AR in Hospitality Industry: Uses, Benefits & Future Trends

Key Takeaways

• Augmented Reality (AR) offers interactive features like virtual tours and digital menus, creating a more engaging and personalized stay for guests.
• AR regulates processes such as check-ins and navigation, improving hotel operations and guest convenience.
• The integration of AR with technologies like AI and wearable devices will continue to transform the hospitality industry, offering even more innovative experiences.

Technology has quickly become a game-changer in the hospitality industry, transforming the way hotels, restaurants, and the tourism industry operate. From smart rooms to seamless online bookings, tech innovations are enhancing guest experiences like never before.

One of the most exciting advancements is Augmented Reality (AR). AR in the hospitality industry is reshaping the guest experience by offering interactive features, such as virtual hotel tours, digital menus, and real-time navigation.

As AR continues to evolve, it opens up new possibilities for personalized, engaging, and efficient services that help businesses stand out and create memorable experiences for their guests.

What Is AR in Hospitality?

With digital transformation being embraced by the hospitality industry to enrich guest experience, AR has now become a must-have, not a nice-to-have. AR blends digital elements with the real world, creating an interactive experience for users. Unlike Virtual Reality (VR), which replaces surroundings entirely, AR enhances what’s already there by overlaying images, sounds, or text through a smartphone, tablet, or AR glasses.

In hospitality, AR transforms guest experiences, marketing, and operations. Hotels use it for interactive room previews, digital concierge services, and immersive city guides.

When a customer wants to make a reservation, the first thing they do is check out the hotel. Being that online images don’t necessarily paint the full picture, using AR will give customers a clear view of the hotel, including rooms, bars, and other amenities.

Restaurants, on the other hand, use AR differently, but for the same purpose—to be transparent about their offerings. In this regard, AR provides customers with clear and engaging information, helping them understand products or services more effectively.

Applications of AR in the Hospitality Industry

AR is reshaping hospitality by making experiences more interactive and engaging. Hotels use AR for interactive environments, where guests scan walls or furniture to access hotel information, as virtual tours and check-ins allow travelers to explore rooms before booking and check-in without waiting at the front desk.

AR also enriches local exploration, offering real-time translations and historical insights. Innovative marketing strategies, like AR ads and gamified promotions, keep guests engaged and entertained.

Interactive hotel environment

AR is revolutionizing hotel rooms by transforming them into interactive spaces. By overlaying digital information onto the physical environment, AR allows guests to access real-time information and services seamlessly.

A notable example of how AR is being used for interactivity is the Eccleston Square Hotel in London, which offers smart glass bathroom walls that switch between transparent and opaque with a touch, adding a futuristic touch to privacy.

Voice-activated in-room assistants further elevate the experience. Devices like Angie by Nomadix serve as multilingual digital concierges, allowing guests to control room settings, request services, and obtain hotel information through voice commands.

Similarly, Amazon's Alexa has been integrated into hotel rooms, allowing guests to adjust lighting, temperature, and entertainment systems hands-free.

Virtual tours and check-ins

Through AR-powered virtual tours, potential guests can explore hotel rooms, lobbies, and amenities from their devices, providing a realistic sense of the property. Marriott Hotels has introduced an AR app that allows potential guests to virtually explore their resorts in the Caribbean and Mexico. This app offers 360-degree views of the properties, enabling users to experience the amenities and surroundings before making a booking.

Upon arrival, AR can be used to improve the check-in process. Hotels like Hilton utilize digital check-in via their mobile app, allowing guests to select rooms and access them using a digital key, reducing wait times and minimizing physical contact.

Inside the hotel, AR-powered navigation assists guests in locating amenities such as restaurants, gyms, or conference rooms. By pointing their smartphones at hotel maps or signs, guests receive interactive directions and information, enhancing their overall experience.

Enhanced dining experiences

When it comes to enhancing dining experiences, one notable application is AR menus, where guests can view 3D visualizations of dishes before ordering.

Domino was way ahead of its time in terms of AR experiences when it launched its “New Pizza Chef” back in 2018. With this feature, Domino’s customers were able to make the pizza of their choice and preview it with AR.

Another example is Denny's, which has implemented an AR menu accessible via mobile devices, allowing customers to see detailed images of their meals, enhancing decision-making and satisfaction.

Interactive tables further enrich the dining experience by projecting engaging visuals and information directly onto the table surface. The Le Petit Chef concept utilizes 3D projection mapping to display a miniature animated chef who "prepares" the meal in front of guests, adding a theatrical element to dining.

AR storytelling engages diners in narratives related to their meals. At Alchemist in Copenhagen, the dining experience combines visual and performing arts with cuisine, using projections and thematic presentations to provoke thought and engage guests on multiple sensory levels. So truly mesmerizing that it has been regarded as Denmark’s best restaurant.

Local exploration

AR can effectively be used to provide guests with immersive and informative local experiences. Before booking, potential guests can use AR to preview hotel rooms, amenities, and nearby attractions. By scanning images or brochures with their devices, they can access 3D models and interactive content, providing a realistic sense of the property.

Through AR-enabled applications, guests can also point their smartphones at nearby attractions to access detailed information, reviews, and historical context.

The World Around Me app, for example, allows users to discover nearby points of interest, such as restaurants, hotels, and attractions, by overlaying information on their device's camera view.

Besides providing guests with enriched cultural experiences, these collaborations support local institutions, building a deeper connection between visitors and the community.

Innovative hospitality marketing

It’s no secret that effective marketing is crucial in the hospitality industry to attract and engage potential guests. AR has now emerged as a powerful tool in this domain, offering experiences that captivate audiences.

Hotels are leveraging AR to create interactive advertisements and promotions. Holiday Inn developed an AR experience that allows guests to use their smartphones to view virtual depictions of celebrities within the hotel premises, adding an element of surprise and delight.

Another great example is the Singapore Tourism Board, which offers a library of AR ideas that local hotels utilize. For example, guests can use their smartphones to scan a room and find hidden items, each offering a reward, and upon finding everything, they can unlock prizes, including discounts on room service.

Benefits of AR in Hospitality

AR technology is growing quickly, with the market expected to increase by 40.9% by 2030. This significant increase translates into many benefits, with the most prominent being:

• Improved guest engagement: AR lets guests interact with their environment in fun ways, like seeing 3D images of meals before ordering. This makes their experience more enjoyable and can lead to happier, repeat customers.
• Operational efficiency: AR helps automate things like check-ins and guiding guests to amenities, saving time for both guests and staff. This leads to faster service and satisfied guests.
• Competitive advantage: Hotels using AR stand out from the competition. Offering experiences like virtual room tours can attract more guests who are constantly seeking the unique.
• Marketing and booking advantages: AR helps guests explore hotels before booking, leading to higher bookings. Studies show that AR ads increase engagement and conversions.

Challenges and Considerations

While implementing AR in the hospitality industry offers numerous benefits, it also presents several challenges. The most common are:

• Implementation costs: Developing and integrating AR technology can be expensive. For example, creating a custom AR app can cost between $30,000 and $300,000.
• Guest adaptation: Not all guests are familiar with AR. To address this, hotels can offer simple tutorials or guides to help guests understand and enjoy AR features.
• Privacy and data security: AR systems collect data, raising privacy concerns. Hotels must ensure they protect guest information by following strict data security measures and complying with privacy laws.
• Maintenance and updates: AR technology requires regular maintenance and updates to function properly. Hotels should plan for ongoing support to keep the system running smoothly.

Augmented Reality vs. Virtual Reality

AR and VR are both transforming the hospitality sector, but they work in different ways.

• Augmented Reality (AR) enhances the real world by adding digital layers. It focuses on improving guest engagement by overlaying information, such as virtual room tours or interactive menus. AR is great for marketing and helping guests explore hotels, as it doesn’t require special equipment beyond smartphones.
• Virtual Reality (VR) creates a completely virtual world. It’s ideal for in-depth training simulations for staff or offering potential guests a fully immersive preview of hotel amenities.

Future AR Trends

AR is set to revolutionize the hospitality industry with several emerging trends:

• Integration with AI and IoT: Combining AR with Artificial Intelligence (AI) and the Internet of Things (IoT) will enable personalized guest experiences. For example, smart rooms could adjust lighting and temperature based on guest preferences, all controlled through AR interfaces.
• Wearable AR devices: The development of wearable AR devices, such as smart glasses, will allow guests to access information hands-free. This could include real-time navigation within the hotel or instant access to service requests, enhancing convenience and engagement.
• Sustainability applications: AR can promote sustainable practices by providing guests with information on eco-friendly initiatives, such as energy-saving tips or waste-reduction efforts. This transparency can encourage guests to participate in sustainability programs that align with growing environmental concerns.

These trends indicate a future where AR not only enhances guest experiences but also integrates seamlessly with other technologies to create a more efficient and personalized hospitality environment.

Redefining Hospitality Experiences With AR

AR is fundamentally changing the way the hospitality industry operates, elevating guest experiences with the use of virtual tours, interactive hotel rooms, and fun dining options. AR also helps hotels improve their operations and marketing and stand out from the competition. Looking ahead, AR will continue to grow with new ideas like wearable devices, AI, and sustainable practices.

If you're interested in exploring how technology is shaping hospitality, studying at SHMS will give you the tools to learn all about these exciting changes. With a BA in International Hospitality Management, you gain a keen understanding of emerging trends, challenges, and expectations shaping the future of hospitality globally.

Frequently Asked Questions

What are the 4 types of AR?

The four types of AR include:

• Marker-based AR: Uses a physical marker to trigger and overlay digital content in the real world.
• Markerless AR: Relies on sensors and cameras to place digital content without needing physical markers.
• Projection-based AR: Projects digital content onto physical surfaces, interacting with the real world.
• Superimposition-based AR: Replaces or enhances the view of real-world objects with digital content.

How does AR benefit the tourism industry?

Augmented Reality (AR) helps tourists explore destinations with virtual guides, provides historical context, and offers real-time information about landmarks. AR also enhances engagement, making attractions more accessible and memorable while driving interest and increasing customer satisfaction.