Remember waiting on hold for 20 minutes just to change a hotel booking? No? Maybe you’re Gen Z! Either way, last-minute travel arrangements used to be a total pain. Artificial intelligence in the hospitality industry has transformed the way your guests interact with hotels, airlines, and travel brands.

AI is revolutionising the hospitality business and hospitality services, including hotels, restaurants, and travel brands, by automating support, enhancing guest experiences, and improving operational efficiency.

Your guests want faster service and more tailored experiences. AI makes this possible by automating routine queries and offering instant, relevant support. The hotel industry is leveraging AI to automate guest support and streamline operations, ensuring quick answers, seamless trip planning, and personalised recommendations that make their journey smoother from start to finish.

AI in the hospitality industry

What is AI customer service?

You might wonder what AI customer service actually means for travel and hospitality. In simple terms, it’s the use of smart technology to handle guest questions, bookings, and requests, often before your guests even ask.

Artificial intelligence in hospitality industry settings can answer their queries about check-in times, suggest local attractions, or help your guests change a reservation, all in real time. These real-time, automated interactions are powered by an advanced AI system, which enables seamless support and personalised experiences for guests.

This technology works across chat and messaging apps. Virtual assistants provide real-time, automated guest support and personalised recommendations, streamlining guest interactions and improving operational efficiency.

Why AI matters for guest experience

Guests expect fast, friendly service when they travel. AI makes this possible by giving them instant answers and personal touches. By leveraging personalised service, AI systems can anticipate guest needs and preferences, tailoring each interaction to create a more memorable and customised stay.

Imagine them arriving at their hotel and finding their favourite snacks waiting in the room, or getting a message with local tips just as they check in.

AI also helps hotels and travel brands spot problems before they happen. If they leave feedback about a noisy room, the system can alert staff to fix it right away. This proactive approach means they feel valued and looked after.

These AI-driven efforts are key to improving guest satisfaction by delivering 24/7 support, personalised experiences, and quicker problem resolution. With AI, they get a service that feels personal, even when they’re far from home.

AI-powered solutions for travel and hospitality with Cue

AI Agent concierge and chatbots

24/7 multilingual support

Guests want help whenever they need it, no matter where they are or what language they speak. Cue’s AI Agents make this possible. AI Agents and chatbots work around the clock, answering questions in multiple languages.

This multilingual capability helps create a welcoming environment for guests from around the world, making them feel comfortable and included from their very first interaction.

This means they can book a room, ask about amenities, or get local tips at any hour. Hotels using these tools have seen response times drop to under 2 minutes, leading to more direct bookings and happier guests. In fact, up to 40% of guest requests come in outside normal service hours, so having a chatbot ready makes a real difference.

Real-time issue resolution

Nobody likes waiting for help, especially when travelling. With Cue, guests get instant answers to their questions. The chatbot remembers past interactions, so it can offer personalised suggestions and resolve issues quickly.

By leveraging AI-driven real-time issue resolution, Cue enhances service recovery by proactively identifying and addressing guest concerns before they escalate, ensuring a smoother and more satisfying experience.

Booking automation

Booking a room or making changes to their reservation, or even handling restaurant reservations, should be easy. Cue’s chatbots guide guests through the booking process and handle reservation management step by step. They can check room availability, confirm bookings, or request upgrades.

AI checks and updates real-time room availability to streamline the booking process, ensuring efficient reservation management and a seamless guest experience. This automation helps hotels reduce their reliance on online travel agencies, keeping more bookings direct.

WhatsApp, Messenger, and web chat integration

Digital concierge

Travellers probably use messaging apps every day. Cue brings customer service to the platforms they already know, like WhatsApp, Messenger, and web chat. Cue’s digital AI agent concierge is always available, ready to answer questions, share local recommendations, or help with last-minute changes.

With AI-powered concierge services, hotels can provide personalised recommendations, automate guest interactions, and deliver seamless support that enhances the guest experience.

These tools enable personalised guest services by tailoring amenities, room requests, and interactions to each guest’s preferences. Guests often find it easier to communicate by text or social media, which leads to better experiences and more positive reviews.

Live chat for human touch

Sometimes, they want to talk to a real person. Cue’s live chat lets them switch from AI to a human agent whenever they need extra help. The transition is seamless, so they never have to repeat themselves. Staff can see chat history and step in with the right information.

With AI handling routine queries, hotel staff can dedicate more time to personalised guest interactions and complex service requests. This blend of AI and human support means they get fast answers and personal attention.

• Guests can report service issues during their stay, which helps hotels fix problems before they become complaints.

• 91% of guests who use live chat report higher satisfaction, as their needs are met quickly and efficiently.

Broadcasts and engagement

With broadcast tools, hotels can send personalised messages, promotions, or updates straight to their phone. This keeps them informed about special offers, local events, or loyalty rewards.

These broadcast tools enhance customer interactions and engagement throughout the guest journey by enabling timely, relevant communication at every touchpoint. It also encourages them to book again or try new services. Messaging apps like WhatsApp even allow hotels to create groups or share large files, making communication smooth and engaging.

Dynamic pricing

Upsell opportunities

Artificial intelligence in hospitality industry settings has changed the way hotels manage pricing and promotions. Cue helps them find the best deals and encourages them to try new services, like spa treatments or room upgrades. Hotels using AI-powered pricing have seen big results.

For example, Four Seasons Resort Whistler increased off-peak revenue by 28%, and Hilton saw a 600% jump in extended stay bookings. These tools also help hotels improve occupancy rates and guest satisfaction, while they get offers that match their preferences and budget. By leveraging targeted upselling and optimised offers, hotels can boost revenue and maximise the impact of their marketing strategies.

Benefits of AI customer service

24/7 support and fast responses

Reduced wait times

With AI customer service, they never have to wait for office hours or worry about time zones. Cue’s chatbots and AI Agents respond instantly, handling 80% of standard queries without human intervention.

This means they get help right away, whether they’re booking a room at midnight or asking about amenities during breakfast. AI-driven solutions also reduce check-in processing time, allowing guests to access their rooms faster. Fast responses reduce frustration and make their experience smoother.

High-volume handling

Busy periods can overwhelm traditional customer service teams. Artificial intelligence in hospitality industry settings solves this problem by scaling up support when demand spikes. Cue’s AI can manage thousands of interactions at once, keeping response times low even during peak seasons.

AI automates repetitive tasks such as handling common inquiries and data entry, freeing up staff to focus on more complex guest needs. They get consistent service, and staff can focus on more complex requests. Hotels using AI have seen a 20% reduction in average handle time and up to 30% lower operational costs.

• AI-powered chatbots ensure instant responses, enhancing convenience.

• They experience less frustration because wait times disappear.

• Quick, accurate answers boost satisfaction and loyalty.

Personalisation at scale

Tailored recommendations

Guests want travel experiences that feel unique. AI makes this possible by learning their preferences and offering personalised suggestions. Machine learning algorithms analyse guest data to deliver more accurate and relevant recommendations.

Cue’s AI agents can look at their previous stays, interests, and feedback to recommend rooms, upgrades, or local attractions that match their style. They feel valued because the service anticipates their needs and delivers relevant options.

• Personalisation leads to improved experiences, as recommendations are timely and meaningful.

• They make choices on their terms, feeling heard and appreciated.

• Anticipating their needs results in higher satisfaction and more bookings.

VIP profiles

Cue helps hotels create VIP profiles for frequent guests. They receive special treatment, such as priority upgrades or exclusive offers, based on their history and preferences. AI-driven loyalty programs further personalise rewards and offers, proactively increasing guest engagement and making the loyalty experience more valuable.

These programs can be tailored to reflect the hotel's brand, ensuring that every VIP interaction reinforces the hotel's unique identity and enhances guest loyalty.

This approach fosters emotional engagement and builds stronger connections with brands. Nearly 70% of companies report increased engagement from loyalty initiatives, and 58% see more repeat bookings.

Operational efficiency

Staff productivity

When AI handles routine queries, hotel teams can concentrate on complex issues and personal touches. By automating routine tasks, AI allows staff to focus on higher-value activities that enhance guest experiences. This shift improves employee satisfaction and service quality.

Managers spend less time switching between platforms, saving hundreds of hours each year. Cue consolidates data from multiple systems, giving staff real-time insights for faster decision-making.

Inventory and maintenance

AI-driven tools help hotels manage inventory and maintenance efficiently. Cue’s platform tracks supplies, schedules maintenance, and ensures compliance with labour rules. By integrating AI with property management systems, hotels can automate inventory tracking and maintenance scheduling, optimising operations and reducing manual workload.

AI-driven technology also enables hotels to monitor individual hotel rooms and optimise room features, such as smart controls and predictive maintenance, to enhance guest comfort and operational efficiency.

This means fewer disruptions for them and a smoother stay overall. Operators say real-time data from AI aids faster decisions during busy shifts, keeping everything running smoothly.

Multilingual and global reach

Supporting diverse guests

You never know where your next guest will come from. With AI customer service hospitality tools like Cue, you can welcome travellers from every corner of the globe. AI-powered solutions ensure that hotel guests with diverse backgrounds and needs receive seamless support, from booking to check-out, regardless of their origin.

Multilingual chatbots and AI agents break down language barriers, making it easy for guests to ask questions, book rooms, or request services in their own language. This means you can support guests from Europe, Asia, Africa, or anywhere else, all without hiring extra staff or waiting for translations.

International brand appeal

Expanding your reach is easier when you speak your guests’ language. AI-powered multilingual marketing helps you enter new markets without the usual challenges. You can launch campaigns, share offers, and answer questions in local languages, all while keeping your brand message clear and consistent.

Multilingual AI support also ensures a seamless and high-quality hotel guest experience internationally, providing personalised and efficient service to guests from different regions, which significantly enhances the hotel's guest experience by making every stay more memorable and satisfying.

Guest satisfaction and loyalty

Loyalty programmes

Happy guests come back again and again. AI customer service hospitality solutions like Cue help you create loyalty programmes that feel personal and rewarding. You can track guest preferences, send tailored offers, and reward repeat bookings automatically. AI enables personalised guest services within loyalty programmes by automating tailored interactions and requests, such as room service or extra amenities, to increase engagement. This keeps your guests engaged and excited to return.

• Hotels using AI-driven loyalty management have seen a 45% increase in member engagement.

• Personalised rewards and offers make guests feel special, boosting loyalty and repeat business.

Post-stay engagement

Your relationship with guests doesn’t end at check-out. AI helps you stay connected by sending follow-up messages, collecting feedback, and sharing exclusive deals for future stays. AI tools can analyse customer feedback from online reviews, surveys, and guest responses to identify trends and enhance service quality.

AI can also analyse guest reviews from online platforms, surveys, and social media to identify service strengths and areas for improvement. You can resolve any issues quickly and show guests you value their opinions.

Real-world impact: Case studies and examples

Leading brands using AI

You see more travel and hospitality brands embracing AI every year. Big names like Hilton, Marriott, and Edwardian Hotels have set the pace, using smart technology to transform guest experiences.

The Four Seasons hotel group has also implemented AI technologies to enhance guest experiences, such as AI-driven check-in and check-out processes and AI call assistants for pre-arrival communication and task automation. Hilton’s AI concierge, Connie, greets guests and answers questions with a personal touch.

Marriott uses AI to streamline bookings and tailor recommendations. Edwardian Hotels rely on chatbots to handle thousands of guest interactions, cutting response times and boosting satisfaction.

Cue customer stories

Cue’s technology has helped many travel and hospitality businesses deliver better guest experiences and run smoother operations. AI-powered solutions from Cue also enhance service delivery by streamlining processes, reducing errors, and personalising guest interactions for hospitality businesses. Take Pace Car Rental, for example.

They use Cue’s AI-powered solutions to manage high volumes of guest queries across their South African branches, especially during busy travel seasons. They get instant answers about bookings, vehicle availability, and local tips, all through WhatsApp without waiting in line or on hold.

Let’s look at some real improvements from Cue’s customers in travel and hospitality:

1. Pace Car Rental centralised all guest communications through a single WhatsApp line powered by AI. Guests spend less time waiting at the rental desk - response times dropped to an average of 5-10 minutes, with a target of under 5 minutes. Multiple team members can now assist travellers simultaneously with unlimited seats, which means they start their journey feeling relaxed and valued.

2. Pace Car Rental integrated Cue with their rental management system. Staff now handle bookings and service requests more efficiently through seamless automation. Guests can reserve vehicles and manage their rental directly through WhatsApp with automated confirmations and check-ins. They enjoy a smoother travel experience, and the company achieved a 50% improvement in engagement rates through WhatsApp marketing broadcasts compared to traditional email campaigns.

3. Pace Car Rental deployed a 24/7 AI chatbot for common travel inquiries alongside automated broadcasts for promotions and service updates. Their questions get answered instantly, day or night, and they receive updates in real time about their rental. Their travel needs come first, and staff respond quickly to their requests. Automated review requests led to a surge in positive feedback, enhancing their reputation among travellers and building stronger guest loyalty.

Challenges and solutions in AI adoption

Data privacy and security

You want your guests to know their personal information stays safe when they travel. Hotels and travel brands collect a lot of guest data, so protecting it is essential. Establishing clear policies for handling guest data helps ensure only authorised staff can access sensitive information.

With natural language processing, AI can securely understand and respond to guest communications while maintaining data privacy. They expect their details to be stored securely, not shared carelessly.

AI governance

AI customer service hospitality tools rely on data to deliver personalised experiences. They need confidence that brands follow strict rules. Many hotels now comply with regulations like GDPR to avoid legal penalties. They also address risks such as AI bias and ensure human oversight for accountability.

Secure deployment

They want to trust that their data is safe from cyber threats. Hotels use several strategies to keep information secure:

1. Encrypt guest data to protect it from unauthorised access.

2. Implement access management to limit data access to authorised personnel only.

3. Conduct regular security audits to identify and address vulnerabilities.

Cue’s platform follows these best practices, ensuring its data remains protected while delivering fast, personalised service.

Workforce impact

AI customer service hospitality solutions change how staff work. They might worry about technology replacing jobs, but AI actually helps teams work smarter.

Staff buy-in

Staff play a key role in monitoring AI systems and making sure they match brand standards. Automation of services like check-in and room service lets staff focus on complex tasks, which improves job satisfaction. AI also helps address labour shortages and reduces pressure on teams.

• Hospitality organisations use AI to enhance operational efficiency.

• Automation allows staff to focus on more complex tasks.

• AI systems analyse data to optimise staffing needs.

Training and change management

You want staff to feel confident using new technology. Training helps teams understand AI tools and adapt to changes. Ethical considerations around data privacy remain important, so organisations must maintain trust with customers and address concerns from those who resist technology.

• Staff monitor AI systems to ensure quality.

• Organisations maintain trust by addressing privacy concerns.

Human touch and hybrid models

You still value genuine human interaction, especially in luxury settings. AI customer service hospitality tools work best when combined with real people.

AI-human collaboration

AI handles repetitive queries instantly, freeing human agents to manage complex or sensitive interactions. This hybrid model leads to faster resolutions and better service quality.

Empathy in service

While AI can simulate responses, it lacks genuine empathy and emotional intelligence. Humans excel at understanding nuanced emotions, building trust, and providing reassurance. Guests appreciate when staff listen and respond with care, which keeps the human touch at the heart of hospitality.

Implementation and scalability

Cost barriers

You might feel excited about bringing AI customer service and hospitality tools into your business, but cost often stands in the way. Many travel and hospitality companies face high upfront investment costs. Smaller organisations tend to be more cautious, as the risks seem bigger when budgets are tight. Larger brands can afford to experiment, but even they watch their spending closely.

You also need to think about how new AI systems fit with your current technology. Integrating AI with legacy systems can feel daunting. Compatibility issues may slow down progress or add extra costs. Staff training is another expense. Your team needs to learn how to work alongside AI, which means investing in education and support.

Here are some practical steps to help you adopt AI customer service hospitality tools:

1. Assess your needs: Identify the areas where AI can deliver the biggest impact, such as guest support or booking management.

2. Start with pilot projects: Test AI in one department before rolling it out across your business.

3. Choose scalable solutions: Pick platforms like Cue that grow with you and offer flexible pricing.

4. Invest in staff training: Equip your team with the skills they need to work confidently with AI.

5. Monitor and optimise: Use analytics to track performance and make improvements over time.

Future trends for AI in the hospitality industry

You’re probably wondering what’s next for technology in travel and hospitality. The pace of change is rapid, and you’ll see even more innovation in the coming years.

Generative AI is expected to drive new advancements in guest communication, content creation, and operational automation, enabling hotels to deliver more personalised experiences and streamline processes. Let’s explore the trends shaping the future and how you can stay ahead.

Predictive personalisation

You want your guests' travel experience to feel unique. Predictive personalisation uses artificial intelligence in hospitality industry settings to anticipate their needs before they even ask.

Hotels and travel brands analyse their preferences, past stays, and feedback to offer tailored recommendations. They might receive suggestions for local attractions, room upgrades, or dining options that match their interests.

Virtual tours

Guests can now explore hotels and resorts before booking, thanks to virtual reality and augmented reality. These tools let you walk through rooms, check out amenities, and get a feel for the property from your phone or laptop.

Predictive room service

Imagine a hotel knowing what guests want before they ask. Predictive analytics uses data from their previous stays, local events, and even weather patterns to forecast what they might need.

AI can anticipate and automate room service requests by analysing guest preferences and previous stays, ensuring timely and personalised service. They could get a message offering their favourite breakfast on a rainy morning or a spa appointment when occupancy is low.

Sustainability

They care about the planet, and so do modern hotels. AI is helping the industry become more sustainable by optimising energy use, reducing waste, and encouraging eco-friendly choices.

Hotels using these tools not only lower costs but also attract guests who value responsible travel.

What's next for you and the hospitality industry?

You'll see AI streamline operations, personalise every touchpoint, and make travel more sustainable. Companies using these technologies will stand out, offering guests better experiences and more value.

Ready to see the difference for yourself? AI is transforming how travel and hospitality brands connect with guests, and Cue is leading the way. Book a free demo with Cue today and discover how you can deliver faster service, build stronger guest loyalty, and stay ahead in an increasingly competitive industry. The future of hospitality is here, and it starts with putting the right tools in your hands.

Frequently asked questions

Can AI handle complex guest requests?

AI manages routine queries with ease. If you have a complex or sensitive request, Cue’s system passes it to a human agent. You always get the right help, whether you need a quick answer or personal attention.

Is my personal data safe with AI customer service hospitality tools?

Cue uses secure encryption and strict access controls. Your information stays protected. The platform follows GDPR and other privacy regulations, so you can trust that your details will remain confidential.

What channels can I use to contact AI customer service hospitality?

You can reach AI customer service hospitality through WhatsApp, Messenger, web chat, and more. Cue connects with your favourite platforms, making it easy to get support wherever you are.

Does AI customer service hospitality support multiple languages?

Yes, Cue’s AI chatbots offer multilingual support. You can ask questions and get help in your own language. This feature makes travel easier for guests from around the world.