Quadriga Blog How hoteliers can benefit from the digital revolution

Source: BBC.co.uk

As I mentioned last month, we recently commissioned some independent research into the habits of UK business travellers and it seems that as many as 68% of respondents do little more than work, sleep and channel hop in their rooms.

This got me thinking, surely this reinforces for hoteliers what a great opportunity they have to promote facilities to this captive audience, who are already spending a significant amount of time using the in-room TV.  The summer of sport  for example, provides a great platform for hoteliers to run themed promotions around key events, via the in-room TV, to entice guests to experience other services within the hotel.

Imagine if you could provide information on where the Tour de France or Golf Open is showing in the hotel, flag up a special offer on golf lessons, or highlight a ‘Taste of France’ dining promotion, via the TV.  By using the TV to effectively market these leisure and restaurant facilities, hoteliers can create additional revenues. In parallel with this, they also engage and improve communication with their guests. 

It’s certainly food for thought!

I recently read an article by Richard Kastelein discussing why he feels that social TV was born to be in the hotel industry. The piece outlines how technology is a great way to get guests interacting with each other potentially asking other guests for recommendations or suggestions of things to do in the hotel or local area, via a hotel social network. And I would have to agree with Richard.

Over the past 10 years, we have seen the role of the in-room TV evolve from being just a box through which to watch movies and listen to the radio, to a means of pushing information about hotel services and facilities to guests downloading content and providing an alternative revenue stream. Indeed, we are already working with a number of hotels to enable them to offer this enhanced level of service, via our guest communications portal, Sensiq.

For the lucrative 25-45 age group that hotels are targeting, technology is no longer a luxury but a necessity and when staying in a hotel, they expect that little bit extra. With social networking very much on the rise among this age group, as a way of interacting, sharing and recommending anything from the best bars to the latest films, transferring this capability to the hotel rooms seems to be a logical step forward.

And I think there are potential benefits of this type of application to hoteliers. Not only would hotels be providing guests with superior services and social TV content, but they potentially have the opportunity to build demographic profiles (subject to the usual data protection legislation) that could complement data from their loyalty schemes, providing more opportunities to increase guest satisfaction and revenues.

But hey that is just my opinion, and I would be interested to hear your views, and experiences, of social TV. Feel free to comment below.

It’s been an exciting few months at Quadriga, as we enter a new age for hotel and guest communications.  With both guests and hotels expecting more, at Quadriga we are dedicated to creating communications solutions focussed on delivering the ultimate guest experience.

We have explored new ways to deliver business value for our customers and to help them to differentiate themselves from the competition.  This has culminated in the delivery of Sensiq, which we believe is at the forefront of hotel and guest communications, capable of evolving with the needs of tomorrow’s hotel and its guests.

This is underpinned by 25 years experience and a world-class service and support infrastructure which our hotel customers count on us to provide, to give them the confidence they need.

As part of this evolution of our brand and service offering, we have unveiled a new look for Quadriga this week, as we continue to support and add real business value for our hotel partners.

To ensure we keep our finger firmly on the pulse of the needs of today’s hotel guest, we recently commissioned some independent research into the habits of 1,000 UK business travellers – which threw up some interesting findings.

One of the statistics that stood out was that 86% of business travellers would prefer to spend the night in a hotel rather than at home, before an early meeting. More valued “me” time and the ability to work without distractions were the key reasons for this choice.

This is a huge percentage and reaffirms the place of the hotel as not only a place to get away from it all, but to work efficiently. Indeed, we are seeing our hotel customers place growing importance on technology and in-room communications to provide the ultimate guest experience and to potentially develop new revenue streams.

Watch this space for more results!

While doing my regular internet trawl, I came across a press release by InterContinental Hotels & Resorts about how it will be embracing the iPad. InterContinental is trialling the device with concierge teams in selected hotels, with the aim of enhancing the level of advice they offer guests. The iPad will be used to provide interactive maps and directions, video recommendations and instant booking confirmations.  If the trials prove successful, the iPad will be rolled out globally.

I personally think this is a great idea. It is a perfect example of a hotel that isn’t afraid to explore new technology in a bid to create the ultimate guest experience and ultimately deliver business value.

But, can hotels replicate that experience in the room – for jetlagged guests that might be looking for information during the small hours, or when the concierge desk is busy? Guests demand and deserve the same quality of service, no matter whether the delivery mechanism is personal or digital.

US consumers queue to buy the iPad

 Apple’s iPad recently went on sale in the US and, to no great surprise, was met by rapturous excitement by consumers. Whether you are an Apple fan or not, it is difficult to argue that the launch of this product isn’t a big step forward with regards to portable personal media devices. My motto is that the best technologies are the ones that are easy to use and accessible, and the iPad certainly fits the bill.

From a hotelier’s perspective though, how will the launch of this new device impact internet service revenues?

The internet and viewing experience provided by the iPad will be of a much higher quality than other gadgets on the market. As such guests will expect hotels to provide a standard of internet connection that will support the device and enable them to use it as they would at home. The problem is, if hotels continue to provide the internet for free, devices like this will make it more and more difficult for them to carry the cost and provide a good experience to all guests, driving the need for even more bandwidth.

If consumers expect the internet for free and hotels are still feeling the knock-on effect from the tough economic climate, the real question is; who will pay for this increased bandwidth?

My colleague Roy Higgins, regional sales manager for the UK and Ireland, attended this year’s HOSTEC Europe and talks us through his highlights from the event:

It was a great event. Not only did I get the chance to show off Sensiq to the attendees, but I also got to catch up with some old acquaintances.

The main talk of the show was the need for hotels to put the “wow factor” back into their offering and many are planning to do this through the use of technology. The stands of LCD television suppliers were particularly popular, and most GMs and hotel operators seem to think that ‘bigger is better’.

Just 3 years ago it was common for hotels to have a 20 or 23 inch LCD in a room. Fast forward to now, and you’d be hard pushed to find a screen less than 26 inches, and that is in a budget hotel. Five star hotels used to specify 32 inch LCDs now they want anything from 32-44 inches.

Most homes now have the latest LCD, HD-ready technology sitting pride of place in the living room. And with guests expecting hotels to have, at the bare minimum, the same technology as they have at home, it is good to see the industry responding to these evolving needs.

Roy Higgins, regional sales manager for the UK and Ireland at Quadriga.

I have some exciting news – two hotels in the UK, Doubletree by Hilton, Bristol South, Cadbury House and Ramada Encore London West – have become the first to install our new communications portal, Sensiq.

Rather than just blowing our own trumpet, I asked the hotels’ general managers for their thoughts:

Mark Hands, group general manager at Doubletree by Hilton Cadbury House, says: “What differentiates us from our competitors is the attention to the detail and added benefits we give our guests. As the premier hotel in the region, we aim to give our guests a unique experience when they stay with us, and Sensiq enables us to offer a much more personalised internet and TV service. We’re also keen to capitalise on the unique promotional tools within the portal to encourage guests to use the on-site spa and leisure club facilities, which will help drive additional revenues.”

Ronald Little, general manager at the Ramada Encore London West, adds: “Guests are used to having the latest technology at their fingertips at home and in the office, and quite rightly expect hotels to keep pace. Sensiq offers them a huge selection of content and a highly intuitive browser-based interface to enable them to quickly and easily access the information and entertainment they are looking for. All in all, it really has ‘wow’ factor.”

It’s a pleasure to work in partnership with these hotels on the very first Sensiq installations, and I look forward to working together with them into the future.

Last month I had a very interesting chat with Adam Kirby, associate editor at Hotels Magazine. We mainly discussed the state of the industry and the issues effecting hotels both in Europe and the United States.   

We discussed some of the main challenges facing hotels in keeping up with guest’s technology expectations and some possible solutions for these:

• Can hotels really deliver a ‘home from home’ experience?

With the ever-increasing speed of technology change – and the subsequent costs incurred to respond to these changes – is it realistic for hotels to achieve the ‘home from home’ guest experience? Hotels have always wanted to be better than home and to respond to evolving guest expectations and behavior, but can they afford to update their in-room technology on an on-going basis – especially considering the current economic conditions?

• How do hotels meet the expectation of free internet?

Laptop and broadband access is a must-have for business travellers and there is a growing expectation that basic internet access should be for free.  Hoteliers need to consider investing in fibre networks or optimise their current lines and achieve better bandwidth management.

• Technology that works

Guests want to have a wider choice of more relevant content, including access to HD entertainment and an intuitive and easy way of accessing it.  Hotels are keen to deliver this, but they need to feel confident that the technology works and is robust and reliable.

We are working with our customers to try to address these challenges. Above all, hoteliers need to feel confident that their supplier is taking care of their investment and understands their business needs and objectives.  It isn’t about providing the latest ‘wow’ technology – it’s about understanding how to use technology to enable hotels to deliver a differentiated guest experience in a manner that makes commercial sense.

If you have a spare five minutes I would recommend looking at Adam’s blog, he raises some really interesting points.

We’ve just released details of the most watched films and listened to albums of 2009 in 200,000 hotel rooms across Europe, and it makes for interesting reading…

The top ten watched movies through Quadriga’s Genesis internet and entertainment platform in 2009 were:

1. Madagascar Escape 2 Africa
2. Quantum of Solace
3. Angels & Demons
4. Yes Man
5. Bolt
6. The Hangover
7. Tropic Thunder
8. Monsters Vs. Aliens
9. Kung Fu Panda
10. Bride Wars

And the top ten listened to audio albums through Quadriga’s Genesis platform in 2009 were:

1. Beyonce, I Am Sasha Fierce
2. Kings of Leon, Only By The Night
3. Mariah Carey, The Ballads
4. Radio 1’s Live Lounge
5. Pink, Funhouse
6. Michael Jackson, Dangerous
7. Roxette, 20 Greatest Songs
8. Coldplay, Parachutes
9. R&B Love Songs 2008
10. 100 Piano Classics

Comedy and animation certainly seem to be the overriding criteria for business travellers when they choose a film, with action thrillers coming a close second. When it comes to music, the divas are leading the way with a bit of rock thrown in for good measure.

I’m not much of a cartoon fan myself to be honest, but Quantum of Solace tops the list of my favourite films of 2009, alongside Star Trek.