In recent times it has been noted that branding is fast becoming one of the five big divisions in which companies are investing a lot of their research and development dollars into. Hospitality branding is becoming one of the top priorities in the industry and when done correctly can have a great impact on the shareholders of the company. In 2006, over $475 billion dollars, a fifty one percent increase from 2005, was spent by consumers at Kiosks and self service machines and the figures are expected to reach $1.2 trillion by 2009.
The question arises however, “is branding just an important strategic option or has it become an indispensable strategic imperative?” An independent hotel with a good management team, in a prime location, and accommodates online booking, can give a chain hotel just as much competition.
Companies have to be able to differentiate themselves from each other, to do this they should invest in programs that are difficult for the competition to replicate, which in turn will land them the notch above the competitors.
Companies today are not depending on investment analysis, instead they are following the leads of the airlines, but by doing so they are losing critical information on their perspective and present clients. By investing in such programs, they have to figure out which segment is going to be affected, would they appreciate the addition of the new self service technology? Which group will be excluded? How far and how fast should the product be introduced to the customers?
When the research was completed, it was found that the companies were focusing on the firm benefits, such as potential cost savings, increased customer satisfaction, labor reduction, and increased operations efficiency. Instead they should be focused on the customer related benefits, such as reduce waiting times, location benefits, greater privacy and added convenience. After all the value creating capabilities, the staff should be able to deliver consistently each and every time a guest stays at the hotel.
I think that this is a great way to go and more hotels should spend the time and money it takes to get to know the clients and cater to their needs. Not everyone likes to stand in lines, I am one of them, if the line is too long, I will find someone else to give my business to. I appreciate the speed and accuracy of a self service check out, I do not have to deal with the staff and I can get in and out as quickly as possible. Efficiency and effectiveness and two of the things I look at when booking with a hotel, also the level of customer satisfaction and the services that are provided that makes me feel like a valued guest.
Dickinson, C (2006, October 26). Self-service Technologies: The
Affect on Hospitality Branding. Retrieved February 24, 2007.
from , vice president, client industry executive with EDS’ global
travel and hospitality industry segment.
Web site: http://www.hospitalityupgrade.com/_magazine/
magazine_Detail.asp?ID=42
4 comments:
I think self-service kiosks are a great addition to any hotel or airport. It increases efficiency and decreases labor costs. Many travelers at airports, business or family complain about the long lines just to check-in. When my family flew to Florida last year, we printed our airline tickets from the computer and checked-in at the airport through a kiosk. The process is definitely quicker than waiting in line, however, that is as long as the kiosks are functioning correctly. Kiosks cost a lot of money and companies need to make sure all the bugs are out. On our trip down, the kiosks seem to be taking a long time because they were not reading the barcode on our printed ticket. I think self-service kiosks can be a great benefit to hotels as well because it seems everyone today is in a hurry. Business travelers have meetings to attend and after a long trip with the kids, families want to just get to their hotel room without the hassle of waiting in line. I think the technology is still being evaluated by many hotels but I believe it will increase customer loyalty which is the bottom line.
Self service kiosks are becoming the way of the future. The problem with the self service kiosk is that it removes the human interaction that the hospitality industry is known for. As a guest much of whether a stay was excellent or poor has to do with the interaction with the associate checking a guest in or out. Since self check-in check-out kiosks are becoming the norm in the hospitality industry, hoteliers must find new and innovative ways to WOW their guests. These kiosks if they are going to be utilized must be used for the correct clientele and the proper research should be done to make sure putting in a kiosk is a sound investment.
It depends on the location and type of business, but in the right circumstances a self service kiosk would be good. It can not be placed in a hotel such as The Ritz-Carlton because the kiosk does not fit into their type of service. With a self service kiosk, the process becomes very impersonal. Some people may be looking for speed, but I personally do not like the kiosks. There are always problems with them and then you have to stand and wait for an employee to come over and help you. The other problem is that the kiosk cannot cover every aspect like an employee can. If I have a question when I am checking in at a hotel, you cant ask a machine. There are limits to the self service kiosks, but regardless of what I think they are growing in popularity and will soon be everywhere.
Self Service Kiosks is something that has been integrated into our way of life. Whether it be paying a toll or receiving tickets at an airport, people now a days rely on self service to speed up wait time. I myself use self service kiosks every time I fly. In one way or another self service will be everywhere. You will be able to make reservations without a person assisting you or order food at quick service restaurant or even be able to get amenities without talking to anyone. The only problem is what happens when the machines break down. You still need employees to assist and people to fix these machines.
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