Smart technology is becoming the norm incontemporary lifestyle, especially in luxury spaces. In 2023 smart technology is reshaping how homes, resorts and even cities are managed.
Smart technology is predicted to revolutionize the hospitality industry by encompassing different interconnected devices and systems. According to Data Bridge Market Research, the smart hospitality market is expected to grow at a CAGR of 26.3% between 2022 and 2029and is estimated to reach USD 117.26 billion by 2029.
From back-end operations to marketing, smarthotel technology offers a variety of cost savings and revenue opportunities.
Streamlined services and accelerated delivery
Smart Property Management Systems is a prime example of how digital migration creates a better workplace for staff and simplifies processes. The remote access and seamless integrations in smart PMS solutions enable hospitality businesses to manage multiple operations from a central location.
Smart operations specially aid the restaurants sector which operates at an accelerated pace. Restaurants that embrace smart technology can effectively manage the high-demand periods, increasing their speed of service. This has proven especially useful in businesses such as quick service restaurants (QSRs) with multiple locations, where can be automated for faster, more accurate results.
The benefit of a smart PMS solution is thatit integrates with multiple other operating modules, such as POS solutions, reservation systems and booking solutions, creating an ecosystem that works asynchronization. This help employees build better communication between departments, establish consistency and accuracy and streamline decision-making with easy access to data.
Smart energy management
Smart energy management, which uses advanced machine-learning algorithms to analyse historical thermodynamics, local weather and peak demand times to optimize energy consumption, is known to reduce energy costs by up to 20%.
In the hotel sector, smart rooms are becoming popular with tools such as occupancy sensors that monitor and respond to occupancy fluctuations. Restaurants, hotels and leisure centres alike are reaping the benefits of IoT-driven thermostats, AC, and HVAC systems can automatically adjust the room temperatures based on outside weather and switchoff automatically when not in use.
Many global hospitality brands are using smart energy management to improve their operations. Marriott is already on this initiative, focusing on methods such as smart irrigation controllers and high-efficiency irrigation spray nozzles. The global hotel giant also has partnered with Samsung and Legrand to launch a prototype of its Internet of Things (IoT) hotel room to explore the potential to enhance the customer experience.
Predictive maintenance
As businesses that deal with many people who are expecting top-notch services, accidents and slip-ups are unaffordable inhospitality. Fortunately, predictive maintenance enables modern businesses touse sensor data to identify wasteful or hazardous situations in venues and alert maintenance staff before an issue escalates. Especially the use of Biotechnologies allows the management and the engineering staff to predict maintenance needs and prevent system failures and accidents.
For example, the spa and wellness sector can implement sensor-based monitoring systems for critical equipment such as pumps,filters and heaters to collect real-time data on parameters like temperature, pressure, and performance indicators. Advanced analytics and machine learning algorithms can analyse that data to identify anomalies or signs of equipment deterioration. This enables the staff to replace or repair the items before they get in the way of quality service delivery.
Predictive maintenance can reduce safety, health, environment, and quality risks by 14% and reduce maintenance costs by12%, making it one of the best ways to sustain the service standards inhospitality.
Big data and analytics
The ability of smart technology to provide actionable data is one of the most significant benefits in the age where data is the new currency. Digital migration of the hospitality business led the way to large operational data silos. Smart technology and analytics help companies decode that data into actionable insights, optimising their service delivery, marketing, and reputation management.
Data analytics smart technology offers acomplete view of guests and market segments more than ever, enabling businessesto leverage insights for targeted messaging. Understanding consumer behaviour based on past purchases and forecasting market trends empower decision-makers to be proactive about their campaigns- whether it is about launching a new product, suggesting a complementary product to customers, or even communicating with diners post-reservation.
For example, a restaurant can use past sales data to identify popular dishes and ingredients and use this information to optimise menus, introduce new offerings, or tailor menu items to suit specific customer segments.
Co-existing with technology: what should hospitality prepare for?
As with every innovation, smart technology too needs a careful and a strategic approach. There also challenges to consider and overcome when adopting smart technology. Its implementation can require significant upfront investments, which may limit new and upcoming hospitality brands when using it. Further, it is imperative to ensure the integration capacity of smart tools, especially if the business is already using other systems; lack of compatibility can disrupt operations, even when the most advanced technology is used.
With the increased connectivity and data exchange in smart technology, the risk of data breaches and privacy concerns isalso high. Businesses must implement robust security measures to protect guestin formation, secure networks, and comply with data protection regulations.
Further, while smart technology is meant to simplify and enhance the guest experience, it can sometimes lead to frustrations. Technical glitches, connectivity issues, or difficulties in understanding and operating smart devices due to generational differences are some of them.
The way forward with smart technology is to be 'smart' when purchasing. Understanding the exact business requirements can help businesses purchase only the modules they need, which is far more cost-effective than complete digital migration. Businesses must also opt for solution providers who offer 24/7 support to manage technical issues and are updated about their cybersecurity standards.
Lastly, companies must invest in technology training for their staff. This will ensure that employees are confident to operate with new systems, can reap maximum benefits and is readily available to support their guests. After all, providing guest comfort is the ultimate factor driving hospitality revenue.
About IDS Next:
IDS Next is Asia's most prominent hospitality solutions provider, catering to global customers in 50 countries with award-winning software that automates and streamlines hotel, restaurant and leisure operations. IDS Next solutions integrate with over 100 leading technology partners. Having over 35 years of experience, the company promises the most secure operations with its PA DSS-certified and GDPR-compliant solutions. Today, the company powers 300,000+ rooms, 220+ hotel chains, 25,000+POS outlets and 300+ leisure venues across the globe. For more, visit, www.idsnext.com .