It goes without saying that cyber crimes have always been a challenge for various large industries since the introduction of computers.
For hotel cyber security, it will remain a great challenge in the future: new hacking techniques are adopted day by day, and it’s nearly impossible to predict and confront them all.
The recent research published by Research Gate shows that the appraised cost of cybercrimes will approximately reach $6 trillion per year on average after 2021.
This is why more and more organizations become concerned about their security level: they’re investing in improving their digital safety and boosting their resistance to hacking attacks and data breaches.
The hospitality industry is not an exception: hotel security systems are one of the main priorities to develop for providing maximum comfort for the guests and ensure their secure staying as well.
Today we’ll cover what hotel cyber security is, the main issues hotel cyber security counters with, and also the most popular information security tools it employs to enhance the safety of their data and systems.
The State Of Cybersecurity in Hospitality
First of all, cybersecurity refers to a specific plan targeted at a company’s data protection. Most hotels are now aware of the possibility of cyber attacks aimed at stealing the clients’ personal data, internal documents, or any other information.
A well-planned strategy of improving the hotel safety and security can, in fact, minimize the risks of being hacked, thus, ensuring the data won’t be used by fraud.
But what information hackers are usually haunting in hospitality? Basically, there are various data they can benefit from, including:
personal data of hotel’s guests
bank card information
employee data
critical business information, etc
McKinsey’s best-suggested practice to improve hotel cyber security is to build a unified, integrated cyber defense that can protect the entire hotel infrastructure.
The most productive way to get started is the cyber attack assumption, after that try to build an accurate and effective strategy of building the system resistance to all the weak points discovered.
The IT experts insist on implementing an integrated defense to improve hotel security, as it can cover the most common security threats and secure the infrastructure as well.
Tools to Solve Common Cybersecurity Issues in Hospitality
One of the most essential cybersecurity recommendations for hospitality is employing the best IT technologies to get the organizations secured from a variety of common threats.
These usually include different sorts of viruses, internal attackers aimed at getting the network access, hardware theft, spoofing, unauthorized insider access, unauthorized outside attacks, and service attacks as well.
In general, the most effective protection tools and techniques used for safety and security in hospitality industry include the following:
Intrusion Detection System
This technology analyses all the events that happened in the internal network or any other system to detect suspicious activities, intrusions, and attacks.
The so-called intrusion refers to the efforts used to target the system’s confidentiality, availability, or integrity, which can result in system errors and data loss.
Intrusion detection systems can inform about the following types of attacks:
Internet attacks (criminal connects to the system from the Internet or the outside networks)
Authorized attacks (users authorized in the system try to find the vulnerabilities to get access to the secured information or those who misuse and abuse the privileges to get the profit).
Physical Hotel Security
This point refers to keeping all the networking equipment and computer systems updated and secure. In practice, it means not only purchasing the new equipment but also setting up limited access to it for third parties.
Hotel System Firewalls
The powerful yet effective combination of soft and hardware equipment can assist in tracking the device traffic of different computer networks, which is a must for hotel cyber security.
A hardware firewall is a device that can be attached directly to the network, while the software firewall consists of the specific program files targeted at improving the hotel Internet security and is installed on devices (computers, phones, tablets, laptops, etc).
Encryption Procedure
One of the most popular measures that can prevent data breaches and minimize the entrance of most hacking attacks is encryption. Basically, that’s a process of transforming the information so it becomes impossible to get.
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For hotel security, encryption becomes a perfect method of ensuring data confidentiality, which is critical not only for the hotel’s management and service systems but also for the guests and visitors.
Biometrics
The technology of biometrics can greatly assist in the authorization procedures, as it benefits the user authentication systems and more. As a rule, the most popular biometrics systems record the physical characteristics of each individual and compare them each time during the authorization processes before providing full access to specific data stored in the system.
The main examples of the physical characteristics used for biometric technologies include voice recognition technologies, fingerprints, face, retina, or iris identifications. By implementing the biometrics form of authorization you can significantly enhance the hotel cyber security and ensure your users and the entire management system are fully protected.
Vulnerability Detecting Software
Last but not least software listed in the cybersecurity recommendations for hospitality is the vulnerability scanning software. Basically, that’s a specifically built software targeted at scanning your hotel’s systems and resources (both internal and for public use) and pointing at the possible vulnerabilities you should definitely pay attention to.
Furthermore, with the vulnerability detecting software, it becomes way easier to track the entire system performance and define which parts of the hotel security enhancement still need to be improved and what are the best practices for resolving these issues.
Access Limitations
To improve the hotel Internet security, it’s also essential to set up limited access to the critical or more vulnerable systems and resources.
By implementing the access control, you can significantly improve the authentication and authorization processes to ensure the access to the specific systems and resources will be available for a limited number of people.
Why is it so important? According to the Varonis Global Data Risk report, over 53% of companies have over 1000 sensitive files open to every employee. For hotel security, it means that after the employee password is known to the criminals, your system can be easily hacked by anyone and anytime.
Improving Cybersecurity: Protect Customers’ and Company’s Sensitive Data
According to the recent trends and effective measures to protect hotel safety and security, there are 3 key points of building the integrated cyber security infrastructure. Let’s now cover them in detail.
#1 Find Your Dedicated Team of Developers
The first step every company should start with is IT recruiting. A well-built team of IT developers can become one of the most effective ways of improving hotel Internet security.
Infrastructure groups need to always track the latest “trends and tendencies” in security, employ the most effective cyber tools and brainstorm some new ways of detecting the system’s weak points and how they can be resolved.
#2 Always Stay Focused on Security Improvement
Instead of paying a hard look only at the very first stages of security improvement, it’s critical to understand this process should be tracked permanently. So, it’s useless to make some changes to the hotel security procedures and exclude them from the priority tasks for the future.
However, organizations should create multiple scenarios to simulate the possible variants of cyberattacks for learning and practice. Furthermore, a clear understanding of each member’s responsibilities in crisis situations, as well as the plans of how to act in critical situations with the team members and public, can help to create a powerful strategy of defending the hotel Internet security.
#3 Use the Effective Security Tools
The experienced IT experts know that none of the security software, antiviruses, and other tools can ensure your hotel system is 100% secure from cyber attacks. Nevertheless, hospitality units still need to implement the most updated software and hardware for their data security.
In practice, that means dividing the process of improving the hotel cyber security into 3 phases: preparing and protection; defending and detection; responding and recovering. If one of these phases is omitted, your hotel security can become a tidbit for fraud and hackers.
Final Thoughts
To conclude, it’s almost impossible to predict the possible cyberattacks in hospitality and be 100% sure they won’t happen again.
However, with powerful solutions and effective security tools, your hotel can get ready for any sort of hacking threats and successfully confront the criminals.
We, at Intellectsoft, know about the importance of safety and security in the hospitality industry. Our dedicated team of developers empowers hospitality companies and their workforces with innovative solutions and approaches to ensure their successful performance online. Are you and your organization looking for some?
Talk to our best experts and find out more about hotel security solutions and how your business can start benefiting from them today!
The hospitality industry depends a lot on keeping customers happy, but it’s getting harder to attract and keep them. The pandemic hit this industry hard, and now market competition is tougher than ever, with competitive offerings swaying customers. Hospitality businesses are willing to spend big to win customers back. The main questions for many are: how can we stay ahead of the competition, keep our customers, and increase revenue? Keep reading—we’ve got some answers.
Customers today have so many options that getting their attention is a real challenge. It’s not easy to make them choose your business over others. What worked 10 years ago doesn’t work the same way now. Back then, people often chose businesses based on reputation. But with new types of businesses (boutique hotels, craft cafes) popping up or big enterprises getting a new strategy, expectations have changed. The good news is these businesses have shown what works: great customer service. They focus on personalizing the experience, making things easy for customers, offering loyalty programs, and using smart technology.
In this article, we’ll explore these tech strategies and show you how they can help your business grow, and double the revenue. Keep reading to learn more!
The Importance of Customer Satisfaction in the Hospitality Industry
Customer satisfaction, which equals exceptional customer experience, is the backbone of the hospitality industry. It plays a central role in driving revenue and loyalty, as satisfied customers are more likely to return and recommend a hotel, restaurant, or other hospitality business to others. In fact, a study by the Harvard Business Review found that a 1% increase in customer satisfaction can lead to a 0.5% increase in revenue. Moreover, loyal customers are more likely to forgive mistakes and continue doing business with a company, even if they experience a negative encounter.
Let's quickly review the challenges the hospitality industry is facing right now so we can move on to the solutions and our case studies.
Challenges in Hospitality
As businesses navigate the changes in the hospitality industry, there are some key areas where a little improvement can go a long way. From improving customer service to embracing digital transformation and tackling labor shortages, we’ll take a closer look at today’s biggest challenges—and, more importantly, how technology can step in to help. Let’s get started!
Poor Customer Service
Even with strong and high-quality business offerings, poor customer service can drive potential customers and existing customers away. Common issues include:
Long wait times in customer service queues (it is worth remembering that our attention spans 8 seconds, and we live in a very busy world, so quick and efficient responses are more important than ever.)
Poorly trained customer service representatives
Lack of follow-up
Services not being done properly or quickly
Recall issues that require multiple service calls
These problems can frustrate customers. But, at Intellectsoft, we believe that the right approach, combined with technology, can address them effectively.
Digital Transformation Gaps
Approximately 50% of hotels are adopting new technologies, with 43% automating repetitive tasks and 39% upgrading existing systems. Source: workstaff.app
While many businesses are adopting digital solutions, some still struggle with outdated systems and fragmented data. Legacy companies often face chaos when trying to manage their data and create new systems or add features.
Some of the recent examples include clients coming to us to create AI solutions for their services while their data simply was not ready for the advanced tasks. We advise stepping back, communicating with a company objective, and working on keeping the data clean (centralized, structured, and segmented).
When we’re asked to create advanced systems using AI, we always emphasize the importance of organized data. To train AI and build such complicated systems that truly work, you need to start from the very beginning—collecting, storing, centralizing, and organizing it. We encourage our clients to align all departments to work internally on the data so we can create a unified digital system that delivers personalized experiences.
If you’re unsure where to start with your data, we can help. Collecting feedback at various touchpoints along the customer journey is crucial for gaining insights into customer satisfaction and loyalty. Book an IT consultation with us, and our experts will guide you in mapping out a path to get more from your data and build a system that works for your business and team.
Reskilling Staff
The pandemic hit hard in early 2020, especially for the hospitality and travel industries. Even five years later, many businesses are still feeling the impact. Recruiting and retaining skilled staff has become a major challenge post-pandemic.
Reskilling to address technology’s impact is of utmost importance, as about 40% of hotel General Managers place it among their top three workforce challenges.
We strongly believe that adopting the right technology can help. For example, creating an app to train your staff not only saves time but also ensures consistency in learning. AI assistants can also work alongside your team, helping with tasks like recruitment (providing industry insights, crafting emails) and staff training. Imagine having an app dedicated to making your team’s work easier and more efficient!
How Technology Tackles These Challenges and Supports a Customer-Centric Hospitality Culture
Automation, AI, and similar technologies may threaten many. However, the debate about replacing humans isn’t about that—it’s about cooperation and working hand in hand with technology to achieve the highest standards and establish brand-new “golden standards.” Technology is here to assist staff in listening to and collecting customer insights from data.
Let’s review some of our cases to see examples of how technology helps improve customer experience and supports customer service.
Examples of Intellectsoft projects
Property management systems (PMS)
We created a web platform and mobile app that makes managing daily tasks easier and offers extra services to improve residents’ experience. It gives a clear overview of daily activities and helps with managing units and users. Residents can easily book amenities, submit service requests, and report incidents. The platform also includes features for equipment management, key instructions, workflows, and custom permissions. This makes it easier for staff to stay on top of equipment and ensure residents have all the information they need. Plus, tools like announcements, quick votes, a forum, and a community calendar help build a connected and engaged community.
Guest Experience Management App
Our next app helped our client improve their guest experience by replacing printed marketing materials and the need for phone calls with a smart solution. Now, guests can easily order in-room dining, make reservations, and interact with staff— through a simple tablet in their room. The solution includes three parts: a custom in-room tablet with a variety of services, an admin panel for hotel staff and service providers, and a backend system that connects everything together. This approach makes things easier for guests and staff, improving both convenience and efficiency.
Existing Customers First: Building Loyalty with Personalized Touchpoints
Keeping existing customers is not just a strategy; it’s well-known that retaining existing customers is more cost-effective than acquiring new ones. In fact, research shows that it costs five times more to acquire a new customer than to retain an existing one. KPMG named customer retention as the number one revenue driver for the company.
Moreover, a 5% increase in customer retention can lead to a 25% to 95% increase in profits, showing the significant impact loyal customers can have on a business’s bottom line. Retention strategies, like personalized experiences and loyalty programs, can foster long-term relationships and generate recurring revenue, ultimately making them an invaluable part of any business model.
Personalization: How Technology Can Help?
Everyone loves to feel special—it’s part of being human. In hospitality, personalization has evolved from being a luxury to an essential standard. With the right technology to manage your data effectively, you can deliver those “wow” moments that guests won’t forget.
More than half of hotel chains are already using personalization features on their websites, booking platforms, and apps, and another 39% are planning to follow suit soon. They’re tailoring experiences to fit guest preferences perfectly.
Source: Deloitte
How does technology make it happen?
CRM Systems: They help you keep track of guest preferences, booking history, and special requests so you can offer services tailored just for them.
Loyalty Programs: Personalized rewards and offers show your guests that you value them, keeping them coming back for more.
AI Personalization: AI analyzes guest data to predict what they’ll love (from room upgrades to local recommendations) before they even ask.
IoT Gadgets: Smart room features like voice-activated assistants, or temperature controls adjust to your guests’ preferences, making their stay more comfortable.
With tech-powered personalization, you’re building loyalty and maximizing the lifetime value of every customer.
Our Case Study: Smart Hotel Management & Loyalty Program
For one of our clients, we created a smart room solution, complete with a custom IoT system. Guests can use a mobile app to control services, explore amenities, and find resort information-- with a special touch to their suite type. For the client’s entertainment business, we improved their legacy software by running a full IT and code check, fixing issues, and making the system better for customers.
Along with that, we developed a mobile app for the loyalty program, allowing businesses to effortlessly reward their customers and keep them engaged with exclusive benefits.
Our solutions not only helped the client with special experiences for guests; it also improved operations, cutting costs by eliminating inefficiencies. Here's what our experts shared:
"We transitioned away from ESB (Enterprise Service Bus) systems, which previously cost millions, and replaced them with more efficient, self-managed solutions. Similarly, we’ve implemented Device Farms that improved operations and saved resources."
Leveraging Software to Increase Upsell Opportunities
Here are some examples of tech tactics that will help your team sell more and introduce new offerings to existing customers, improve overall efficiency leaving your team grateful:
Dynamic Pricing Algorithms
For finance and marketing teams, manually calculating pricing by segment to introduce your clients can be incredibly challenging. AI-powered tools can strongly optimize these strategies by analyzing your database in detail.
Upselling via Apps
Boosting revenue in the hospitality business often comes down to personalized experiences. Imagine this: a guest books a room, and then your app suggests a spa package or a room upgrade at just the right moment. Later, it nudges them to book a dinner reservation or a guided tour designed to their preferences. With apps offering these personalized recommendations during and after bookings, you’re not just increasing your revenue per guest but also skyrocketing their experience. And you do it in a sustainable way, not by speculating, but by offering what your customers desire based on their previous experiences. It’s a win-win: seamless, helpful, and far from pushy.
Inventory and Resource Management Software
Making every resource count in your hospitality business is key. Inventory and resource management software allows you to effortlessly track everything from linens to room availability, ensuring nothing goes to waste. Having real-time insights to reduce overstock, avoid shortages, and optimize operations assists sustainably keep everything under control and know what you need to focus more. It helps maximize room occupancy by aligning bookings with available resources, ensuring every room and item is used effectively. This approach leads to smarter management, better guest experiences, and a noticeable boost to your bottom line.
Adopting these strategies not only optimizes your operations but also drives business growth. Ready to discover how technology can elevate your goals? We’re here to create a tailored solution for you.
Steps For Implementing a Customer Service Technology Solution
Improving customer service in hospitality doesn’t have to be a daunting task. With the right technology, you can smooth the path of your operations, speed up response times, and elevate the overall guest experience. Here’s where you can make it happen:
1. Understand Your Needs
Start by identifying the challenges your business is facing. Are you struggling to manage high volumes of inquiries, track customer feedback, or personalize the guest experience? Pinpointing your needs will guide you to the best solutions.
2. Pick the Right Tools
Choose technology that aligns with your goals. Look for solutions that are scalable, easy to use, and integrate effortlessly with your current systems. Options like CRM software, live chat tools, or a guest experience app can make a difference.
3. Equip Your Team
Technology is only as effective as the people using it. Train your staff to make the most of the new tools, so they can deliver exceptional service and resolve issues quickly. Confident, well-equipped staff creates happy, loyal customers.
4. Keep Improving
Once implemented, monitor how well the solution works. Are response times improving? Are customers more satisfied? Regular evaluations will help you fine-tune your approach and keep things running harmoniously.
Some Tech Ideas for Hospitality Businesses
CRM Software: Manage customer interactions and preferences.
Guest Experience Apps: Delight guests with personalized experiences right at their fingertips.
Amenity Management Systems: Simplify operations for everything from room service to facility bookings.
Live Chat Tools: Offer instant support and answers.
Social Media Management Tools: Keep customer interactions engaging and organized.
Integrating these strategies will not only improve your customer service but also deliver unforgettable customer satisfaction, loyalty, and, ultimately, your bottom line. Ready to take the next step? Book a consultation with our experts.
Conclusion
To wrap up everything we've discussed, customer satisfaction and experience are at the heart of hospitality. Retaining customers is more than just keeping them around—building strong, long-lasting relationships and consistently meeting their evolving needs. By understanding their pain points and offering personalized solutions, you can inspire loyalty and drive progress. With the right technology and continuous improvement, your business can stay ahead, let go of what no longer serves you, and keep growing.
At Intellectsoft, with over 17 years of experience in software development, our expert team is ready to help. We create everything from mobile apps to full-fledged portals and systems, leveraging the latest technologies like AI, Cloud, and Machine Learning. With deep experience in the hospitality industry, we’re here to craft personalized solutions that bring your business unforgettable customer experience and retain your valuable clients.
Ready to double your revenue and level up your customer retention strategy with personalized technology? Contact our experts, and we look forward to working hand in hand with you to build or revitalize the perfect app or system for you.
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