Consumers are most willing to engage brands with new technology if they feel that they are in control of their experience and hospitality operators should be wary of implementing automation without personal service, according to new research from technology solutions provider Oracle. The study was aimed at identifying consumer attitudes to new technologies and how their implementation will shape consumer behavior in the years to come.
Oracle’s Hotel 2025 and Restaurant 2025 reports audited 250 restaurant operators, 150 hotel operators and 702 consumers in February 2017 on their reactions to technology’s role in the guest experience over the next eight years. Here are some of the highlights:
Recognition, personalization will be a driver
- 33% of restaurant and 72% of hotel operators say that guest recognition via facial biometrics will be in use within the next five years.
- 31% of restaurant guests and 41% of hotel guests will be more likely to visit an establishment with greater frequency if they are recognized by a server or associate without having to give their name or show a loyalty card.
- Both restaurant (49%) and hotel (62%) guests agree that having this recognition would improve their experience.
- 28% of restaurant customers would visit more often and 45% said it would improve their experience if service was faster because they were recognized.
- 42% of restaurant guests find suggestions based on health invasive and 68% find suggestions based on digital footprint invasive.
- 47% of hotel guests agree that using artificial intelligence to suggest items based on past purchases would improve their experience. 72% of hotel operators agree that AI-based systems that leverage guest preferences and buying history to make targeted dining recommendations will be mainstream by 2025.
Consumers warming to voice-activated experiences
- 36% of restaurant guests say ordering through a virtual assistant would improve experience and 17% would visit more often, along with 50% and 33% of hotel guests respectively.
- 59% of hotel guests believe controlling their room via a voice-activated device would enhance the guest experience and operators agree. Hotel operators polled indicated that managing room control and ambiance management (78%) via voice activation would be widespread by 2025. Hotel operators also believed that ordering room or hotel services (70%) via voice activation would be adopted by 2025.
- Operators are keen on gathering customer feedback by voice; 61% of restaurant operators and 68% of hotels said this will be in use in the next five years.
Virtual reality will enhance the booking and on-property experience
- Consumers also indicated that virtual reality tours of hotel properties (66%) and virtual reality lounges for entertainment (44%) would improve the guest experience.
- Hotel operators also believe virtual reality technology will be widespread by 2025 with a variety of use cases: staff training (68%), guest entertainment on property (64%), and previewing meeting rooms (63%).
Robots won’t replace staff anytime soon
- 50% of restaurant guests said being served by a robot would not improve the guest experience and 40% would visit less.
- 37% of hotel guests said being served by a robot would not improve the guest experience and 22% would visit less.
- 64% of restaurant and 58% of hotel operators say that the use of robots for cleaning is appealing.
Operators begin to consider investment in wearables
- 51% of restaurants and 63% of hotels say staff activity monitoring via wearable device will be in use in the next five years.
- 59% of restaurants and 78% of hotels say that staff checking into work and onto workstations via wearable device will be in use in the next five years.