AI: what it means for the future of hospitality?

In this month’s Leisure Insight, Giles Fuchs, Owner of Burgh Island Hotel discusses the rise of artificial intelligence, its current and future impact on the hospitality industry and how hotels must be aware of its importance moving forward.

It’s been over two decades since artificial intelligence was first released to the mass market and even longer since science fiction brought AI to the imaginations of the general public. The past six months, however, have witnessed an explosion in the use of AI that has transported artificial intelligence to the forefront of our lives, both personally and in business.

AI is rapidly transforming many sectors across the economy and the hospitality industry is no exception. More than that, many AI technologies are free of charge, making them equally available to all hotels regardless of capital and raising the question: will hotels that fail to join the AI revolution find themselves left behind? Equally important, however, is the importance of personal relationships in hospitality and what we don’t yet know is how AI might detract from this. Before embracing AI it’s vital that hotels take the time to fully understand this artificial intelligence and what it might mean for hospitality in the future.

Pros
Capable of informing advertising campaigns, streamlining booking processes and managing hotel administration, AI technology brings with it a myriad of benefits and opens up new potential for the hospitality sector.
One such benefit is the ability to carry out quick, comprehensive research. Using the internet as their database, Chatbots can undertake research on a limitless number of topics and present their findings in a clear, digestible format. You could, for example, ask ChatGPT to enumerate the relative merits of artificial intelligence for the hospitality sector (though I can’t vouch for an unbiased response!).

In the case of hotels, this research function can help staff keep up to date with travel trends, allowing them to adapt their offering and promotional content to fit what tourists want. On a more individualised level, chatbots are able to analyse the likes and dislikes of a guest, a feature that can be utilised when allocating rooms or curating personalised packages.

Another way in which AI can serve hospitality is through its capacity for translation. As an international industry, language barriers have long since been a stumbling block for the hospitality sector. Indeed, 40 per cent of global consumers will only buy products from websites in their own language, meaning that hotels which don’t provide multilingual information and booking services are in danger of losing a significant volume of customers. While most browsers come equipped with translation software, these inbuilt systems are notorious for producing inelegant – and sometimes incomprehensible – prose. Recent AI technology provides a more accurate translation, helping hotels to stand out on a global level.

One last benefit of artificial intelligence is as an administrative tool. With AI carrying out organisational tasks such as allocating room bookings and supervising hotel maintenance, staff members have more time to concentrate on enhancing the guest experience: welcoming visitors, devising creative events and initiatives and ensuring every aspect of the hotel is up to standard. In this way, AI can be used alongside traditional hospitality practices to streamline the day-to-day running of a hotel.

Cons
There’s no doubt that artificial intelligence has the potential to significantly change how hotels function; yet with such possibilities at our fingertips, it’s important to avoid being swept away by the AI revolution and keep in mind that all that glitters isn’t silicon. Hospitality is by definition a human industry. When we welcome guests to Burgh Island, we want to ensure our guests feel individually valued, that they feel looked after and at home during their time with us. We want them to feel cared for in the way that only people care for one another.

Artificial intelligence may well streamline how we run our hotels: chatbots can reduce the time staff spend speaking with customers, information processing technology can make room allocations on the basis of guests’ preferences and generative AI can help guests immerse themselves in a hotel before they ever arrive. The danger is that, by streamlining hospitality, artificial intelligence will bypass the essence of the sector.

With chatbots replacing hotel staff, guests will miss out on the personal touch of human interaction. Recent years and the experience of lockdown have taught us just how valuable this human interaction is to our lives, so how willing should we be to forfeit it now? Generative AI may help guests decide whether or not to visit a hotel, but at the same time it removes the sense of mystery that’s so important when travelling somewhere new.

Staff will be affected as much as guests. By incorporating AI into their management, hotels run the risk of taking the passion out of hospitality work. Here at Burgh, our staff members take pleasure in looking after our guests, matching each guest with their perfect room, welcoming visitors when they arrive and ensuring they are looked after throughout their stay. Indeed, the relationships we build with our guests mean that many choose to return year after year.

Happy medium
There are many ways that artificial intelligence could change the hospitality industry and this rapidly advancing technology should by no means be dismissed. Certainly, its administrative capabilities have the potential to free up time for staff to spend on welcoming visitors and improving the guest experience. Nonetheless, we should avoid falling into the trap of making changes just because we can.

Before incorporating AI into their management, hotels should think carefully about what aspects of artificial intelligence can benefit their business. For some larger-scale hotel chains, this could mean using chatbots throughout the booking process. For smaller boutique hotels, the benefits of AI may be limited to administrative tasks such as overseeing building maintenance. In any case, the use of AI isn’t a case of all or nothing. This technology certainly holds potential for hotels, but we must ensure that, by embracing it, we don’t undermine the spirit of the hospitality sector.

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