As the luxury hospitality industry integrates more artificial intelligence (AI) into its operations the need to balance technological innovation with the human touch is becoming increasingly important. How people really feel about the AI customer experience.
By now we all know that AI technology is pretty amazing. AI is reshaping every industry, including luxury hospitality where it’s helping with personalizing guest services and improving operational efficiency. Smart rooms that adjust climate and lighting based on guest preferences and AI-driven concierge services are just the beginning. Potential AI applications in spas, gyms, and wellness businesses, meanwhile, include chatbots and apps that can offer customized recommendations and answer customer service questions.
As the luxury hospitality industry integrates more artificial intelligence (AI) into its operations, however, the need to balance technological innovation with the human touch is becoming increasingly important.
The allure of AI: efficiency and personalization
AI excels in improving efficiency and facilitating personalization, from handling routine inquiries and bookings to analyzing guest preferences for bespoke experiences, AI’s capabilities are vast. But despite these benefits, we obviously need people to create that connection that makes all the difference in hospitality. And we need human interaction in areas where empathy and deep understanding are required.
Survey on attitudes towards AI in customer experience
A recent report by SurveyMonkey provides some insight into consumer attitudes towards AI in customer experience. Here are key findings:
Human vs. AI interaction: 90% of respondents prefer human interaction over AI for customer service. The primary reasons are that humans are more understanding and empathetic and less frustrating, and offer more options for resolving problems. We have all experienced the frustration of dealing with AI and typing “I WANT TO TALK TO A HUMAN” into the chat window. Brands should be very careful to avoid creating this experience which will then be associated with your brand.
Confusion between AI and human interaction: While AI can offer quick and accurate information, only 18% of consumers are very confident they can distinguish between human and AI interaction. This highlights a significant trust gap that luxury providers should consider. One of the main issues being that, if someone has a frustrating AI experience, are they going to think one of your team is at fault?
Generational differences: Attitudes towards AI vary significantly by age. Forty-one percent of consumers under 34 express negative feelings towards AI in customer experience, compared to 72% of those over 65, suggesting younger generations are more open to AI integration.
Some people prefer AI: For those who prefer to interact with AI, reasons include better availability (41%), addressing issues faster (37%), and access to more accurate information (30%). People want AI to help them through a product, website (52%), offer personalized deals (47%) and make personalized product recommendations (42%).
The case for human touch
Despite AI’s advancements, the survey underscores the irreplaceable value of human touch. NPS® is 72 points higher for human service agents than for AI. Consumers report higher satisfaction rates and a stronger connection with brands that offer human-centered customer services. For luxury establishments, where personalized care is paramount, ensuring that AI does not replace genuine human interaction is crucial.
Balancing AI and human interaction
AI is a game changer and has its place. These bots allow businesses to serve customers 24 hours a day, faster, and in many languages. The challenge for luxury spas and hotels is to use AI strategically to complement, not replace, human interaction. AI should handle routine and data-heavy tasks, allowing human staff to focus on providing empathetic and personalized service where it matters most. We want AI to perform time consuming but easily automated tasks so that our humans can serve guests, not for AI to serve guests so our humans can perform time consuming but easily automated tasks.
Luxury hospitality should tread carefully with AI. While it offers significant advantages in terms of efficiency and personalization, the essence of luxury service – human connection – cannot be overlooked. As AI technologies evolve, so too should the strategies for their integration, always keeping the guest’s preference for genuine, empathetic interactions at the forefront.
Spa Executive is published by Book4Time, the leader in guest management, revenue and mobile solutions for the most exclusive spas, hotels, and resorts around the globe. Learn more at book4time.com.