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January 22, 2010

Hotel Industry Expected to Generate $2 Billion on IP Telephone Systems by 2014

By Susan J. Campbell, TMCnet Contributing Editor
Hotels and resorts are consistently seeking ways to deliver better customer service and sophisticated systems based on IP telephone networks will enable a range of new services. While the implementation in this industry has had a slow start, expect to see considerable activity by 2014.

According to ABI Research, worldwide revenue from such systems totaled only $869 million in 2008. By the end of 2014, annual earnings are expected to exceed $2 billion. Systems should eventually penetrate mid-range hotels, but initial implementation will be seen mainly in the top-tier properties that cater to those willing to spend $300 or more per night.

ABI Research (News - Alert) vice president Stan Schatt said in a statement, “High-end hotels are increasingly turning to technology as a differentiator to attract a high-spending clientele. These services put a premium on improving customer service and staff accountability.”

The implementation of such technology into hotels can provide a variety of different customer-focused services. When a guest orders room service, managers can use phone-based technologies to see who took the order, track its current status and measure how long it took to fill the order.

For a guest who would like to evaluate the hotel’s restaurants before visiting, a screen on the phone shows videos of all options and allows for bookings to be made directly from the screen. When lounging by the pool, a wireless phone shows options available in the hotel gift shop and another button makes a purchase. The purchase is then billed to the room account.

“The variety of technologies needed to deliver such services means that this market is difficult for vendors to reach,” said Schatt. “It may require several different channels, including systems integrators.

Companies like ConnectMeVoice are well positioned to meet the anticipated demand in the industry for IP phone systems over the next few years. With more than 25 years experience developing telecommunications technology, ConnectMeVoice delivers robust solutions to SMBs throughout the world seeking a powerful hosted PBX (News - Alert) to meet all their communication needs.

For more, check out the Hosted PBX channel on TMCnet.

Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com. To read more of Susan’s articles, please visit her columnist page.

Edited by Stefania Viscusi

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