As digital transformation drives the hospitality industry, direct bookings have become a key battleground for hotels. Juanjo Rodríguez, founder and CEO of The Hotels Network, sat down with Florencia Cueto to discuss the evolution of direct sales, personalisation, and the role of artificial intelligence in enhancing the guest experience.
Takeaways
Direct sales: Hotels must continuously refine their direct booking channels to stay competitive. Simplifying the process and leveraging data are critical steps.
Simplicity: While trends like attribute-based selling are intriguing, they must align with customer needs for a straightforward booking experience.
Balance in personalisation: Effective personalisation helps guests make decisions effortlessly without overwhelming them with options.
AI‘s supporting role: AI can automate mundane tasks and enhance personalisation, allowing staff to focus on guest satisfaction.
The human touch: Even as technology advances, the value of human interaction in hospitality is irreplaceable.
The evolution of direct sales
When Juanjo founded The Hotels Network over a decade ago, his mission was clear: help hotels maximise their direct sales. This vision started with simple tools aimed at increasing website conversions. Today, the company’s portfolio has grown to include solutions for data analysis, personalisation, and exclusive offers for direct bookers.
“No hotelier will ever say they want fewer direct bookings,” Juanjo remarked. He pointed out that the pursuit of innovation arises from this widespread demand. Although online travel agencies (OTAs) continue to be important participants, hotels are becoming more aware of the advantages of managing their own customer relationships. Streamlining the booking process and staying at the forefront of digital developments are essential tactics for expansion.
Over the past decade, hotels have shifted from recognising the importance of direct bookings to mastering the art of achieving them. Juanjo has seen a consistent year-over-year increase in direct bookings from his clients, driven by streamlined processes and the ability to compete across all digital channels. He said that the focus should not be merely on competing with OTAs but on excelling across the broader digital ecosystem.
Attribute-based selling
Juanjo’s perspective on attribute-based selling—a method allowing customers to choose room features like view or layout—was pragmatic. While it promises increased average daily rates (ADR), he noted that it risks adding complexity to the booking process.
“The more decisions a traveller has to make, the more likely they are to abandon the process.” Simplicity is the defining trend of the modern booking experience. For attribute-based selling to succeed, it must enhance, not hinder, the customer’s journey.
“Personalisation isn’t about giving customers more choices; it’s about helping them find the right choice more easily” Juanjo Rodriguez.
Balancing of personalisation
Personalisation is a hot topic in hotels, but Juanjo noted the importance of balance. Effective personalisation should simplify decision-making and not overwhelm guests with options. Technology should work behind the scenes to present tailored solutions seamlessly. Some examples cited in the discussion were targeted offers and dynamic website content as ways to personalise the guest experience without adding complexity.
The role of artificial intelligence
Florencia shifted the conversation to artificial intelligence (AI) and its transformative potential in hospitality. As the industry becomes more understanding of ways AI can be implemented, Juanjo, like many others, sees AI as a tool to enhance, not replace, human interaction. This is clearly becoming the consensus of the industry. The Hotels Network uses AI to automate repetitive tasks, optimise processes, and personalise the guest journey.
Juanjo recognises Artificial intelligence’s significant promise, particularly in back office and operational functions. His example being the automation of routine tasks such as check-in, which enables employees to concentrate on enhancing customer service. Nevertheless, he does not believe robots will soon replace human interaction. Emphasising the unique contribution of a human receptionist remains unmatched.
A personal example he shared was KITT, an AI-powered virtual receptionist. KITT can handle calls and messages, assist with bookings, and answer common questions, making it invaluable during peak or off-hours. Juanjo highlighted KITT’s ability to speak multiple languages fluently, ensuring a consistent guest experience across diverse markets.
Conclusion
Juanjo’s perspectives closely match the prevailing beliefs and trends in the industry regarding how hoteliers can effectively navigate the challenges of the digital age. By focusing on simplicity, innovation, and the seamless combination of technology with human interaction, he offers a framework for success. Whether it’s about enhancing direct bookings, adopting AI, or achieving a balance between personalisation and user-friendliness, his methodology emphasizes prioritising the guest in every choice they make.
Watch the full episode here: (in Spanish)
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