Innovators and laggards in hospitality
Usually when a major innovation is put to market, it is done after several tests are carried out to ensure that it is a stable product for acceptance by customers. If one’s product is adopted, you gain a position of advantage within the market, besides creating a customer base. In brief, a new product or technology is adopted when businesses believe it to be a stable product. It symbolizes the transition between the product being unknown and alien to becoming a welcome new tool to meet business goals.
With generative AI and LLMs however, it is completely different; where its evolution occurs in parallel with adoption because the breakthrough is increasingly ongoing and massive.
Adopters of a new product or technology can be broadly divided into: innovators, early adapters, early majority, late majority and laggards. Each of these five adopters has different values. Those who first show interest in adopting the new product are the innovators and early adopters whilst the laggards are the most resistant to welcome any new innovation.
Hotel operators, by and large, belong to the last of the five adopters – laggards. Yes, the recent pandemic accelerated the pace somewhat. Yet, despite the rapid strides taken during covid, hotels in general, have not moved up the ranks of adopters. Hoteliers’ reluctance to adopt new technologies including AI is understandable. It is rooted in legitimate anxieties that arise from past experiences, operational challenges, and the complications of integrating new systems.
Hence, implementing AI in the hotel industry is fraught with challenges. The AI revolution is a game-changer and carefully navigating the challenges it poses is vital for success in a futuristic all-encompassing AI-drive era!
The first step is to understand these challenges and look at realistic solutions. For instance, Hotels that operate legacy systems that fail to seamlessly interface with newer AI technologies will encounter operational issues, such as getting stuck with an AI system that is underutilized or cause frustration for staff or guests or both. Overcoming that hurdle raises the question of cost.
AI technology (hardware and software) initially comes at a hefty price. Added to this is the ongoing maintenance and staff training costs, not least of all upgrades. Smaller hotels would find it a daunting expense. However, the evolving demands of the hospitality industry make it imperative for hoteliers to reconsider their stance and pace on technology adoption.
Innovators and early adopters may emphatically state that implementing AI in hotels will be critical to stay ahead of the curve and remain both competitive and relevant. There is no argument on that since the future of hospitality lies in the powerful partnership between man and machine.
Make no mistake; the human touch in the people-oriented hospitality industry is undeniably irreplaceable. Striking the balance between technological efficiency and human empathy is critical. Thus, each of the abovementioned challenges requires a carefully considered tactical approach.
AI is rapidly evolving with new developments for hospitality every day, it is imperative for hoteliers to educate them about AI. Failing to do that carry’s the risk of falling behind in the hospitality industry – both in terms of one’s hotel and individually. Hoteliers who understand how and when to leverage AI tools to become more efficient and effective will be better prepared to embrace the benefits this technology brings - where it matters! By continuously learning, hoteliers can harness AI to support providing a richer, personalised guest experience.
Shafeek Wahab - Editor, Hospitality Sri Lanka, Consultant, Customer Service Trainer and Ex-Hotelier
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