Tourism and Hospitality Industries Sample
Introduction
The term innovation can be defined as application and formation of new ideas, concepts, procedures which results into significant advancements. Smartness can be stated as strategic utilization of technology and brainy systems to upscale operational efficiency and drive business growth (Dalgic and Birdir, 2020). Similarly, this report aims to formulate SMART hospitality strategy for ALPHA HOTEL. As tourism or hospitality sector covers broad range of elements like food and beverage service, accommodations, events and transportation and attractions. In such highly competitive market it is essential to stay ahead of curve for several aspects should be taken into account. The report will be exploring opportunities which technology, smartness and innovation bring to hotels. The analysis of hotel’s markets and key players will be discussed in detail. Further, the report will shed light on external environment, crisis management and flexibility measures and reflect how innovation and smartness aids competitiveness of the hotel. Lastly, the future of ALPHA HOTEL in relation with new emerging realities will be debated which shows how this will empower hotel towards 2030.
Exploring technology, smartness and innovation opportunities for Hotels
It is perceived that technology and smartness typically brings different innovation opportunities to hotels, and creates potential chance for them to improve guest experience, operational efficiency and stay competitive in hospitality segment. The artificial intelligence algorithms can easily identify guest information in order to serve personalized suggestions regarding amenities, services and local attractions on the basis of preference (Tavitiyaman et. al. 2022). At the same time, AR and VR technologies also plays fundamental role as it helps to cater virtual tours of hotel which enable guests to personally experience that place before their arrival. However, employing data analytics tool aid Hotels to gain fruitful insights of guest behaviour, preferences and feedback. This in turn allow hotels to provide personalized services, targeted marketing campaigns, and increased level of guest satisfaction. For this sake, business who generally makes efficient use of Natural Language Processing as well as sentiment analysis technique can easily keep track of guest reviews along with social media sentiment. It permits hotels to significantly address concerns of guest and upsurge reputation management respectively.
Providing analysis of markets which ALPHA HOTEL attracts
The ALPHA HOTEL tend to attract individuals having diverse preferences which can be identified with the help of factors like travel trends, customer demographics and unique selling point of hotel. Here are some relevant market which cited hotel attracts.
International travellers – As Bournemouth attracts worldwide leisure travellers specifically from Germany, Europe, Netherlands and France. They are frequently drawn towards Bournemouth’s attractive cultural heritage, scenery and proximity to other widespread tourist destinations in the area like Jurassic Coast (Davras and Caber, 2019). ALPHA HOTEL serves to this specific market by offering tailored services, multilingual staff and partnered with travel agencies for stimulating destination.
Figure 1 – ALPHA HOTEL in Bournemouth
(Source – ALPHA HOTEL Bournemouth, 2023)
Domestic Travellers – It has been assumed that Bournemouth is one of the most famous tourist’s destination to visit as sandy beaches, beautiful seashore and pleasant atmosphere of city makes it eye-catching to couples, families and solo travellers looking for beachside getaway. In this way, Hotel target such market by providing special packages for couples, family-friendly lodgings and entertainment options.
Business travellers – ALPHA HOTEL’s multifunctional meeting room along with size of 300 individuals point it as one of the lucrative venue for conferences, business events and seminars. The business traveller who go to such events or visit the city regarding work related purpose appears to significant market segment for the organization.
Seasonal travellers – Bournemouth also experience peak tourist season in summer months especially when visitors gather to seaside (Ali and Ahmed, 2019). In reference to this ALPHA HOTEL have well-balanced operations and marketing by which they serve to seasonal nature of tourism, and gain increased revenue in peak time.
Weddings and events – There are several events such as sports tournaments, festivals and concerts are hosted in Bournemouth. Similarly, ALPHA HOTEL always try to attract the guests who have been attending such events by offering them with most convenient accommodation services. In reference to this, broad wellness centre and services of hotel typically makes it as an attractive choice for introducing weddings or some other specialized events.
Providing analysis of key players in the market
As it has been assumed that ALPHA is a seaside hotel in which other beachside hotels can be stated as leading competitors (Zhang et. al. 2020). They usually serve proximity to beach and emphasize over providing wonderful beach vacation experience for their potential guests. The key competitive forces or players in this segment involves The Riviera Hotel, The Ocean Beach and The Cottonwood Boutique Hotel. However, organization’s multifunctional meeting room positions it as player in both conference and event segment. Some other hotel chain or venues operating in Bournemouth providing similar facilities are Hilton Bournemouth and Bournemouth International Centre. These can be stated as key competitors in terms of attracting individuals regarding business conferences and events. ALPHA HOTEL’s widespread wellness centre creates potential chance and competitive edge to attract the guests who are willing to get wellness and relaxation experience.
In the context of indirect competitive forces, the escalation of home sharing platform such as Airbnb offers secondary accommodation option for travellers planning to visit Bournemouth. The Airbnb seeks to provide its customers with varied range of properties which are houses and apartments, and it easily appeals to the one seeking to get local and personalized experience (Ahani et. al. 2019). On the other side, some online booking platforms such as Expedia, Booking.com and TripAdvisor works like mediators amongst travellers and hotel. Also, they cater broad range of accommodation options as well as competitive pricing, creating them as essential source of bookings for hotels. It has been perceived that Bournemouth’s coastline locations generally makes it required spot for beachfront hotels beside south coast. Some other hotels in neighbourhood, can tend to attract parallel target markets as well as impact significant demand for accommodation in that particular area. Hilton Bournemouth is well-known for its superior accommodations, meeting facilities and options for dining (Pavlatos et. al. 2021). This hotel chain aims to provide services to both business and leisure travellers and they have strong presence in hospitality sector.
Discussing the elements of external environment, crisis management and resilience
The external environment mainly involves several elements which may have direct or significant impact on performance and operations of ALPHA HOTEL. While understanding all those elements along with its key implications is vital for efficient strategic planning as well as crisis management. The elements of external environment are discussed below:
Economic Factors
- Economic conditions – The entire economic health of region, consisting factors such as employment rates, GDP growth and consumer spending tend to influence demand for travel and tourism (Ferreira and Ferreira, 2020). For this sake, ALPHA HOTEL should keep track of economic indicators and regulate marketing and pricing strategies respectively.
- Exchange rate – The variations in exchange rates might affect cost of travel for global visitors. The hotel must concern with the impact of exchange rates over attractiveness of destinations and alter marketing and pricing efforts.
Social factors
- Social trends – Pursuing emerging social trends like health and wellness, sustainability and digitalization will enables potential chance for organization to adjust its services and operations in order to align with ever changing consumer preferences (Stylos al. 2021). By understanding the leading impact of changing behaviour, involving wish for social media influence, authentic experiences, and requirement for immersive and unique experiences would be helpful for organization to formulate relevant strategies. Also, understanding demographics of target market such as age groups, travel behaviour and cultural preference support ALPHA HOTEL so that they can tailor their offerings.
Technological factors
- Online platform – The growth of online travel platforms, social media platforms and review websites has altered the way travellers investigate, book and share their experience. It is quite significant for ALPHA HOTEL to retain their online presence, proactively manage online standing and collaborate with guests via digitalized channels.
- Technological advancements – As keeping track of embracing innovations and technological developments like mobile applications, artificial intelligence and automation will help organization to improve their operational efficiency, guest experience and stay modest in the relevant market (Alarcón al. 2020).
Environmental factors
- Natural disasters – As being coastline hotel, ALPHA HOTEL must have strong resilience plans and crisis management in the place for addressing the potential jeopardies from natural disasters such as flood, storms and coastal destruction. This may involve guest communication strategies, emergency protocols and partnerships with native authorities.
- Sustainability and climate change – Growing awareness of environmental issues requires ALPHA HOTEL to implement sustainable practices, eliminate carbon footprint and stimulate eco-friendly practices. While executing waste management practices, energy efficient systems and locally sourced products can establish strong commitment towards sustainability.
Political factor
- Political stability – There is immense need of monitoring geopolitical risks and political stability within region as this may significantly impact tourism demand. In that manner, organization must be equipped to adapt its approaches in response to such ever changing political landscapes.
Legal factor
- Compliance and regulation – It is essential for ALPHA HOTEL to abide by national, local and international regulations associated with areas like health, safety, accessibility, labour, and data protection (Su and Reynolds, 2019). Also, staying updated regarding legislative changes and assuring compliance is prominent for risk mitigation.
Crisis management and resilience –
ALPHA HOTEL must perform a thorough risk evaluation in order to determine potential crisis scenarios like public health emergencies, natural disasters, reputational crises and security threats (Schulz and Raman, 2020). This in turn allows development of inclusive crisis management plan.
- Developing effective communicative channels and procedures with guests, local authorities, staff and relevant stakeholders is critical throughout crisis. The hotel must have crisis communicative plans in the place to assure on time and accurate information diffusion (Lin and Kim, 2021).
- Formulating business continuity plan will enable potential chance for hotel to maintain its significant operations and eradicate interruptions in both throughout and after crisis. This may involve secondary suppliers, backup systems and flexible staffing arrangements.
- Steady training sessions as well as simulations will assist the staff members to answer effectively in crises. For this sake, ALPHA HOTEL can provide training over emergency procedures, crisis communication and guest safety procedures to make sure resilience and preparedness.
Critically analysing how smartness and innovation can support the competitiveness of ALPHA HOTEL
The term innovation and smartness will play decisive role in terms of improving the competitiveness of ALPHA HOTEL (Filimonau and De Coteau, 2020). However, as leveraging modern technologies along with embracing smart strategies, organization will be able to easily differentiate themselves from competitive forces, deliver exceptional guest experiences and upscale operational efficiency.
Figure 2 – Technology in Hospitality industry
(Source – The Top 5 Technology Innovations That Hotels Are Sure to Adopt Widely in 2023, 2023)
Superior guest experience –
In terms of personalization, utilizing advanced analytics and guest data increase the chance for ALPHA HOTEL to tailor offerings and services to individual preferences, making personalized experience which goes beyond common hospitality (Nikolskaya et. al. 2021). On the other hand, implementing mobile applications and relevant platforms will empower guests with self-service choices like digital room keys, mobile check in/out, and in-app caretaker services will tend to increase guest experience. By doing so organization can stay competitive in the market place along with generation of sales volume.
Operational efficiency –
As installing robotics and automation in the places like room service, housekeeping and inventory management will streamline the business functions, enhance efficiency and minimize the costs as well (Burhan et. al. 2021). At the same time, with Internet of Things like connected systems and smart sensors, hotel can optimize energy consumption, upscale security concerns which will lead towards cost savings as well as operational efficiency. Further, data analytical tools offer valuable insights of market trends and guest behaviour, this will inform revenue management strategies, decision-making procedures and marketing campaigns of Hotel. In regard to this, executing smart energy management systems along with IoT devices create ease in optimization of energy consumption, lower utility costs and reduced waste, contributing towards sustainability goals (Koščak and O’Rourke, 2021).
Sustainable practices –
By utilizing SMART energy controlling systems, ALPHA HOTEL would be able to optimize energy ingesting, and minimize the environmental impact (Pateli et. al. 2020). Also, smart solutions like recycling programs and sorting systems provide favourable support for the firm to attain desired sustainability goal by 2030 and decrease waste generation.
Applying innovative measures in food and beverage –
By executing digital menu along with self-ordering practices in restaurant will positively reflect towards dining experience, modernise operations and decreased wait times (Jiang et. al. 2019). Although, making use of smart kitchen machines, data analytics and inventory management systems there would be optimized food production, and better efficiency within food and beverage department.
Smooth connectivity and communication –
As provision of fast speed internet in the overall hotel premises enable guests to stay in touch and it will also improve their satisfaction which can be advantageous for ALPHA HOTEL. Also, executing seamless communication systems in the place like video, voice and messaging channels tend to facilitate effective internal communication amid workforce and allows rapid guest interaction and sustenance.
Marketing and revenue management –
By making efficient use of smart revenue management, cited hotel can easily optimize room charges on the basis of some fruitful factors like market conditions, demand and competitive analysis. Additionally, there will be maximized profitability and revenue generation which aligns with its long term success criteria (He et. al. 2023). At the same time, leveraging digital marketing strategies and data analytics, organization can further determine and target particular customer segment, monitor its effectiveness and modify marketing campaigns. This in turn will direct towards augmented bookings as well as customer loyalty.
Thus, the combination of both innovation and smartness within ALPHA HOTEL’s business operations will pointedly improve its competitiveness (Leung, 2021). By implementing aspect like technology driven solutions, the hotel will be able to upsurge wonderful guest experience, modernize operations and establish their strong commitment towards sustainability. All these advancements appears to be beneficial for ALPHA HOTEL to stay competitive, attract tech savvy consumer base and sustain in such highly competitive sector along with empowering hotel towards 2030.
Future of the organization in the new realities evolving in the global marketplace
In new realities evolving in global market, the future of ALPHA HOTEL is formed by different factors such as:
Adaptability and resilience – The organization’s capability to adjust with ever changing circumstances like geopolitical shifts, economic fluctuations and growing industrial trends can be stated as vital for its long term growth concerns (Buhalis et. al. 2023). It is essential for ALPHA HOTEL to prioritize resilience via diversification, proactive strategies to lessen risks and grasps better opportunities, and diversification.
Embracing innovation and technology – As leading giant in hospitality industry, ALPHA should continue to clasp innovation and technology as key drivers of its competitiveness. This will involve staying at front of progressions in areas such as virtual reality, artificial intelligence and smart hotel technologies. At the same time, leveraging technology can be made in terms of improving guest experience, catering personalized services through which they will be able to differentiate themselves from players.
Environmental responsibility and sustainability – The future of hospitality sector is gradually influenced via sustainable practices and environmental accountability. As keeping this notion in mind, hotel can further prioritize energy efficiency, sustainable practices, eco-friendly initiatives and waste lessening (Yağmur et. al. 2023). Furthermore, indicating strong commitment towards sustainability will appeal to guest who are environmental conscious and associate with emerging consumer preferences as well.
Partnerships and collaboration – These aspects plays fundamental role in future success of ALPHA HOTEL. This will involve collaborating with attractions, local businesses and destination marketing firms with the purpose of creating inclusive experience for guest and promotion of destination as whole. In addition to this, strategic partnerships with some technology suppliers, industry stakeholders and sustainable companies will aid hotel to access resources, expertise and innovative solutions respectively.
Employee development and talent management – It would be fair to narrate that attracting as well as holding top talent is significant for future growth of ALPHA HOTEL (Hassan et. al. 2022). Also, there is immense need to capitalize within employee training and improvement programs, encourage culture of collaboration and innovation as well as forming opportunities for career progression. At the same time, emphasize over inclusion, diversification and employee well-being can be made to develop positive work place environment and better work concerns.
Change in guest preferences and expectations – Hotel should continuously capitalize into market research, collect feedbacks from visitors and adjust their offerings based on changing customer requirements (Leung et. al. 2020). By doing so they would be able to form immersive experience, offer seamless digital services and wellness focused services. As having significant knowledge of market trends or behaviour patterns of customers ease and develops systematic process, thereby introducing better opportunities for business to strive in the market place.
Hence, the suggestive methods when executed appropriately will definitely empower the hotel towards 2030 via positioning it as resilient and competitive firm within growing global market place. With the help of technology and digital approaches, the organization can manage its business practices in lucrative terms and stay ahead of competition which would be most advantageous for firm to retain its customers and thrive in longer run.
Conclusion
From the above report it can be concluded that future success criteria of ALPHA HOTEL within growing global marketplace varies on its capability to embrace technology and innovative measures. With the implementation of appropriate measures like smart room technology, personalized experience, crisis management, and sustainable practices, ALPHA HOTEL can further empower themselves towards 2030. It has been identified that with acceptance of holistic as well as forward thinking approach, the hotel chain can easily flourish in face of developing challenges and cater brilliant hospitality experiences for its potential guests. Additionally, they can position themselves as one of the innovative, resilient and customer centric firm, well-prepared to prosper in the futuristic concerns of hospitality industry.
References
Ahani, A., Nilashi, M., Yadegaridehkordi, E., Sanzogni, L., Tarik, A. R., Knox, K., and Ibrahim, O. (2019). Revealing customers’ satisfaction and preferences through online review analysis: The case of Canary Islands hotels. Journal of Retailing and Consumer Services, 51, 331-343.
Alarcón, J., Palacín, B., and Maspera, J. (2020). Hotels competition based on online ranking position. European Journal of Tourism Research, 26, 2609-2609.
Ali, E. H. M., and Ahmed, M. O. (2019). Sensory marketing and its effect on hotel market-share: Perception of hotel customers. Journal of Tourism and Hospitality Management, 7(1), 116-126.
Buhalis, D., O’Connor, P., and Leung, R. (2023). Smart hospitality: from smart cities and smart tourism towards agile business ecosystems in networked destinations. International Journal of Contemporary Hospitality Management, 35(1), 369-393.
Burhan, M., Salam, M. T., Abou Hamdan, O., and Tariq, H. (2021). Crisis management in the hospitality sector SMEs in Pakistan during COVID-19. International Journal of Hospitality Management, 98, 103037.
Dalgic, A., and Birdir, K. (2020). Smart hotels and technological applications. In Handbook of research on smart technology applications in the tourism industry (pp. 323-343). IGI Global.
Davras, Ö., and Caber, M. (2019). Analysis of hotel services by their symmetric and asymmetric effects on overall customer satisfaction: A comparison of market segments. International Journal of Hospitality Management, 81, 83-93.
Ferreira, F. A., and Ferreira, F. (2020). Price-setting hotel competition under uncertain demand. In Advances in Tourism, Technology and Smart Systems: Proceedings of ICOTTS 2019 (pp. 289-295). Springer Singapore.
Filimonau, V., and De Coteau, D. (2020). Tourism resilience in the context of integrated destination and disaster management (DM2). International Journal of Tourism Research, 22(2), 202-222.
Hassan, H., Nassar, M., and Kamal, M. (2022). Customer Acceptance of Self-Service Technology in Five-Star Hotels in Egypt. Pharos International Journal of Tourism and Hospitality, 1(1), 64-76.
He, Z., Huang, H., Choi, H., and Bilgihan, A. (2023). Building organizational resilience with digital transformation. Journal of Service Management, 34(1), 147-171.
Jiang, Y., Ritchie, B. W., and Verreynne, M. L. (2019). Building tourism organizational resilience to crises and disasters: A dynamic capabilities view. International Journal of Tourism Research, 21(6), 882-900.
Koščak, M., and O’Rourke, T. (2021). Post-Pandemic Sustainable Tourism Management: The New Reality of Managing Ethical and Responsible Tourism. Routledge.
Leung, R. (2021). Hospitality technology progress towards intelligent buildings: a perspective article. Tourism Review, 76(1), 69-73.
Leung, X. Y., Lyu, J., and Bai, B. (2020). A fad or the future? Examining the effectiveness of virtual reality advertising in the hotel industry. International Journal of Hospitality Management, 88, 102391.
Lin, S. C., and Kim, Y. R. (2021). Heterogeneous effects of hotel ownership structure changes on localized market competition using multilevel mixed‐effect analyses. Managerial and Decision Economics, 42(4), 808-820.
Nikolskaya, E. Y., Fedorchukova, S. G., Kulgachev, I. P., Umarov, M. M., Yudina, E. V., and Feoktistov, S. V. (2021). The impact of organizational culture on the strategic development of tourism and hospitality enterprises. Academy of Strategic Management Journal, 20(4), 1-9.
Pateli, A., Mylonas, N., and Spyrou, A. (2020). Organizational adoption of social media in the hospitality industry: An integrated approach based on DIT and TOE frameworks. Sustainability, 12(17), 7132.
Pavlatos, O., Kostakis, H., and Digkas, D. (2021). Crisis management in the Greek hotel industry in response to COVID-19 pandemic. Anatolia, 32(1), 80-92.
Schulz, W. F., and Raman, S. (2020). The coming good society: why new realities demand new rights. Harvard University Press.
Stylos, N., Fotiadis, A. K., Shin, D. D., and Huan, T. C. T. (2021). Beyond smart systems adoption: Enabling diffusion and assimilation of smartness in hospitality. International Journal of Hospitality Management, 98, 103042.
Su, N., and Reynolds, D. (2019). Categorical differences of hotel brand personality: Identifying competition across hotel categories. International Journal of Contemporary Hospitality Management, 31(4), 1801-1818.
Tavitiyaman, P., Zhang, X., and Tsang, W. Y. (2022). How tourists perceive the usefulness of technology adoption in hotels: Interaction effect of past experience and education level. Journal of China Tourism Research, 18(1), 64-87.
Yağmur, Y., Demirel, A., and Kılıç, G. D. (2023). Top quality hotel managers’ perspectives on smart technologies: an exploratory study. Journal of Hospitality and Tourism Insights.
Zhang, D., Tu, J., Zhou, L., and Yu, Z. (2020). Higher tourism specialization, better hotel industry efficiency?. International Journal of Hospitality Management, 87, 102509.
ALPHA HOTEL Bournemouth. 2023 [Online] Available at: < https://alpha-hotel-ostend.hotelmix.co.uk/> [Accessed 24 May 2023].
The Top 5 Technology Innovations That Hotels Are Sure to Adopt Widely in 2023. 2023. [Online] Available at: <https://hoteltechnologynews.com/2022/11/the-top-5-technology-innovations-that-hotels-are-sure-to-adopt-widely-in-2023/> [Accessed 24 May 2023].
Know more about UniqueSubmission’s other writing services:
