Data Analytics: Its Impact on the Hospitality Industry

by Tech Geekk writer

It has been for everyone to see that the world continues to generate staggering amounts of data with literally every passing second. So, it was only a matter of time before we figured out how to leverage this abundantly available resource for our benefit. Boy, did we not only work out how to put our data to use, we have also managed to put it to work to achieve a variety of goals. Be it improved customer service, better management, or business growth — thanks to tools such as data analytics, we have been able to do all that and more. Now, given just how potent tools such as data analytics have proven to be, industries across the entire spectrum have come to embrace it, including the hospitality sector.

The union of data analytics and the hospitality sector has proven to be particularly interesting, owing to the countless benefits and positive changes it has brought forth. Case in point, market segmentation; this sector, in particular, is highly dependent on the high-quality, precise organization of the market, target customers, etc. After all, they form the foundation of the success of hospitality companies. Data analytics has been able to help in this context, allowing hoteliers to achieve in-depth insights about their customers, and organize them into segments based on their spending, requirements, demands, etc. Another intriguing use hoteliers have found for data analytics is for driving product and service recommendations that are better primed to deliver improved business for the establishment.

These are, of course, only one of the many ways in which data analytics continues to transform the hospitality sector. Listed below are some other ways in which this technology-driven tool can contribute to this sector.

Inventory management: Running a hotel successfully also involves keeping a close eye on all the inventory across the property. Data analytics helps hoteliers do precisely that, by monitoring the supply chain, identifying trends and patterns in usage, etc. This helps hotels ensure perfect balance in inventory. Furthermore, it can also help the hotel manage its pricing strategies for different products and services much more effectively.
Pricing management: To offer competitive prices, a hotel must monitor demand in the market in real time. Data analytics enables hotels to do not only that but also run analysis on booking patterns and use the insights thus gleaned to help put together customized packages for customers.
Enhancing customer services: Together with other advanced tools such as AI-driven chatbots, hotels cannot only engage customers better but also gather valuable data about them, such as their requirements, preferences, etc. When combined with data analytics, this information can be used to better understand potential customers’ expectations and also how to serve them better.

The hospitality sector may seem very detached from the world of technology and the countless tools it has to offer, but the truth is that this sector is too becoming increasingly reliant on modern tools such as data analytics, artificial intelligence, machine learning, etc. Now, if you too wish to put your data to work for your business, we recommend you engage the services of a trusted data analytics company. Their expertise and services will help you get successfully started on the path to embracing data analytics.