1、HOTEL 2025 emerging technologies destined to reshape our business2Predicting the future is impossible and attempting it might seem like folly.But as in most cases,it is the process not the outcome that matters more.For hotel leaders,anticipating consumer trends and seeking innovations that enhance g
2、uest experiences are vital exercises that need to be practiced diligently.Now,more than ever with the coming wave of disruptive technologies taking these steps helps ensure success tomorrow.To help in that pursuit,Oracle Hospitality commissioned Hotel 2025,a major industry report surveying consumers
3、 and operators about emerging technologies destined to reshape our business.Together,their responses provide insights about these innovations,including anticipated rate of adoption,potential impact and related fears real and imagined that need to be allayed.Among the topics Hotel 2025 explores:artif
4、icial intelligence,biometrics/facial recognition,robotics,voice activation,wearable technology,virtual reality,driverless transportation and smart hotel design.The report outlines the current status of each and forecasts its future use,and weaves in perspectives from 150 hotel operators.It also inco
5、rporates in-depth interviews with chief information officers and chief technical officers.The path forward undeniably will rely on technologies that make hotels smarter,accelerate service and,most importantly,personalize experiences for each and every guest.With Hotel 2025,it is our goal to help you
6、r business embrace innovation and prepare for the future.It will be here before you know it.Hotel 2025| 2025emerging technologies destined to reshape our businessPerspectives from 150 hotel operators:To anticipate consumer trends and seek innovations that enhance guest experiencesartificial intellig
7、ence A field of computer science,artificial intelligence is the pursuit of developing computers that can simulate human intelligence specifically,learning,reasoning and self-correction.Though the term was first coined in the 1950s,a seminal moment raising AIs profile in society came in 1997 when“Dee
8、p Blue,”an IBM chess program,defeated the legendary champion,Garry Kasparov.AI technology varies greatly in sophistication from automation and reactive machines that can analyze options and select optimal ones,to limited-memory devices(as found in autonomous vehicles),which can use past experiences
9、to shape future decisions.But the recent surge in AI research coincides with the advent of big data.AIs ability to identify patterns and glean insights from data now available faster and in greater quantity and variety yields advantages to almost any industry.All that remains for AI is for it to gai
10、n self-awareness,or a consciousness with its own beliefs and intentions.That remains in the realm of science fiction,but who knows for how much longer.Hotel operators top prediction for artificial intelligence:72%of hotel operators said providing targeted dining recommendations using AI would be mai
11、nstream or in mass adoption by 2025.Operators other top uses for artificial intelligence:Recommendations for in-destination activities while guests are on-property Recommendations for hotel properties when consumers are shopping for hotels3Hotel 2025| continuedartificial current status future use in
12、telligence Thus far,hoteliers most valuable application of AI,arguably,is the mining of consumer feedback to expeditiously create and deliver meaningful solutions for guests.With the sheer volume of data flooding hoteliers today,its the type of analytical task that cant be done well,if at all,by a h
13、uman.According to Marketing Week,luxury-hotel chain Dorchester Collection used an AI platform to conduct a brand study that contained 7,454 guest reviews from 28 different hotels and 10 major hotel brands across 18 cities and regions.On the guest-facing side of the equation,Hilton,at a property in M
14、cClean,Va.,is experimenting with an AI robot concierge that“talks”with guests,providing information about the hotel and surrounding area.And in the UK,Edwardian Hotels offers a virtual host service called,“Edward.”Designed for guests who prefer text messaging,Edward can respond to various requests,f
15、rom arranging advance check in to supplying extra towels.As AI continues to evolve,industry experts predict that it will be able to observe and learn guests behavior even“perceive”their needs.Again,the importance of such capabilities boils down to improving hoteliers ability to personalize the guest
16、 experience.In a prelude to such evolution,numerous hotels are experimenting with AI and voice-activated controls to optimize room conditions,such as lighting and temperature.In the Marketing Week article,Brian McGuinness,global brand leader for Aloft Hotels,said:“We believe that by eventually weavi
17、ng AI into the hotel experience,we can make a room smarter,giving guests more control over their stay.”What the guests said:47%of consumers said AI-based promotions based on past purchases would improve their experience,26%would visit more often if hotels offered this service.45%of consumers said AI
18、-based promotions based on health/dietary needs would improve their experience,28%would visit more often if hotels offered this service.4Hotel 2025| intelligence source:Maeve Hosea,“How brands are using artificial intelligence to enhance customer experience,”,(May 18,2016)driverless transportation D
19、riverless vehicles,often called AV for autonomous vehicles,are robotic vehicles that can navigate without human operators.Though numerous auto manufacturers and technology companies are pursuing AV development,Googles test of a fleet of self-driving cars traveling more than 140,000 miles of Californ
20、ia roads captured the publics attention.In Googles case,sophisticated orchestration of multiple technologies including sensors,radar,AI software and Google Maps enables the car to safely steer and brake until reaching its programmed destination.Though consumers have been wary of driverless vehicles,
21、advocates say the technology leads to safer,more reliable and efficient travel.Aside from eliminating accidents caused by human error,they say automated transportation would improve traffic management,minimizing congestion and delays.Hotel operators top prediction for driverless transportation:64%of
22、 hotel operators said driverless neighborhood shuttles would be mainstream or in mass adoption by 2025.Operators other top uses for driverless transportation:Airport pickup/drop-off Guest luggage handling Delivery of supplies to hotels 5Hotel 2025| continueddriverless current status future use trans
23、portation Earlier this year,the Alliance for Transportation Innovation,a consortium of transportation technology innovators,hosted test rides for the public in its Autonomous Vehicle Shuttle in Arlington,Texas.Initially,its inventors anticipate the driverless vehicle would transport people between s
24、tadiums and off-site parking lots,but its not much of a stretch to envision it,one day,shuttling guests to and from hotels.In fact,the shuttles made by French company,EasyMile are expected to be on public streets transporting workers near a San Ramon,Calif.,office park by the end of 2017.The AV,whic
25、h uses GPS navigation and is equipped with sensors that detect obstacles,would be the first driverless shuttle in the U.S.to operate on public roads.The race to develop autonomous vehicles is well under way with companies ranging from Google to Tesla to Honda in the thick of it.The impact of AVs on
26、consumer behavior,however,is what will have seismic consequences for hoteliers.Indeed,in a recent report,Business Insider forecasted as many as 10 million self-driving cars could be in use as early as 2020.That could mean travelers hopping into AVs,sleeping comfortably in reclining seats and being t
27、ransported to new destinations overnight.Depending on hoteliers response to futuristic travel,such changes could lead to expanding market boundaries or risks of being bypassed altogether.What the guests said:47%of consumers said driverless vehicles for neighborhood transportation would enhance the g
28、uest experience.31%would stay more often if offered this service.50%of consumers said driverless vehicles for airport pickups and drop-offs,would enhance the guest experience.34%would stay more often if offered this service.6Hotel 2025| transportation sources:David Budmir,“5 ways self-driving cars w
29、ill forever disrupt the future of hospitality,”,(Oct.19,2016)Angela Ruggiero,“San Ramon:Driverless shuttles make their debut,”,(March 7,2017)Ben Russell,“Driverless shuttle being tested in Arlington,”,(Feb.2,2017)voice activation/recognitionVoice-activation technology is exactly what the name implie
30、s:devices and systems controlled by the human voice.Without the need to use switches,dials and buttons,voice activation affords simple,hands-free capability,freeing users to perform other tasks.Performance of voice-recognition technology has improved significantly;in 1995,“word error rate”hovered ar
31、ound 43%,but now devices are considered to be as fluent as human speech.Indeed,such enhancements are reflected in the quick adoption of voice-activated digital assistants such as Google Home and Amazon Echo.Consumer Technology Association projects total unit sales of these devices to double to 10 mi
32、llion in 2017.Hotel operators top prediction for voice activation/recognition:78%of hotel operators said voice-activated controls for lights,air conditioning,and room devices would be mainstream or in mass adoption by 2025.Operators other top uses for voice activation/recognition:Guest recognition O
33、rdering room or hotel services 7Hotel 2025| continuedvoice activation/recognition current status future use A typical hotel guest spends at least 12 to 15 minutes trying to figure out how to operate or adjust the thermostat,lights,TV controls and other room functions.In the continuous quest to deliv
34、er hassle-free guest experiences,such issues need improvement and hoteliers are turning to voice-activated solutions.The idea?Manage all those functions under one system,controlled only with voice commands.According to USA Today,Aloft Hotels,in select locations,began deploying iPads in rooms last ye
35、ar,enabling guests to adjust temperature and lighting by simply asking“Siri,”Apples voice assistant.Similarly,Wynn Las Vegas became the first resort in the world to place Echo,Amazons voice-activated smart speaker,in all of its guest rooms a total of 4,748 to control various aspects of the room envi
36、ronment.With the hotel room of the future evolving increasingly into a personalized haven,the widespread adoption of voice-activation seems a given.Indeed,the evidence is mounting:According to Hospitality Technologys 2017 Lodging Technology Study,42%of respondents acknowledged the value of artificia
37、l intelligence/voice-activated devices.However,like many new technologies,voice activation will need to overcome guest privacy concerns.Meanwhile,other voice-related industry applications are emerging,too:A training app designed to prep customer-service employees uses voice analysis to gauge their c
38、onfidence level in simulated business scenarios.What the guests said:59%of consumers said voice-activated controls for lights,air conditioning,and room devices would enhance the guest experience,36%would stay more often if offered this service.50%of consumers said voice-activated orders for room ser
39、vice or other hotel services would enhance the guest experience,33%would stay more often if offered this service.8Hotel 2025| activation/recognition sources:Nancy Trejos,“Aloft Hotels debut voice-activated rooms,”,(Aug.24,2016)“2017 Lodging Technology Study/Frictionless Hotels:Enabling the Omni-Expe
40、rience,”,(Dec.20,2016)wearable technology Hotel operators top prediction for wearable technology:71%of hotel operators said wearable technology for staff scheduling and training would be mainstream or in mass adoption by 2025.Operators other top uses for wearable technology:Guest ordering and paymen
41、t Staff access to hotel and workstation log-in9Hotel 2025| to the explosion of smart watches and fitness trackers,wearable technology or“wearables”are becoming as ubiquitous as cell phones.But the terminology encompasses all forms of electronic technologies or computers that can be incorporated into
42、 accessories or clothing and worn on the body.That makes an array of objects,from watches to contact lenses to fabrics to jewelry,potential candidates as wearables.Among their signature traits:Providing users with data-input capabilities and real-time access to information all in continuous,convenie
43、nt,seamless fashion.continuedwearable current status future use technology The benefits of wearables,as just mentioned,are perfectly suited for the hotel industry.Imagine arriving late to a hotel and just wanting to go straight to your room,bypassing the front desk and fetching keycards.At some majo
44、r hotel chains,guests with wearables can do just that with a simple swipe of their wrists providing access.Westin Hotels,catering to growing public interest in wellness,has provided their own specialized devices to guests:sleep-sensing wristbands to help monitor rest.Wearables also are being used to
45、day as a secure payment option improving quality and speed of service for guests,not to mention avoiding higher-risk transactions with credit/debit cards.As wearables become more prolific,hoteliers likely will use them as tracking devices to gain invaluable insights about guests behavior and prefere
46、nces.For example,hoteliers could monitor their use of amenities and services,and even keep tabs of purchases.According to ,Walt Disney World Resort already uses the technology to analyze guests buying patterns,which plays a key role in improving inventory management and reducing waste.Staff-focused
47、wearable technology hasnt been embraced as readily,but its adoption certainly can be envisioned:For hotel maintenance and hospitality staff,hands-free operation afforded by wearables could improve response time and yield more detailed,record-keeping.Likewise,busy hotel bartenders and waiters could r
48、eceive notifications via wearables,alerting them when meals and drinks are ready for pickup or when guests need prompt attention.What the guests said:36%of consumers said wearable technology that allows hotels to recognize guess would enhance the guest experience,19%would stay more often if offered
49、this service.32%of consumers said wearable technology that allows hotels to personalize offers would enhance the guest experience,20%would stay more often if offered this service.10Hotel 2025| technology source:Brendon Granger,“What is the future of wearable technology in hotels?”,(Nov.6,2015)biomet
50、rics and facial recognition Hotel operators top prediction for biometrics and facial recognition:74%of hotel operators said automating staff recognition with biometrics would be mainstream or in mass adoption by 2025.Operators other top uses for biometrics and facial recognition:Personalizing guest
