Here’s What Smart Hotels Are Doing Differently (Hyper-Personalization using Hotel Tech)

From unforgettable guest experiences to millions in added revenue, here’s how personalization is reshaping the future of hotels.

Imagine a world where your hotel room knows when you like your black coffee or how much room temperature you prefer. Where your hotel doesn't just offers you spa treatments but intuitively suggests, because your flight got delayed and you needed to relax.

Yes, this far-fetched tech fantasy has finally come to reality, all thanks to AI personalization. And it's turning into one of the biggest growth drivers in the hospitality tech space. That’s exactly how Hyatt pulled off a $40 million revenue boost in just six months by personalizing guest experiences, recommending hotels and spa treatments guests actually wanted.

We’re not just talking about helpful chatbots or slightly better recommendation engines. We’re talking about a complete transformation of hospitality. And for hotel owners, this means one thing: personalization is no longer a nice-to-have. It’s the new baseline.

“Personalized interactions have long been a priority for companies...Now is the time for businesses to build a strong customer data foundation to seize the moment and exceed their customers’ expectations," said Thomas Wyatt, President of Twilio Segment.

So, how can you make it work for your property? Let’s dive into where and how cloud tech and AI is reshaping the guest experience—and how you can do it for your hotel.

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The Need For Personalization in the Hotel Industry

Guests these days don’t just want options.

Hotel AI Agents interact with guests for personalized experiences

They want the right ones.

That’s where personalization shines. Take Accor, for example. The global hotel brand tripled revenue from its email marketing efforts by doing one simple thing: personalizing guest communications. Instead of blasting the same email to everyone, they used AI and guest data to segment travelers and tailor content for each group.

Personalization is becoming a necessity, and it seems like its usage has no limit. Hospitality tech expert Max Starkov calls this shift to AI-first the biggest industry transformation since the Internet. He talks about Hotel AI Agents—systems plugged into your PMS, RMS, CRM, and more—that know your guests inside and out, offering real-time, 1:1 experiences.

But let’s be clear—AI or automation alone isn’t enough. Without clean, centralized data, even the smartest algorithms won’t deliver meaningful personalization.

That’s where the Central Guest Profile (CGP) comes in. As Michael Toedt, CEO of Dailypoint, puts it: “AI alone is not the solution.” The real power lies in building a unified guest profile that collects and connects every interaction, from booking to post-stay feedback, into one actionable dataset. More about this in another blog.

So, where does this kind of personalization fit in?

Anticipating Needs Before They’re Spoken

Personalization today isn’t just about remembering someone’s name. It’s about predicting their preferences and responding in real time at scale.

Juanjo Rodriguez, founder of The Hotels Network, says it best:

“Hotels will anticipate needs, tailor services, and provide seamless, real-time customization without constant human intervention.”

So, what does that look like in action?

• Suggesting a romantic dinner when a guest is celebrating an anniversary—while skipping the same prompt for a solo traveler.

• Noticing a family with toddlers at booking, and instantly offering babysitting services to lighten their load.

• Recognizing a loyal guest across borders, so someone who stays with your brand in Paris gets personalized recommendations the moment they check into your India property.

Smart Revenue Management

According to Piergiorgio Schirru from Blastness, technology will soon revolutionize revenue management by moving away from generic pricing to true personalized pricing.

Instead of just adjusting rates by season or room category, hotels can now consider:

• Guest loyalty and behavior

• Total spend potential (spa, dining, experiences)

• Real-time demand signals

When rates reflect true guest value, you get better conversions, and guests will feel like the deal was made just for them.

Tech-Powered CRM in Hotel Tech

From pre-arrival messages to post-stay thank-yous, CRM tools with automation are taking over the heavy lifting in guest engagement. They can:

• Trigger birthday or anniversary greetings automatically

• Send local event reminders based on interest

Personalization means nothing if your systems aren’t talking to each other. Your CRM should sync smoothly with your PMS for real-time guest data, event platforms, and marketing automation. Suddenly, your marketing and messaging will become personal.

Complete Journey Mapping with a Personal Touch

Now you can map a guest’s entire journey from search to stay. That includes:

• Room suggestions based on past choices

• Weather or flight-based activity recommendations

• Pre-arranged transfers and itineraries tailored to travel style

Everything can be pre-loaded and optimized—not just to meet expectations, but to make them feel connected.

Individualized Loyalty

Traditional loyalty programs are great, but they often miss the mark on personalization. So, IHG’s Rewards Club now uses chatbots to recommend redemptions, and Marriott’s Bonvoy uses AI to suggest personalized perks.

From Maintenance to Magic

Not just the guest-facing side—technology also solves internal inefficiencies. Think: predictive maintenance that alerts staff about a flickering light before a guest complains. Or "reading" unstructured guest notes (finally!) to discover behavioral patterns and preferences you didn’t even know existed.

As Angel Ferrufino, CEO of Crqlar, puts it:

“What used to take human teams hours or even days can now be done instantly.”

But Are You Still Afraid Of Tech?

Let’s face it: the world of tech can seem overwhelming. With so many tools and systems on the market, it’s easy to feel unsure about where to start or how to integrate new tech into your business. But it’s not here to replace humans — it’s here to elevate them.

The goal is to automate the repetitive tasks, freeing up your staff to focus on what truly matters: delivering meaningful, memorable service. It’s those moments when a guest says, “Wow, you really get me” — that’s the heart of personalization when done right.

As technology continues to evolve, no single vendor or tool will have all the answers. Which is why hotels need open systems, flexible integrations, and strong IT foundations. Relying on closed, legacy platforms might seem easier in the short term, but long-term, agility is everything. Today’s “hyper-personalization” will soon become the norm, and those who fail to adapt will quickly fall behind.

The Road Ahead

According to a report by Oracle Hospitality, 78% of travelers want to use tech to personalize their stays, but only 23% feel hotels are meeting those expectations.

That gap? It’s a massive opportunity for hotel tech providers and hotel owners.

Want to start implementing tech in your hotel? Check out this free guide on how to integrate cloud tech and AI into your operations.

FAQs

What is hyper-personalization in the hospitality industry?

Hyper-personalization in hospitality refers to using detailed guest data, behavior insights, and AI-powered tools to deliver highly tailored experiences. This means not just knowing the guest’s name, but anticipating their needs and preferences before they even voice them, making their stay feel uniquely designed for them.

Can small hotels implement personalized guest experiences?

Yes, even small hotels can implement personalized experiences by using affordable tech tools like CRM software, guest preference management systems, and AI-powered chatbots. These tools can be used to track guest preferences, send personalized offers, and ensure that each guest feels valued, improving guest satisfaction and increasing repeat business.

What is a Customer Relationship Management (CRM) system, and how does it help hotels?

A CRM system is a tool that helps hotels collect, store, and analyze guest information to enhance personalization and engagement. It tracks guest preferences, previous stays, and booking behaviors, allowing hotels to send targeted offers, anticipate needs, and improve customer service.

How can cloud-based technology improve hotel management?

Cloud-based technology allows hotel managers to access and manage data from anywhere, improving operational efficiency and guest services. It helps streamline front desk operations, centralize guest data, and enable real-time updates across departments. With a cloud-based Property Management System (PMS), hotels can enhance communication, optimize resource management, and improve the overall guest experience.

What tools or software can I use for cloud tech in hospitality?

Popular cloud tech solutions in hospitality include platforms like Revinate, Cloudbeds, and Mews. These platforms offer cloud-based property management, customer engagement, and revenue management solutions that help hotels create seamless experiences for their guests.

Will AI replace humans in the hotel industry?

No, AI isn’t here to replace humans — it's here to enhance their role. By automating repetitive tasks, AI gives staff more time to engage with guests on a deeper level. It improves operational efficiency and allows humans to focus on strategic decisions and meaningful customer interactions.