MARKET NEWS

Towards the future

The new hospitality industry is constantly striving to offer guests something special and stay abreast of ever-changing consumer demands. From the US, to China, in Africa, and other jurisdictions, researchers and owners/managers alike are analysing opportunities. Change is happening and fast, and I’ve tried to capture some of these trends that are driving results.

By Mark Jakins

Guests are seeking more personalised experiences that meet their discerning cultural, lifestyle and time management needs — this is in a world where diversity is growing, as is the need for the industry to acknowledge this.

Hospitality groups and owners are pushing hard to optimise digital guest experiences. Guest experience technology is likely to dominate hospitality investment in technology and that desire to achieve a competitive advantage. Some of these recipient focus areas include contactless check-in/out, automated communication tools, online payment authorisations, digital tipping, and keyless entry.

Travellers are continuing to prioritise health and wellness for themselves, in their travel arrangements and choices of location, hotels and other tourism facilities — there’s a new consciousness, for the value of both physical and mental health.

The business and leisure blurring phenomenon, Bleisure Travel, is also increasing — and not just before or after work events, to explore the destination. Today, guests often stay longer and even bring family or friends along. The trend of working while on the road is also popular among digital nomads, the selfemployed, or employees with flexible work contracts. Beware the hospitality establishments that don’t offer high-speed Wi-Fi, co-working areas, rooms with workstations, or work-fromhotel packages (some of these include themed business community events gatherings of local, like-minded business folk, cocktail snacks, onsite technical support, printing, a meeting room for conference calls or presentations).

Real, authentic information is continuing to gain traction as a means of gaining business — even if everything is not entirely positive. As owners or managers build a hotel’s reputation, the latest stats show that over 80 per cent of people always read reviews before booking their stay, while three-quarters of travellers value online ratings over a hotel’s own marketing or brand info. If properties increase satisfaction scores, room rates can be increased, and occupancies will surely follow.

The much-hyped Artificial Intelligence (AI) tidal wave is now crashing on fertile shores and becoming the norm. Hospitality marketers and agencies are using communication campaigns with personalised replies, revenue management systems feature AI reliance for pricing optimisation — and marketing platforms are aggregating guest data and clear demand trends distilled into targeted campaign recommendations.

Probably the best example of the use of AI in hospitality is in China, where high-tech hotels have been created that lower management costs and improve efficiency, replacing manual work like cleaning, room service delivery, etc. with systems and robots. Facial recognition check-in at hotels is becoming a reality in China, as well as the use of AI-powered computers that mine data to provide tailored customer experiences. This also adds to the unique physical and design experience enjoyed by guests of hotel brands.

One big challenge most hospitality companies are facing, in the adoption and implementation of Hospitality AI, is the investment cost involved, including the acquisition of the hardware, instruments, gadgets, installation cost, and cost for hiring and training of operators and employees. All these expenditures are needed to ensure the smooth setup and efficient running of the technologies to benefit the tourism and hospitality industry.

As tourism in Africa grows, security for travellers is becoming a crucial hospitality trend. Ensuring safety enhances tourists’experiences, protecting them from potential threats and fostering peace of mind. Improved security measures not only attract more visitors, but also contribute to sustainable development and economic prosperity in the region, making it a vital focus for the hospitality industry.

Over the past few years, the hospitality industry’s biggest challenge has not just been attracting customers, but also finding and retaining staff. Many hotel groups have begun making internal changes and improvements, including offering staff free or low-cost accommodation, increased wages, reduced peak-time working hours, and considerable investment in training programmes to motivate staff! This will improve culture and positivity, and position hospitality as a prospective industry of choice to work in.

Finally, according to The Expedia Sustainable Travel Study, 90 per cent of respondents are looking for greener ways to travel, and 75 per cent are willing to pay extra for environmentallyfriendly options — and the trend shows that sustainability is no longer a choice if you want to keep attracting eco-conscious guests.

There is no doubt that astute hospitality players will treat guests of the future with personalised attention, aided by AI-infused granular segmentation and service offerings. In addition, technology should assist in efficiencies and automation — which may detract from the African agenda of job creation. As with other industries, the hospitality industry needs to be vigilant to evolving trends and revisit its guest strategies continuously.

Some of us will always say that the basics remain the core pillars of hospitality success – a good night’s sleep, in a comfortable and clean environment – supported by wonderful dining experiences and treated with respect by the hotel staff who interact with guests with sensitivity and a positive attitude!

Who is Mark Jakins?

Mark Jakins writes for Business Events Africa in his private capacity. He is the head of advisory forValor Hospitality, a global hospitality management company with offices and hospitality locations in the US, UK, Middle East, and Africa. He is also the chief executive officer and founder of Futuredrum, a bespoke branding, marketing, and business turnaround consultancy.