Digital transformation in the hospitality industry

Is it profitable? Does it require an extensive investment? Does it have an immediate impact on daily operations costs and management?

Well, Let`s rewind!

It all started in 1990 when the digital world start booming, and the term “Digital Transformation” was created to describe the first time a costumer was connecting to a company via a website or any other digital channel.

Over time, every Hotel gone through almost automatically into this digital world and started to learn how to leverage data, grown their revenue and innovate with the internet tool.

So nowadays, every Hotel in the world aims to improve their daily operations and of course the profitability of all processes.

And if in the 90´s we were talking about a transition into digital, it`s about time to start the digitalization and automation processes. Focus on how to reduce the time dedicated to tasks that do not generate added value and optimize others whose processes can be improved.

What is Digital Transformation?

It is a process of adapting digital technology to change the existing way of doing business processes, replacing manuals with digital procedures. This journey will affect your organization’s culture, your people, and your customers whether you like it or not.

“In 2020, executives in the global travel and hospitality industry were surveyed on whether their organization had an individual or team directly responsible for digital transformation. The majority of respondents, 27 percent, stated that their organization had a cross-functional team for digital transformation. Meanwhile, 16 percent of respondents, respectively, stated that they either had a third-party partner, such as a consultant or agency, or no one responsible for digital transformation.”

How can you do it?

Invest in tools such as operating systems, staff communication gears, guest apps among others, helping reducing the operational costs of hotels, procedures, products, and even the building itself to improve efficiency and guest satisfaction while solving current and future problems. Consequently, the effects will be directly reflected in a successful daily operation together with an efficient guest experience department.

Of course, having the best professionals is mandatory and essential, but shouldn’t we give them the best tools to work with?

The hotel market continues to experience a fundamental transformation. Thanks to the industry’s accelerated digitalization, daily procedures became easier and much more effective and there is no excuse to not provide the best guest experience possible.

“25% of Hospitality and leisure sector CEOs think AI will significantly impact the way they operate in the next five years. At least 8 of the global leading hotel chains have implemented VR experiences in their marketing strategy and hotels that are using virtual tour are getting up to 135% increase in online revenue.”

The rules of the game have been changing rapidly, tilting the playing field in favor of digital players.

Do you want answers from the questions above?