For service industries like hospitality, artificial intelligence (AI) cannot simply be regarded as another tool but must be seen as an “enabler” that transforms existing technology, integrates with robotics and automation, and drives the creation of new solution-specific technologies. However, AI application will vary significantly across different hotel segments.

Budget hotels are incentivized to adopt AI-driven technologies that lower operating costs, whereas luxury operations selectively implement AI where it enhances guest experience or reduces repetitive operational processes without diminishing personal interaction - their key competitive advantage. Similarly, city center hotels may prioritize automated arrival process for speed and efficiency, while beach resorts and retreats maintain a focus on personalized experiences, selectively integrating AI.