How can the hospitality businesses adapt to the new generation of guests? 

by | Apr 24, 2024

How can the hospitality businesses adapt to the new generation of guests? 

by | Apr 24, 2024

The demographics of hospitality consumers are changing; millennials, Gen Z and Gen Alpha are now a predominant audience. These new audiences bring new guest expectations, from digitalised experiences and convenience to social consciousness. While the hospitality industry is already experiencing a significant digital adaptation to improve guest experiences through digital solutions and software, there are still many more strategies that businesses can adopt to meet the new guest demands.

According to the co-founder of Puzzle Partner, Ivana Johnston, there is a demographic transition on demand, and it is crucial to understand how Gen Z can reshape the industry. Most millennials and Gen Z are tech-savvy, impacting technology investment decisions by hospitality businesses and, thereby, the industry’s future. The necessary transformations will enable enterprises not just to satisfy guests but also to profit in the long run.

What can hospitality offer new audiences?

  1. Digital hospitality solutions
  2. Mobile technology
  3. Authenticity and sustainability
  4. A positive online presence
  5. Diverse and inclusive services

Digital-savvy generations look for more unique experiences with tailor-made services that meet their specific needs, be it experiences, dining preferences or brand values. The modifications and updates will help hospitality businesses maintain a competitive edge while adapting to the evolving expectations of the generations.

1. Digital hospitality solutions

Integrating digital solutions such as Hospitality ERP or Property Management Systems (PMS) helps businesses manage reservations, check-ins and check-outs, overall property operations, and even confirm efficient room turnovers. Guest engagement modules and reservation systems help hotels and resorts manage guest preferences and enhance satisfaction by managing loyalty programmes or data-driven insights. Streamlined operations and personalised services will ensure a seamless guest experience that meets modern expectations, directly influencing repeat visits. Digital solutions can be great tools for hospitality businesses which are primarily customer-centric as they help ensure customer longevity and attract new clients through increased productivity. 

2. Mobile technology

Digital-savvy guests expect operational effectiveness, swift services and convenient transactions. One of the most significant benefits of leveraging mobile technology in the hospitality industry is its ability to provide tech-savvy audiences their preference. Mobile apps can be utilised for addressing guest concerns, maintaining efficient room services or receiving real-time feedback. Accessible mobile platforms help businesses stay in touch with guest needs in real time, identify the areas that require improvements and anticipate demands to provide tailored experiences that foster loyalty. With the increased tendency of Gen Zer’s to use smaller and portable devices, facilities such as digital keys, mobile wallets, and mobile concierge are also becoming crucial. Tablets, and other smart technology equipment can streamline day-to-day operations by enhancing convenience and personalising communication. 

3. Authenticity and sustainability

Both millennials and Gen Zer’s have become conscious about eco-friendly initiatives and locally sourced, ethical consumption. Utilising technology to implement systems that reduce energy consumption, material management solutions that manage resources and reduce wastage, and other smart solutions will contribute to making operations more sustainable. Sustainability and authenticity are vital standards for modern businesses, particularly when winning conscious consumers who prefers informed purchases. Prioritising sustainable operations contributes to a socially responsible brand—a substantial strategy to survive the competitive edge. Additionally, eco-friendly initiatives cut operational costs while enhancing the industry’s long-term viability. It is win-win situation in which businesses meet the guest demand for sustainability while also staying ahead the competition.

4. A positive online presence

From customer engagement to brand visibility or even competitor analysis, social media has become one of the most reliable platforms for insights. Direct interaction with customers or influencer marketing supports identifying the trends and generating content accordingly. Efficient communication between guests and companies advances brand awareness, boost visibility and helps a business stand out in the digital world. Consistent branding and content marketing that utilises correct SEO and an engaging social media presence will help businesses adapt and stay relevant in the digital landscape. Connecting with guests digitally allows hospitality brands reach a wider audience, show potential guests what the brand can offer and build effective guest relationships prior to bookings or reservations. Creating a welcoming ambience digitally is the first step to refining the first impression with the guests and thereby, encouraging trust. 

5. Diverse and inclusive services

Today, promoting all-inclusive services with customised experiences is one important brand strategy, for any industry. The hospitality industry is constantly required to adopt strategies to meet diverse audiences, be it enhancing inclusivity within the workforce or understanding specific guest needs. Multilingual interfaces, cultural app customisations, or providing analytics and insights to the business may help. Businesses in the industry can integrate diverse hiring programs to employee resource groups to increase cultural competence between the staff thereby reinforcing inclusive facilities. Using booking systems that track guest dining preferences, reservation modules that can record room accessibility needs or data management apps that help businesses optimise their offerings based on recorded insights can help businesses further promote inclusivity within their properties.

Understanding the new guest is the way forward

Meeting the evolving needs of an audience who shows high technology consumption requires significant digital adaptation. However, the new way of hospitality experiences expected by new audiences also demand social and cultural sensitivity and conscious, result-driven efforts that optimise service delivery beyond one-size-fits all.

Rajesh Yadev | IDS NEXT

Author

Tanya Girdhar John
Vice President – Marketing

An internationalist with a diverse background in marketing and supply chain management, Tanya currently serves as Vice President, Marketing at IDS Next Business Solutions. Tanya is responsible for all marketing and branding activities within IDS, including development and execution of marketing strategies and plans to help take the company to it’s next level.