Re-Thinking Technology Investment in the Evolving World of Hospitality
In a dynamic industry where traveler preferences seem to shift overnight, it’s more important than ever for hoteliers to make informed business decisions based on what’s important for the property, taking into account both current and future trends.
Whether we look back 15 years, five years, or even just five months, it’s clear – our world and our industry are not what they were. Adapting to this new reality requires us to look forward rather than back, replace old habits with fresh ones, and be willing to learn new processes to make smarter decisions for the future.
This way of thinking is supported by new Amadeus research, which shows 91% of travel companies expect ‘moderate to aggressive’ increases in technology investment in their organization in 2024. Today’s leaders know they must transform in order to keep up with the rapidly changing needs of today’s consumers, with the hospitality industry being no exception.
It is essential to consider what matters most to today’s travelers. Is it personalization, flexibility, sustainability, price, or a combination of all of the above? Businesses these days need to figure out how to take advantage of new technology trends as they maintain their focus on providing seamless and customized experiences with the traveler in mind.
It is also important to look at both costs and benefits when considering new technology. Costs can include much more than just the dollar value of the investment – there are also expenses associated with implementation, as well as the potential time and effort required to train staff in how to use it.
Although it would be impossible to recommend a specific technology for your organization, we can help you make an informed business decision by identifying your organization’s needs and priorities, as well as any current stressors that may be affecting your business. This includes identifying which stressors, if any, are actually under your control.
Here are a few key tips to keep in mind:
1. Data is your friend.
Traditionally, historic data has been useful in tracking team performance or uncovering potential areas of improvement. But insights gained from your staff on potential areas of improvement and forward-looking data can help you understand how guests are currently shopping, booking, and interacting with your property. By understanding what is happening now, hoteliers can make better informed business decisions for marketing and channel optimization – based on data.
Data can also be useful in understanding where your team excels, amplifying the skills and experiences your staff deliver, and setting quantitative goals for your staff. As the primary purpose of most hotel technology is to provide team members with more time and insight, and to enable them to provide the best experiences possible, you will have a clearer idea of any technology needs when you start considering how technology can help your staff excel.
2. Ensure the success of your property by identifying both short-term and long-term technology needs and partnering with a technology provider with deep industry knowledge.
It’s important to identify short-term needs, long-term needs, and the technology you’ll need to fulfill them. Often, you’ll find that there will be gaps between the identification of a need, the investment of technology to address that need, and the time you start realizing the benefits of any new technology.
Once you determine what will set your property up for success in the long run, look at the solutions that are available to you as well as all their pertinent features, integrations, reputation and provider history. Seek a technology vendor that is not only knowledgeable, but also uses proven security protocols and excels at providing customer service.
3. Consider your teams first.
How will any type of technology investment affect your staff? How will they be trained? What sorts of challenges might they face? How easily will the new technology become engrained into their daily lives? The sooner your staff buys in on how technology will support them, the more likely it will be that the technology will be adopted and will provide the return on investment (ROI) that you seek.
Teams that are more accustomed to using the latest technology are more high-performing and are more likely to attract new team members. This includes skilled workers who may not have previously considered a career in hospitality, as well as young professionals who are more accustomed to tech-focused environments. The use of technology is becoming increasingly important in attracting new talent.
Our Technology Investment Handbook can be a valuable resource for determining the technology investments that may have the greatest impact on your business. It can help you assess the effects of new technology on your staff, use data to identify areas of improvement, gain valuable insights to enhance the guest experience, and identify both short-term and long-term technology needs. Download it here.
About Amadeus
Amadeus powers more personalized and authentic travel experiences. Our solutions are designed to enrich every stage of the traveller journey and help hospitality providers acquire, service, and retain guests by profitably driving demand and converting them into loyal fans.
Backed by over 30 years of experience, we design open, cutting-edge software to provide the most efficient, trusted, and reliable systems for our customers. With experts in 175+ countries, we have a deep understanding of the hospitality industry and a desire to enable our hotel partners to create memorable guest experiences.
To find out more about Amadeus, visit www.amadeus-hospitality.com.
