Is Generative Al Over-Hyped or Does It Have Real Business Value?

Michael Goldrich, Founder & Chief Advisor, Vivander, HSMAI Marketing Advisory Board Member 

For the past year, generative AI has been everywhere, but is it all hype? I set out to explore this question with HSMAI Marketing Advisory Board at a recent meeting. There were mixed opinions in the room, highlighting both the potential and the challenges of integrating AI into the hospitality sector. 

3 Key Suggestions from Our Discussion:  

  1. Invest in AI Education and Understanding 
  2. Develop Clear AI Policies and Guidelines 
  3. Foster a Culture of Collaboration and Knowledge Sharing  

AI’s Promise and Pitfalls 

Our discussion revealed that some still view AI with a degree of skepticism, concerned about the hype and possible limitations of the technology. Others, however, see immense promise in AI’s ability to revolutionize various aspects of hotel operations. This divide underscores a broader need for more education and understanding of AI’s capabilities and limitations. 

The key challenge lies in balancing the opportunities AI presents with the risks it carries, particularly concerning data privacy and regulatory compliance. Adopting AI isn’t just about harnessing new technology; it’s about doing so responsibly. This requires cautious, informed approaches, coupled with clear guidelines and policies that mitigate potential risks while maximizing benefits. 

One consensus among participants was the vital role of continuous learning and knowledge sharing. To effectively leverage AI, hotel executives and staff need to understand its complexities and stay informed about the latest developments. This involves not just individual learning but also fostering a culture of knowledge sharing and collaboration. Regular discussions and exchanges of best practices can help create a more informed and prepared industry, ready to harness AI’s potential. 

As technology continues to rapidly improve, these insights can help set us up for success and make informed decisions about integrating AI into our organizations. 

Further Reading:  

Economic potential of generative AI | McKinsey 

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Goldman Sachs Research Newsletter 

Gartner Places Generative AI on the Peak of Inflated Expectations on the 2023 Hype Cycle for Emerging Technologies  


Categories: Marketing
Insight Type: Articles