I wonder if the hotel industry fully realizes that when it comes to technology and the guest, the biggest threat isn't Google, Booking or some other tech player.
The biggest threat is Airbnb.
Airbnb is now going to require every guest has a verified ID. That means the entire legal basis for a physical check-in at a hotel will no longer hold up.
They have already removed all the payment friction from check-in and check-out.
Getting wifi login, communicating with the host and a score of other mundane elements are all happening within the app.
Casting (WIFI of the 2020s) isn't a problem, most hosts have connected TVs now.
In other words, they have used technology to make the guest experience better, note that hotels have not solved the above. And Airbnb keep getting better. With digital door locks there's less and less fumbling around for keys.
Very soon, the advantage of going to a hotel will be minimal. Not because hotels are doing a worse job, but because they aren't figuring out ways to do a better job for the guest.
The reasons for this are:
- A disconnect that the main improvements in guest experience has been and will continue to be digital improvements. Almost all human interactions currently happens via a digital channel now and they're only going to grow. The industry needs to embrace that change.
- The costs involved with ripping out legacy systems, not just in IT costs, but staff training. It's a lot easier to change channel manager than a PMS. I've tried both.
- Maybe a false security that because nobody has managed to disrupt hospitality in 2000 years, why would that change today?
Personally I use both hotels and rentals for different use cases, as I think most people do. This is probably exactly the threat, because the same people are using both switching from one to the other will be "slowly and then all of a sudden" as the saying goes.
$1m chandeliers used to be incredible guest experience. And it still is impressive to see an original piece of art chandelier in the lobby. But we need to embrace that lifting the guest experience (which is the main worry of a good hotelier) will come from improved digital experiences.
Martin Soler
Partner Soler & Associates
This article first appeared at LinkedIn