As far as we can traced back, booking of hotels were never an easy task in the olden days. Travelers would have to be physically present at the hotel for booking, which is something that requires quite a lot of luck! Just picture a scenario of you carrying your bags of bulky luggage after a long and tiring journey, what you need at the moment is a nice warm bath and a comfortable bed to lie on. What make things worse is that you are not guaranteed of a hotel room! By a mere split minute of difference, the last available room may be occupied by the visitor in front of you!
Now directing the viewpoint to that of a business, imagine there are stacks and stacks of papers (including past book records) being locked up in a room under due diligence of the hotel’s. If unfavorable hazards such as fire were to happen, there is simply no other way to retrieve your records as no backup is being done for these documents. As the saying goes, “To err is human”, no man is infallible. Human errors are inevitable and are bound to happen in writing.
Thankfully, risk of these problems can be eliminated by the introduction of technology into businesses in the early 1990s. Hence, sourcing an accommodation for your business or vacation trips is never a hassle anymore! Within clicks through the internet, one is able to view and compare the amenities provided by each and every hotel, the room rates, the places of visit, etc.
So how does the kick-in of technology helps?
To elaborate, Information Communication Technology (ICT) serves a dominant importance in marketing and distribution, particularly in tourism, which is regarded as one of the largest and leading industry in the service sector of a country.
The emergence of ICTs also offers unprecedented opportunities for hospitality organizations by supporting the promotion of hotel services to a wide range of consumers around the world.
Not to forget, it penetrates at a fast pace allowing the flow of data communications by incorporating the hotel operation; reshaping the marketing function; improving total efficiency and enhancing customer services while providing strategic opportunities for the company at the same time.
Besides the internal operations, ICTs had also assists in managing external relationships between consumers and suppliers. As such, consumers can expect ICT-enabled communications and interactions before, during, and after their visit swiftly at their convenience. By employing a just-in-time (JIT) system, the firm can expect to gain numerous benefits on their side. Little or no storage space for the materials is required as they should arrive as and when you need them. This is a major advantage when the rental cost are on the high side. It also saves time and money by avoiding double handling of material. As such, by utilizing technology extensively, hotels will be able to perform their operations profitably. In other words, ICTs are increasingly recognized as a means of achieving competitive advantage for the hospitality industry.
Below are some features of how ICTs are incorporated into hotels:-
Managing internal operations
Property Management Systems (PMS) were established to aid the front office, sales, planning and operation functions by utilizing a Computer Reservation System (CRS) to manage a database with all reservations, rates, occupancy, and cancellations. PMSs and CRSs serve to facilitate the following business functions:
- Provide last room availability information
- Enhance handling of group bookings and frequent individual travelers.
Hotels and the Internet
The propagation of the Internet in the late 1990s and the revolution of technologies have also initiated a channel for marketing. It allowed hotels to set up their own websites which provides an avenue for them to display clear and detailed information, together with an array of photos of amenities and locations for consumers’ easy reference. The establishment of websites also facilitates online bookings.
Through this manner, hotels can reduce their distribution expenses considerably by expanding their e-commerce. As mentioned earlier, be it big or small hotels, hotel reservation software are now available in the market. It enacts as a system specially designed to help simplify and improve efficiency in the business processes. By having their personalized booking system, hotels can transfer their cost of outsourcing for a suitable reservation software and put it to some other more meaningful use such as on advertising so as to promote and increase their sales volume.
E-Hospitality
With the advanced development in technology, hotels are able to alliance with other businesses which is a process known as Business-to-business (B2B). It is a fast-growing business model which partners with large corporations to create a B2B environment and enhance electronic collaboration.
By using such ICT-enabled processes, they help to synchronize all departments and services via a centralized database system. Businesses are able to run their day-to-day operations more efficiently and at the same time, add value to the company at each individual stage of consumer interaction. This can be seen in the manner where records of customers’ data and preferences can be easily retrieved and traced back for the purpose of further analysis to research on their marketing consumers, their spending power, etc.
For instance, ctrip.com is a business-to-business transaction brokering eCommerce. It offers an all-in-one travel convenience from the booking of air flights, to your choice of accommodation, places of interest to visit, etc.
One distinguishing factor is that they provide a channel for visitors to voice feedbacks through a forum channel. This would in turn allow new visitors to interact and get a clearer picture of the common types of accommodation people are interested in and their favorite places of interest which could serve as a good and helpful reference to new visitors.
In addition, another enticing factor which gives them an edge over their competitors is that they came up with a feature called “Ctrip points”. The accumulation of such points offers an additional advantage, which can be used to redeem free flight tickets, hotel room nights, vacation packages and many other gifts. It serves as a win-win situation for both the hotels and consumers.
In conclusion, technology has not only bring its convenience to the enterprise level but also to the individual level. In fact, we are experiencing technology every day by tapping our ez-link cards at the card reader whenever we take the public transport. Although such technology has its shortcoming, its ability to capture data accurately and efficiently is enough to offset its deficiencies. “Change is the constant, the signal for rebirth, the egg of the phoenix”. Not to mention this evolution of technology is definitely a change for the better!
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