Of course AI was everywhere, but how?
AI topics appeared in over 14% of 2024 headlines, doubling from 2023’s 6%. Discussions shifted tward how generative AI could hyper-personalize guest experiences, from tailored wellness programs to activity suggestions during stays. While the topic is still new and mysterious, it seems to be changing in the headlines.
Key Points Discussed:
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Integration of generative AI in chatbots for seamless booking and inquiries.
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Customizing room preferences and itineraries based on guest profiles.
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AI’s role in optimizing workforce efficiency and enhancing service delivery.
What changed?
The buzzy 2023 narrative around AI as the new thing evolved further into focused discussions on applications. I can’t say we have figured it out yet. My take on what AI will bring hotels is mostly pragmatic based on existing tech.
What caught my attention?
AI’s role in sustainability surfaced unexpectedly in 2024. This included applications like real-time monitoring of resource consumption and optimizing energy efficiency. There are things to do here, I think a lot of things are common sense though, so the risk is over-engineering. Still a good idea though.
Revenue strategies surged
More specifically within revenue strategies, direct booking strategies dominated almost doubled the number of headlines in 2024, compared to last year. The growing emphasis on bypassing OTAs and utilizing AI-driven tools for customer acquisition reflected hotels’ desire for greater revenue control. Which is the tendency in an up-market.
Key Points Discussed:
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Adoption of machine learning for dynamic pricing and real-time rate optimization.
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Growing consumer trust in hotel websites due to enhanced booking interfaces.
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Strategies to leverage loyalty programs for repeat bookings.
What changed?
Articles discussing general OTAs news dropped from 10% of total coverage in 2023 to under 4% in 2024. While OTAs remained very relevant, discussions shifted away from dependency to broader topics like AI-driven distribution and revenue management, and a bit of Booking’s regulatory struggle this year.
What caught my attention?
Subscription-based loyalty programs are back, and emerged as a revenue strategy in 2024, mentioned in around 3% of headlines. I think real loyalty programs are subscription based loyalty programs (the others should be renamed rewards programs, in my opinion). That they’re being spoken about as a revenue strategy is interesting.
Hyper-Personalization in Guest Experience
In 2024, the concept of hyper-personalization in guest experiences became a significant focus, appearing in over 12% of hospitality-related articles, up from 7% in 2023. The emphasis shifted toward using data and AI to tailor every aspect of a guest’s stay, from room amenities to personalized itineraries. Discussions revolved around how hotels could meet diverse guest preferences by integrating AI-driven insights and leveraging digital tools for real-time customization. This trend was fueled by growing guest expectations for unique, memorable stays that cater specifically to their needs.
Key Points Discussed:
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Leveraging AI to create personalized room experiences (e.g., selecting bedding, lighting, and in-room entertainment based on preferences).
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Using guest profiles for tailored wellness programs and curated local experiences.
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The integration of predictive analytics to anticipate guest needs and exceed expectations.
What changed?
In 2023, we were still talking about about guest experience in the post-pandemic era. Keyless access, mobile check-in and other similar topics were the main items being discussed. I think we can say they are behind us and we’re looking forward again.
What caught my attention?
With AI the discussion about technology in the hotel space, is growing around guest experience. This hasn’t always been the case. I’ve frequently argued that within hotels, technology has worsened the guest experience in more ways than one. I was happy to see new technology coming in and opening a positive discussion.
