2014 was a successful year for many hotel chains around the world. In fact, many major hotels chains have reported that their overall financial performance had increased incredibly in 2014. This has left people asking a simple, yet difficult question “How will 2015 be for the hotel industry?” Well, to be honest, no one can predict the future and it is difficult to figure out what 2015 is going to look like.
However, what is critical for people who have a thirst of knowledge is to examine all the data, and then hope that no event occurs which could possibly negate the keys to success in 2015. So, is 2015 going to be a bright year for the hotel industry? Yes, it will. This is mainly because many hotels are now aware of how to actually attract consumers who demand upscale luxury segments and travel leisure.
Additionally, there have also been major changes in consumer attitude and behavior. And facing these new patterns of consumer behavior, according to recent reports, the most successful hotels in 2015 will be those can efficiently engage their customers, clearly differentiate their offerings from other companies, and who offer transparent prices.
Changes in the Hotel Industry for 2015
More Internet Booking Engines
There are currently more than 1.6 billion people in the world who have access to the internet. According to recent studies, this forecast will increase by around 50% in 2015. Additionally, since the social media has taken the world by storm over the last couple of years, the hotel industry will be looking to embrace the world online and ensure they market their hotels through multiple channels.
As a result, this would mean that in 2015 there will be a significant increase in the world of internet booking engines. This would make it easier for people all around the world to book for rooms and other accommodations directly online. However, the increase in the number of internet booking engines may also present challenges for the hotel industry. This is mainly because these engines will be providing unlimited scope to consumers for price comparison and greater deals. Therefore, only the hotels that offer impressive pricing, deals, and discounts will make it to the top and increase their overall exposure. Having a powerful reservation engine software that guarantees stability, provides necessary hotelier functionality and end-user usability is crucial more than ever for hotel e-commerce managers.
Increase in Mobile Technology
We live in a world dominated by new technologies and advancements. Saying so, the use of technology will also need to be addressed by the hotel industry in 2015 to make the consumer’s journey an overall easy and exciting one. According to recent reports, hotels will be making more investment in mobile technology in 2015.
This is mainly because mobile technology is at the heart of consumer-brand interaction. And since most people usually access the internet through their smartphones, hotels will be required to create mobile optimized sites to increase opportunities for better promotion, communication, customization, and consumer loyalty.
Less Parity Rate
Everyone is perhaps aware of the recent news that spread about the renowned OTA, Booking.com. The OTA had been known to receive deals and competitive pricing that cannot be offered at other hotel websites and online travel agencies, due to parity rate policies. However, with constant pressure from the European Government, the OTA has been ordered to reduce or lighten its parity policy.
Although the news on how narrow the parity rate might be hasn’t yet been released, it is clear that the hotel industry may see a significant change in the parity rate system. Therefore, hotels in 2015 will be able to add their own pricing on their websites and offer as many deals as they want to.
The Game-Changer’s Agenda
To be ahead of the game in 2015 and the further years to come, hotels who are able to understand the requirements of new customers and provide exceptional deals will be the true game-changers. To be one of them, hotels must ensurethat they do whatever they can to respond creatively to the change in consumers trends and behavior. This brings about new rules in the game for the hotel industry.
Hotels in 2015 will be required to engage the employees with their brand and deliver consistent and exceptional quality standard of customer service around the globe. They will also be required to develop better integrated IT systems and shared services. Additionally, hotels must also give great importance to research and development to stay ahead of consumer’s desires and needs.
Moreover, since crime and theft rates are increasing significantly around the world, hotels must also invest in increasing overall security to ensure that they meet safeguards to protect their customers and the reputation of their brand. Recent reports even show that hotels may need to implement cost management systems driven by AI to review costs and free up working capital.
These are all new rules in the hotel industry that are essential for every hotel to follow. Otherwise, the year 2015 may not be so good for them. Nevertheless, by looking at the information above and the recent trends and forecasts, it can be said that 2015 will bring about a huge change in the hotel industry forever.