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Role of Information Technology in the Hospitality Industry


The ever blooming hospitality industry is one of the major contributors to the economy of developed and developing countries and with the introduction of IT in this sector it has been fortified than ever. With the IT (information & technology) sector undergoing tremendous changes in last 20 years, it is revolutionizing world hospitality industry with innovative technologies that has made landmark setting various benchmarks and breakthrough for future advancements in coming years with automation and mechanization.

Whole IT structuring and the hospitality industry procedure seems to be changed as result of the onset of internet and the IT world. As of now, the IT sector has secured a very vital role in the hotel industry and it will be incorrect to associate it without data processing in hospitality. We have seen that the hospitality industry has revolutionized their customer’s journey from travel to hotel with the help of improved information technology solutions. The enhancement and dynamic process occurring change in the industry is a result of agile amelioration which has brought revolution in globetrotting.

We all know that the hospitality industry is often defined as the sectored system of innovation and production! Technology has played a substantial role in achieving economic growth by garnering economic means for consumers to travel. The augmentation and contribution of air travel as a means of transporting tourists to different locations is an important contribution of technology to the hotel industry. The evolvement and progress of AI with information technology has had a tremendous impact on the hotel industry which also includes the world of hotels.

This, in turn, has helped airlines to reduce costs and get closer to the customers by increasing their outreach. The boundless public use of the Internet has created a number of conditions that have been game-changers in both beneficial and detrimental ways to the modern travel agency. While computers have been an integral part of the hotel agency, since their widespread adoption, the Information Age has brought considerable new benefits. Few enterprise-level software allows hotels under specialized programs which are dedicated exclusively to managing their businesses and organizing their database.

Both customers and business can benefit from advances in communication, reservations and guest services systems. Technology’s greatest impact can be seen on front deskwhere property management has quickened over the years, the speed of service, reduced labor cost, improved accuracy and modernized look and flow of lobby. Point of sale one of the most important technique for speedy transactions makes payment to the merchant in exchange for goods or services. Under the hospitality industry, the tourism suppliers like British Airways have started applying e-commerce operations thereby allowing their customers to directly access the reservations systems. The approach and application of mobile technologies have further impacted the hospitality industry. It is now possible for customers to view and choose various travel and tourism options by surfing the internet through their cell phones.

Information Technology plays a crucial role by attracting more millennial travelers to your hotel

Hotel managers everywhere are acknowledging the fact that the internet provides a good alternative to take bookings for their establishments. Although many are still skeptical about its capability to increase travel purchases and hotel bookings, many agree that online promotions are a great way to create interest and awareness among guests.

Hotels can attract a new breed of customers (millennial travelers) by integrating technology in all aspects. However, technology is in an invariable state of flux and is constantly unlocking new opportunities aimed at improving customer satisfaction and boosting internal efficiency.

How IT has affected the realm of Hospitality Sector:-

1. Reservations Systems: You can easily book a hotel room for anyone via the booking facility available online which allows easy access to consumers and travel (millennial) professionals; the systems enable individuals to make reservations and compare prices online. Many, like Expedia, make my trip and Orbitz, are available through online interfaces.Now, major hotels have a 24*7 AI Powered chatbot to increase direct bookings on website.

2. Mobile Communication: To keep customers updated of changes many hospitality businesses use mobile communication; they send delay notices, offer deals and sponsor location-based advertising. Depending on the type of business the reach can be increased through emails, text messaging or GPS tagging. Most of the travelers take some form of a mobile communication device with them on the road, whether it is a tablet computer or a mobile phone.

3. In-Room Technology: Nowadays traveler carries numerous electronic devices and reliable, wireless Internet connectivity ranks at the top of the list for customer needs. Guests can use the hotel’s Web application to access room service options via online or an e-dining Internet site, or use an interactive service that finds nearby restaurants, transportation or shopping stops for them.

Areas where IT has impacted the most

1. Organization: While computers have been vital part of the hotel business since their widespread adoption, the Information Age has brought considerable new benefits. Data can be stored more quickly than in the past, just because of high-speed hardware and better software. Some of the latest enterprise-level software allows travel agencies specialized programs dedicated exclusively to manage their businesses and organize their data and process them accordingly. This organization allows agencies to run more efficiently, preventing capacity losses due to input time and other tedious tasks.

2. Coordination: Improved communications technology has greatly widened the ways in which a travel agency can communicate not only with customers but also with business connections and partner services and sponsors. High-speed Internet connections allow almost-instant video, voice, and text communication around the world often at considerably less expensive than traditional methods such as long-distance telephony and cell phone can offer. Data can be sent almost instantaneously from the agency to an airline, hotel or other services, then reverted to customers. This allows bookings and coordination that might have taken hours or days to be processed almost instantly, greatly reducing wait times and lost productivity in an organization.

3. Self-Service Booking: One of the largest impacts on the travel industry (which comes under the hospitality industry) has been the rise of online or e-booking. Customers looking to book a trip no longer need to visit an agency they can go online to companies such as Expedia, Make my trip or Priceline and book an entire trip themselves. Airlines and hotels themselves also have cut off the travel agent altogether by allowing customers to book tickets and lodging directly from their sites.

So, now you know what is the role of information technology in the hospitality industry! Schedule a demo with us and we will tell how can you implement the latest IT technologies in your hotel. Also, our sales team will reach out to you and give a demo of AI-enabled voice and chat assistants. Boost your hotel sales and bookings via the latest IT strategies. It’s never too late! Pick your slot now.

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