Three Actionable Insights from Hospitality Technology’s 2020 Lodging Technology Study
Hospitality Technology’s most recent report, The Acceleration of Innovation-Enabled Hospitality, is filled with valuable information, especially for forward-thinking hoteliers looking to upgrade their digital strategy. Until you have time to read the 17-page report, we have three actionable takeaways so you can stay on-top of the tech curve and drive guest engagement.
1. The key to guest retention is delivering the tech they want
of guests return to hotels that offer tech
Here’s a huge takeaway from the study: 72% of guests report they are more likely to return to a property that offers the technology they want.
That means an investment in technology is not only good for your IT staff, it’s good for your bottom line. Products that engage residents in common areas, deliver a differentiated in-room experience, and add convenience all turn a one-time guest into a brand loyalist.
2. Purpose, proactivity and profitability drive successful tech initiatives.
These three P’s are what make hotel technology a must-have, not a nice-to-have. The report posits that a good technology investment answers “yes” to these three questions:
Is it purposeful?
Is it proactive?
Is it profitable?
It’s not enough to offer technology, because you read that guests will return to you if you offer the latest and greatest. No, it’s about knowing what they’ll need before they do. Go for technology that serves a purpose for you and your residents. Products that delight and engage guests will also boost your bottom line.
The tech you choose should also be one that can grow with you over time. Find vendors with robust product sets and a history of making improvements. Don’t choose tech fads over proven guest wants like public-use computers. This will help you be proactive about current and future business needs.
And you can charge a premium for that convenience, big or small. Proving ROI for IT initiatives has dropped from a top barrier for technology budgets to one of the bottom three in this year’s survey (p. 8). It’s because revenue-generation has become a big part of IT strategy for smart hotels — those who choose tech that boosts profits. That leads us to our next point.
3. Make and save money with smart IT strategies
“Hotels in 2020 are making generative revenue opportunities part of IT strategic objectives.”
Technology is ripe for upselling. More interactive, personalized systems mean properties can serve guests with promotions that feel tailored to them and increase their likelihood of purchase.
Initial investments in technology pale in comparison to the possibilities of generating more dollars from guests when they’re on-site with products that engage and keep them coming back by delivering a progressive experience.
As always, security also had a place in this year’s report. Shielding your dollars is just as important as generating them!
Back to our three P’s — secure technology is purposeful because it keeps your bottom line and guests safe, proactive because of the high probability of attack in the industry, and profitable because the cost of the technology is minute compared to the potential profit loss if you are attacked.