The digital transformation is moving forward and gives rise to new trends and solutions that organizations incorporate into their systems.
The industries try to use these solutions to keep up with new customer demands and survive the competition. Also, the purpose of digital innovations is to facilitate the work of companies, automate their operations, and enhance customer engagement.
Due to the worldwide pandemic, the percent of banking customers using their banks’ mobile apps has increased. According to the latest report by Deloitte, Bank of America’s business banking app witnesses a 117% growth in mobile check deposits.
Also, the report shows that 44% of customers choose to use mobile banking apps. So, the banks start to think about how to enhance the customer's experience while using the application.
A possible solution is a gamification, but its usage is not limited only to a better customer experience. Businesses can take a lot from it, achieve better performance and engagement of their employees, and drive their organization’s digital transformation.
Gamification in Business: What Is It and How Can You Apply It?
Businesses from different industries implement Gamification strategies to enable high-quality performance and learn more about their customers. New technologies have changed our living experiences by making them more fun, efficient, and convenient.
What is gamification? It is a type of solution that uses gaming strategies and techniques and applies them in the non-entertainment environment.
In business, it means the usage of game design and mechanics, for instance, creating a challenge or competition and rewarding success.
The solution aims to motivate people to achieve their goals. It uses techniques from behavioral science to “nudge” people into achieving their goals that are different from the ones applied in video games and loyalty programs, as explained by Gartner.
Gamification uses game mechanics to trigger motivational affordance and create psychological outcomes for the users, leading to behavioral outcomes.
The educational and development sectors use this technology to enhance the learning processes and motivate the users.
Businesses take the essence of games and employ them in real-world operations. The implementation of the trend is not limited to the educational sector. You can also find it in e-commerce, banking, finance, sales, fitness, etc.
The Benefits of Gamification for the Businesses
Gamification solutions are simple to adopt into the processes of any business. Companies of any size and industry can use it and experience the following benefits.
The solution can enhance the engagement of both: your employees and customers. Companies should pay attention to the employees’ involvement, as the higher it is, the faster organization progresses.
Gamification allows more interaction, instant feedback, and a sense of achievement in the workplace. For instance, creating tracking of work progress will let your employees see their path in a project and develop ways to complete their tasks quicker.
Constructive and instant feedback will help your team to analyze their performance and benefit from it.
As for the customers, the solution helps increase brand awareness, promote brand loyalty, and enhance engagement. It is essential to build a strong connection between a customer and your organization.
There are several ways to apply the solution:
establish purpose and meaning of tasks, so your employees know why they have to do them (for instance, send out notifications before each task);
create leaderboards - they will help the users to see where they are among the others and sustain compatibility;
feedback - it can come in various forms (emails, on-screen notifications, word of mouth, etc.), to promote motivation, congratulate users on achieving their goals, or encourage them to proceed to the next step of the project;
points - give points to the users to encourage them to reach higher goals. They will help the participants to monitor their progress;
badges - use them to identify the skills and experience within the team. Once someone accumulates a certain number of points, they can be rewarded with a badge;
Goals - accumulation of points and badges will lead the users to the final goal, etc.
Gamification techniques vary in their nature, but they all aim to promote the active interest of the users, their engagement, and to modify their behaviors.
These and other gamification ideas can find ways of application in the baking environment.
Games play a significant role in reducing perception barriers, such as the difficulty of human relationships with the computer, the usability, the lack of security, and the ease of use of computer applications.
Also, interactivity in games influences the overall emotion and simultaneously increases the positive effects on the users.
Gamification in Banking: Ways of Application
Gamification challenges e-banking to develop and implement new features in traditional business applications, namely the elements and characteristics frequently associated with online games (e.g. easy process, attractive design, points, leaderboards, rewards, etc.).
The implementation of business software, with the game elements and characteristics, offers a powerful tool for imparting information, changing behaviors, influencing the decision-making process, enhancing customer engagement, and motivating customers and employees.
For most people, e-banking activities are not fun or attractive. The majority still prefers to conduct their financial operations at a physical point of sale with face-to-face services.
But today, banks seek diverse cognitive processes and various means to influence user’s attitudes regarding banking, such as offering fun experiences that motivate customers to spend more time online, which allows users to view new offers and buy more.
For instance, banks can launch apps with tutorials and explanations on paying taxes and doing transactions online. The companies can present this in the form of a challenge, so the customers will earn points for the completed tasks and exchange them for music downloads, movies, tickets to matches, theatres, etc.
Also, the app users can get points for online transactions and later exchange them for different goods offered by a bank. Customers can participate in online auctions, the more stakes the users make, the greater the chance for them to win exclusive services, e.g. a helicopter tour, free lunches, certificates, etc.
Another example of the solution within the banking sector is the use of virtual characters that guide users through different processes and provide them with valuable tips on how to reduce and eliminate monthly fees.
The Benefits of the Trend for the Banking and Finance Sectors
Gamification in banking has significant potential as it brings numerous benefits both for the banks and their customers. It has the power to:
Enhance customer engagement online — the solution is based on the game mechanics, so it makes customers spend more time using the application and interact with the services;
Broaden customer’s awareness of new services and products — banks that present information interactively and simplify the educational processes, let their customers learn about the latest products and services quickly;
Ease the understanding of the banking operations — the easier it is to learn about the banking processes and operations, the easier it will be to increase customer’s financial literacy;
Boost deposits — gamification can be used to increase customers’ savings by linking credit card spending with prize-linked savings;
Reach for the new customers — as current customers experience new communication methods and interaction with the services, they will bring new customers. Apart from this, received data about existing customers will help you reach a wider audience;
Change the behavior of the customers — when you increase loyalty to your brand, the customers will feel more comfortable with using online services;
Gather analyze valuable data about current customers — the valuable insights about customers’ behavior will help your business come up with ideas for future development and enhancement;
Enable faster digital transformation — the solution can serve as a simplifier of the transformation process for both employees and the bank’s customers.
Customer engagement in banking is one of the crucial benefits for the industry, as it brings more perks for the companies themselves.
It is essential to provide clear, helpful, and valuable information to your customers. In this way, you will win their loyalty and drive more investments into your organization.
Gamification Examples in Banking
Over the past ten years, gamification in banking has been successfully used, so more banks are willing to invest in this technology to enhance their performance and make services more efficient. Some of the bright gamification examples are:
Monobank (Ukraine) — a digital bank that uses various techniques to deliver services to its customers in a fun way. They make spending financially rewarding, so the users get regular cashback. Another fun thing is that customers can make money transactions to other cards by shacking their phones.
BBVA (Spain) — the bank decided to increase customers’ loyalty and launched helpful videos, explaining how the users can make transactions or how they can pay taxes online;
The Moven (the USA) — the bank has created CRED, a gamified system that helps customers with their routine financial decisions.
The Implementation Process: Guidelines to Follow
It is possible to implement gamification in banking in several steps, but it requires developing a detailed and thought-through strategy. The following steps outline the process:
program planning — study your organization and spot the operations or processes that can be gamified;
program designing — think of the features that should be included, how customers and your employees will benefit from them, what helpful information you can deliver through new channels, etc.
technology implementation — if you have a professional in-house software development team, you can set this task to them. In case you lack the right resources, your organization can use outsourcing services. There are teams of professionals that specialize in the solution development for the banking and financial industries;
data analyses — use received data to enhance the existing techniques with new approaches. It will help you gather helpful insight about your customers, customize your services, and offer more personalized services, thus increasing their loyalty and engagement.
The Future Development
Although the notion of “gamification” is relevantly new, the solution has already proven to be a successful tool in driving new customers and retaining the current ones.
Currently, a large percentage of banks are undergoing the process of development and implementation of gamified programs.
Later, when the techniques are at work, the banks will pay more attention to data analysis. In this way, they can learn more about their customers’ behavior and develop, develop or add new gamified features to their applications.
Gamification in banking builds strong relationships with the customers and provides valuable insights and data that can be used for further development and enhancement.
We, at Intellectsoft, help banking and financial businesses to empower their workforces with innovative solutions and enhance their efficiency. Are you and your organization looking for some?
Get in touch with our experts and find out more about ways your company can apply gamification and how your business can start benefiting from this technology today!
The hospitality industry depends a lot on keeping customers happy, but it’s getting harder to attract and keep them. The pandemic hit this industry hard, and now market competition is tougher than ever, with competitive offerings swaying customers. Hospitality businesses are willing to spend big to win customers back. The main questions for many are: how can we stay ahead of the competition, keep our customers, and increase revenue? Keep reading—we’ve got some answers.
Customers today have so many options that getting their attention is a real challenge. It’s not easy to make them choose your business over others. What worked 10 years ago doesn’t work the same way now. Back then, people often chose businesses based on reputation. But with new types of businesses (boutique hotels, craft cafes) popping up or big enterprises getting a new strategy, expectations have changed. The good news is these businesses have shown what works: great customer service. They focus on personalizing the experience, making things easy for customers, offering loyalty programs, and using smart technology.
In this article, we’ll explore these tech strategies and show you how they can help your business grow, and double the revenue. Keep reading to learn more!
The Importance of Customer Satisfaction in the Hospitality Industry
Customer satisfaction, which equals exceptional customer experience, is the backbone of the hospitality industry. It plays a central role in driving revenue and loyalty, as satisfied customers are more likely to return and recommend a hotel, restaurant, or other hospitality business to others. In fact, a study by the Harvard Business Review found that a 1% increase in customer satisfaction can lead to a 0.5% increase in revenue. Moreover, loyal customers are more likely to forgive mistakes and continue doing business with a company, even if they experience a negative encounter.
Let's quickly review the challenges the hospitality industry is facing right now so we can move on to the solutions and our case studies.
Challenges in Hospitality
As businesses navigate the changes in the hospitality industry, there are some key areas where a little improvement can go a long way. From improving customer service to embracing digital transformation and tackling labor shortages, we’ll take a closer look at today’s biggest challenges—and, more importantly, how technology can step in to help. Let’s get started!
Poor Customer Service
Even with strong and high-quality business offerings, poor customer service can drive potential customers and existing customers away. Common issues include:
Long wait times in customer service queues (it is worth remembering that our attention spans 8 seconds, and we live in a very busy world, so quick and efficient responses are more important than ever.)
Poorly trained customer service representatives
Lack of follow-up
Services not being done properly or quickly
Recall issues that require multiple service calls
These problems can frustrate customers. But, at Intellectsoft, we believe that the right approach, combined with technology, can address them effectively.
Digital Transformation Gaps
Approximately 50% of hotels are adopting new technologies, with 43% automating repetitive tasks and 39% upgrading existing systems. Source: workstaff.app
While many businesses are adopting digital solutions, some still struggle with outdated systems and fragmented data. Legacy companies often face chaos when trying to manage their data and create new systems or add features.
Some of the recent examples include clients coming to us to create AI solutions for their services while their data simply was not ready for the advanced tasks. We advise stepping back, communicating with a company objective, and working on keeping the data clean (centralized, structured, and segmented).
When we’re asked to create advanced systems using AI, we always emphasize the importance of organized data. To train AI and build such complicated systems that truly work, you need to start from the very beginning—collecting, storing, centralizing, and organizing it. We encourage our clients to align all departments to work internally on the data so we can create a unified digital system that delivers personalized experiences.
If you’re unsure where to start with your data, we can help. Collecting feedback at various touchpoints along the customer journey is crucial for gaining insights into customer satisfaction and loyalty. Book an IT consultation with us, and our experts will guide you in mapping out a path to get more from your data and build a system that works for your business and team.
Reskilling Staff
The pandemic hit hard in early 2020, especially for the hospitality and travel industries. Even five years later, many businesses are still feeling the impact. Recruiting and retaining skilled staff has become a major challenge post-pandemic.
Reskilling to address technology’s impact is of utmost importance, as about 40% of hotel General Managers place it among their top three workforce challenges.
We strongly believe that adopting the right technology can help. For example, creating an app to train your staff not only saves time but also ensures consistency in learning. AI assistants can also work alongside your team, helping with tasks like recruitment (providing industry insights, crafting emails) and staff training. Imagine having an app dedicated to making your team’s work easier and more efficient!
How Technology Tackles These Challenges and Supports a Customer-Centric Hospitality Culture
Automation, AI, and similar technologies may threaten many. However, the debate about replacing humans isn’t about that—it’s about cooperation and working hand in hand with technology to achieve the highest standards and establish brand-new “golden standards.” Technology is here to assist staff in listening to and collecting customer insights from data.
Let’s review some of our cases to see examples of how technology helps improve customer experience and supports customer service.
Examples of Intellectsoft projects
Property management systems (PMS)
We created a web platform and mobile app that makes managing daily tasks easier and offers extra services to improve residents’ experience. It gives a clear overview of daily activities and helps with managing units and users. Residents can easily book amenities, submit service requests, and report incidents. The platform also includes features for equipment management, key instructions, workflows, and custom permissions. This makes it easier for staff to stay on top of equipment and ensure residents have all the information they need. Plus, tools like announcements, quick votes, a forum, and a community calendar help build a connected and engaged community.
Guest Experience Management App
Our next app helped our client improve their guest experience by replacing printed marketing materials and the need for phone calls with a smart solution. Now, guests can easily order in-room dining, make reservations, and interact with staff— through a simple tablet in their room. The solution includes three parts: a custom in-room tablet with a variety of services, an admin panel for hotel staff and service providers, and a backend system that connects everything together. This approach makes things easier for guests and staff, improving both convenience and efficiency.
Existing Customers First: Building Loyalty with Personalized Touchpoints
Keeping existing customers is not just a strategy; it’s well-known that retaining existing customers is more cost-effective than acquiring new ones. In fact, research shows that it costs five times more to acquire a new customer than to retain an existing one. KPMG named customer retention as the number one revenue driver for the company.
Moreover, a 5% increase in customer retention can lead to a 25% to 95% increase in profits, showing the significant impact loyal customers can have on a business’s bottom line. Retention strategies, like personalized experiences and loyalty programs, can foster long-term relationships and generate recurring revenue, ultimately making them an invaluable part of any business model.
Personalization: How Technology Can Help?
Everyone loves to feel special—it’s part of being human. In hospitality, personalization has evolved from being a luxury to an essential standard. With the right technology to manage your data effectively, you can deliver those “wow” moments that guests won’t forget.
More than half of hotel chains are already using personalization features on their websites, booking platforms, and apps, and another 39% are planning to follow suit soon. They’re tailoring experiences to fit guest preferences perfectly.
Source: Deloitte
How does technology make it happen?
CRM Systems: They help you keep track of guest preferences, booking history, and special requests so you can offer services tailored just for them.
Loyalty Programs: Personalized rewards and offers show your guests that you value them, keeping them coming back for more.
AI Personalization: AI analyzes guest data to predict what they’ll love (from room upgrades to local recommendations) before they even ask.
IoT Gadgets: Smart room features like voice-activated assistants, or temperature controls adjust to your guests’ preferences, making their stay more comfortable.
With tech-powered personalization, you’re building loyalty and maximizing the lifetime value of every customer.
Our Case Study: Smart Hotel Management & Loyalty Program
For one of our clients, we created a smart room solution, complete with a custom IoT system. Guests can use a mobile app to control services, explore amenities, and find resort information-- with a special touch to their suite type. For the client’s entertainment business, we improved their legacy software by running a full IT and code check, fixing issues, and making the system better for customers.
Along with that, we developed a mobile app for the loyalty program, allowing businesses to effortlessly reward their customers and keep them engaged with exclusive benefits.
Our solutions not only helped the client with special experiences for guests; it also improved operations, cutting costs by eliminating inefficiencies. Here's what our experts shared:
"We transitioned away from ESB (Enterprise Service Bus) systems, which previously cost millions, and replaced them with more efficient, self-managed solutions. Similarly, we’ve implemented Device Farms that improved operations and saved resources."
Leveraging Software to Increase Upsell Opportunities
Here are some examples of tech tactics that will help your team sell more and introduce new offerings to existing customers, improve overall efficiency leaving your team grateful:
Dynamic Pricing Algorithms
For finance and marketing teams, manually calculating pricing by segment to introduce your clients can be incredibly challenging. AI-powered tools can strongly optimize these strategies by analyzing your database in detail.
Upselling via Apps
Boosting revenue in the hospitality business often comes down to personalized experiences. Imagine this: a guest books a room, and then your app suggests a spa package or a room upgrade at just the right moment. Later, it nudges them to book a dinner reservation or a guided tour designed to their preferences. With apps offering these personalized recommendations during and after bookings, you’re not just increasing your revenue per guest but also skyrocketing their experience. And you do it in a sustainable way, not by speculating, but by offering what your customers desire based on their previous experiences. It’s a win-win: seamless, helpful, and far from pushy.
Inventory and Resource Management Software
Making every resource count in your hospitality business is key. Inventory and resource management software allows you to effortlessly track everything from linens to room availability, ensuring nothing goes to waste. Having real-time insights to reduce overstock, avoid shortages, and optimize operations assists sustainably keep everything under control and know what you need to focus more. It helps maximize room occupancy by aligning bookings with available resources, ensuring every room and item is used effectively. This approach leads to smarter management, better guest experiences, and a noticeable boost to your bottom line.
Adopting these strategies not only optimizes your operations but also drives business growth. Ready to discover how technology can elevate your goals? We’re here to create a tailored solution for you.
Steps For Implementing a Customer Service Technology Solution
Improving customer service in hospitality doesn’t have to be a daunting task. With the right technology, you can smooth the path of your operations, speed up response times, and elevate the overall guest experience. Here’s where you can make it happen:
1. Understand Your Needs
Start by identifying the challenges your business is facing. Are you struggling to manage high volumes of inquiries, track customer feedback, or personalize the guest experience? Pinpointing your needs will guide you to the best solutions.
2. Pick the Right Tools
Choose technology that aligns with your goals. Look for solutions that are scalable, easy to use, and integrate effortlessly with your current systems. Options like CRM software, live chat tools, or a guest experience app can make a difference.
3. Equip Your Team
Technology is only as effective as the people using it. Train your staff to make the most of the new tools, so they can deliver exceptional service and resolve issues quickly. Confident, well-equipped staff creates happy, loyal customers.
4. Keep Improving
Once implemented, monitor how well the solution works. Are response times improving? Are customers more satisfied? Regular evaluations will help you fine-tune your approach and keep things running harmoniously.
Some Tech Ideas for Hospitality Businesses
CRM Software: Manage customer interactions and preferences.
Guest Experience Apps: Delight guests with personalized experiences right at their fingertips.
Amenity Management Systems: Simplify operations for everything from room service to facility bookings.
Live Chat Tools: Offer instant support and answers.
Social Media Management Tools: Keep customer interactions engaging and organized.
Integrating these strategies will not only improve your customer service but also deliver unforgettable customer satisfaction, loyalty, and, ultimately, your bottom line. Ready to take the next step? Book a consultation with our experts.
Conclusion
To wrap up everything we've discussed, customer satisfaction and experience are at the heart of hospitality. Retaining customers is more than just keeping them around—building strong, long-lasting relationships and consistently meeting their evolving needs. By understanding their pain points and offering personalized solutions, you can inspire loyalty and drive progress. With the right technology and continuous improvement, your business can stay ahead, let go of what no longer serves you, and keep growing.
At Intellectsoft, with over 17 years of experience in software development, our expert team is ready to help. We create everything from mobile apps to full-fledged portals and systems, leveraging the latest technologies like AI, Cloud, and Machine Learning. With deep experience in the hospitality industry, we’re here to craft personalized solutions that bring your business unforgettable customer experience and retain your valuable clients.
Ready to double your revenue and level up your customer retention strategy with personalized technology? Contact our experts, and we look forward to working hand in hand with you to build or revitalize the perfect app or system for you.
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