The hospitality industry is going through a major transformation, and the ‘Beyond the Room:How Leading Hotels Are Unlocking Incremental, Ancillary Revenue’ report offers a roadmap for hotels looking to stay ahead of the curve. With technology reshaping every aspect of our lives, hotels are no exception. The report highlights how hotels can use tech innovations to improve the guest experience and boost revenue. Let’s dive into the key takeaways from the report and why it’s so important for the future of hospitality.
The Growing Role of Technology in Hospitality
Technology has become a cornerstone of modern hospitality. From when guests book a room to when they check out, tech plays a crucial role. The ‘Beyond the Room’ report emphasizes that guests now expect seamless, personalized experiences that mirror their daily interactions with apps and smart devices. This shift in expectations has made it essential for hotels to adopt advanced technologies like mobile apps, in-room technology, and digital concierge services.
Guest experience is at the heart of this transformation. Hotels that focus on creating personalized, easy-to-use digital interfaces will meet and exceed guest expectations. For example, mobile hospitality solutions allow guests to check in, unlock their rooms, and order room service—all from their smartphones. This level of convenience is becoming the norm and hotels that don’t keep up risk falling behind.
Key Insights from the Report
One of the standout points in the ‘Beyond the Room’ report is the importance of personalized guest experiences. Guests today want more than just a comfortable room; they want an experience tailored to their preferences. By leveraging data, hotels can offer personalized recommendations, such as suggesting a spa treatment after noticing a guest has just returned from a workout.
The report also highlights the role of in-room technology in enhancing guest satisfaction. Smart rooms with IoT devices can adjust lighting, temperature, and music based on guests’ preferences. This makes the stay more comfortable and creates a memorable experience that guests are likely to talk about and share with others.
Another critical area covered in the report is the potential for generating ancillary revenue through digital platforms. Hotels can use guest apps to offer additional services, such as room upgrades or local tours, directly to guests. This not only enhances the guest experience but also increases incremental revenue. The ease of access and personalized offers can significantly boost a hotel’s bottom line.
The Importance of Guest Engagement
Guest engagement is more than just a buzzword—it’s a critical factor in building loyalty and driving revenue. The ‘Beyond the Room’ report suggests that hotels should invest in technologies that enable real-time interaction with guests. For instance, a digital concierge can answer questions instantly, make restaurant reservations, or book a cabana by the pool—all through a mobile app.
The report underscores the importance of using location-based services to enhance guest engagement. Imagine a guest walking near the hotel spa and receiving a push notification offering a discount on a massage. This personalization improves guest satisfaction and encourages them to spend more, thereby increasing RevPAR (Revenue per Available Room).
Case Studies and Success Stories
The ‘Beyond the Room’ report doesn’t just present theories; it backs them up with real-world examples. One case study highlights a luxury Caribbean resort that partnered with Phunware to improve personalization and guest engagement. The results were impressive—a 39x return on investment within three years. The resort saw a 225% increase in app revenue from 2022 to 2024, with 50% of app bookings made pre-arrival. This case study illustrates the power of mobile hospitality solutions in driving revenue and enhancing the guest experience.
Another success story in the report involves a hotel that used wayfinding technology to help guests navigate large properties. By integrating this feature into their guest app, the hotel improved guest satisfaction and increased the likelihood of guests using other services, such as dining or spa treatments.
The Future of Hospitality
The ‘Beyond the Room’ report paints a promising picture of the future of hospitality, driven by hotel innovation and technology. It suggests that hotels should continue to invest in digital transformation to stay competitive. This includes adopting smart hotel technology like AI-driven personalization, blockchain for secure transactions, and IoT devices that create energy-efficient environments.
The report also stresses the importance of hotel revenue optimization through advanced analytics and guest data. By understanding guest behavior, hotels can tailor their offerings and increase operational efficiency and revenue.
Conclusion
The ‘Beyond the Room’ report is valuable for any hotel looking to stay competitive in an increasingly tech-driven world. By focusing on personalized guest experiences, leveraging mobile apps, and embracing innovation, hotels can unlock new revenue streams and build stronger relationships with their guests. The future of hospitality lies in creating seamless, on-demand experiences that empower guests and keep them returning for more.
Hotels that embrace these changes will not only meet their guests’ evolving expectations but also position themselves for long-term success in the industry. If you’re in the hospitality business, now is the time to act on these insights and ensure your hotel is keeping up and leading the way in guest satisfaction and revenue growth.
