October 12, 2022

5 Ways To Use Artificial Intelligence in the Hotel Industry

Posted By: Adelle Rodriguez


As the wants and needs of travelers evolve over time, the hotel industry must respond by providing a flawless guest experience. From self-service trends to sustainability, it’s crucial to utilize cutting-edge technology to stay relevant and show guests that your hotel is willing to go above and beyond expectations. 

One innovative and exciting trend is the use of artificial intelligence (AI) in the hotel industry. Keep reading to find out how your hotel can use AI to streamline operations and maintain a positive image for your business.  


5 Ways To Use AI Technology at Your Hotel


1. Chatbots

With a combination of AI and machine learning, chatbots can be used to answer customer questions and automate tasks. In fact, 23% of customer service companies are already using chatbots, and there is an expected chatbot use increase of 53% in 2022 for the hotel industry. With this projected increase, it’s likely that your customers will come to expect the use of AI at your hotel sooner rather than later. 

Aside from improving the guest experience, using chatbots can free up the time of your staff and allow them to focus on guest needs and daily operations that can’t be tended to with AI.


2. Virtual or Augmented Reality

Although commonly associated with video games, virtual reality (VR) can revolutionize your marketing game. HospitalityTech reports, “Many companies in tourism and hospitality are using VR to upgrade their current website content as well as to encourage potential website visitors or tourists to engage with the service provider.”  This form of artificial intelligence in the hotel industry is not actually that new — some hotels started using VR in 2014. However, it’s likely that the full use of this technology is only just being realized.

What Is Virtual Reality?

Virtual or augmented reality uses AI to create a simulated, subversive environment that can be used to allow guests to “virtually” tour your hotel accommodations before they book a reservation. Hotels using virtual reality allow guests to have a preview of their accommodations. For example, 360-degree videos can be accessed through smartphones — making the virtual experience a powerful marketing tool accessible to large audiences.


3. Dynamic Pricing

AI can assist with automating tasks, including managing reservation pricing depending on your current occupancy, promotional rates, and more. If applicable with your PMS, this type of AI is found in the dynamic pricing tool. Using preset guidelines, the dynamic pricing tool can maximize bookings all year round and keeps your rates accurate across all OTAs with adjustments made in real time.


4. Reporting

AI-powered reservation software can help automate reports. If applicable, you’ll have the ability to view hundreds of reports or create customized reports to help make data-driven decisions for your business. Reports can potentially be scheduled ahead of time, allowing you to stay informed without delay.


5. Facial Recognition

With the increased demand for reduced contact points due to COVID-19, facial recognition can help meet and even exceed expectations to provide a stress-free guest experience. Facial recognition software can be used instead of keys for guests to access their rooms. Additionally, this AI-powered technology can assist with payment authorization and hotel parking garage access. 


AI in the Hospitality Industry and Operational Excellence

Staying on top of the latest trends will help take your hotel to the next level. The use of artificial intelligence in the hospitality industry will ensure your business continuously adapts to new innovations to provide the best guest experience possible. 

Efficiency is key in hospitality. Learn tips on how you can create an efficient environment for your guests and staff by downloading our Operational Excellence guide today.

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