Orient: Hotel AI application speeds up implementation, optimistic about bringing systematic cost reduction, efficiency improvement, and operational efficiency enhancement.
AI is expected to become the "infrastructure" for hotels to improve operational efficiency and competitiveness, driving the industry to achieve long-term benefits in cost structure optimization and service quality improvement.
Orient released a research report stating that the core value of hotel AI lies in systematic cost reduction and efficiency improvement. In the future, the focus will not only be on self-service at the front desk, but also on optimizing cost structures and resource allocation comprehensively. AI can reduce labor and energy expenditure through predicting customer flow, dynamic pricing, automated scheduling, etc., and continuously release efficiency dividends in the supply chain, equipment maintenance, and inventory management. Policy support and technological maturity will drive small and medium-sized hotels to follow suit, and promote overall operational efficiency improvement in the industry. Optimistic about the systematic cost reduction and efficiency improvement brought by hotel AI.
Key points from Orient's report:
AI-driven hotel operational efficiency, industry entering a stage of large-scale popularization
According to the "National Smart Tourism Development Report 2023," the global hotel artificial intelligence market is expected to grow at a compound annual rate of about 15% from 2020 to 2027. The drive comes from the dual demand for customer experience upgrades and cost optimization: applications such as smart front desk, self-check-in, dynamic pricing, voice interaction, etc., not only meet guests' preferences for "contactless, personalized" services but also significantly reduce labor and energy costs. In August 2025, the State Council issued the "Opinions on Deepening the Implementation of the 'AI+' Action," accelerating the application of AI in tourism accommodation, hotel catering, and other scenarios (such as accelerating the research and promotion of AI technology standards, equipment specifications, and data security standards), enabling industry development to enter a fast track of policy and market resonance.
Leading hotel groups are the first to achieve cost reduction and efficiency improvement, revenue management, and smart rooms as breakthroughs
Huazhu's "New Front Desk Model" reduces check-in time to as fast as 10 seconds, self-service terminals free up human resources to focus on high-touch services; Home Inns Group's "AI Digital Store Manager" uses large models to provide customer flow prediction and dynamic pricing for nearly 7000 hotels, improving RevPAR and operational efficiency; Atour, relying on the ACARD membership system and "Smart Experience Room," achieves facial recognition check-in. Self-check-in effectively reduces front desk labor costs, voice control and IoT energy-saving solutions can lead to energy consumption reduction, revenue management systems universally increase RevPAR, AI has become the core leverage for leading hotel operations to improve efficiency.
Accelerated penetration in the future, operation mid-platform and scene expansion are key
Currently, AI has been preliminarily implemented in areas such as front desk self-service, room interaction, and membership operations, but the penetration rate is still concentrated in leading chain and newly renovated stores. The future development path will focus on three aspects: First, establish an intelligent mid-platform, connect PMS (property management system), RMS (revenue management system), CRM (customer relationship management system), and other systems to achieve cross-system data collaboration; Second, naturalize interactions, virtual customer service and DIGIHUMAN bring more immersive experiences; Third, expand the application boundaries to security, cleaning, marketing, and refined membership operations. With continued policy tightening, technological iteration, and capital investment, AI is expected to become the "infrastructure" for hotels to enhance operational efficiency and competitiveness, driving the industry to achieve long-term dividends in cost structure optimization and service quality improvement.
Risk Warning
The overall hotel artificial intelligence is still in the early stages of adoption, with uncertainties in data security and system compatibility. If technological iterations slow down, renovation and maintenance costs exceed expectations, or algorithm stability and user experience fall short of expectations, it may weaken the effectiveness of cost reduction and efficiency improvement and affect investment returns.
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