Global Smart Hospitality Market - 2022-2029
The global smart hospitality market size was worth US$ XX million in 2021 and is estimated to record significant growth by reaching up to US$ XX million by 2029, growing at a CAGR of XX% within the forecast period (2022-2029).
Smart hospitality refers to technology in the hospitality industry, such as automated software and smart solutions. Smart hospitality's popularity in hotels and cruise ships creates the demand for the global market. Smart hospitality aids in cost reduction, increases staff efficiency and provides guests with a one-of-a-kind experience that encourages them to return.
Smart hospitality assists guests with room selection, room entertainment systems and internet services. It is widely adopted globally, which has increased the market's demand in the past few years. Furthermore, Smart Hospitality contributes to a better guest experience, which increases the company's revenue.
Smart hospitality provides hotels with HD free-to-guest channels, Interactive TV, IPTV and Wi-Fi. It aids in the enhancement of consumer pleasure and experience. Smart hospitality encompasses hotels that serve customers using innovative and new technologies. However, when developing these next-generation hotels, a significant but unnoticed smart revolution occurs in the construction process.
For instance, various contractors collaborate with digital businesses to develop smarter, better hotels at a lesser cost and less time. BIM (Building Information Modeling) technology is at the heart of the hotel construction revolution and one of the most promising technological developments in the architectural, engineering and construction industries.
The growth in the need for real-time optimized guest experience management is primarily boosting the global market growth for the smart hospitality market. The growing adoption of smart hospitality services and technology by key players in the hospitality domain is escalating the market growth opportunities for smart hospitality.
The growth in the need for real-time optimized guest experience management is primarily boosting the market growth for the smart hospitality market globally.
Smart hospitality is in high demand to provide outstanding client service. As a result, demand for real-time optimal guest experience management is growing, boosting smart hospitality's market growth. For instance, customers can use their cell phones to control the room's atmosphere by remotely opening and closing window blinds and changing the room temperature in select hotels.
Furthermore, hotels today require a platform that integrates back and front office apps across all hotel locations. The platform allows for integration of a Property Management System, telephony, Voice Mail and high-speed internet, resulting in precise billing. Furthermore, the platform ensures that visitors' services (internet, telephony and in-room entertainment services) are accurately billed for guest service packaging.
In some hotels, the cell phone can control the room's surroundings, such as opening and closing window blinds and adjusting the temperature. As a result, 'digital hospitality' is at the heart of smart hospitality. As a result of smart hospitality, caterers may provide exceptional customer service.
The growing adoption of smart hospitality services and technology by key players in the hospitality domain is escalating the market growth opportunities for smart hospitality.
The smart hospitality market is predicted to increase as more companies in the hotel industry implement smart hospitality services and technologies. Customer happiness and impressions could be improved by implementing smart hospitality technologies. Many organizations offer a wide range of smart hospitality solutions and technologies to meet clients' needs.
These technologies are quite clever, allowing hoteliers to check in quickly. StayNtouch, for instance, is a startup that provides a guest-facing PMS overlay. The service allows the front desk to check in guests and creates keycards without leaving the station.
In addition, a company called Hospitalityplus provides automated guest room assignment services. Normally, assigning hotel rooms based on category, view, and desire is a time-consuming manual operation, but this method allows hotels to offer different rooms to their clients automatically. Rooms will unavoidably be overbooked, allowing hoteliers to choose which guests will receive a room and actively manage consumer expectations ahead of their arrival.
Furthermore, the Internet of Things (IoT) and Artificial Intelligence (AI) are used in smart hospitality solutions to improve comfort and safety. Because these two factors are important for hospitality providers' company growth, many organizations implement smart hospitality solutions across their operations. For example, Hilton, one of the most well-known hotel companies in U.S., provides guests with smart, hyper-personalized hotel rooms.
The corporation invested more than US$100 million in developing and installing a digital key system that allows visitors to unlock their rooms with their smartphones. The system appears to some customers to be a small feature, but it dramatically improves security, convenience and total customer pleasure.
For instance, on November 17, 2021, IDS Next property management system, one of India's major enterprise PMS firms, announced a partnership with Xperium, a full end-to-end guest experience management platform powered by AI and smart automation. Hotels that use the IDS on-premise or cloud Property Management System (PMS) will be able to connect to Xperium and give a fully automated guest experience suite to their current and future clients as a result of this integration.
The lack of sufficient technically skilled personnel or IT departments is hampering the market growth for the smart hospitality management industry.
The smart hotel sector may be hampered by a lack of technically qualified staff or an IT department. As a result, qualified individuals can assist in successfully integrating and applying technologies within the hotel. For example, many hotels lack IT-skilled people who can assist customers with smart hospitality features and guide hotel guests through smart applications accessible in their rooms.
COVID-19 Impact Analysis
As the consequences of COVID-19 spread globally, governments and companies have prioritized their citizens' protection. While this focus will continue, the consequences for economic development and corporate earnings will certainly result in a significant sell-off in equities markets worldwide. Because they were among the first to be affected by the severe weather, hotel and leisure clients are moving quickly and remaining focused on determining and quantifying their businesses' operational and financial impact.
Pandemic impact on revenue and supply chains is significant and unexpected. Hotels, restaurants, theme parks and movie theatre closures, not to mention the entire travel ecosystem's disruptive effect, significantly impact worldwide tourism. Operators and investors collaborate to handle liquidity and working capital challenges while keeping their stakeholders informed. Thus the impact of COVID-19 on the hospitality industry has shown a significant market reduction in the smart hospitality market during the 2019-2020 period.
However, the condition is getting better in various parts of the globe due to the increasing vaccination percentage in various developing regions and the reopening of production units of end-user industries. Although the arrival of the omicron virus has created alarming challenges for the future smart hospitality market, thus expected to limit the growth of the product in the forecast period.
The global smart hospitality market is segmented based on type, hostel type, deployment model, application and region.
Growing demand for automation systems in the hotel to improve the working procedure and provide more efficient services to the customers has increased the demand for the software segment in the global smart hospitality management market.
The globally smart hospitality market is segmented into software and service based on type. The software segment is expected to grow fastest in the global smart hospitality market out of the two types of smart hospitality.
Furthermore, the global market is divided into two categories based on software: hotel operation management systems and hotel building automation systems. Hotel building technology includes building automation for facility and emergency response management, parking management, water management and building energy optimization. The increased demand for energy and facility-efficient technologies is driving the use of hotel automation systems, creating opportunities for the software segment to grow in the forecast period.
For instance, NEC’s smart hospitality provides Smart Check-In software that delivers a favorable first and last impression by allowing guests to effortlessly self-manage checking into and out of a property. The solution's straightforward interface, which is both easy to use and completely automated, provides a fully configurable experience that supports private branding and a full range of check-in and check-out functions.
The presence of various key players and technical advancements are boosting the market share for smart hospitality in the North American region
Europe is expected to dominate the global market due to technological developments, robust internet infrastructure and inclination towards IoT. The demand for improved operational efficiency at a reasonable cost is projected to propel the smart hospitality market forward.
Furthermore, due to the availability of advanced technologies and different small and major software firms, North America is the second-largest market in the global smart hospitality sector. In addition, the presence of major players like Microsoft and Google will enhance market growth by incorporating technical advancements into product portfolios. Increased research and development expenditures would boost market growth across the area. )
The smart hospitality market is highly competitive with the presence of local and global companies. Some prime companies contributing to the market's growth are Schneider Electric, Siemens AG, IBM Corporation, Honeywell International, Cisco Systems, Oracle Corporation, Huawei Technologies, Johnson Controls, NEC Corporation and Infor, Inc.
The major companies are adopting several growth strategies such as acquisitions, product launches and collaborations, contributing to the growth of the smart hospitality market globally.
For instance, on July 15, 2021, Phunware, Inc announced to license its smart hospitality Solution to one of the largest international luxury resorts globally.
Overview: Honeywell is a Fortune 100 software-industrial business that provides industry-specific solutions like aerospace and automotive goods and services, building, home and industrial control technology and performance materials worldwide. The company’s technologies enable everything from aeroplanes to automobiles to homes and buildings to manufacturing plants, supply lines and workers to become more linked, resulting in a smarter, safer and more sustainable society.
INNCOM systems: INNCOM systems reduce guestroom energy expenses and deliver a quick return on investment. Whether the customer wants standalone or networked energy management or integrates smart hospitality IoT technologies, the firm will work with them to provide a fantastic guest experience.
For instance, on June 14, 2018, Honeywell launched new connected hotel solutions for cloud, energy management and smart lighting controls at HITEC 2018 in Houston, Texas.
Why Purchase the Report?
Visualize the smart hospitality market segmentation by type, hostel type, deployment model and application, highlighting key commercial assets and players.
Identify commercial opportunities in the smart hospitality market by analyzing trends and co-development deals.
Excel data sheet with thousands of smart hospitality market-level 4/5 segmentation points.
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The globally smart hospitality market report would provide approximately 62 market data tables, 69 figures and 269 pages.
Target Audience 2022
Service Providers/ Buyers
IT and Telecom Companies
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