September Edition

The Hidden Costs of AI in Guest Experience AI brings a lot of efficiency to hospitality, but it also comes with drawbacks that can affect guests, staff, and even the industry’s long-term reputation. Here are some of the negative impacts of AI in hospitality:

Loss of Human Touch Hospitality thrives on warmth, empathy, and personal interaction. Over-reliance on AI (chatbots, automated check- ins, robotic concierges) can make experiences feel cold and transactional, leading to customer dissatisfaction. Job Displacement AI systems can replace traditional roles like front- desk staff, concierges, and reservation agents. This reduces job opportunities, especially for entry-level workers who rely on hospitality as a career entry point.

Guest Frustration with Technology Not all guests are comfortable using kiosks, apps, or AI-driven platforms. Technical glitches, poor voice recognition, or limited language support can cause frustration. Privacy & Data Concerns AI systems in hotels rely heavily on guest data (preferences, past stays, even facial recognition in some cases). Mismanagement, leaks, or cyberattacks can lead to privacy breaches and loss of guest trust. High Implementation Costs Installing and maintaining AI solutions (smart room assistants, robots, advanced CRM systems) is expensive. Smaller hotels may struggle to compete, deepening the gap between large chains and independent properties.

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