Chatbot technology has gained popularity across the hospitality industry. However, some owners of these hospitality industries are still unaware of what chatbots can do and what role it plays to help customers. To get an understanding of what a chatbot does for the hospitality industry, let’s dig a little deeper.

How are Chatbots utilized in hospitality industry?

Chatbots and their use in hospitality industry

A chatbot is a form of digital technology that can perceive and respond accurately to human interactions and be deployed on behalf of a hotel or any other business in the hospitality industry. The chatbot is designed to mimic meaningful interactions a customer might have with an actual employee. The chatbot will be used as a digital customer service agent, responding to queries and solving customer questions.

Types of Chatbots:

The chatbot works by understanding customer queries and provides them answers related to their questions. Chatbots are broadly divided into two types:

1. Rule-Based Chatbots

As the name suggests, these chatbots work on the basic principle. A well-defined code is fed to them, and they interact with customers in the same sense. Here we cannot modify the working pattern, and it is a type of chatbot where buttons are displayed on the screen, and the user has to feed data into it to use it. So this is somehow inconvenient to customers who are not used to asking questions by providing them.

2. AI Based Chatbots

It is the advanced alternative of rule-based chatbots for the hospitality industry. Here chatbots are much more interactive than they are in their rule-based form. Here customers can talk to these chat boxes, and virtually, without touching the chatbot, they can ask their queries. These chatbots can understand customer needs by interpreting specific keywords that the customer speaks to; it analyses the questions and responds accordingly. It is the best version of a chatbot as here a customer can have an experience as if he is talking to one of the staff members.

How Chatbots help in Multiplying revenue in Hospitality industry ?

chatbots help in increasing revenue in hospitality industry

1. 24X7 Customer Service

Customer service is one of the vital services looked at with high expectations. So a chatbot has that much efficiency that it can work 24X7 without any difficulty. This means customers can receive a timely reply, regardless of the time of day, even when you might not have customer service staff to handle them personally.

2. Boost Direct Bookings services

For those working in the hospitality industry, expansion of direct bookings is a top priority. Here, a chatbot for the hospitality industry plays a crucial role. It can address multiple calls and speed up the conversion process, and try to answer as soon as possible once the customer is satisfied and makes direct bookings. This saves the money of the hospitality industry, as now they have not to pay commissions to the middle man.

3. Multiple language support

The hospitality industry deals with customers worldwide; thus, interacting in different languages at customers’ convenience is beneficial for business. Whether you are using a rule-based or AI-based chatbot, you will get the option of multilingual in both. With AI chatbots, this process speeds up as the AI helps understand customers’ language and try to solve all queries.

4. A More Efficient Customer Experience

In addition to providing 24X7 availability for online customer contact service, chatbots also can enhance the overall performance of the in-person customer experience. Using a mobile app and chatbot technology makes it possible to keep track of all check-ins and check outs; thus, there is no need to visit the hotel reception desk, eliminating waiting times. Moreover, no human resources are needed for these types of works.

5. Reduced Burden on Customer Service Staff

There is plenty of work in the hospitality department; thus, it becomes a tiring and hectic job for customer service staff. A chatbot can mitigate this work pressure by providing fast responses, reducing backlogs, and sorting many of the most common or straightforward customer service requests, leaving staff to handle trickier cases.

6. Follow Up With Your Guests

Hotels frequently see the value of following up with guests after they have checked out to receive their feedback and review related to their stay. These reviews help in marketing the services of the hospitality industry. Chatbots are ideal for these cases. They reach out to guests worldwide through various channels, learn about what customers like and what customers did not enjoy, and keep the record in the database. This data is further used in improving the facilities in the hospitality service.

Future of a Chatbot in the hospitality industry

future of chatbots

As chatbot technology keeps developing, AI-based chatbots will probably be utilized in many client touchpoints. This could imply that chatbots will be deployed on hospitality services via websites, media stages, cell phone applications, and different electronic gadgets.

While rule-based chatbots will probably stay legitimate for years to come, the benefits of AI-based chatbots are certain. As this innovation becomes simpler to work with and more affordable to carry out later, it will be visible that chatbots have taken away many services from the hospitality industry. In the upcoming days, it will maximize the efficiency of these services.

 As audio recognition technology grows in the market and users become more comfortable using voice assistant applications, chatbots are likely to evolve more than any of those text-based assistants. In the future, one of the significant developments is expected to be improved language translation through voice recognition, allowing anyone, anywhere in the world, to communicate with a chatbot verbally, be understood, and receive a reply in the language they used.

 

Why is ChatBot important for the hospitality industry?

Chatbot technology has evolved rapidly and forms a crucial part of many hotels’ marketing and customer service strategies. However, it is still unfamiliar to many hotel owners, and the process of adopting chatbot technology can seem daunting, especially given the abundance of chatbot products available. But once these owners start to rely upon chatbot work and services, they can grow their business with many paces.

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