By Manfred Abraham, CEO, Yonder Consulting
Picture this: As you step up to the check-in counter at a hotel, the receptionist asks, ‘Have you stayed with us before?’ This seemingly simple question reveals a critical flaw in the hotel’s operations and shows that the hotel is falling behind in the way the industry is moving. Let me explain.
The travel and hospitality industries were some of the most impacted industries by recent world events. This gave both boutique and chain hotels a chance to evaluate their offerings and take a step back to see what guests really want from their stay. This has resulted in several key trends that will become even more important in the years to come. These aren’t fleeting fads; they are industry-wide shifts that are changing the industry as a whole and will determine its future.
I’m specifically talking about tech-driven experiences, effective use of data, hyper-personalization through design, immersive stays and sensible sustainability. While all these elements are intertwined, they each need nuanced individual attention.
1. Tech-driven experiences
Guests today are used to having tech embedded in their daily lives, so they expect it in their hotel experience as well. In the past, particularly in the hospitality industry, it was all the rage to showcase the latest technology, particularly the newest TV, check-in features, and phones. The goal was to impress guests with your cutting-edge offerings. But with technology changing so rapidly now, this is no longer necessary. Guests don’t want technology and features shoved in their faces; they prefer tech seamlessly integrated into their experience to make it better.
Integrating technology is happening in many aspects of hotels, but the best example is the check-in process. With today’s technology, there’s no need to make a big deal about this. Instead, quietly explain your process at the time of booking so guests are aware and can use it. One tool that might not come to mind when you think of tech-enhanced check-ins is WhatsApp, which has become extremely popular to use for this purpose.
Why does this work so well for hotels? Firstly, guests are familiar with popular texting apps, so you aren’t asking them to do anything they’re not used to. Even if you don’t use WhatsApp and opt for a different app to communicate with guests, it’s a familiar process for them. This approach allows hotels to provide guests with more autonomy, no more waiting in long check-in lines, wondering if their room is ready. Hotels can use automation or contactless check-in to provide better experiences to guests. For example, sending a message on Whatsapp or another communication platform to inform the hotel of an arrival time of 2:30pm can ensure the room is ready, have someone meet the guest at the door, and give guests a personalized arrival to the grounds.
2. Effective use of data
Going back to the situation I described at the beginning of this article, asking a guest if they have stayed at your hotel before is one of the worst questions you can ask. Why? Because the guest will almost always think, ‘Shouldn’t you know this information?’
Guests, more often than not, are happy to provide information upfront to make their stay as enjoyable as possible. The virtual check-in process mentioned above is an excellent way to capture some more details about guests and their preferences before they even arrive. You can even adopt a strategy of calling the guests before their trip to ask permission to ask a few questions about their needs and preferences to best tailor your offerings to them.
As a consumer, you know your data is out there, and many companies have access to it. Much of the frustration with this idea comes from a poor use of that data. In the hospitality industry, it is common to get marketing emails suggesting you book another stay, offering limited-time deals, or promoting sister hotels. Former guests might even get offers for products used in the hotel, like a 20% discount on niche shampoo with a special code. This approach often just annoys guests. Why not use this information to know if a guest has stayed there before?
It’s time to rethink this strategy and, instead of using guest information to cross-sell and cross-promote, effectively use their data to enhance their stay. By doing this, guests will not only enjoy their stay more, but through word of mouth, online reviews and recommendations, you may end up seeing a better ROI.
3. Hyper-personalization through design
Guests will remember the things you do to make their stay special. By offering hyper-personalization through your hotel’s design and the stay experience, you immediately set yourself apart from competitors.
SoHo House excels in this area with their hotel offerings. While their member-only club gives them an advantage, their approach to hospitality should be a model for others. Every detail— from the room and check-in process to the bedding, toiletries, gym design, shower heads—is thoughtfully curated to resonate with their guests. Their confidence in these choices comes from their deep understanding of their customers and their preferences.
Hyper-personalization is not new to the hospitality industry. For example, the Carlyle in New York has been doing it since their inception with monogramming pillowcases for guests staying more than a few nights. Recently, however, the industry has taken a step back from this level of personalization. It is time to get back to the core principles of hospitality. Guests will recognize, appreciate and remember the little details that are meant just for them when they stay with you.
4. Immersive stays
The key to creating an immersive experience is understanding your guests and knowing who you’d like to attract. It’s important to accept that you cannot be immersive for everyone—only for your target audience. An immersive experience, by definition, transports guests to specific destinations or time periods, but it will be truly appreciated by those who connect with the concept.
One hotel that truly embodies this idea is the Chateau Denmark in London. Located on a street famous in the British music scene, known for its connection with the Sex Pistols, the hotel preserved the street’s 70s and 80s look. It maintains the building’s facade and features an immersive lobby honoring the street’s musical history. The hotel is centered around music fans with100% soundproof rooms, understanding that their target audience appreciates loud music and gatherings. While this experience may turn some folks away, it effectively meets the needs of their target audience.
To effectively do this requires total commitment and understanding to your guests. You need to take the time to hone in on who you’d like to attract and what experience you want to provide for those guests. Without a complete dedication to immersion, you’ll never create a truly immersive experience.
5. Sensible sustainability
Sustainability is key in this industry, and we should all do what we can to be more environmentally friendly. That said, it’s not wise to enforce many of these sustainability measures on your guests, especially if it affects the quality of their stay.
In reality, many of these measures are cost-saving for some businesses, and guests don’t want to hear that losing their daily fresh towels and bedding is part of sustainability efforts when it mainly benefits the hotel.
This is not a call to ditch sustainability efforts, but rather to implement them in a way that doesn’t put guests at a disadvantage. You can use sustainable materials, install energy-saving appliances, and explore other options that don’t make the experience worse for guests.
While sustainability is important to many people, it often isn’t a top factor when choosing between hotels. There are already sustainability-focused hotels that brand themselves as such; if a guest is truly focused on sustainability, they will stay there. If you think any of your sustainability efforts could negatively impact a guest’s stay, they should be reconsidered.