Friday 28 February 2014

Personalization tools for hotels on the rise


The concept of personalization is not entirely new in the hospitality industry – travellers’ expectations for quality and value constantly change, which in turn pressures hotels and airlines to adapt their offers. A growing number of travellers expect more from their stay in a hotel, and personalized products and services become increasingly important to them. This fact is underlined in a research study conducted by the InterContinental Hotels Group (IHG) in 2013, which shows that 54% of travellers say they feel more valued if hotel services are personalized and 59% find a hotel significantly more comfortable with these personalized services.1

Circumstances like these have resulted in the rise over the last few years of personalization tools and applications available to hotels around the world. Such tools can come in various forms: either as tablets or similar devices installed in guest rooms, as apps that can be downloaded by travellers, or as a mobile website freely accessible for the guests. These tools all store information and are linked with the various hotel systems, enabling the guests to personalize their stays while providing the hotel with valuable guest information. Providers for these information management tools and applications are increasingly third-party suppliers.2


An example of such personalization software is “GuestDriven”, an iPhone app developed by the Montreal-based company of the same name (formerly known as MConcierge). It serves both as an information provider for the hotels that use it and a tool for guests “to request room service orders, wake-up calls, and look up directory information”.2 Its ultimate aim is to provide “a real-time platform for guest and hotel to communicate throughout their stay”.3 Guests’ experiences are customized by obtaining information about their preferences via various social media channels, without selling this information to outside parties. The hotels can benefit from this application as they receive information “about a guest’s history, spending power, interests and social media influence”. 4 This data allows them to adapt and tailor their marketing efforts as well as plan their long-term strategies, with the ultimate goal of increasing sales. Recently, the company has managed to attract more than $3 million in funding from “Plaza Ventures, Real Ventures and Structure Capital as well as hospitality angels Tony Cohen (CEO of Global Edge Investments and an executive vice president at Crescent Hotels & Resorts) and Bob MacDonald (CEO of Maritz Loyalty)”.4

GuestDriven on Pinterest
Retrieved from https://twitter.com/GuestDriven/status/397503060034875392/photo/1

Of course the software mentioned above represents just one of several tools currently available for hoteliers. Not only are hotels active in these personalization efforts, but other players in the hospitality industry, such as airlines, have also seen an increase in use of such instruments.3 

The personalization technologies such as GuestDriven are intriguing ideas but hotels and other companies using them are going to have to be completely upfront with their customers about what kind of information they will access and how it will/can stay confidential. Additionally, companies need to keep in mind that not all guests will choose to participate in such a program, as some may find it an invasion of privacy or may not use social media (key to GuestDriven’s design).

Aline Biber & Caitlin Richardson

Sources:
(1) ehotelier.com. (2014, January 23). Travellers want personalization from their hotel brands. ehotelier.com. Retrieved from http://ehotelier.com/hospitality-news/item.php?id=26901_0_11_0_C
(2) Markwart, W. (2012, December 07). Latest hotel technologies empower guests to customize their stay. HotelierMagazine.com. Retrieved from: http://www.hoteliermagazine.com/hotelier-magazine/featured-articles/69-featured-articles/992-latest-hotel-technologies-empowering-guests-to-customize-their-stay.html

(3) Slade, H. (2014, February 18). Sushi on arrival? GuestDriven raises $3M to give hotels guests' social media info. Forbes. Retrieved from http://www.forbes.com/sites/hollieslade/2014/02/18/sushi-on-arrival-guestdriven-raises-3m-to-give-hotels-guests-social-media-info/   
(4) Schaal, D. (2014, February 18). GuestDriven attracts $3 million in funding for mobile personalization tool. Skift. Retrieved from http://skift.com/2014/02/18/guestdriven-attracts-3-million-in-funding-for-mobile-personalization-tool/ 

Image source:
GuestDriven. (2013, November 4). Hello ‪#Pintrerest, it's been a little while. Retrieved from



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