May 22, 2024

Hoteliers Prioritize Personalization as They Increase Investment

The new report, Travel Technology Investment Trends 2024, published by Amadeus, finds hoteliers expect to increase their investment in technology by an average of 16 percent over the coming 12 months, with one in five planning to invest over 20 percent more than they did last year.

The findings are the result of a survey of global senior hospitality leaders representing a diverse range of properties and management groups. Several key themes emerged from the research, including a primary focus of investment on ‘improving operational efficiencies during times of high occupancy’ (43 percent).

Using Tech to Diversify Offerings

The study reveals predictions as leaders consider the criticality of offering guest personalization. Expectations are high across the sector, particularly at the property level, as hoteliers feel it will enhance their offering and better meet guest expectations. Eighty-five percent of respondents felt that personalization could help them deliver in excess of 5 percent in incremental revenue.

In general, respondents said they are keen to find ways to broaden and improve the services they offer to guests, including providing:

  • Specific room attributes (43 percent)
  • Upselling of room types and value-add amenities (40 percent)
  • Personalized onsite experiences (39 percent)
  • Personalized offers for returning guests (34 percent)
  • Last-minute promotions on rooms (34 percent)
  • Experiential stays (33 percent)

Virtually all hoteliers surveyed (98 percent) recognize that artificial intelligence has the potential to bring significant benefits to their businesses. Nearly half of all those surveyed (49 percent) said they hope AI will be able to help them to identify and offer upsell opportunities to travelers at all stages of the booking process. They are also looking to AI to help manage data effectively and generate automatic content for their websites, suggesting that AI is being considered across a wide range of hotel functions.

“The level of investment planned across the sector reveals the strong desire for evolution and the important role technology will play in helping to achieve the ambitions of today’s hospitality leaders," Francisco Pérez-Lozao Rüter, president, hospitality, Amadeus, said in a statement. "As well as increasing revenue and driving efficiencies, hoteliers strive to be able to deliver the end-to-end experiences guests expect. The ability to create personalized itineraries is the ultimate goal for the hospitality sector, and we are proud to be at the forefront of the technology development that will allow hoteliers to offer truly unique and tailored experiences to their guests.”

Top Priorities

When asked about the top priority technologies for their businesses for this year, hotel technology leaders prioritized AI and machine learning alongside digital payments and increasing data analytics capabilities. However, that picture shifts slightly in five years towards the use of extended reality, chatbots and robots.


The top technologies expected to have the biggest impact on the industry. (Amadeus)

Copyright 2024 Questex LLC. All rights reserved. From By Esther Hertzfeld.

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