Internet of things and AI are creating personalised guest experiences for the hospitality industry

The convergence of Internet of Things (IoT) and Artificial Intelligence (AI) innovations offers businesses in the hospitality industry a chance to recover from the current crisis of thousands of shops being forced to shut down.

The hospitality industry has always been at the forefront of embracing new technologies to enhance customer experiences and streamline operations. With the latest Hospitality Market Monitor from CGA revealing the staggering statistics of 5,736 hospitality industry closures in the past 12 months, IoT and AI have brought hope for a revolution in the way hotels, resorts and other hospitality establishments operate, transforming guest interactions and backend processes alike.

Internet of Things and Artificial Intelligence

The Internet of Things (IoT) refers to a network of physical objects or "things" that are embedded with software that enable them to connect and exchange data with other devices and systems over the Internet. These interconnected devices can range from everyday objects like household appliances and wearable devices to industrial machines and vehicles.

Similarly, artificial intelligence involves the development of computer systems that can perform tasks that typically require human intelligence. These tasks include things like understanding natural language, recognising patterns, making decisions, solving problems and learning from experience. AI systems are designed to process and analyse large amounts of data to provide insights, make predictions and perform tasks autonomously.

Smart Guest Experiences

New Epsilo research revealed that 80 per cent of customers were more likely to make a purchase if the brand provided a more personalised experience. IoT and AI technologies have paved the way for such experiences. Smart room systems are now capable of adjusting lighting, temperature and even music preferences based on individual guest profiles and past behaviour.

Voice-controlled assistants powered by AI, like those found in smart speakers, allow guests to control various aspects of their room with simple voice commands, creating a seamless and convenient environment.

Additionally, AI-driven chatbots are changing the way guests interact with hotels. These chatbots are available 24/7 to answer queries, provide recommendations and even facilitate check-in and check-out processes creating a personalised guest experience that customers would enjoy going back to.

Enhanced Safety and Security

IoT-enabled devices are also transforming security measures within the hospitality industry. With increased security and streamlined processes, businesses can reduce their operating costs while increasing client satisfaction.

Smart locks, for instance, allow guests to access their rooms using smartphones, eliminating the need for traditional keys and cards. These locks not only enhance convenience but also provide hotel managers with real-time insights into room access and security status.

AI-powered video surveillance systems equipped with facial recognition capabilities are another game-changer for hotel security. These systems can identify suspicious activities and alert security personnel in real-time, bolstering overall safety for guests and staff.

Operational Efficiency

Behind the scenes, IoT and AI are optimising various operational aspects of the hospitality industry. Predictive maintenance powered by IoT sensors ensures that equipment like air conditioning units, elevators and kitchen appliances are serviced before they break down, reducing downtime and minimising disruptions.

Inventory management and restocking processes are also being transformed through AI analytics. AI algorithms analyse consumption patterns and automatically generate restocking orders, leading to reduced waste and improved supply chain efficiency.

Personalised Services

AI algorithms are capable of analysing vast amounts of guest data to generate valuable insights. Accenture research also revealed that consumers find data collection valuable when it is used to curate their experience through the offers and products they receive.

Hoteliers can utilise this data to tailor their services and offerings to individual guest preferences. For instance, if a guest has previously enjoyed spa treatments, the hotel can send personalised offers or recommendations for similar experiences during their stay.

Data-Driven Decision Making

The integration of IoT and AI allows hotel managers to make more informed decisions by harnessing data from various sources. From occupancy rates and guest feedback to energy consumption patterns and service preferences, this wealth of data enables hotels to optimise their operations, improve guest satisfaction and maximise revenue.

The ongoing inclusion of IoT and AI innovations has ushered in a new era for the hospitality industry. From personalised guest experiences to operational efficiency gains, these technologies are reshaping the industry and setting new standards for excellence.

As hotels and resorts continue to embrace and adapt to these advancements, the future of hospitality looks more promising than ever.