When people hear ‘extension team,’ they often assume it’s just about hiring remote experts, handing them off to the client, and calling it a day. But that’s not how it works – at least, not when you do it right.
At Intellectsoft, we take a different approach. The team extension model isn’t just about filling positions; it’s about integrating top talent into your team and making sure they grow, contribute, and drive your business forward. And we’re here to break the myths and show you exactly how companies in the U.S. and Europe are using team extensions to their best advantage.
What Is a Team Extension?
The team extension allows businesses to bring in external specialists who work remotely but are fully integrated into their internal teams.
Unlike the dedicated team, where the external provider manages everything, the team extension model lets businesses stay in control while getting the extra expertise they need.
Let’s go over some quick Q&A to make it clear what a team extension is, how it benefits businesses, and why it’s different from what many people think.
How A Team Extension Works
Finding the Right Tech Talent – The company selects specialists based on the requirements of the project.
Joining the In-House Team – The hired experts become part of the company’s team and follow its processes and leadership.
Ongoing Support – The outsourcing provider, like Intellectsoft, takes care of payroll, HR, and admin tasks – but that’s not all. We also help specialists grow, guiding them as they move into new roles (we will provide examples later in the article.)
Closing the gaps – we are also engaged in optimizing processes so your engineers can focus on their work instead of spending time creating checklists and organizing workflows.
Where Is a Team Extension Most Effective?
The team extension model works best in industries that need niche expertise, flexibility, and the ability to grow quickly, such as:
Software Development Companies / Product Companies – Developers, DevOps engineers, QA specialists, and data scientists.
Healthcare & Fintech – IT specialists who understand strict regulations and make sure to comply with them.
E-commerce & Retail – Developers for online platforms.
Automotive & AI – Machine learning (ML) and embedded software engineers.
Hospitality & Entertainment – Tech teams for digital platforms (guest platforms, loyal programs, online entertainment business, many more)
This model is especially useful when companies need to cut expenses, but at the same time, there is a continuous need for innovation to win customers, tap into a new segment, etc.
It helps businesses find top experts faster, reduce hiring risks, and grow their teams without losing control over their work.
Unlike the dedicated team model, where an independent group of talents works separately, specialists in the team extension become part of your team and follow your processes.
Note: You can mix and match both models to get the best results.
Our Solution Architect, Alex Tyschenko, shared an example of how our client (under NDA) mixed both a team extension model and a dedicated team:
The biggest challenge was the time zone difference. The client realized that mixing different collaboration models would make things more efficient. Some team members were on the client’s side, while others were on ours. The client had three teams in total, each working across different time zones and cultures every day.
Key Benefits of A Team Extension Beyond Hiring
A team extension is not just about hiring – it offers many other advantages.
Our PM, Yuliia Bilyk, shared how this model benefits our clients:
The team extension model helps clients save time – one of their most valuable resources. One major challenge in hiring is that technical interviewers often spend over 50 hours recruiting a team. That’s time they could have spent on actual work, leading to wasted money and long hiring processes. We handle this process for our clients, taking the stress off their shoulders.
Key Benefits:
Save time and resources – Faster hiring and reduced workload for internal teams.
Access to highly specialized talent – Find experts in niche fields quickly, even those that are hard to find.
Reduce risks – Cut recruitment costs and reduce hiring risks.
Scale and stay flexible – Expand or reduce teams as needed.
Retain knowledge – Build long-term relationships with skilled professionals.
Transition Talents Without a Hassle – Grow specialists into higher positions and leadership roles if needed.
Maintain control – Keep direct management over external team members.
How We Support Professional Development
We make sure that our specialists maintain high quality and continue to grow professionally. If a client needs someone with additional skills, we take responsibility for training and upskilling them.
According to industry data, AI & ML specialists are among the hardest to recruit, with 22% of companies struggling to hire them. What makes us different is that we train our specialists for the most challenging roles and help them transition into similar positions.
Our PM, Yuliia Bilyk, shares an example:
We are currently helping a Python developer for our client transition into an MLOps specialist. This development is part of their personal growth plan. Another example is when a client wants to prepare someone for a Team Lead role – we provide training to improve their soft skills. We also make sure that our specialists continuously learn and improve, keeping them sharp and motivated. This takes another burden off the client.
How U.S. and European Companies Use A Team Extension Model
The team extension model helps businesses reduce hiring risks by ensuring they get highly qualified specialists, not random hires.
This is especially important for startups, which often lack structured hiring processes. We support them in rushing and constantly changing environments, where high employee turnover can be a challenge.
Create high-end software solutions for your company with Intellectsoft
Work with top experts – Our specialists have the technical expertise to add value to your business. They understand where you have gaps and will advise you on how to fill them properly while prioritizing solutions to make sure your system functions optimally.
Continuous training & development – We invest in our specialists' skills to keep them ahead. If you need to transition some experts into higher hierarchical roles, we will take care of it.
Strategic tech planning – We step in when external expertise is needed.
We make sure to provide you with experts who are proactive and independent.
Yuliia Bilyk shares an example:
For Deltager, we have four specialists working in a team extension model. They are not only part of the client’s team but also involved in strategic planning. When the client needed external expertise for a design audit, we stepped in to help. In the future, we also plan to assist them with their migration to Azure. Having a reliable outsourcing partner means access to technical knowledge and solutions that the company may not have in-house, reducing risks.
Best Practices for Maximizing the Value of A Team Extension
What Our Team Brings to the Table:
Technical expertise that adds extra value – Helping to prioritize. If you lack technical expertise, you may need someone to guide you on where to start, what should be done immediately, and what can be scheduled for later.
Result-Oriented Approach
Continuous Learning & Development
Leadership – We've got you covered if you’re looking for leaders in your tech projects. We train and develop our specialists to take on leadership roles.
How To Maximize The Value:
Team Integration – Make sure that the dedicated professionals are part of the core team. They receive the same requirements and are kept in the loop.
Communication & Collaboration Tools – Using the right platforms to allow straightforward communication and teamwork.
Our Solution Architect, Alex Tyschenko, shared:
Communication is the foundation. It is important to create mechanisms that facilitate straightforward collaboration. A well-defined process is the backbone of successful teamwork. Using Scrum and other Agile methodologies, clearly defining roles and responsibilities within the team, establishing a structured approach to resolving issues, and removing blockers are key elements of an effective workflow. A team needs strong leaders who oversee processes and drive communication. Without well-structured processes, interactions become chaotic.
Clear Goals & Expectations – Setting KPIs and performance metrics is important. Without them, it will be difficult to stay on track, leading to misalignment and chaos.
What to Look for in Outsourcing Partner
“When choosing an outsourcing partner, experience with similar projects and long-term client relationships is key. For example, one of our clients (under NDA) worked with multiple vendors before deciding to stay with us. We have been working with them for six years, which shows reliability and professionalism. It’s also a good idea to check reviews from other clients and see if they recommend the vendor.” – shared Yuliia.
Breaking the Myths About A Team Extension
Some people assume that a team extension means a company simply provides a specialist and then forgets about them. That’s not how we operate.
“We don’t just check in once a month to process payroll. We stay in constant contact with our specialists, gather feedback from both clients and our team, and actively help improve work processes. We also advise clients on how to make their teams more efficient. Our involvement runs deep, even within an extension setup.” – shared Yuliia.
Can A Team Extension Be a Strategic Advantage?
“Yes,” said Yuliia, “especially when a company doesn’t just provide people but also offers expertise.”
Having a reliable outsourcing partner brings technical knowledge and solutions that the company may not have in-house, lessening risks and skyrocketing capabilities.
What Makes a Great Specialist?
As Yuliia shared:
"The best specialists are proactive and independent (even being a team extension, these qualities are musts). They don’t just follow orders – they constantly add value. They suggest new technical solutions and improvements. Strong communication skills are also very important. Since all our clients are English-speaking, specialists must be open and comfortable working in an international team."
Challenges and How to Overcome Them
One of the main challenges in outsourcing overall is cultural and time zone differences. Here's how we address them. It starts at the very beginning; during the hiring process, we make sure that our professionals are well-prepared to work in a multinational environment and have strong communication skills. You can’t do anything without both of these for building strong, trusted relationships.
As Alex shared, processes play a central role in driving communication. The first step is to establish strong processes and assign capable leaders to oversee them.
Remember: Checklists don’t replace processes. A structured process is necessary. Checklists are just tools, but a strong process ensures everything runs well.
Key Factors for Effective Collaboration
Communication is the foundation – It's important to create mechanisms that improve interaction.
Clearly defined roles and responsibilities – Everyone should know their tasks and accountability.
Problem-solvingway – A structured approach to removing blockers and overcoming challenges.
Strong leadership – Teams need experienced leaders who oversee processes and drive communication.
Worth mentioning that without structured processes, collaboration becomes chaotic.
The Future of A Team Extension Team Model
Despite all attempts to bring team members back to the office, as economic uncertainties continue to grow, more companies will adopt remote and hybrid work models.
This shift means businesses will increasingly delegate work to outsourcing partners, helping them reduce costs and stay focused on core business processes.
Businesses will need to optimize expenses, and this is how dedicated teams can help:
Sourcing talent globally to find the best professionals.
Keeping operations lean by eliminating inefficiencies.
Removing unnecessary expenses and cutting out secondary costs.
Emerging Technologies
The need for experts in AI and ML is growing fast. Companies that want to stay ahead will benefit from a trusted outsourcing partner who can train specialists, improve their soft skills, and keep up with new technology trends.
From our experience with clients, businesses now look for more than just task execution – they need specialists who understand processes, spot gaps, and provide the right technical solutions to improve efficiency.
Conclusion
Outsourcing models like a team extension go beyond hiring – it’s a strategic approach that helps businesses scale, innovate, and optimize their operations.
Companies that rethink their workforce strategies and embrace dedicated teams as a long-term solution will gain a competitive edge in the market.
Start leveraging a team extension the right way to drive your business forward. Book a consultation with our experts.
No matter the size or specifics of your project, we can help shape your future workforce in a way that fits your needs. Simply share your ideal team requirements, and we’ll handle the rest.
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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