Guest experience transformation for a leading hospitality brand using Generative AI on AWS

The travel and hospitality industry is undergoing a rapid transformation, driven by evolving customer expectations and the rise of digital technologies. Guests today demand personalized experiences, seamless interactions, and real-time responsiveness, making it imperative for hospitality providers to adapt swiftly.

Customer overview

This case study explores how a leading U.S.-based hospitality brand strategically implemented Generative AI and machine learning on AWS to transform the guest journey, optimize revenue streams, and improve operational efficiency across its diverse portfolio of properties.  From personalized recommendations to dynamic pricing, this initiative aims to enhance every touchpoint of the guest experience.

Challenges in balancing guest experience and operational efficiency

The path to building a smarter hospitality solution wasn't without its obstacles. The organization faced several significant challenges that needed to be addressed before progress could be made.

• Room occupancy forecasting: Difficulty in accurately predicting seasonal demand patterns and event-driven occupancy shifts.
• Dynamic pricing optimization: Inability to dynamically adjust pricing based on real-time demand, competitor pricing, and market conditions.
• AI-powered guest communication: Lack of multilingual guest support, leading to longer response times and reduced guest satisfaction.
• Personalized content generation: Need for generating tailored marketing content, reducing guest engagement.
• Real-time business dashboards: Limited access to real-time insights and analytics to support faster and more informed business decisions.

How we helped our customer achieve their business goals

To address these challenges, the hospitality brand partnered with us to build a comprehensive Generative AI-powered platform on AWS. We designed the solution architecture to be scalable, secure, and cost-effective, leveraging serverless technologies and auto-scaling infrastructure.

1. Cloud migration

Executed a secure, compliant, and scalable cloud migration strategy, transitioning the brand's infrastructure to AWS. This strategic move significantly reduced operational costs through the implementation of serverless architectures, auto-scaling infrastructure, and on-demand resource allocation.

2. Generative AI

Deployed cutting-edge Generative AI models to revolutionize the guest experience.  These models automate the creation of hyper-personalized recommendations, tailored offers, and dynamic marketing content, significantly increasing guest engagement and driving loyalty.

3. Data integration and management

A critical component of our solution involved consolidating guest information from disparate sources.  By creating a 360-degree view of each guest, we unlocked unprecedented opportunities for personalized interactions and proactive service.

4. Machine learning

Fine-tuned DeepAR models using the brand's specific booking data, incorporating seasonality trends and relevant economic indicators. This resulted in significantly improved forecasting accuracy.  Furthermore, we customized XGBoost models to optimize pricing strategies, maximizing revenue potential.

5. Business applications

Seamlessly integrated AI-powered business applications with the client's existing hotel management systems. This ensured unified operations and facilitated the delivery of personalized guest services. A key element of this integration was the deployment of multilingual AI chatbots, providing real-time guest support and dramatically reducing response times.

A new and smarter hospitality ecosystem using Generative AI

Our approach combines business insights, advanced AI technologies, and secure cloud solutions to ensure sustainable growth and operational excellence.

1. Personalized guest experiences

Using Amazon Bedrock and PyTorch, Generative AI models were trained and deployed to create tailored guest experiences. These models analyze guest profiles, stay history, and stated preferences to recommend personalized room upgrades, curated dining experiences, and targeted offers, enhancing each guest's stay.

2. AI-powered dynamic pricing engine

A real-time dynamic pricing system was built using Amazon SageMaker, leveraging XGBoost models. This system analyzes demand trends, competitor pricing, and local market conditions to dynamically adjust room rates, optimizing revenue generation while remaining competitive.

3. Event-driven demand forecasting 

Automated forecasting models were developed with DeepAR on Amazon SageMaker to predict occupancy fluctuations during local events. This improved forecast accuracy, enabling more effective resource allocation and maximizing revenue opportunities.

4. GenAI-powered chatbots

Multilingual AI chatbots were launched using Amazon Lex and Bedrock, powered by RoBERTa models. These chatbots provide 24/7 guest support in multiple languages, reducing response times, improving guest satisfaction, and freeing up staff to handle more complex requests.

5. Sentiment analysis and feedback automation

Real-time sentiment analysis was implemented using Amazon Comprehend and DistilBERT.  This system analyzes guest reviews and feedback, providing valuable insights into guest sentiment and driving proactive service improvements, ultimately boosting guest engagement.

6. Real-time business intelligence dashboards

Live business intelligence dashboards were created using Amazon QuickSight. These dashboards provide predictive analytics visualizations, empowering Hyatt with real-time insights to support faster, data-driven decision-making across the organization.

Success metrics and impact of our solution

With the implementation of the new AI-driven platform, our customer witnessed significant improvements across various aspects of its business.

1. 30% Increase in demand forecasting accuracy

Leveraged DeepAR models on Amazon SageMaker for time-series forecasting, enabling precise room occupancy predictions.

2. 25% Boost in revenue from dynamic pricing

Real-time dynamic pricing powered by Generative AI models, optimizing rates based on demand and competitor pricing.

3. 30% Uplift in guest engagement

Hyper-personalized recommendations using Amazon Bedrock resulted in higher guest engagement and repeat bookings.

4. 40% Faster guest resolution times

Multilingual AI-powered chatbots provided instant guest support, enhancing the guest experience.

5. 20% Reduction in operational costs

Serverless architecture and auto-scaling infrastructure optimized AI compute costs.