- Competitive pricing. Using stream analytics and machine learning, hospitality organisations can develop active pricing prediction models using historical demand fluctuations to develop early warning indicators. If bookings are trending towards low, drop the price slightly, if bookings are trending towards high, increase it. Do this actively on an hour by hour basis. Start by visualising the price prediction and automate once trust has been built.
- Improve purchasing decisions for resort operations. Improving the accuracy of what to purchase when, will reduce inventory levels, and require less storage space resulting in a reduction of tied up working capital.
- Visitors at the various resorts come from different backgrounds and have different preferences. All visitors really want is to be treated according to their preferences. When looking at the whole visitor spectrum. Visitors are traditionally divided into groups with similar characteristics and preferences. Service is then customised to be more personalised and specialised based on the targeted demographic for the resort. Using Machine Learning, the classification can potentially become more granular, leading to the identification of subgroups that were unseen before. The service and resort experience can then be more tailored for individual customers leading to the potential to attract a more diverse visitor base.
- Improve marketing accuracy and yield by using very granular segmentation. Sending the same marketing message to an entire database means leads to lower hit rates and eventual yield. Machine learning delivers substantial value in this area. With appropriate data, machine learning will provide more granularity in identifying groups and subgroups within your visitor base and target market. Marketing will be more accurate thereby increasing yield and overall returns on investment.
- Visitor data has massive potential to improve the formulation of business strategy and the improvement of lifetime visitor value. Imagine if you can greet a visitor at one resort with a “Hello, welcome back to the family, we value your support” If you know the visitor visited any of your other resorts in the past. Machine learning and advanced analytics on big data can remember every stay, every cost, and every on-property activity and neighbouring facilities. By analysing this, the identification of patterns and trends provide valuable insights, improve strategy formulation and enables real business agility. All of this has the potential to improve the diversity and number of visitors who are attracted to visit your resorts AND it will improve your ability to treat your visitors the way they want to be treated.