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The Problem with Your App

Hospitality brands have struggled to fully leverage the power of their native apps to seamlessly deliver guest engagement and revenue. Here’s why and some solutions.
7/19/2022
person holding a mobile phone with app icons
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A common challenge in the hospitality industry is effectively leveraging modern technology in a way that elevates guest experience while also increasing revenues and operational efficiencies – and doing so in a way that doesn’t break the bank.

In a PwC survey about how the hospitality industry has adopted the Internet of Things, 70% of hospitality executives surveyed said that they have active IoT projects. These execs are mostly focused on operating more efficiently (53%), compared with 33% who seek to modernize their brand and add new, innovative capabilities. Overall, they expect IoT to improve customer experience, security, and asset management.

An excellent guest experience can start with the device they already have in their hands: their phone. Mobile phones are the most powerful computers around, and when a brand’s existing app is installed, the possibilities for boosting guest engagement and revenues are abundant. In hotels, guests can use the app to check in and open their rooms. They can order room service as well as food, beverage, and other amenities throughout the property. And, they can use the app to control nearly every aspect of the room, from the lights to the temperature to the curtains to the TV. 

Hospitality staff can benefit, too. An app equipped with the right software can provide powerful collaboration tools and task management capabilities.

The Struggle Is Real

Brands have struggled to fully leverage the power of their native apps to seamlessly deliver these types of services. There are several reasons why.

For one, many executives believe that there’s no getting around investing in expensive and time-consuming hardware upgrades, especially if their hospitality brand is located in an area with poor or no internet connectivity. In geographic areas where internet service is unreliable, hardware investments in additional servers to boost connectivity will  significantly increase development costs. Poor internet connectivity could lock guests out of loading their digital keys and prevent them from making additional purchases or taking advantage of amenities.

Second, although giving guests more control via their phones can improve their experience and satisfaction, that’s only the case if it is simple to understand and control. An app that’s inaccessible and difficult to operate creates friction for the guest which can cause a negative experience. Brands must be certain that their app offers guests an exceptional experience. Whether this is defined by ease of app use, perks, or overall enhancement of their stay through device connectivity, the benefits need to be clear and obvious.

Third, brands have had security concerns about enabling devices to talk to each other throughout a property. In the PwC survey, hospitality executives say trusted tech is a “top concern.” Thirty-seven percent of executives in the survey said they are extremely concerned about cybersecurity and the impact a trust issue might have on their brand or reputation. Without proper security, guests may accidentally be given access to devices in a neighboring room or may be especially prone to hackers. 

Finally and most importantly, hospitality brands have faced a low guest adoption rate for their apps. Guests are often reluctant to download another app on their device–an app that will take up storage space and potentially add more clutter–unless they perceive real value. Value for hospitality apps is often measured by convenience and perks, but these apps currently provide very little incentive to download. Allowing guests to use your app to communicate with hospitality staff (for example, late check-out requests or concierge services), control the room, order food and drinks anywhere on the property, and lock and unlock the room are all features that add value and enhance guest experience but are underutilized. 

Five Solutions to Consider

That being said, addressing each of these concerns is much simpler than many hospitality brands often think. And the benefits they can reap as a result are countless. Here’s how:

  1. Consider peer-to-peer software to address connectivity problems. Embedding real-time peer-to-peer technology into your company’s existing app allows connected devices throughout the property and the guest’s mobile device to talk directly to each other without heavy reliance on Wi-Fi. This gives guests the ability to control the IoT in their room such as TV and lights, place mobile orders, use their devices as room keys, and much more, even when their mobile phone is disconnected from the internet. No expensive network hardware or over-complicated third-party applications are necessary–it all happens within the brand’s native app, ensuring guests can enjoy a seamless customer experience from check-in to check-out. 
  2. Ensure your app is strict about safety and security. This same technology that can enable keyless room entry and control the IoT inside the room also can authenticate the guest’s device when they enter the room or are in range of it. IoT inside the room such as lights, TV, and thermostat can be programmed to communicate and take commands only from the “owner” of the room, or more specifically, the authenticated guest’s device. Thanks to strict authentication privileges and permissions that are wiped upon checkout, this ensures guests cannot enter other guests’ rooms or connect to devices in adjacent rooms. 
  3. Provide incentives for guests to download your native app. A 2020 study performed by award-winning technology provider Criton has shown that 80% of consumers are willing to download a hotel app to enable contactless experiences. That being said, to download a new app, guests must see added value to their hotel experience and see worthwhile incentives such as a high-value points system. This increases adoption rates and customer experience and provides brands with valuable data they can analyze to further increase guest satisfaction.
  4. Make it simple for guests to place orders, and this will improve their satisfaction and your ancillary revenues. When guests can use their own device to, within a tap or two, order drinks, meals, or even other goods, they’ll have a better experience, and your brand can increase revenues without having to answer more calls at the front desk.
  5. Think beyond guests, and empower hospitality staff with digital tools for job efficiency. Using the same technology that's embedded into an app for room control and mobile orders can also be repurposed for staff who might need to digitize their task management lists and collaborate with team members in real-time without reliance on a stable internet connection. Ultimately, real-time communication and digitization are powerful in helping staff maximize efficiency.

Upgrading your hospitality brand’s app with peer-to-peer technology not only can give guests a seamless and enjoyable experience and give staff powerful collaboration tools to do their jobs, but it can also enable data collection of guest preferences. This allows brands to become more precise about predicting customer behavior and needs, ultimately delivering a superior hotel experience for guests and an increase in market share. 

At the end of the day, differentiation and more market share come as a result of empowering guests with experiences that will surprise and delight them–and it can start with your brand’s existing app.

 

ABOUT THE AUTHOR

Adam Fish is CEO of Ditto, a cross-platform, real-time database that allows apps to sync with and without internet connectivity.

 

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