Hotels are becoming more than a place to sleep. Particularly in the lifestyle and luxury sector, hotels will focus on the entire guest experience, from enhanced and more diversified food and beverage offerings, to innovative wellness concepts, wider entertainment options and sophisticated co-working spaces. is guessing. The aim is to truly engage guests and locals alike in a hotel that fosters community, connection and collaboration.
But what about nights when no guests are staying at the hotel? Enter the Metaverse. Hotel companies can use this virtual world, where people can interact with each other and manipulate digital objects in a three-dimensional environment, to bridge the gap between stays at physical properties. In fact, as hotel companies increasingly turn to the metaverse to extend their brand reach, deepen guest loyalty, and drive revenue, the metaverse has become another cornerstone of the increasingly competitive travel industry. We think it will be the front line.
Hotel guests regularly stay in hotels. The Metaverse promises a place where people can regularly and continuously connect and collaborate through shared experiences such as concerts, conferences, trade shows and other networking and entertainment traditionally held in physical hotel facilities. for example, Citizen M announced in 2022 that it is developing a hotel within the Metaverse that will offer such a shared experience.
The power of the Metaverse is to offer a truly immersive experience, unlike the Internet today. Guests can virtually roam the hotel and experience curated elements of its physical offerings and brands, from grand lobbies with high ceilings and modern furnishings to virtual shops, art galleries and other amenities. can. Visitors can mingle with other avatars while enjoying virtual cocktails in the lobby bar or stop by the concierge for suggestions on evening entertainment.
In addition to offering multiple commercial and partnership opportunities, such an immersive experience will help foster a sense of connection among guests in the Metaverse and sharpen their understanding of the hotel’s value proposition. There is a possibility. This increased sense of connection is effective in driving physical location occupancy and room rates. This is a key factor in building the business case for the investments required to establish a vibrant metaverse presence.
Several considerations should be evaluated as part of a strategy to establish a hotel experience in the metaverse that exceeds what guests expect from a physical hotel.
- investment. Establishing a presence within the metaverse requires significant human and capital resources, especially since creating engaging, interactive, and useful content requires constant attention and iteration. It’s even more important here. A virtual hotel experience should not only meet but exceed the expectations of the audience your hotel is trying to reach. This challenge is exacerbated by today’s relatively low metaverse adoption rate. An important first step for hotels is to understand their guests’ needs and expectations in the physical world to inform and shape their content in the metaverse.
- integration. Hotels must decide how best to integrate their presence in the metaverse with their physical locations. Virtual and physical strategies cannot be treated as separate entities. Both elements must be supported by a human and capital infrastructure developed and implemented to drive an integrated strategy across all aspects of events, amenities, loyalty programs, and other guests. experience.
- safety. A key driver for hotels to establish a presence in the metaverse is to deepen connections with existing and potential guests by gathering data and information about visitors to virtual properties. must be maintained. However, the Metaverse is fraught with risks of cyberattacks, fraud and data breaches. That’s why you need meaningful investments in cybersecurity and surveillance. As in the physical world, proper protection of data and information is critical to maintaining guest trust and, in turn, guest loyalty.
- position. As in the physical world, the metaverse is all about location. There are four main considerations. accessibilityso you can easily find and navigate your hotel from different devices and platforms. demographicsmake sure it’s placed in an area of the metaverse likely to reach your target audience. branding, a location consistent with the spirit and values of the hotel.and priceThis is because the higher the cost of a place in the metaverse, the more stable the legal entitlement and the higher the potential for visitors (and revenue generation). The metaverse landscape remains fragmented, and the uncertainty as to where it will prove viable and stable makes these sites particularly difficult to consider.
- Earnings. Which elements of the virtual experience should the hotel offer for free? What should they charge for? So it depends in part on whether it’s a standalone profit center, a destination that brings revenue to a physical location, or a combination of both. Pricing approaches include a membership model where guests pay a monthly fee to access all events and content created by the hotel. “Pay-as-you-go” model. This allows for a more dynamic approach to pricing/yield management. Or a combination. Hotels should experiment to determine how they can best achieve their revenue generation goals.
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Metaverse hotels have endless possibilities. Hotel companies have the opportunity to establish and optimize virtual venues where visitors can find, connect and collaborate with communities alongside physical locations. These efforts enable deeper levels of guest engagement, satisfaction and loyalty, broaden the hotel’s brand reach and enable a stronger and more resilient operating model.