Success story of
a Hospitality client

Revitalising hospitality excellence: harnessing AI for enhanced operations and guest experiences

About our Customer

Our valued customer is a leading player in the hospitality industry, renowned for operating a collection of luxury hotels and resorts spanning various destinations across the globe. With a strong commitment to delivering exceptional guest experiences, our customer sought innovative solutions to further enhance their operations and guest interactions.

Challenge

Before implementing the digital solution with integrated AI, the hospitality client faced significant challenges in the following areas:
Limited pricing intelligence and revenue optimization: The client struggled to effectively price their offerings based on market demand and competitor rates, leading to missed revenue opportunities and potential underselling
Inefficient workforce management and resource allocation: Manual scheduling processes and inefficient resource allocation resulted in suboptimal staffing levels, increased labor costs, and operational inefficiencies
Generic experiences and limited engagement: The client struggled to deliver personalized guest experiences and engage with guests on an individual level, hindering client satisfaction and loyalty

The Solution

To address the challenges and achieve the outlined objectives, Korecent's digital solution with integrated AI brought forth a comprehensive and transformative approach for the hospitality client. Leveraging advanced AI algorithms and data analytics, the solution encompassed the following key components:

Intelligent demand-based pricing

The solution utilized AI-driven demand-based pricing strategies. By analyzing real-time demand patterns, competitor pricing, and market trends, the AI algorithms automatically adjusted pricing to optimize revenue. This dynamic pricing approach ensured that room rates reflected current demand, resulting in improved revenue per available room (RevPAR) and increased profitability.

i. Real-time market monitoring

The solution continuously monitored market conditions, competitor rates, and other relevant factors in real-time. By analyzing this data, the AI algorithms identified trends, demand patterns, and fluctuations that could impact pricing decisions. This real-time market monitoring enabled the hospitality client to stay agile and responsive to market changes, ensuring optimal pricing at all times.

ii. Dynamic pricing adjustments

Based on the insights gathered from real-time market monitoring, the AI algorithms automatically made dynamic pricing adjustments. This allowed the hospitality client to optimize room rates based on supply and demand dynamics, maximizing revenue during peak periods and driving occupancy during slower periods. The solution took into account factors such as historical data, booking pace, seasonality, and guest preferences to determine optimal pricing strategies.

iii. Personalized pricing

The intelligent demand-based pricing component enabled personalized pricing strategies for individual guests. By leveraging guest data, including past booking history, loyalty status, and preferences, the solution tailored pricing recommendations to each guest. This personalized pricing approach enhanced guest satisfaction, increased conversion rates, and fostered guest loyalty.

Workforce management and resource allocation

The solution's workforce management and resource allocation capabilities brought significant enhancements to the hospitality client's operations. By leveraging AI algorithms and real-time data analysis, the solution optimized workforce scheduling, improved staff productivity, and ensured efficient resource allocation.

i. Optimal staffing levels

The solution utilized AI-driven workforce analytics to determine optimal staffing levels based on historical data, guest demand patterns, and seasonality. By considering factors such as occupancy rates, event schedules, and service requirements, the AI algorithms generated optimized staff schedules that aligned with fluctuating demand. This approach ensured adequate coverage during peak periods, reduced overstaffing during low-demand periods, and minimized labor costs.

ii. Real-time staffing adjustments

Based on real-time data and guest demand insights, the solution facilitated real-time staffing adjustments. The AI algorithms analyzed current occupancy, guest check-ins, and service demands to identify staffing gaps or surpluses. This allowed the hospitality client to make on-the-spot adjustments to staff assignments, ensuring efficient service delivery and reducing guest wait times.

iii. Skill-based resource allocation

The solution incorporated skills-based scheduling capabilities, taking into account the specific skill sets and expertise of each staff member. By matching staff skills with service requirements, the AI algorithms optimized staff assignments and ensured that guests received personalized and specialized service. This approach enhanced guest satisfaction and improved operational efficiency by utilizing staff expertise effectively.

iv. Resource optimization

In addition to workforce management, the solution optimized the allocation of other resources, such as equipment, supplies, and amenities. By analyzing data on resource usage, demand patterns, and service requirements, the AI algorithms determined the optimal allocation of resources. This eliminated waste, reduced costs, and improved overall operational efficiency.

v. Staff performance monitoring

The solution included staff performance monitoring capabilities to assess individual performance and productivity. Through AI-powered analytics, the solution tracked key performance indicators (KPIs), such as response times, service quality, and guest satisfaction ratings. This data provided valuable insights for performance evaluation, training needs identification, and staff recognition programs, resulting in improved staff performance and guest experiences.

vi. Shift planning and break management

The solution automated shift planning and break management processes. By considering labor laws, contractual requirements, and staff preferences, the AI algorithms generated optimized shift schedules and break rotations. This reduced scheduling conflicts, ensured compliance, and improved staff satisfaction.

vii. Predictive staffing needs

The solution employed predictive analytics to forecast staffing needs based on historical data, booking patterns, and special events. By leveraging these insights, the AI algorithms proactively identified staffing requirements for future periods, allowing the hospitality client to plan and allocate resources in advance. This minimized last-minute staffing challenges and improved operational preparedness.

Personalized experiences and increased guest engagement

The implementation of personalized experiences and increased guest engagement through AI-powered solutions marked a transformative shift in how the hospitality client interacted with their guests. By leveraging cutting-edge AI algorithms and data analytics, the solution took guest experiences to new heights, fostering stronger connections, and cultivating lasting guest loyalty.

i. Personalized recommendations and offers

The solution analyzed vast amounts of guest data, including preferences, past stay history, and interactions with the brand. By understanding each guest's unique preferences, the AI algorithms provided personalized recommendations and tailored offers. Whether it was suggesting room upgrades, spa treatments, or restaurant reservations, the solution ensured that every guest felt valued and catered to on an individual level.

ii. Contextual Communication

To enhance guest engagement, the solution implemented contextual communication channels. By leveraging real-time data, the AI algorithms sent timely and relevant messages to guests throughout their stay. From welcome messages upon check-in to follow-up texts after guest interactions, the solution fostered personalized and attentive communication that resonated with guests and left a lasting impression.

iii. Loyalty Recognition

The solution integrated with the hospitality client's loyalty program, capturing member preferences and loyalty status. this integration allowed the AI algorithms to recognize loyal guests and reward them with personalized perks and special offers. The recognition of loyalty not only strengthened guest engagement but also incentivized repeat bookings and brand advocacy.

The Achievements

KoreCent's integrated AI solution delivered exceptional outcomes for the hospitality client, including:

Revenue optimization: Dynamic pricing strategies boosted revenue during peak periods and attracted guests during low-demand times, increasing overall profitability upto 20%

Efficient operations: AI-powered workforce management reduced labor costs from 15% and optimized resource allocation, enhancing operational efficiency

Personalized guest experiences: Tailored recommendations, virtual concierge services, and personalized amenities elevated guest satisfaction and loyalty by 20%

Data-driven decisions: Real-time analytics provided valuable insights, enabling data-driven decisions and continuous service improvement

Enhanced competitiveness: Industry recognition and improved competitiveness cemented the client's leadership in the hospitality sector

Future-ready: Scalable solutions ensured sustainable growth and readiness for future challenges