Demand Calendar Blog by Anders Johansson

Do Hotels Need Humans Anymore in the Guest Journey?

Written by Anders Johansson | 15 August 2023
The principles of good service remain constant, even as delivery methods evolve. With the emergence of mobile apps, digital kiosks, AI-driven chatbots, and service robots, guest experiences are being redefined. But in this digital age, hotels must find a balance between offering tech-driven conveniences and retaining the warmth of human interaction.
 
We examine the changing expectations of hotel guests and the strategic decisions hotels must make to meet these new desires. Whether prioritizing immersive experiences or seamless convenience, the guest journey has become a cornerstone of a hotel's value proposition.
 

Changing Guest Expectations

From Traditional Hospitality to Tech-Driven Experiences

The hospitality industry has historically lagged behind in adopting new technologies, but guests often drive innovation. An old and clear example is the decline of in-room phones. Once a significant revenue source for hotels, these phones lost their importance as guests started relying on their mobile devices, rendering the pricey hotel phone calls obsolete.
Today, as artificial intelligence and personal virtual assistants become mainstream, the potential for change is even more pronounced. Picture this: A hotel guest's AI assistant, designed for optimal convenience and communication, finds itself conversing with a human receptionist simply because the hotel hasn't integrated advanced AI compatibility into its systems. This juxtaposition—of cutting-edge personal tech interfacing with traditional hospitality mechanisms—paints a vivid picture of the urgency with which hotels need to embrace and adapt to technological evolution.
Imagine a scenario where a guest's AI assistant communicates directly with a hotel's reservation system or concierge, making requests, arranging experiences, or addressing issues—without any human intervention from the guest's side. Such seamless interactions, driven by user-centric tech tools guests bring, can redefine the traditional booking process.

How Different Generations View Hotel Experiences

It's critical to recognize that guest demographics aren't monolithic. Different generations come with distinct expectations shaped by the eras they grew up in. For instance, baby boomers might reminisce about the charm of the 'old-world' hotel experience, emphasizing interpersonal connections, the grandiosity of hotel lobbies, or the serenity of a well-appointed room. They value the human touch, seeking authenticity and the familiar.
On the other hand, millennials and Gen Z guests often prioritize efficiency, digital integration, and experiences. For them, a hotel isn’t just a place to sleep—it’s a hub of experiences. They might appreciate a lobby that doubles as a co-working space, an app that lets them check in and connects with other travelers or even local events.

Personalization: How Guests Expect Tailored Experiences

In an era dominated by personalized online shopping recommendations and uniquely curated streaming playlists, the hospitality industry is pressured to deliver similarly bespoke experiences. Yet, the challenge for hotels transcends simply keeping pace with this trend. It lies in effectively implementing personalization while addressing inherent data privacy and storage challenges.
While younger guests, especially millennials and Gen Z, are often more open to sharing personal data in exchange for enhanced experiences, baby boomers might be more reserved. These younger generations recognize the value proposition: in providing bits of their preferences and data, they receive a tailored service. This could mean automated room settings matching their comfort or curated local activity suggestions based on social media likes.
Personalization can come in human interaction for the more traditional or privacy-focused guests: a knowledgeable concierge who recalls their love for jazz or analog touches like a customized welcome basket filled with favorite snacks.
Regardless of their generational bracket or digital inclination, today's guests expect more than just a room. They yearn for spaces that morph to their comfort based on previous stays, dine-in establishments that remember their unique palate, and desire localized experiences that echo their interests. The challenge for hotels, especially in an age of heightened data privacy concerns, is to responsibly collect, securely store, and effectively leverage this data to craft memorable guest experiences.
With platforms like Airbnb championing the cause of unique, localized stays, traditional hotels find themselves at an evolutionary crossroads. The dated approach of one-size-fits-all rooms and generic amenities is losing appeal. From the choice of in-room entertainment to the artwork adorning their walls, today's guests pursue stays that resonate deeply with their identities.
In this evolving landscape, hotels must be agile and adaptive. Recognizing the shifting sands of guest preferences is the first step in crafting experiences that resonate and create lasting memories. Whether it's the charm of yesteryears or the allure of tomorrow's tech, the key lies in understanding what the guest truly desires.

Organizing for Experience or Convenience

Like any other business, the hospitality industry has historically striven to be a jack of all trades, casting a wide net to cater to the broadest possible audience. However, this approach is increasingly unviable as societal norms shift and guest preferences become more pronounced and varied. The evolving landscape has presented hotels with a crucial strategic decision: do they position themselves primarily as purveyors of unique, immersive experiences, or do they lean into offering utmost convenience, championing seamless, hassle-free stays?
This bifurcation isn't arbitrary. With many options available to today's travelers, from boutique lodgings to vast hotel chains to home-sharing platforms, guests are becoming more discerning in their choices. They're not just looking for a place to stay; they're seeking an establishment that aligns with their personal ethos, preferences, and travel purposes.
For hotels, this means introspection and carefully assessing their core strengths, target audiences, and brand vision. It's not about being everything to everyone anymore—it's about resonating deeply with specific guest segments that are most synergistic with what the hotel can offer.

Experiential Brands

Definition and Core Characteristics:
Experiential hotel brands primely emphasize creating memorable and unique experiences for their guests. Unlike traditional or convenience-focused brands, these hotels aim to provide a deep, emotional connection. Core characteristics include:
  • Emphasis on authenticity and uniqueness.
  • Integration of local culture and heritage.
  • Design and services that stimulate the senses and evoke emotions.
  • Curated events, workshops, and local excursions that immerse guests in a novel experience.
Significance of Immersive Experiences, Local Culture, and Storytelling:
The allure of experiential brands lies in their ability to make a guest feel a part of a story. By tapping into the local culture—be it through art, music, or cuisine—these brands provide a rich tapestry of experiences that are often transformative. Storytelling plays a pivotal role; it's not just about staying in a room but about being part of a narrative that's larger than oneself. This might mean learning the history behind the century-old bricks of the hotel or participating in a local festival or workshop.
Examples of Experiential Hotel Brands and Their Unique Selling Points:
  1. Aman Resorts: Renowned for its serene locations and design, each Aman property tells a story of its surroundings. Whether it's the desert landscape of Amangiri in Utah or the old charm of Aman Venice, guests are immersed in an experience that's both luxurious and authentic.
  2. Six Senses: With a focus on sustainability and wellness, Six Senses properties often incorporate local healing practices, organic cuisine, and nature-inspired designs. Their retreats in places like Bhutan offer a journey through the local culture, spirituality, and natural beauty.

Convenience Brands

Definition and Core Characteristics:
Convenience brands, as the name suggests, prioritize a hassle-free, efficient, and tech-integrated stay for their guests. They cater to travelers looking for reliability, speed, and modern amenities. Core characteristics include:
  • Streamlined check-in and check-out processes, often digital.
  • Standardized services and amenities.
  • High-tech rooms are equipped with modern gadgets and conveniences.
  • Immediate response systems, like digital concierges or 24/7 service bots.
Emphasis on Efficiency, Technology, and Seamless Experiences:
In today's fast-paced world, many travelers, especially business ones, seek hotels that reduce friction. This means no long waits, instant service, and rooms with everything one might need—from high-speed internet to innovative home systems. Time is of the essence for these travelers, and convenience brands ensure they save as much of it as possible.
Examples of Convenience-Focused Hotel Brands and Their Competitive Advantages:
  1. Holiday Inn Express: A subsidiary of IHG, it promises quick and efficient services with no frills. Features like online check-in, fast Wi-Fi, and complimentary breakfast cater to travelers on the go.
  2. CitizenM: Tailored for the modern urban traveler, CitizenM hotels offer compact, tech-savvy rooms, self-check-in kiosks, and communal workspaces, making them a favorite among business travelers and digital nomads.
Whether a traveler seeks an enriching experience or swift convenience, the evolving landscape of hotels ensures something for everyone. The challenge for hoteliers lies in consistently delivering on their brand's promise and continually adapting to the changing needs of their guests.

The Customer Journey is an Essential Part of the Value Proposition

Journey Mapping: Importance of Understanding Every Touchpoint of the Guest's Journey

The journey a guest takes isn’t just about the time they spend inside a hotel room; it encompasses a myriad of touchpoints, from the moment they first discover a hotel online to post-stay feedback. Understanding this journey is akin to reading a map – it offers insights into where the guest's experience can be enhanced, where there might be friction, and what memories they'll carry home.
Journey mapping allows hotels to:
  • Identify key moments of truth where a guest's perception can be significantly influenced.
  • Spot gaps or inefficiencies in the service chain.
  • Personalize the guest experience based on preferences noted at different touchpoints.
By visualizing the entirety of the guest's interaction with the brand, hotels can strategically position their services, offers, and touchpoints to exceed expectations and build loyalty.

Integrating Technology vs. Human Interaction: How the Blend Differs Between Experiential and Convenience Brands

In today's hotel landscape, the blend of technology and human interaction forms a continuum, and where a brand positions itself on this spectrum largely depends on its core value proposition.
For experiential brands, while technology enhances the guest experience (like AR tours or apps detailing local stories), the emphasis remains on the human touch. Personalized services, face-to-face interactions with local guides, or storytelling sessions by elders are irreplaceable by technology. The blend here leans towards human interaction, punctuated with tech enhancements.
Conversely, convenience brands lean heavily on technology to streamline and expedite processes. Automated check-ins, robot-assisted services, and AI-driven concierges cater to the guest's speed and efficiency needs. Yet, even here, human touchpoints remain crucial, especially in problem-solving or personal requests.

Consistency in Brand Promise: Ensuring Every Stage of the Journey Aligns with the Brand's Core Proposition

A brand's promise is its commitment to the guest, an assurance of the experience they can expect. Whether the immersive authenticity promised by an experiential brand or the tech-driven efficiency by a convenience brand, consistency across the journey is paramount.
This means:
  • Every touchpoint, be it digital or physical, should reflect the brand's ethos.
  • Staff training and empowerment are essential to deliver the brand promise consistently.
  • Feedback loops, both real-time and post-stay, are integral to continually aligning the guest experience with the brand proposition.
Consistency not only builds trust but also reinforces brand recall. When guests know what to expect, and those expectations are consistently met or exceeded, loyalty is a natural outcome.
The customer journey becomes a cornerstone of the hotel's value proposition when intricately understood and meticulously crafted. In an age of abundant choices and diverse experiences, this journey sets a brand apart and carves a niche in the guest's memory.

The Human Touch in an Automated World

In the annals of business evolution, labor—especially in service industries like hospitality—has often been viewed through the lens of cost. A drive for profitability frequently translated into efforts to pare down human involvement, with automation hailed as the champion of efficiency and cost reduction. This perspective, however, is being reevaluated in today's digital landscape. As automation and technology step in to manage mundane, routine tasks, the human touch's role in hospitality grows more vital and specialized.
In this new dawn, the human element becomes the differentiator—embodying the brand's essence, commitment to genuine service, and the heart of its guest experiences. But to truly harness this potential, hotels need to pivot in their approach to labor. It's no longer just about staffing a position; it's about nurturing talent. Upskilling and continuous training become paramount, ensuring that team members evolve in tandem with technology. Coupled with fair compensation, these efforts not only elevate the quality of service but also foster loyalty, encouraging employees to remain with the brand and grow alongside it.
Embracing this shift is critical, for the nuances of human emotion, empathy, and intuition remain irreplaceable in a world brimming with tech-driven conveniences.

Significance of Human Connection in the Hospitality Industry

While automation and technology offer unparalleled efficiency, human connection is a dimension of hospitality they cannot replicate. No machine can understand and respond to emotions with the depth, nuance, and warmth a human can.
Key points to consider include:
  • Guest Comfort: A smile, a comforting word, or a personal recommendation often does more for guest satisfaction than many high-tech amenities.
  • Building Relationships: Personal interactions, be it a chat with the concierge about local attractions or a heartwarming conversation with a chef, foster genuine connections, turning guests into brand ambassadors.
  • Tailored Experiences: Staff can pick up on subtle cues from guests, adjusting recommendations and services to better suit individual preferences and moods.

Complex Problem Solving: Situations Where Technology Falls Short and Human Intervention Becomes Crucial

Despite advances in AI and machine learning, there are situations that technology, in its current capacity, struggles to handle, especially when the nuances of human emotions and unpredictable scenarios come into play.
Examples include:
  • Guest Discontent: A guest might be upset due to a myriad of reasons, and while automated systems can detect the issue, only humans can truly empathize, soothe, and find creative solutions.
  • Unique Requests: From arranging surprise proposals to catering to niche dietary requirements, humans excel in crafting tailored solutions for special situations.
  • Crisis Management: In situations like medical emergencies, natural disasters, or unexpected disruptions, human judgment and initiative become paramount.

Training and Upskilling: Preparing the Human Workforce to Complement the Technological Tools

In an automated world, the human workforce's role doesn't diminish; instead, it evolves. Staff are no longer just service providers—they become brand ambassadors, storytellers, and experience curators.
To ensure they're well-equipped for this shift:
  • Continuous Learning: Regular training sessions to keep the staff updated on the latest technology and tools available, ensuring they can use them effectively.
  • Soft Skills Development: Emphasis on communication, empathy, and interpersonal skills to ensure guests feel valued and understood.
  • Problem-Solving Workshops: Equip staff with the tools and techniques to tackle unexpected challenges, from guest complaints to operational hiccups.
  • Empowerment: Encouraging staff to take the initiative, make on-the-spot decisions, and personalize guest interactions without always relying on predefined scripts or processes.
The hospitality sector values the human touch even with the rise of automation. The technology handles repetitive tasks, allowing humans to connect, empathize, and create memorable experiences. The future of hospitality is a harmonious blend of tech efficiency and heartfelt human connection.

Conclusion

The hospitality industry must constantly evolve and balance technology and personalization to meet guest expectations. Each guest has a unique perspective shaped by their journeys and experiences. These myriad viewpoints will shape the hotels of tomorrow.
Adapting to this future requires an agile approach:
  • Flexibility: Hotels should remain open to adopting new technologies while equally willing to pivot based on guest feedback.
  • Innovation: Instead of just following trends, forward-thinking hotels will be those setting them, constantly redefining what hospitality means in a tech-driven world.
  • Listening to the Guest: Above all, the hotels of tomorrow will prioritize guest feedback, continuously iterating their offerings to stay aligned with evolving preferences.
The hospitality industry's cornerstone remains to make guests feel valued, understood, and at home, even as technology and tradition intertwine.