Data analytics in the hospitality sector

What is the Hospitality industry?

The hospitality industry simply is a type of business that focuses on meeting leisurely needs rather than basic ones. Their main goal is customer satisfaction. The hospitality industry can be grouped into different sectors: Food and beverages, Travel and Tourism, Lodging, Recreation, Event planning, Theme parks, and other fields within the tourism industry.

Role of analytics.

Any business that primarily deals with customer service to stay relevant in the business or competitive must learn to adapt to changing customer needs.

Different customers have different sets of expectations, needs, and desires. Therefore, to effectively meet the individual expectations or guests and retain them one has to use advanced solutions like data analytics, hence the role of big data in hospitality is very significant since the sector caters to a large number of people every day. Getting the right insights gives you an advantage in a competitive business environment like this.

The hospitality sector has been faced different challenges before and remains a problem to some businesses in this sector. Big Data comes in as a solution to this. Below are some of the ways that big data can benefit the hospitality sector:

  1. Revenue Management

Using the data gathered from within and information available online businesses can use big data for revenue management strategy particularly for predictive analysis. This allows owners to more accurately anticipate levels of demand.

  1. Targeted Marketing

Big data help in understanding the characteristics that distinguish various customers in the sector from hotel guest to travelers and their preferences. With knowledge of each group's behaviors and expectations, marketing can be tailored to meet this hence greater conversion rates.

  1. Customer/guest experience

Analyzing service usage data, feedback from customers on social media, reviews posted on websites, and other related information can help the customer service team identify significant trends of customer opinions, discover their strengths and weaknesses, and know where to improve as a business. This in return will address guests' concerns hence attracting more customers.

  1. Competition Analysis

With the right insight on your competitors’ shortcomings and the services they offer. Businesses can easily identify where to capitalize for it to remain relevant in the market today. All this information is available online on social media forums, travel publications, and review insights.


Over recent years, data analytics has proven to be a powerful game-changer in the Hospitality sector. Businesses within this sector that have turned to advanced analytics have proven to be more competitive in this field. An example is Marriott they use Group Pricing Optimiser (GPO) that enables them to sell the way a specific set of customers want to buy. In Kenya, the majority in the hospitality sector are yet to adopt advanced analytics into their businesses. The primary goal in hospitality is customer satisfaction. To achieve this, one needs to have a clear understanding of the customer, which is possible using Big data analytics.

For help, contact us