Hotels must speed up the shift to tech-enabled practices to remain relevant in a diluted market, a new report has revealed.

In the wake of a challenging global travel landscape, new market entrants, and the rise of online intermediaries, hotels face a new reality in which the brands that will survive will be the ones that can attract and anticipate the multi-faceted needs of the increasingly discerning and digitally native new traveller looking for unique and authentic experiences, according to a new report from Grant Thornton UAE, which was launched on the first day of the Arabian Hotels Investment Conference in Ras Al Khaimah, UAE.

The report, 'Hotel Re-Generate: Mega Trends Impacting Hotels', considers how hoteliers in the UAE can generate new business and grow their existing market in this age of tech-disruption, shifting socio dynamics and evolving guest preferences.

Online and mobile transactions are taking a larger share of the travel market, particularly given the demographics of the region in which 40 per cent of the population is under 25, and with the UAE, a country where mobile phone penetration at 228 per cent, is expected to launch game-changing 5G technology in 2018. Laggard organisations who fail to be a part of the digital movement online will experience the loss of essential user-behaviour based data which will be key to driving strategy.

Eighty six per cent of travellers now view personalised offers as central to their decision making when making a purchase. The deployment of smart technologies such as artificial intelligence to analyse a guest’s profile, past buying behaviour and social media preferences to make customised offers presents hotels with the means to drive mass-personalisation and unlock new revenue generation potential.

Possessing the necessary data together with investing in the right tools and technology could reward hoteliers with increased revenue of as much as 6 per cent.

Hisham Farouk, CEO and Global Board Member at Grant Thornton UAE, said: “In the future, hotels will no longer be viewed as just accommodation providers. The modern traveller expects more, and will be attracted by a holistic set of solutions and bespoke packages. Hotels must leverage cutting edge technology to ensure every guest interaction is personalised and meaningful.” - TradeArabia News Service