14 Apr
2016

Why the Hospitality Industry Is Migrating to the Cloud

Hospitality businesses like hotels are experiencing explosive growth and a rising demand to upgrade to cloud-based solutions. According to the 2016 Lodging Technology Study, 31 percent are prioritizing migrating solutions to the cloud, and 56 percent are focusing on guest room technology upgrades.


A good example of a hospitality business moving to the cloud is
InterContinental Hotels Group (IHG) because of the growth it experienced after it relaunched its Holiday Inn brand. The chain was faced with purchasing and updating servers, building custom software and strategizing custom business processes. Instead, it looked to cloud-based solutions to handle its growth instead of building a technology company on the side.

The hospitality industry’s need to handle growth is just one motivator for adopting cloud technology. Another reason is the cloud enables businesses to offer highly customized services to their guests. Meanwhile, the technology driving the valuable customer service tools also provide detailed analytics that improve the hospitality industry’s bottom line. Here’s a look at what’s happening in cloud-based solutions for the hospitality industry.

High Tech Signage

Digital signage solutions are an important tool in the hospitality industry. They cater to conferences and business travelers, and now it’s the norm for venues to offer digital door signs and management systems for event rooms. Many hotels also offer digital room service options and can show visitors booked appointments and itineraries from a television or in-suite device.

Omni Hotels, for instance, provides digital room service with full pictures and descriptions of every meal. The company has seen success with delivering meals and allowing customers to pre-order for delivery at a later time. Its digital customer service options also enable guests to request the valet bring the car around or order new amenities for their rooms.

 

All-Inclusive POS

Restaurants are specifically vulnerable to gaps in service and revenue due to their ever-changing point of sale (POS) demands. Restaurants, hospitality partners and retailers alike can benefit from iPad POS upgrades. Restaurants can use this tool for more than placing orders and accepting stripe cards, chip cards and Apple Pay. iPad POS also enables business owners to manage their employees, customize reporting and get real-time sales figures.

iPad POS and similar systems also are more cost effective. Entrepreneur reports that when Bean Sprouts Café & Cooking School upgraded its POS from a traditional system, its estimated savings were nearly $10,000, which made a significant impact on the small business’ bottom line.

 

Deeper Analytics

Hospitality businesses offering cloud-based services to their customers, like social WiFi, can collect deeper analytics on their foot traffic and behavior. A survey by Devicescape found that businesses that provide free Wi-Fi to customers increased their foot traffic, time spent on premises and the amount of money customers spent. The analytics provided by the Wi-Fi service also show how often customers come into the establishment, what they order and how long they stay. Businesses can use that information to customize offerings and help drive further growth and sales.

 

 

 

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