Future-Proof Your Guest and Employee Experience with Digital Transformation

December 20, 2023

The global hotel industry is set to reach a massive $870 billion, according to global data and business intelligence provider, Statista.¹

Looking ahead to 2024, 57% of travelers plan to travel more than they did in the last 12 months.²

It’s official — travel is back and booming. And technology is playing a key role in the process.

Standing out is crucial for hotel operators in today's competitive market. And keeping up with the latest technology trends is essential to accommodate the influx of travelers.

But in the sea of digital options, how do you decide what to focus on?

Let’s dive into the importance of digital transformation in hotels as we look into 2024.

What Is Digital Transformation in Hotels?

Digital transformation is when companies use technology to fundamentally change how we operate and interact.

The hotel industry is no exception.

As the industry hit the hardest by the pandemic, it became necessary to survive. Tech has not only made things easier for guests but it's also had a positive impact on hotel staff.

Guests today are tech-savvy and have come to expect nothing less with travel. From booking to check out, they expect to do everything from their phones. Here are some stats to illustrate the impact:

83% of hotel guests use their smartphones to research and book hotels online.¹
‍75% of travelers say they’re more likely to stay at a hotel that offers digital amenities like mobile check-in and contactless payment options.³

The moral of this story is that digital innovation is no longer a luxury for hotels, but a necessity. Hotels that adapt will thrive in attracting both guests and employees. They’ll also maintain a competitive edge in the industry.

What Are the Benefits of Digital Transformation in Hotels?

Digital transformation offers several benefits for hoteliers like you. Here are the top benefits we see in four critical categories.

Enhanced Guest Experience

Providing guests with mobile check-in or a self-serve kiosk helps speed up the process. You can also gather individual preferences in that process for a more personalized experience.
You can then use those guest preferences to suggest restaurants and activities. Providing a more personalized experience leads to increased customer loyalty and repeat business.
Contactless technology, like mobile payments and digital tipping, makes transactions faster and easier. It also lets guests control more things about their stay, like changing the room temperature or ordering food. And they can do it all from their smartphones.

“Since launching with digital tipping, we’ve seen significant enthusiasm for the program from associates and guests alike. And because Shiny is so simple to implement, it's made adding it to our operations a no-brainer.” Brandt Tiffany, Marriott Cincinnati

Enhanced Employee Experience

Hotels are using digital tools to communicate and collaborate better. This helps improve efficiency and keeps all departments aligned in this fast-paced environment.
Working in a hotel can be exhausting. Digital tools, like Shiny, track staff performance and contributions. Hotels can easily recognize and reward employees for their achievements. This will boost morale and motivation and improve employee engagement.
Motivated teams deliver exceptional experiences, ensuring guest satisfaction. They’ll be more engaged and feel a sense of purpose and fulfillment. Happy employees are loyal to their employers and encourage others to join them. And, most importantly, happy employees create happy guests.

"Embracing Shiny not only provides our guests with a convenient means to express their gratitude to our dedicated room attendants but also fosters a stronger sense of connection and appreciation among our associates, ultimately contributing to lower turnover rates." - Michael Howard, Hyatt Place Baltimore

Improved Operational Efficiency

You can use digital tools to manage tasks like making reservations, scheduling cleaning, and keeping track of supplies. This frees up your staff to do more important things.
By collecting and analyzing data in real-time, you can gain a better understanding of your guests, operations, and how to allocate resources effectively.

Increased Revenue Growth

Happy Customers: As the saying goes, “A happy customer is a repeat customer.” This applies to hotels, too — a happy guest is a repeat guest.

A Cornell University study found that for every point increase in guest satisfaction score, there was an estimated $10 million increase in annual revenue.⁴

Feedback Tools: Hoteliers can use special tools to gather and analyze guest feedback. This helps them find things that need to be improved right away.

Whether you’re a luxury hotel or a boutique hotel, everyone can benefit from digital transformation. With it, you’ll attract more guests, boost spending, reduce costs, and retain top talent, leading to a stronger competitive advantage.

Looking Ahead to 2024

The past few years have been challenging, to say the least. It’s been exciting to see the growth in hospitality return. As a hotel owner or operator, there are many things to consider as this growth continues to ramp up.

But one thing remains certain: innovation is no longer a luxury, but a necessity for hotels. As technology continues to become an everyday part of our lives — keeping up is a must.

The evidence is clear. Digital transformation is essential for hotels to thrive in today’s competitive landscape. From enhancing guest experiences to increasing employee satisfaction, you'll unlock significant revenue opportunities to help you grow.

Ready to future-proof your hotel? Request a free demo and see how Shiny can help.

Resources:

‍