Hospitality Industry and AI: Applicable Use of AI in Booking, Room Service, and More

  • 11 months   ago
Hospitality Industry and AI: Applicable Use of AI in Booking, Room Service, and More

It’s become crystal clear by now that AI is a revolutionary technology that has an immeasurable impact on all businesses, including the hospitality industry. 

There are countless ways that hotels can utilize AI to improve the customer experience, streamline their processes, and ultimately increase their revenue. 

But how exactly do they manage to do that? What are the applicable uses of AI in the hospitality industry? Let’s take a look. 

Enhancing the Booking Experience 

One of the biggest problems in the hospitality industry is the booking experience. Over 16% of consumers drop out of booking a room. AI, especially the best AI chatbots, can turn this situation around. 

Chatbots with the best AI can create a frictionless booking experience, and allow the guests to make a reservation in just a few clicks, quickly processing their requests and even making payment confirmations.  


The staff can focus on more important aspects of the business, while the chatbot can work on providing the customer with the information they need so that they can make a booking. 

Best AI chatbots rely on machine learning to ensure a smoother conversation and more accurate answers. Ideally, the chatbot would not need human intervention to assist the customers. If human intervention is needed, machine learning technology allows chatbots to learn from their experience. 

This means that once they’ve learned how to handle a specific situation, they’ll know what to do when similar situations arise. This creates a seamless booking experience that’ll improve overall customer satisfaction. 

Optimized Pricing 

No other industry faces quite as many price fluctuations as the hospitality industry. Prices can depend on many things: the season, the popularity of the location, the climate, the political landscape, and more. 

AI can help hotels, restaurants, and others optimize their prices quickly and as needed. Since it can make accurate predictions about the changing market trends, it can suggest higher or lower rates. 

This allows you to stay ahead of the competition and increase your hotel room occupancy by efficiently adapting to the trends and changes. 

The rise in the popularity of IoT allows AI to analyze huge amounts of data and use your customers’ previous online purchases and overall online behavior to optimize your offer to them. Down-selling and up-selling can now be more organic and efficient. 

AI & Insurance 

Both hotels and their guests benefit greatly from travel insurance. Since it covers hotel room cancellations and has travel delay coverage that includes emergency room bookings, it’s obvious why it can be useful to both sides. 

Your guests can use chatbots with the best AI to purchase insurance. Chatbots can support credit card payments, as well as other payment methods and make this whole process easier.  You can use the chatbots on your own booking site to make better travel insurance recommendations to your guests and ensure their greater satisfaction. 

Better Room Service 

AI and chatbots are entering the hotel rooms as well. Hotels around the world are already using AI to improve the guests’ experience, and the trend is just starting to take off. 

The guests can communicate with the chatbots to make special requests for their rooms, request room service, or ask for room deliveries. Advanced robots/ chatbots can actually make room deliveries themselves and converse with the guests using voice recognition technology. 

Your guests can use your AI chatbot to learn more about their destination, ask for recommendations, and even make reservations in restaurants, theaters, museums, and more, all from the comfort of their hotel room. 

Personalized Customer Experience 

Personalization is crucial across all industries. It increases customer engagement, satisfaction, and loyalty, and it can help your hotel increase its revenue. 

Over 49% of customers say they’ve made a purchase they didn’t intend after receiving a personalized recommendation from a business. This translates to the hospitality industry as well and making personalized offers will help you attract more guests. 

Chatbots with the best AI can use the data gathered from your guests to learn more about their interests and preferences and make personalized recommendations. 

Even better, they can remember previous interactions with repeat guests, and make them feel more welcomed by offering the same room, asking if they’d like “the usual” breakfast order, and more. 

The Bottom Line 

To stay competitive and relevant, those in the hospitality industry must take advantage of the new technology and embrace it. 

Through platforms like, you can make the best use of AI with chatbots for free. You don’t even need previous coding experience to create an AI chatbot, customize it, and ensure it matches your brand personality. 

AI allows you to enhance the booking experience, optimize your pricing, and ensure better customer satisfaction through insurance suggestions, improved room service, and personalized guest experience. AI is just starting to reshape the hospitality industry, and the sooner you incorporate it into your business, the sooner you’ll see its effects.