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Looking Ahead to How Agentic AI Will Revolutionize Hotels – Image Credit HSMAI
The HSMAI Foundation recently published a report, The State of Generative AI in Talent Management for Hotel Sales, Marketing, and Revenue Management, exploring the impact of generative AI on various facets of talent management, particularly focusing on the domains of hotel sales, marketing, and revenue management. It provides insights, data, and forward-looking perspectives that are essential for industry professionals to stay ahead in an ever-evolving landscape. This excerpt is taken from the final section of the newly released report.
By mid/late-2025, a clear divide will emerge in the hospitality industry. Forward-thinking hotels that leverage AI to enhance their commercial teams’ capabilities will gain a decisive edge, initiating a profound recalibration that will reshape industry standards and guest expectations.
At the moment, a majority of hotels are still getting on board with generative AI, trying to understand what it is, how it works, and where it can create the most value. From crafting personalized email responses to automating guest inquiries, generative AI has proven its worth as a productivity booster. Yet, the hospitality industry is barely scratching the surface of its potential.
As hotels navigate learning generative AI, the next wave of AI innovation is already emerging, agentic AI. This technology promises to go far beyond generative AI’s capabilities, changing AI from a helpful assistant into an autonomous, decision-making partner. This virtual partner can assist in managing operations, driving revenue, and anticipating needs without waiting for human input. In other words, just as the industry begins to understand the current phase of AI, the next phase is already charging right behind it.
Bridging the Gap from Generative to Agentic AI
To fully appreciate the impact of this shift, it’s critical to understand the difference between generative and agentic AI. Generative AI tools, such as those that assist in content creation or task automation, work well within defined parameters. However, they rely on human direction to be effective. In contrast, agentic AI introduces autonomy, giving AI the ability to identify problems, evaluate solutions, and act independently.
For example, where generative AI might create a beautifully written proposal or marketing email, agentic AI can take the next step. Identifying a target opportunity, strategizing an approach, and executing a personalized outreach plan without needing human intervention. It’s not just assisting the team; it’s driving action, solving problems, and delivering measurable results.
Real-World Applications of Agentic AI in Hospitality
The possibilities for agentic AI in hospitality for commercial teams is immense.
- Sales
Currently, generative AI is starting to be used for tasks like drafting proposals. But agentic AI can proactively identify high-value opportunities, such as local companies booking meeting spaces elsewhere, and create and execute strategies to win their business.
- Marketing
While generative AI helps with content creation, agentic AI can autonomously monitor engagement metrics, identify trends, and adjust strategies on the fly. For example, if young professionals in neighboring cities respond strongly to a rooftop bar promotion, agentic AI can reallocate budgets, refine messaging, and even suggest menu changes to capitalize on the trend.
- Revenue Management
Existing AI systems provide pricing recommendations, but agentic AI takes it further by driving revenue strategies end-to-end. For instance, when a major event is announced in the area, agentic AI can instantly adjust room rates, create targeted packages, and ensure staffing levels align with anticipated demand, all without human input.
The future of hospitality is unfolding faster than most realize. While generative AI is still being explored, agentic AI is already here, offering new opportunities for those willing to embrace the change.
Read the full report for even more insights into talent management using AI here: global.hsmai.org/research
This article originally appeared on HSMAI.
