Page 32 - #182 June 2023
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RLI LEISURE INSIGHT

                            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.


                  t’s been over two decades since artificial intelligence was first   revolution and keep in mind that all that glitters isn’t silicon. Hospitality
                  released to the mass market and even longer since science fiction   is by definition a human industry. When we welcome guests to Burgh
               Ibrought AI to the imaginations of the general public. The past six   Island, we want to ensure our guests feel individually valued, that they
               months, however, have witnessed an explosion in the use of AI that   feel looked after and at home during their time with us. We want them
               has transported artificial intelligence to the forefront of our lives, both   to feel cared for in the way that only people care for one another.
               personally and in business.                           Artificial intelligence may well streamline how we run our hotels:
                 AI is rapidly transforming many sectors across the economy and   chatbots can reduce the time staff spend speaking with customers,
               the hospitality industry is no exception. More than that, many AI   information processing technology can make room allocations on the
               technologies are free of charge, making them equally available to all   basis of guests’ preferences and generative AI can help guests immerse
               hotels regardless of capital and raising the question: will hotels that fail   themselves in a hotel before they ever arrive. The danger is that, by
               to join the AI revolution find themselves left behind? Equally important,   streamlining hospitality, artificial intelligence will bypass the essence of
               however, is the importance of personal relationships in hospitality and   the sector.
               what we don’t yet know is how AI might detract from this. Before   With chatbots replacing hotel staff, guests will miss out on the
               embracing AI it’s vital that hotels take the time to fully understand this   personal touch of human interaction. Recent years and the experience
               artificial intelligence and what it might mean for hospitality in the future.   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
               Pros                                                 AI may help guests decide whether or not to visit a hotel, but at the
                 Capable of informing advertising campaigns, streamlining booking   same time it removes the sense of mystery that’s so important when
               processes and managing hotel administration, AI technology brings   travelling somewhere new.
               with it a myriad of benefits and opens up new potential for the   Staff will be affected as much as guests. By incorporating AI into
               hospitality sector.                                  their management, hotels run the risk of taking the passion out of
                 One such benefit is the ability to carry out quick, comprehensive   hospitality work. Here at Burgh, our staff members take pleasure in
               research. Using the internet as their database, Chatbots can undertake   looking after our guests, matching each guest with their perfect room,
               research on a limitless number of topics and present their findings in   welcoming visitors when they arrive and ensuring they are looked
               a clear, digestible format. You could, for example, ask ChatGPT to   after throughout their stay. Indeed, the relationships we build with our
               enumerate the relative merits of artificial intelligence for the hospitality   guests mean that many choose to return year after year.
               sector (though I can’t vouch for an unbiased response!).
                 In  the  case  of  hotels,  this research  function  can  help  staff keep   Happy Medium
               up to date with travel trends, allowing them to adapt their offering   There are many ways that artificial intelligence could change the
               and promotional content to fit what tourists want. On a more   hospitality industry and this rapidly advancing technology should by no
               individualised level, chatbots are able to analyse the likes and dislikes of   means be dismissed. Certainly, its administrative capabilities have the
               a guest, a feature that can be utilised when allocating rooms or curating   potential to free up time for staff to spend on welcoming visitors and
               personalised packages.                               improving the guest experience. Nonetheless, we should avoid falling
                 Another way in which AI can serve hospitality is through its capacity   into the trap of making changes just because we can.
               for translation. As an international industry, language barriers have long   Before incorporating  AI into  their  management,  hotels  should
               since been a stumbling block for the hospitality sector. Indeed, 40 per   think carefully about what aspects of artificial intelligence can benefit
               cent of global consumers will only buy products from websites in their   their business. For some larger-scale hotel chains, this could mean
               own language,  meaning that hotels which don’t provide multilingual   using chatbots throughout the booking process. For smaller boutique
               information and booking services are in danger of losing a significant   hotels, the benefits of AI may be limited to administrative tasks such as
               volume  of  customers.  While  most  browsers  come  equipped  with   overseeing building maintenance. In any case, the use of AI isn’t a case
               translation software, these inbuilt systems are notorious for producing   of all or nothing. This technology certainly holds potential for hotels,
               inelegant – and sometimes incomprehensible – prose. Recent AI   but we must ensure that, by embracing it, we don’t undermine the
               technology provides a more accurate  translation, helping  hotels  to   spirit of the hospitality sector.
               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



                 32 RETAIL & LEISURE INTERNATIONAL JUNE 2023
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