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Excellent customer experience and operational quality may provide a company in the hospitality or hotel industry with a significant competitive advantage. Technological advancements require these businesses to make significant changes in any department. The hotel industry is the oldest and most well-known in the hospitality industry (Lam, Cho & Qu, 2007). The lodging subset of the hotel industry was not among the early adopters of IT technologies, but the massive improvements that have occurred in accommodation facilities have been very influential. Driven by technological innovation and the Internet, client expectations are high and ever growing (Lam, Cho & Qu, 2007). The same situation occurred not only in the hospitality industry but in almost all sectors nowadays. In the hospitality industry where consumer expectations of positive feelings are massive, technology provides the avenue for meeting this challenge. This paper presents an evaluation of how improvement in IT has affected the hospitality sector in lodging operations, and how innovations has positive impact on productivity, sales, and profits.
Effect of improved IT on hospitality lodgings
Technology improves efficiency
According to Kokt & Strydom (2014), the hospitality industry is the fifth sector with massive investments in sensors. According to the trends indicated in the report, IT impact offers positive customer experiences in numerous ways. Also, the effect is enormous because of the evolution in electronic gadgets such as smartphones, tablets, and laptops. The devices assist in browsing and assessing innovation regarding various accommodation services all over the world (Kokt & Strydom, 2014). Therefore, the fear of uncertainty because of lack of best accommodation providers are no longer an issue because persons who wish to travel in any country globally should make few clicks on a smartphone, tablets among others to complete their requests (Kokt & Strydom, 2014).
Use of automatic check-in and out technology
A substantial number of hotels have utilized the innovation in question because it makes easy to monitor the movement of visitors who are using the hotel facilities (Chathoth, 2007). The mobile check-out and check-in are expected to become popular among every hotel user and hence allow management to focus on the quality of services offered and the kind of overall impression. The utilization of modern technology has assisted firm leadership to strike a correct balance between personal interaction and technology (Chathoth, 2007).
Use of keyless entry has accelerated over the years
Swipe cards have been standard over the years but are getting obsolete as time moves on because of popularity of mobile apps that serve as keys to a person’s bedroom (del Rosario & René, 2017). For instance, Hilton hotels are leading in the use utilization of keyless entries. The firm introduced the mobile app, Hilton Digital Key, in 2015 and projected that the installation of this keyless facility would end by the close of the year 2017 (del Rosario & René, 2017). The experts postulate that in the future facial identification software will be applied to open bedrooms. Through such technologies, customers’ trust and feelings of security are developed hence increasing productivity through increased sales and revenue (del Rosario & René, 2017).
Technology has created a more personal touch
Through technology, hotels are capable of capturing the interests of their customers that makes them capable of providing customized services depending on the likes, hobbies, and aspirations of the customers (del Rosario & René, 2017). For instance, when the hotel gets information that a potential customer is a gym enthusiast, gym services can be offered for free, without any extra cost (del Rosario & René, 2017). Besides, via some mobile apps guests are given an opportunity to regulate their room temperatures according to one’s preference. Also, customers get a chance to select their preferred playlists that would start at specific times. Through technological developments, customers find life extraordinarily hassle-free and secure in their travel experiences (del Rosario & René, 2017).
Through technology, most hotels have managed to save massive costs as they offer advanced accommodation services.
Many accommodation service providers have committed to environmental conservation and sustainability projects. The Starwood Hotel and Resorts employ daylight harvesting technique to regulate the lighting intensities of rooms depending on the amount of light getting into the cubicle from the outside (del Rosario & René, 2017). This achievement has been made possible by the motion sensor technology that ensures when the person is not in the room, lights are automatically switched off, and adjust temperatures as well (del Rosario & René, 2017). The alternation and offerings of this kind of services in the lodging to customers is appealing, and many clients do not mind paying extra cash to enjoy such features. Thus, a hotel earns more revenue and get higher profits (del Rosario & René, 2017).
IT has immensely improved customer experiences
IT has already had a tremendous impact on the travel industry. For instance, one gets into contact with a TV promotion for a vacation to find review, and book a lodging; their travel experiences are made. The advent of travel websites such as Kayak and Expedia make booking easier for travellers and potential travellers are in much more comfortable circumstances to get excellent deals and best explorations (Farid et al., 2016). These websites are great achievement for many travellers even though they create fierce competition among stakeholders in the hospitality sector who are applying IT to differentiate and innovate to make their services unique and better than their rivals’ (Farid et al., 2016).
The arrival day experiences
After arriving at the preferred hotel, it is through technology that first impressions are created. The hotel management accords the customers a chance to select the hotel they wish to occupy to meet their expectations (Farid et al., 2016). From their hotel rooms, customers can access in-destination action TV software. Besides, a client is capable of making requests for the comfort in their rooms without much effort. Through the software, they can advance meal requests such as choosing dinner or breakfast without moving from their lodgings (Farid et al., 2016). Further, the short message services offer great service as clients are capable of texting the hotel staff in case a problem or if an emergency arises and they need aid. Via mobile phones apps, customers are capable of selecting various TV programs instead of using remote controls (Farid et al., 2016). Such experiences might appear too demanding for a hotel to provide but that is precisely what the customers want, and as a norm in the hospitality and service sector, customers ought to get what they are looking for if a firm aims at building significant business (Farid et al., 2016).
Technology offers valuable data analysis tools for hoteliers
Through the use of technology, the lodging services providers can determine the expectations of their consumers. Data scientists keep creating platforms through which the hotel management can communicate with the client and establish what they look for when searching for accommodation services (Hjalager, 2010). Besides, it offers the hotels a chance to determine the quality of services they provide by giving customers an opportunity to review their experience using digital platforms. These open communication channels help hotels improve existing weaknesses and reinforce their strengths. These platforms are the tools that hoteliers use to establish the expectations, likes, dislikes, and interests of clients thus stand in a position to deliver the exact needs of the consumer (Hjalager, 2010). Hence, IT offers lodging owners an opportunity to make a life-long impression on their customers by giving their clients exactly what is required.
The impact of social media on lodgings productivity
Sales and marketing experts are educated to search and follow money flows meaning they must be acquainted with customers ‘needs (Kim, Ma & Kim, 2006). Social media sites are the most appropriate growing platforms that hotels use in their marketing efforts. The results of the study carried out recently show that on one-quarter of the world population use some form of social media (Kim, Ma & Kim, 2006). In that respect, any committed player in the hospitality industry especially the hoteliers must regard this issue in building strong relationships with their clients to keep their coming back. The hotels utilize contemporary marketing tools to share the information on media platforms. In this sense, the firms are capable of reaching millions of people at minimal cost (Kim, Ma & Kim, 2006). Through social media, marketing hospitality companies save massive expenses and make significant profits. For instance, a hotel can advertise the quality of services it offers using short videos uploaded to Facebook or YouTube capturing the variety of their accommodation services and impressive add-ons. Further, through social media channels, customers can reach their service providers much faster than if they make calls or use any other tools or platforms (Kim, Ma & Kim, 2006). Besides, lodging providers are aware of the damages the social media communication platforms can bring if the customers get frustrated because of inadequate services. Thus, the enterprises always strive to provide their ultimate best to avoid negative public feedback that may hamper the company’s progress (Nagarjuna, 2016). Therefore, it can be said that IT has kept the hotels in check hence compelling them to offer an acceptable quality of services (Nagarjuna, 2016).
Wise integration of management systems through IT
For many years, the hospitality services providers have utilized various forms of management systems to advance services to their customers. However, IT is making such systems more sophisticated resulting in higher levels of integration (Singh & Kasavana, 2005). For instance, many hotels can list their guest preferences on websites so that to develop among the customers the feeling that what the hotels offer are customized and meet their exact needs in contemplation of the next visit. Such data may include a choice of beverages in the rooms, the number of available hangers for guests, and the temperature adjustments provided (Singh & Kasavana, 2005). Customers are capable of obtaining such information through the aid of information technology. In such a scenario, the customers develop trust and loyalty for a particular hotel and commit to a long-lasting business relationship (Singh & Kasavana, 2005).
Greater accessibility of mobile devices have promoted hotel lodging services
Smartphones and tablets are replacing heavy computer hardware in most instances. The features of these modern devices that offer the hospitality industry better avenues of reaching their customers (Farid et al., 2016). Several firms including hotels providing accommodation services find these portable mobile gadgets perfect tools to use while considering their budgets, operational efficiency, and vision (Farid et al., 2016). For example, hotel employees can interact and communicate with customers from anywhere and meet their requests within short timeframe when the firm replaces the old version computers with sophisticated electronic communication gadgets (Farid et al., 2016). It is worth noting that these devices are cheaper, easy to operate and require low maintenance costs compared to desktop computers (Farid et al., 2016).
Current technological advancements applied by hotels primarily in the accommodation increases the quality of services delivered and, subsequently, the level of customers’ satisfaction. The nature of services matters a lot in the industry in question, and any mistake may result in adverse customer experiences that automatically leads to poor financial performance of the firm. Most successful accommodation providers take into consideration guests’ desires before and feedback after delivery of the services. The strategic utilization of IT factors enable industry leaders to measure customers’ satisfaction, forecast the purchasing character of the present, future, and potential envision. Besides, in such a way they categorize the different classes of customers for better analysis and finally determine how to structure the nature of accommodation services to sell in the market. Through advanced IT, restaurateurs and hoteliers gain the capacity to establish a competitive advantage by comprehending the wants and needs of clients in order to meet them, build relations and thus create successful business relationship. The competitive advantage that technology brings is invaluable for the hospitality sector. However, an entire organization providing hospitality services must show total commitment to embracing technology to succeed in building competitiveness in the industry.
Conclusion
Abovementioned evaluations and statements prove that IT has contributed and will continue to be a strategic tool in the growth and advancement of the hospitality sector. Though the introduction of IT in hospitality business had a slow start, innovations have revolutionized the industry and created massive efficiencies in service delivery. Earlier, the advancements were meant to create labour and operation efficiency and reduce costs emerging from daily operations. However, IT has evolved and significantly aided the primary stakeholders in the hospitality industry in providing better services and reaching utmost customer satisfaction. Employment of technology in the hospitality sector does not come with several limitations except acquisition cost implications. The operations in the industry are numerous and arise from different ownership thus affecting both small and prominent organizations negatively. In that regard the case is for the less established hospitality firms that cannot afford to install new technologies with minimal problems as compared to renown companies with multiple stakeholders and operational chain plus massive financial strength, thus creating barriers to prospective entrants in the market. Therefore, the best alternatives for smaller players are to acquire second-hand technology frameworks or seek the services of consultants. Finally, technology has widened the operational squad in lodging services in the hospitality industry and is projected to have a broader impact on service delivery and competitive advantages.
References
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