Living costs and living standards in South East Asia have risen. For the hospitality industry, staffing costs have risen, while guests complain that vacationing there is not the bargain that it used to be.
The traditional, 5-star hotel chains sustain their 2 to 3 staff to 1 guest ratio with higher room rates, which their older, more affluent client base has been so far happy to pay. As natural attrition reduces this client base, these ratios may be harder to sustain in the long term.
Boutique and lower cost chains aimed at a younger market have a ratio of approximately 1 member of staff to 5 guests.
Some of the traditional brands are now opening chains aimed at the younger end of the professional market who are still looking for quality but with a less formal atmosphere for a more affordable price point.
Increasing labour costs make maintaining margins and acceptable service levels more challenging.
Automation is a way to address this.
Many hotels of all categories have already outsourced some or all of their bookings to platforms such as “Booking.com”, “Trip” or “Agoda”. They may have their own websites where customers can book their stay on a self-service basis.
At least one chain provides a smartphone app for guests to check in digitally and receive a room number. Their smartphone can open the room’s door. No key required.
Some hotels provide in-room tablets or smartphone apps to download, where guests can make in-room service requests without having to call reception. Alternatively, they may replace room service with a service area staffed by front desk staff when they are not handling guests.
For hotels yet to make this transition, the investment need not be as great as first imagined.
Since the pandemic, people have become more accustomed to using digital and automated channels. The online shopping boom was an educational experience for many, showing people how much they could do unassisted with well-designed and reliable technology.
Cloud contact centres can support both human-staffed and automated customer contact channels. They do not require servers. Up-front costs can be kept to a minimum. They can scale up and down responding to fluctuating demand, and operating costs will scale likewise. For hotels preferring not to employ IT specialists, these systems can be managed as a service by the system provider.
As the business evolves, leadership will require further insights into customer sentiment and preferences. Technologies analyzing these can be added and integrated into the system.
200 years ago, the birth of the railways made travel available to the masses and kick started the hospitality industry. Cloud computing makes advanced, AI driven technology available to boutique and budget hotels to kick start their services in the face of a rapidly changing market.
To learn more about what the cloud can do for your hotel or resort, contact us at Omningage.
Why OMNINGAGE Connect?
OMNINGAGE is a cloud based Contact Centre Platform powered by Amazon Connect and AWS.
OMNINGAGE Connect is a next generation cloud based user desktop built for Amazon Connect which offers effortless user experience, promotes agent engagement and boosts staff productivity.
For additional information on OMNINGAGE view their Company Profile
Omningage would like to thank Alex Soliman of Bright Minds Solutions for his kind assistance and expertise in helping me to prepare this article.
