How the Hotel Industry is Using AI and Custom Chatbots

Marriott’s ChatGPT has been lauded for its ability complex conversations, its multilingual support, and its seamless integration with Marriott’s existing systems. The chatbot’s effectiveness in providing personalized recommendations and exceptional customer service has cemented its success in the hospitality industry. Engati chatbots enable hotels to collect valuable feedback from guests, helping them enhance their services. Guests can share their experiences, report issues, or seek assistance through the chatbot. With the chatbot as the first point of contact, guests receive prompt support, and their concerns are addressed efficiently, improving guest satisfaction. Chatbots can integrate with existing hotel systems, such as property management or booking platforms, seamlessly exchanging information and ensuring a cohesive guest experience.

As we step into 2024, the role of chatbots has become more integral than ever in the hospitality industry. In an era where digital convenience and personalized experiences are paramount, chatbots stand as pivotal tools in meeting and exceeding guest expectations. They not only streamline operations by automating routine tasks but also enhance the overall guest journey, from pre-booking inquiries to post-stay feedback. Trilyo, a provider of AI-driven conversational commerce solutions for the hospitality industry, reports that hotels can see up to a 30% increase in direct bookings [AB1] using chatbots. Across every industry, chatbots reportedly help reduce customer service costs by up to 30%.

Does AI in the Hotel Industry Work With or Replace the Staff?

Take an example of Hilton Worldwide Hotel whose new AI-based concierge Connie is transforming the hotel guests experience. Performing just like a human concierge, Connie can assist arriving hotel guests at front desk standing on its bipedal support. The knowledge gathered thus can further be translated into providing insightful experience to hotel guests as they travel, inquire, stay and enjoy the luxurious hotel amenities. Explore how AI and data analytics can benefit your travel and hospitality business with Taff. Unfortunately, chatbots that respond to stressful guests with automated responses can make things worse.

Depending on their preferences, they can create suggestions or recommendations on what service or activity your customers can try. Basically, chatbots are like virtual booking assistants that can operate well, especially when guests inquire about the frequently asked questions about your hotel’s overall experience. They should naturally have all the information your guests need that can help manage their expectations before setting foot at your hotel. Intelligent chatbots with generation and natural language processing tools can communicate with your local customers in the language they can understand.

Virtual Tour Guides

The compound annual growth rate for chatbot investment in the hospitality industry is predicted to be 24.3% from 2020 to 2027. With strategic implementations, hotels can achieve a high return on their chatbot investment. Allow guests to easily switch from chatbot to live agent for seamless handovers. Proactively inform guests about chatbot capabilities to set clear expectations.

Virginia-based Hilton McLean has also received an upgrade in the form of Connie, an AI-enabled concierge. This little robot – it’s about two feet tall – also takes advantage of IBM’s Watson Conversation Services and helps visitors with finding their way around the hotel and answers other questions. As more hotel companies consider unveiling their own chatbots, the responsibility of providing accurate information falls directly on the companies unveiling them, Cook said.

Understanding Chatbots and Their Role in the Hospitality Industry

Hotels that deploy Chat-GPT can benefit from faster check-ins, increased efficiency in responding to guest inquiries, and the ability to provide always ON 24/7 customer service. With Chat-GPT and other hotel technologies, hotels can streamline their communication, reduce revert time, and focus on delivering exceptional customer service. A chatbot delivers peak level results when it’s powered by AI and integrated across all your online guest touchpoints. Then, an AI hotel bot goes beyond all time-based boundaries to initiate conversations, resolve queries, complete all transactions, and provide travel assistance to engage your existing and potential guests. You can use an omnichannel conversational AI to unify the guest experience across your website, WhatsApp, Facebook, Instagram, Google, and other touchpoints. This intelligent automation strategy enabled 24/7 omni-channel support, streamlined workflows, lower expenses, and most importantly – happy customers.

• The evolution of chatbots in this sector marks a significant milestone in this journey.
• Travel industry professionals often receive queries and contacts from people who live in different parts of the world.
• Elucidated below are some ways where chatbots are being used in the hotel industry to increase the revenue margins by improving customer satisfaction.
• Depending on their preferences, they can create suggestions or recommendations on what service or activity your customers can try.
• In the hospitality industry context, a chatbot is an AI-powered software application that interacts with guests via messaging platforms or websites.

1 million restaurant and hotel workers quit in November 2021, according to Business Insider. The publication attributes the loss of workers to low wages in the leisure and hospitality industry. Post-pandemic travel has resumed, but hotels must grapple with a labor shortage and wage inflation.

The statistic paints a powerful picture of the future where an overwhelming majority of communication with customers will be governed by automated responses. The technology should work in conjunction with humans in the travel hospitality industry. AI performs tasks that are repetitive or require data collection and analysis, while humans handle personal interactions. This combination can provide guests with the best possible experience and hospitality operators – with increased performance.

A chatbot works as a virtual booking assistant, operating particularly well when faced with frequently asked questions (FAQs). It provides guests with information on availability, pricing, amenities, services, and the booking process itself. It’s important to note that a hotel chatbot is not the same as hotel live chat.

This data can be used to refine marketing strategies, optimize service offerings, and enhance overall operational efficiency. A significant number of hotels now use AI in online customer service, such as chatbots, automated social media messaging, and push notifications. These alerts allow hoteliers to answer inquiries almost 24 hours a day and 7 days a week, which is almost impossible with human-to-human interaction. Furthermore, hoteliers use AI and ML data management to personalize their guests’ travel experiences.

Read more about Why Hospitality Industry Needs an AI Hotel Chatbot here.