How to Keep Up in the Hospitality Industry
Updated: Sep 12, 2019
In the past 20 years, many aspects of the hospitality industry have switched to adapt to technological development and the shift of consumer behavior. This development transformed hoteliers’ business strategies.
According to Chip Rogers, the president and CEO of the Asian American Hotel Owners Association, “The lodging industry has changed in several key areas over the past decades and many of these changes have helped hoteliers to enhance their products, attract more guests and create opportunities for expansion.”He explained that the availability of digital marketing increased competition and provided greater pressure on room rates.
Hospitality will continue to adapt, said Tom Corcoran, co-founder and chairman of the board of FelCor Lodging Trust.
There will never be an endpoint to our industry. It will continue to thrive, develop, and change in line with the world’s inevitable upgrading.
60% of travelers in 2018 are millennials and they invest more on traveling and experiences than purchasing material things. People pay for an experience than a possession.
The internet era, also called the information age, has given everyone easy access to data and has become a bridge that made the world smaller. Hence, it has lowered the cost of traveling and built more sophisticated travelers. This has greatly touched the hospitality industry. People now are more delicate meticulous with regards to their desired travel experience; there are now, more factors to be considered.
And because of the switch to digital, the key for those hotels considering to retain or improve their position in the industry will be to keep up with the pace of innovation. Hotels face the challenge of adapting to the era of digitalization because traditions and methods are changing.
But because of the available data regarding the guests or potential ones, hotels get to be more personal with their treatment and what they offer. This makes them more competent in the market compared to that of which have stayed with traditions.
The introduction of digitalization in the industry makes work more efficient and curates processes that are repeatable yet customizable. It allows people to give more human touch through easier means of communication and transferring of data, not making it a challenge to the industry but a perfect piece to complement it as a whole.
Moreover, adapting and understanding how these technologies can work for you are crucial to survive the fight for customers in one of the most competitive markets in the world.With the sudden shifts in the industry over the years, it may seem to be more complex to operate properties.