Few hotels in Europe are currently using artificial intelligence-driven business applications, a new report shows.
The Booking.com-Statista European Accommodation Barometer reveals that only 8% currently use the technology while 23% plan to use the tools in the next six months. Two-thirds have no plans to use AI in their businesses.
The figures increase for four to five star hotels, with 12% currently using AI solutions, 32% planning to and 54% having no plans to employ the technology.
This is the second edition of the barometer, which aims to provide a snapshot of hotelier sentiment of how their businesses are faring.
The report reveals that while the threat of recession has not receded and inflation remains high across the continent, hoteliers remain optimistic.
About 60% have seen increased occupancy levels in the past six months and 51% have seen increased room rates. That leaves more than 70% of hoteliers feeling the development of their businesses is either good or very good, and 61% see the current economic climate as good or very good.
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In addition, 46% of European hoteliers believe they’re on track for 2023 to be the best year ever for revenue. That optimism rises to 62% for chain properties compared with 43% for independent businesses.
Further findings in the study, which was carried out via 1,000 telephone interviews in April and May, reveal energy costs (86%), the overall economic climate (47%), cost of staff (46%) and acquiring and retaining staff (44%) as the top challenges for the next six months.
Hoteliers were also asked about their preparedness for digitalization and sustainability with 61% saying they feel ready for digital transformation, while 10% feel ill-prepared.
More than a quarter say they plan to invest more in digital transformation, while 54% say investment will be about the same as in 2022.
Social media marketing (36%), accommodation website (34%) and customer relationship management (31%) emerge as the three areas of most focus when it comes to digital transformation.
When it comes to readiness around sustainability and decarbonization challenges, 42% feel ready, while 15% say they don’t feel prepared. Almost a third say they plan to invest more in the area this year, while 52% say investment will be about the same.