How to Save Time and Boost Profits With AI As Your Personal Assistant

AI is not just ‘the next shiny thing’. It’s revolutionizing the hospitality industry, allowing independent hoteliers to become more efficient and profitable than ever.

Independent hoteliers are notorious for spreading themselves too thin. There is simply so much to do every day: handling last-minute bookings, managing housekeeping, supervising the new intern, removing those sad-looking flowers from the bouquet in the lobby and – of course – solving unexpected issues.

You have to balance customer satisfaction, operational efficiency and profitability, all while dealing with stiff competition. Let’s call a spade a spade: your workload is heavy and resources like time and skilled staff are limited. Due to these limitations, independent hotels are often forced to put certain tasks on the back burner like analyzing data to support strategic decision-making.

But what if there was a way to streamline daily operations and optimize your strategy, all without losing the personal service that makes your hotel stand out? This is where AI can help.

Think of AI as your always-on virtual assistant – a trusty sidekick, if you will – taking on monotonous or time-consuming front desk tasks while you focus on your passion and biggest strength: delivering personal guest service.

In this blog, we’ll explore practical ways independent hotels can apply AI to enhance efficiency, profitability and guest satisfaction.

What is AI for hotels?

AI is a very broad term and the application possibilities are plentiful. So, what do we mean when we’re talking about AI for hotels?

AI tools for hotels are software solutions that are powered by artificial intelligence technology. By leveraging large amounts of data input as well as using machine learning, these AI tools can automate and optimize various processes that would otherwise cost a lot of (human) effort.

Just a few examples of AI applications for hotels are:

• Chatbots on websites or messaging apps

• Smart kiosks on site

• Automated dynamic pricing

• Guest data analysis for personalization

• Market data analysis and forecasting

• Business reporting

• Inventory management

• Staff and housekeeping scheduling

• Predictive maintenance of equipment

By automating repetitive work and complex data analytics, the use of AI can truly transform how hoteliers run their business on a strategic and operational level.

Concerns about AI for hotels: opportunity or threat?

For some independent hoteliers, adopting AI feels like a complex and intimidating shift. But AI doesn’t need to be a threat. Used the right way, it can be a game-changer that empowers you to keep up with big, tech-savvy competitors, without sacrificing the human touch.

Let’s address some of the main concerns hoteliers have about adopting artificial intelligence.

Is AI going to replace hotel staff?

Finding hotel staff is one of the biggest challenges of the hospitality industry today. Many hotels struggle to find employees with the right skillset for certain tasks or generally experience understaffing issues.

Rather than taking over hotel jobs altogether, AI can provide a solution by taking over less enjoyable tasks, reducing staff’s workload and filling staffing gaps. It’s important to pick AI tools that complement your staff’s capabilities, allowing the two to work together seamlessly and reinforce each other.

“AI isn’t about replacing hoteliers. It’s about enhancing their capabilities.”Blake Reiter, Director of Hospitality Research at Lighthouse

With the time AI frees up, you and your staff can focus on personal interactions, creating memorable guest experiences and tasks that require human judgement or creativity.

Is AI going to take away control over my hotel?

Trusting technology with important tasks and decisions can be a big step. It can feel like giving up control of your business.

AI is there, not to hijack, but to assist in your strategic decision-making and hotel operations. With the right AI tools, you can automate certain aspects of your operations, while still allowing for human oversight or overruling where necessary. Make sure that you can also tweak the settings or parameters to match your needs and own experience. That way, you stay in control.

Can I trust AI hotel software?

Data trust and data security are common concerns when it comes to any new technology. Some hoteliers may wonder if they can trust new AI technology with sensitive guest information. Just like with your PMS and other systems, you should work with AI hotel software from trusted providers with a strong track record.

Choose AI hotel software that is transparent about what factors drive its outcomes and recommendations. With a clear understanding of the underlying AI algorithms, you’ll be more confident in letting the tool make important decisions.

What are the advantages of AI for hotels?

AI helps independent hoteliers overcome a couple of serious challenges: limited staff and time, growing guest expectations for personalization and fierce competition. Adopting AI tools has clear advantages:

• Faster operations through automation

• Smarter data-driven decisions to drive more revenue

• Better guest experiences thanks to personalization

• Stronger competitive position

A common misconception is that “AI is only relevant for big hotel groups and chains”. Well, the opposite is true: AI is especially useful for independent hotels. With newly accessible and affordable AI tools, independent hotels can adopt the data-driven approach that was once exclusive to large hotel groups, putting them in a better competitive position.

“I believe the hotel industry will adopt AI faster than other technology based on availability, cost of use and need due to the shortage of skilled workforce.”Survey respondent, independent hotel

A recent Lighthouse survey revealed that hoteliers agree that AI is the future to boost efficiency and revenue. At the same time, however, only 27% of independent hotels currently use AI, compared to 40% of large chain hotels. This uncovers an immense opportunity for independent hotels to strengthen their position.

Speaking of opportunity, let’s dive into how you can reap the benefits of adopting AI at your hotel.

AI as your personal assistant: how to apply AI at your hotel

AI-powered hotel software can assist hoteliers in three important ways: boosting efficiency, increasing revenue and enhancing guest experience. In this part, we’ll explore practical applications of AI and how your hotel can leverage them.

Let AI improve your operational efficiency

One of the most straightforward use cases for AI in hotels is automation of repetitive tasks that nobody really wants to be doing. Streamlining operations reduces costs and human errors, giving you time back to focus on guests.

New AI tools can boost staff’s productivity by processing check-ins, scheduling housekeeping and maintenance, tracking inventory and responding to online reviews. Thanks to AI’s ability to forecast demand, you can also manage staffing levels more easily and effectively for optimal cost-effectiveness.

Let AI automate your guest communication

Have you considered this? Simple guest inquiries and requests – for example, to add breakfast to their booking – can take up 2 to 4 hours of a receptionist’s time daily.

This is where chatbots and smart kiosks powered by generative AI (e.g. chatgpt) can offer immense value by handling routine questions. They can even give personalized recommendations, manage reservations and handle additional purchases.

Automating guest communication ensures your staff have more time left in their day to interact with guests and deal with more complex requests. Meanwhile, other guests are getting instant and accurate responses from your virtual assistant. It’s a win-win situation.

Let AI optimize your pricing and revenue

Dynamic pricing – changing room prices frequently to follow demand – is the cornerstone of revenue management. AI-powered software has made this strategy accessible to independent hoteliers. No need for specialized staff or in-depth knowledge of revenue management! AI can ensure you capture every opportunity to optimize occupancy, revenue and profitability.

Lighthouse’s Pricing Manager and Channel Manager for independent hotels make dynamic pricing simpler than ever thanks to AI automation. The combined tool constantly monitors real-time and historical data in terms of demand, occupancy rates, competitor prices and local events to adjust room prices automatically across your distribution channels.

This complicated process that would cost revenue managers hours to do manually, can now be taken care of behind the scenes by your AI sidekick. With Lighthouse’s solutions, you can still apply your own expertise by setting rules and alerts to maintain control over your pricing strategies.

Let AI offer a personalized service

Today’s guests are looking for unique, personalized experiences and AI makes it easier than ever to meet these demands. It can produce customized recommendations and offers based on guests’ preferences, booking histories, past requests and demographics. Why not deliver tailored loyalty rewards or room service offers directly to their inbox?

Creating hyperpersonalized stays is key nowadays to foster loyalty and encourage repeat bookings. It’s what truly sets you apart from the competition.

Let AI supercharge your marketing strategies

AI not only personalizes guest experiences on-property, but also marketing initiatives and offers. Time-consuming marketing processes that AI can take care of are, for example, analyzing large amounts of data, customer segmentation and campaign monitoring.

By analyzing guest preferences, customer behavior and market trends, AI gathers actionable insights that you can use to set up highly effective, personalized marketing campaigns. AI can also optimize the timing and content of your online advertising campaigns, ensuring optimal use of your budget.

Key considerations when adopting AI for hotels1. Identify your hotel’s pain points

Look for areas in your operations that frequently produce bottlenecks, errors or simply repetitive work: administration, revenue management, guest communication, … Go for the tools that tackle these high-priority issues first.

2. Start small and expand as you learn

Don’t completely overthrow your current way of working immediately. New systems require some getting used to, so start with one or two AI tools that would have the most immediate impact. As you get more familiar with AI, you can adopt new solutions for further optimization.

3. Choose the right AI software provider

For AI to be useful, it has to be based on relevant and reliable data. Go for a software provider with transparent data practices and tools catered to the unique needs of independent hotels. Also keep in mind that AI should make your life easier, not harder. Make sure the provider you choose offers user-friendly solutions and strong customer support.

Run your hotel more efficiently and profitably with Lighthouse AI tools

Want to experience the power of AI first-hand? With the most accurate and trusted data set in the industry, Lighthouse offers game-changing tools to help you run your independent hotel with maximum efficiency and profitability.

What do other independent hotels say about Lighthouse?

Our clients have reported a significant decrease in time spent on monotonous tasks like analyzing data, adjusting rates on all channels, operations and accounting. Plus, they’ve experienced a major increase in bookings and revenue thanks to optimal pricing.

Try our AI-powered platform for free for 14 days and experience the difference AI can make. Streamline operations, maximize revenue and stay ahead of your competitors in today’s challenging market.

About Lighthouse

Lighthouse (formerly OTA Insight) is the leading commercial platform for the travel & hospitality industry. We transform complexity into confidence by providing actionable market insights, business intelligence, and pricing tools that maximize revenue growth. We continually innovate to deliver the best platform for hospitality professionals to price more effectively, measure performance more efficiently, and understand the market in new ways.

Trusted by over 65,000 hotels in 185 countries, Lighthouse is the only solution that provides real-time hotel and short-term rental data in a single platform. We strive to deliver the best possible experience with unmatched customer service. We consider our clients as true partners – their success is our success.