Let’s face it: our industry has never been famous for being data-driven. We’ve been running on gut feeling, Excel spreadsheets, and the shape of the moon. But the future doesn’t care about gut feelings. The future runs on data. And not just any data – connected data.
Connectivity is the magic word. Seamless, intelligent connections between different parts of your tech stack, between hotels within your portfolio, between you and your guests, and even between different segments of our industry (because sharing is caring) – all of that is supposed to shape the next generation of tourism.
But Houston, we have a problem…
Right now, most of those “connections” (if they exist) look more like a collection of pipes duct-taped together by an intern. And good luck trying to get it out without sacrificing three weekends and a small goat. Meanwhile, a golden ocean of data is accumulating, locked up in silos, ready to burst.
Data: the gold we’re wasting
Did you know that a single hotel reservation can carry around 50 data points, on average? It’s a treasure trove of insights. But on top of that, there is a whole army of other data points you, as a business, can collect, at every step of the guest journey. And that’s not all. Believe it or not, you can enrich that with comprehensive third-party data sets that allow you to have a true digital conversation with your customer and be confident that you’re addressing Mr. Smith, the businessmen from Beverly Hills who just flew in business class, and not Suzie with 4 kids coming to hang out in Legoland.
But the reality is: most hotels can’t use this treasure trove because the data sits in separate systems that don’t talk to each other.
CRM vs. CDP: the awkward family reunion
Here’s where things get interesting. Everyone’s heard of a CRM (Customer Relationship Management system). They’re basically glorified digital Rolodexes: first name, last name, maybe an email address if you’re lucky. Not very exciting.
Enter CDP (Customer Data Platform): CRM’s cooler, smarter cousin who just got back from Silicon Valley and can predict what you want for lunch. A CDP pulls in data from everywhere: your PMS, booking engine, loyalty program, marketing tools, even third-party sources, and creates a comprehensive guest profile so detailed it makes Facebook jealous.
Accuracy jumps from CRM’s sad 30% to CDP’s 97%. That’s the difference between “We think her name is Suzie” and “Suzie likes red wine, has four kids, prefers a king bed, and will probably book spa services if you offer her a deal before dinner.” That’s not just personalization. That’s digital mind reading.
The plumbing problem
The real issue isn’t the lack of data. It’s the plumbing. Hotel tech stacks are full of leaks, rusty pipes, and outdated valves. PMS platforms often hold reservation data hostage, with outdated APIs and integration fees. This keeps innovative tech providers out, leaving hotels stuck with legacy systems that feel about as modern as a fax machine.
Integrated data, on the other hand, fixes the pipes. It ensures that marketing, finance, operations, and revenue teams are all looking at the same version of reality. No more 14 conflicting reports floating around. Everyone gets to drink from the same fountain of truth.
Why integrated data wins (and silos lose)
Here’s what happens when you stop hoarding data in silos and start integrating:
- Guests get smarter service. Tailored pre-arrival emails, in-stay offers that actually make sense, and the ability to wow a guest before they even ask.
- Staff stop wasting time. No more duplicate data entry, mismatched reports, or awkward conversations.
- Revenue grows. With accurate, full guest profiles, hotels can finally achieve the mythical “right product, right guest, right time.” Yes, it’s possible.
The bottom line
AI and machine learning are already reshaping hospitality, but here’s the thing: AI is only as smart as the data it eats. Feed it siloed, outdated information, and it will spit out garbage. Feed it integrated, real-time data, and suddenly you’re playing in the big leagues, anticipating needs, personalizing experiences, and running your business like Amazon, not Blockbuster.
The hotel industry has a choice. Keep running on duct-taped systems and Excel Band-Aids or build the right pipes and finally use the goldmine of guest data we’ve been sitting on all along.
Because let’s be honest: in a world where even your fridge knows what you want for breakfast, the “we didn’t know our guest was allergic to peanuts” excuse just isn’t going to fly.
