Transformation of Traditional Service Delivery
The use of Artificial intelligence(AI) has been widely adopted in the service industry as technologies continue to advance. With regards to service quality, companies in the service sectors such as hospitality and tourism started to incorporate the usage of AI to create value-added customer services and boost business operational efficiency. (Prentice, Catherine, Sergio Dominique Lopes, and Xuequn Wang., 2020) AI is run by machines such as chatbots, robots, using deep learning algorithms to interact with consumers and carry out human tasks. (Roy, Prithvi, Badrinarayan Srirangam Ramaprasad, Manan Chakraborty, Nandan Prabhu, and Shreelatha Rao., 2020) There are four bits of intelligence that were taken into account for the machines to carry out their tasks and communicate with consumers - mechanical(daily routine), analytical(data-based), intuitive(understanding), and empathetic(experience), which may be evaluated ordinally and parallel. Literature showed that certain Human Intelligence(HIs), like the intuitive and empathetic ones, are harder to simulate by AI. As AI continues to emerge into the labour force, this has resulted in a loss of jobs in the human service force. This transition stage is also known as augmentation. According to Huang and Rust, although AI is capable of taking over all of the human service tasks, it should be just bringing convenience and value-added services for the consumers in terms of problem-solving and communication. However, it is still dependent on the nature of business, whether AI job replacement should be adopted as a firm strategic decision.
According to a commentary by CNA, the rising trends of using AI in the hotel industry offer robust services to create memorable experiences for the guests. For example, Hilton Hotels & Resorts uses AI, Connie to greet the guests in various languages upon arrival at the hotel. (Fetterling, Jessie., 2016)
With the sudden outbreak of COVID-19, hoteliers are expected to redesign the customer experience to ensure safety measures such as social distancing, hygiene and cleanliness are taken care of during their stay. Unlike the traditional front desk duties, technology and digital innovations have been implemented for self-check-in and out to reduce human contact. Many hoteliers are going for digital menus with the aid of QR codes. (Bonfanti, Angelo, Vania Vigolo, and Georgia Yfantidou., 2021). For instance, Yotel Singapore started blending in the use of AL for a digitalised check-in operation, and also robots for housekeeping. In addition, robot-butlers were adopted by Hotel Jen Tanglin in 2017 to handle customer enquiries and room service. (Ling, Selena., 2018)
By incorporating AI systems to deliver customer service, will improve and facilitate consumer experience which helps to create a seamless and memorable experience for consumers. As such, this creates a competitive advantage for the brand in terms of brand equity and customer satisfaction. (Tung, Vincent Wing Sun and Norman Au., 2018)
In order to maximize consumer experience with value-added services, it is recommended for hoteliers to start adopting the use of AI in businesses. Firstly, the role of AI helps to reduce waiting time or eliminate queues. Guests may enjoy the contactless for registration and signing out even before they set foot in the arrival hall. This can be a promising service when guests evaluate their reviews on online platforms such as TripAdvisor, Booking.com and Agoda which can be assessed worldwide. Hence, this will generate a form of word-of-mouth. Secondly, in the midst of COVID-19, mandatory safety measures such as putting on a face mask were enforced to reduce the spread of the virus. This creates a communication barrier especially in the presence of mute or deaf guests. Integration of AI can be easily programmed with hand signs or lipreading to interact with humans according to their facial expressions, behaviours, tones and feelings. (Koo, Bonhak, Catherine Curtis, and Bill Ryan., 2021) Lastly, studies have suggested that co-experience between robots and users, particularly for families with kids who easily get fascinated and overwhelmed with robots. This long-lasting effect of robots remains in the children’s memory even after the hotel stay. Parents were pleased to return to the same hotel for the sake of their children’s experience with a robot. However, with these positive impacts that AI brings about, human service is certainly as important and essential in the hotel industry. Ultimately, AI can only enhance supplementary services which provide efficiency and productivity to hoteliers. Human service can never be replaced by AI as algorithms are like an engine, they run but they need maintenance and troubleshooting when they are faulty.
References
Bonfanti, Angelo, Vania Vigolo, and Georgia Yfantidou. 2021. "The Impact of the Covid-19 Pandemic on Customer Experience Design: The Hotel Managers’ Perspective." International Journal of Hospitality Management 94: 102871.
Fetterling, Jessie. “Meet Connie: Hilton's Robot Concierge.” Prevue Meetings & Incentives, March 17, 2016. https://www.prevuemeetings.com/experiences/technology/meet-connie-hiltons-robot-concierge/.
Prentice, Catherine, Sergio Dominique Lopes, and Xuequn Wang. 2020. "The Impact of Artificial Intelligence and Employee Service Quality on Customer Satisfaction and Loyalty." Journal of Hospitality Marketing & Management 29 (7): 739-756.
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