It would not be an exaggeration to say that technology rules the modern world. The outbreak of Covid-19 pandemic has further cemented technology’s position as one of the premier enablers in almost every industrial sector. Hospitality is no different. Cutting edge concepts like AI and machine learning have led to a major disruption in the sector.
We talked to Sanjeev Nanda, CEO of the Claridges Group of Hotels, to discuss how the introduction of latest technologies is changing the hospitality sector as we know it, especially with respect to revenue generation. According to Nanda, the hospitality arena is relying on AI and machine learning for profit maximization.
“Latest technologies such as AI and machine learning have changed the worldview. Several industries such as healthcare, logistics, automotive, etc. have readily adopted the technological advancements, and hospitality is no exception. Adopting such world-class technology ensures profit maximization in the competitive market,” said Sanjeev Nanda.
He continued, “Tech-enabling the hospitality sector has become all the more crucial in light of the havoc that the pandemic has wrecked upon the sector. At this time, the challenge is not just to make the businesses profitable – it is to make the businesses sustainable as well. Technologies such as AI and machine learning can definitely help achieve these goals.”
According to Sanjeev Nanda, incorporation of latest technological advancements in the hospitality sector not only enhances the hotel operations, it also contributes to enhance the guest experience. “With AI, the staff does not need to work under high-quality performance pressure. With assistance from chatbots, their work is simplified,” he said.
Nanda added, “On the other hand, AI personalization helps us extract relevant insights from the diverse customer data. Hotels can hence deliver outstanding services by assessing the customer’s preferences beforehand. In today’s era, personalization is the key to drive customer satisfaction, and there is no better enabler to it than AI.”
Upon being asked about how machine learning can aid businesses accelerate their growth, Sanjeev Nanda pointed out that hospitality is a competitive industry and hence every business needs a lucrative pricing to attract customers, which is something that machine learning can help significantly with.
“It (machine learning) can help achieve the best possible pricing for services based on several factors such as hotel history, local competition, local events, third-party promotions, external real-time events, etc. The predictive models thus formed can be analyzed to offer better pricing to the customers, providing several businesses with a cutting edge,” Sanjeev Nanda said.
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