AI Revolution in Service and Tourism Selling: Concepts and Difficulties

By: Phattanaviroj Thanaporn, Business Administration Department, Asia University, Taichung, Taiwan, E-mail: tp.fern@gmail.com

Abstract

This article explores the impact of Artificial Intelligence (AI) on tourism marketing by using a grounded theory approach. It identifies inclinations related to AI’s influence to tourism selling such as hotel, grouped in four concepts. AI reengineers interior developments, empowers increased workers, and performs figure personality and customer. It effects stakeholder relations, determines return on investment, improves sustainability, and rules data use. AI supports networks, transforms supply representations, and converts client developments and facilities through clever and analytical client attention. Moreover, highlights the variations of AI will bring to service and tourism selling.

Introduction

This article discusses the role of Artificial Intelligence (AI) in the tourism division, highlighting its transformative effect in problem-solving and generative conversational AI. Explores AI’s applications in personalization, recommender systems, robotics, and chatbots, altering operational and marketing functions. And questions how AI will continue to form organizations, particularly in the tourism marketing instance hotel marketing. addressing a gap in existing research and addressing the need for further exploration of AI’s applications in more tourism industry. By using three-part qualitative approach, including interviews, focus groups, and surveys, to examine potential transformations brought about by AI [1].

Theoretical foundations of AI in tourism industry

AI

Artificial Intelligence (AI), capacity to imitate human intellect for problem-solving. The criteria for intelligent systems have evolved, requiring autonomy, self-awareness, creativity, and social capabilities. This article defines AI systems as those talented of autonomously replicating human thoughtful, making a decision, and performing advanced operations on wide data information. Moreover, discusses the cooperative and transformative aspects of AI in conjunction with human intelligence [2].

AI’s probable transformative and substitutive authorities comparable to machines or IT. The blend of AI with big data is positioned as a general-purpose technology with important powers. AI solutions are praised for their cost-effectiveness, speed, and lower error rates compared to human complements, showcasing their potential to discover patterns in data beyond human capacity [3].

Impact of AI in marketing sector

AI’s role in marketing mechanization is defined as optimizing customer attraction, search methods, and product development based on customer requirements. The transformative potential of AI in marketing is highlighted, predicting a shift from the traditional customer journey to real-time, personalized interactions. Programmatic consumption, were mechanized processes drive customer journeys and purchase decisions. AI is expected to enhance marketing efficiency, with a focus on personalized, context-aware, and real-time actionable insights. The positioning of AI is identified as a key capability, driving differentiation in companies. Challenges in AI marketing, such as incomprehensibility, disconnection, and vulnerability, are identified. The importance of addressing these challenges is emphasized for the successful combination of AI into marketing approaches [4].

AI with hospitality and tourism business

AI applications, such as Chatbots, are explored for providing 24/7 communicating customer service, answering inquiries, offering personalized recommendations, and handling booking requirements. The implementation of AI in these areas aims to improve customer engagement, loyalty, and satisfaction. Despite these advancements, challenges continue in AI system operation, including the need for high-quality data, complexities in positioning AI systems with human employees, and historic struggle to technology adoption in the business-like hotel sector [5]. Consumer privacy concerns and reservations about the speedy development of AI also pose fences to widespread adoption. The application of AI in hospitality business is discussed, encompassing several activities like segmentation, value suggestion, produce strategy, supply, rating, client association managing, and designation administration. The potential of AI in anticipating guest requirements, tailoring selling operations, and optimizing income managing approaches is also emphasized [6].

Method

This article used a stranded system method with three interlinked steps. The primary step discovered AI experts’ opinions on AI technology application in business problems. The second step used emphasis clusters to examine hospitality marketing issues. The third stage used a quantitative survey to confirm findings and assess the impact of the COVID-19 pandemic on these trends.

Benefit for marketing section

The article highlights the importance of AI in service and tourism marketing, managers need to consider the potential additional of individuals by technology and the progress of AI databased facilities. AI can offer personalized customer experience (CLV) and significantly improve conversion rates. The article also proposes that producing good multifaceted data will convert a main viable feature, with organizations evolving progressive processes to achievement them in exclusive ways. Presently, only huge numerical businesses can generate such datasets, suggesting that associations or innovative partnerships should be considered to create smart ecosystems [7].

Employee training is vital for effective AI use in service marketing departments such as in the hotel. However, challenges rise due to the complication of AI’s operation. Administrators should study new courses procedures that expand understanding and join technical operate to support AI deployment [8-12].

Conclusion

The article explores the impact of AI on tourism and service selling, highlighting the need for organizational and technological combination. AI innovation generates value through data, content platforms, and processes, allowing for personalized segmentation and real-time value cocreation. It also highlights the importance of considering emotional and sustainability variables in CLV predictions, resulting in personalized experiences for travelers. However, limitations including a lack of specific knowledge from AI experts, lack of focus groups in different markets business, and the use of a method with marketing specialists, which could growth the future development of AI.

Reference

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Cite As

Thanaporn P. (2024) AI Revolution in Service and Tourism Selling: Concepts and Difficulties, Insights2Techinfo, pp.1

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