Why Global Events Like the 2024 Olympics Are Transforming Hospitality

As the world tunes in, Paris has transformed into an electric hub of once-in-a-lifetime activity as the 2024 Summer Olympics officially commence. This isn’t the first time Paris has hosted the games – but it’s been 100 years since patrons from around the globe last descended upon the French capital to watch the world’s best athletes go head-to-head.

The preparation for an event of this scale is hard to fathom; 329 events will take place between July 26th and August 11th, and Paris has reportedly spent at least 9.7 billion (and counting) on expenses. Over the last week, efforts have been focused on the preparation of the banks of the Seine, as the opening ceremony will offer 300,000 viewers a spectacle that’s never been done before – 6,000-7,000 athletes will sail on nearly a hundred barges and river boats for a waterborne parade. This process, as you can surely imagine, has been rather disruptive to the surrounding city, the businesses that line its streets, and the citizens who call Paris home. However, this disruption brings with it an incredible honor and opportunity – Paris will find itself at the center of the world stage. Rather, Paris is the stage – and the high-visibility nature of a global event of this proportion is an undeniable catalyst for innovation and progress. In fact, many of the greatest periods of operational innovation in the hospitality sector have materialized in anticipation of, or on the heels of big global events.

Consider the ‘Taylor Swift effect’ – the beloved singer’s Eras Tour was named the top-earning musical tour of 2023 before it even hit its halfway mark, and provided a significant boost to the hotel industry. In November of this year, the Eras Tour will touch down in Toronto, ON, which has even prompted Deputy Mayor Jennifer McKelvie’s suggestion to rename the route from the Rogers Center to Nathan Phillips Square ‘Taylor Swift Way’ for the duration of November. Similarly, the annual Spanish Grand Prix, which took place in Barcelona in June, created a notable uptick in occupancy (95.3%), monthly average daily rates (ADR) of +11.4%, and revenue per available room (RevPar) of +13.3% at local hotels. The 2024 Super Bowl told a similar story; according to Skift, Las Vegas hotel guests paid the highest room rates in continental U.S. history, and the event was estimated to have more than a $600 million economic impact on the city. Now, more than ever, individuals and families are demonstrating an appetite for travel that is inspired by major events – from sporting events to concerts, comedy shows, and beyond.

With our eyes fixed on Paris ahead of the opening ceremony, and international spectators spending at least $5,000 to attend across hotel, airfare, and event ticket costs, we are reminded that big events spell big opportunities for the hospitality sector. However, with great power comes great responsibility – and hospitality brands that fail to meet the demand for innovation and service risk making a bad impression when the stakes are at an all-time high.

Pressure makes diamonds – and great hospitality

The average hotel prices among three to five-star hotels in Paris have reportedly risen by 41-64% above the yearly average for the duration of the games, and according to STR, occupancy rates are up both in Paris and across the Île-de-France region as a whole, which indicates demand both in the capital and outside of it. In this way, the Summer Olympics provides a unique opportunity for visitors from around the globe to experience all that Paris and the surrounding regions have to offer which may, in turn, inspire future trips.

As hotels prepare for a monumental occasion like this one, there is no better time to take inventory of the systems and processes that bring guest service to life. From a hotel’s property management system (PMS) to its customer relationship management (CRM) platform, its point-of-sale (POS) platform, and its revenue management system (RMS), hospitality brands must ensure they have the right, seamlessly integrated solutions to ensure success.

When considering the digital tools that comprise a hotel’s operational ecosystem, it’s important to look for the following qualities:

Integration: Systems that can communicate and share data in real time are increasingly critical to a hotel’s success, especially during periods of high demand. Platforms built on an open API or microservices framework help to eliminate the data silos that might otherwise occur between a hotel’s S&C, PMS, and POS systems. For example, a cloud-based PMS that integrates seamlessly with a POS system allows for instant updates on guest purchases and preferences, which ensures a more personalized (and efficient) guest experience.

Scalability: As demand fluctuates, especially during major events, hotels need access to technology that empowers their property to scale accordingly. Cloud-based solutions offer the flexibility to adjust resources as needed without the burden of significant upfront investments.

Automation: Modern hospitality technology is designed to alleviate the burden of monotonous, lower-value tasks that have traditionally distracted hotel staff from forging more meaningful, memorable connections with guests. The best-in-class, cloud-based PMS, CRM, and RMS on the market today are exceptionally user-friendly and intuitive and can automate routine tasks so staff can focus their attention where it matters most: helping guests create memories they’ll never forget.
Moreover, when occupancy is high in response to major events, automated services such as mobile check-in/check-out processes help to reduce wait times and enhance the guest experience.

Analytics: Advanced analytics and reporting tools help hotels make data-driven decisions. By analyzing data from integrated systems, hotels can identify trends, optimize pricing strategies, and improve overall operational efficiency. When an influx of tourists travel to a given region for a major event, those hotels with advancing pricing technology are able to successfully optimize and intelligently adjust their pricing to better capitalize on demand and outperform competitors.

Guest-Centric Features: In today’s landscape, hotel guests expect an experience that is personalized, convenient, and as reliable as it is bespoke. Hotels must offer the tech-driven conveniences and instant gratification guests have become accustomed to in their daily lives while still striking the balance between those digital touchpoints and meaningful, in-person connections. Technologies that enhance the guest experience, such as mobile check-in, digital keys, and personalized communication, are no longer optional – they are essential.

The ability to seamlessly integrate systems, scale operations, automate routine tasks, leverage analytics, and focus on guest-centric features can make the difference between a hotel that merely survives and one that thrives in such high-stakes environments.

Massive global events like the upcoming Summer Olympics in Paris are not just a fleeting moment in time — they are a catalyst for positive evolution, as hospitality brands rise to the occasion of increased demand by refining their operations and elevating their guest experiences with tech-enabled tools and processes.

Ultimately, hotels that embrace change and invest in integrated, scalable, and guest-centric technologies will set a new standard for guest experiences and leave a lasting impression on guests, fostering loyalty and encouraging repeat visits well into the future.

The world will be watching Paris this summer, and the hospitality industry has the chance to shine brighter than ever before.

About Infor

Infor is a global leader in business cloud software specialized by industry. We develop complete solutions for our focus industries. Infor's mission-critical enterprise applications and services are designed to deliver sustainable operational advantages with security and faster time to value. Over 60,000 organizations in more than 175 countries rely on Infor's 17,000 employees to help achieve their business goals. As a Koch company, our financial strength, ownership structure, and long-term view empower us to foster enduring, mutually beneficial relationships with our customers. Visit www.infor.com.

Aaron Stein
Global Head of Industry Marketing
Infor