that AI is not a passing trend, but a transformative force that will impact every industry, and hospitality is no exception.

In a sector where personalization reigns supreme, AI presents unique opportunities to boost guest satisfaction and optimize operations.

Let’s look at the different ways savvy hoteliers are leveraging AI: 

Personalize Guest Experiences with AI 

Radisson Blu Edwardian, London introduced 'Edward,' an AI concierge, across 12 locations as early as 2016. Hilton Hotels adopted IBM Watson to power ‘Connie,’ their robot concierge in the same year. 

At The Cosmopolitan of Las Vegas , guests can text ‘Rose,’ a friendly AI chatbot for anything from restaurant reservations to the best places to visit in the city. 

Marriott International has been using AI-powered assistants to help guests control lighting, temperature, and entertainment systems with simple voice commands. 

While AI robot concierges and chatbots were once considered novelties, they are swiftly transitioning into industry standards. 

AI concierge solutions available today are not only more cost-effective but also far more sophisticated. 

Digital AI concierges can now seamlessly integrate into guest experiences. Often accessible through smartphones or in-lobby kiosks, they handle routine tasks like check-in/out, room service orders, and answering frequently asked questions, and do so around the clock. 

This streamlines guest journeys while freeing up valuable staff time for more nuanced guest interactions.

Streamline Hotel Operations with AI

Many hotels are now using AI to automate repetitive tasks in procurement, logistics, housekeeping, and guest service. 

For example, AI-powered hospitality procurement platform Lilo adeptly forecast and manage stock levels for guest room essentials like linens, toiletries, etc., or practically any other items that hotels might need. 

Hotels can thus meet guest needs without the burden of overstocking or the risk of stockouts. 

Based on the predictive analysis of historical demand, expenditure, PAR levels, and seasonal patterns, AI-driven procurement and logistics management holds the promise of substantial cost savings for hotels.

Housekeeping is getting an AI makeover too. 

AI algorithms can analyze guest check-in and check-out data to optimize housekeeping assignment schedules and routes without intruding on guest privacy. 

Improve Customer Service with AI 

Hotels are increasingly deploying AI chatbots on their websites and social media platforms. These virtual assistants typically provide:  

• Instant responses to guest queries 
• Streamline the booking experience 
• Offer assistance with any pre-arrival questions

AI-powered chatbots can also collect feedback during a guest's stay and analyze the sentiment expressed in messages or reviews. 

Natural Language Processing (NLP) algorithms then translate this data into actionable insights for hoteliers. 

Hotel operator Dorchester Collections, for instance, used machine learning software to analyze customer reviews and found that their customers are more focused on dinner than breakfast. 

This seemingly ordinary insight led Dorchester Collections to focus on personalizing its breakfast options. 

Many hotels now use tools like TrustYou to leverage AI to mine data from online reviews and surveys to extract valuable insights to refine their services or tailor experiences to guest expectations. 

Hotels can also use AI applications like MARA to generate personalized review responses within seconds to ensure prompt and professional communication with guests.

AI in Marketing and Revenue Management

Hotels can use AI to analyze guest data and create personalized marketing campaigns and packages. AccorHotels, for example, uses AI to craft such offers based on guest preferences and booking history.

AI-driven data analytics provide invaluable insights into market trends and customer behaviors; these insights, in turn, help hoteliers make strategic decisions and develop targeted marketing campaigns.

AI-based predictive modeling software can analyze historical data to forecast future demand and revenue, and even help you identify areas where the spending has been wasteful.

With such insights, hotels can optimize pricing and availability more easily. They can eliminate guesswork and introduce dynamic pricing strategies based on data-driven insights.