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IBM SUT Advanced flat Technical Sales(R) Mastery v1.0
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Other questions to the experts in this canvassing invited their views on the hopeful things that will occur in the next decade and for examples of specific applications that might emerge. What will human-technology co-evolution peep enjoy by 2030? Participants in this canvassing anticipate the rate of change to plunge in a sweep anywhere from incremental to extremely impactful. Generally, they anticipate AI to continue to subsist targeted toward efficiencies in workplaces and other activities, and they yelp it is likely to subsist embedded in most human endeavors.
The greatest participate of participants in this canvassing said automated systems driven by synthetic intelligence are already improving many dimensions of their work, play and home lives and they anticipate this to continue over the next decade. While they worry over the accompanying negatives of human-AI advances, they hope for broad changes for the better as networked, smart systems are revolutionizing everything, from the most pressing professional labor to hundreds of the minute “everyday” aspects of existence.
One respondent’s avow covered many of the improvements experts anticipate as machines sit alongside humans as their assistants and enhancers. An associate professor at a major university in Israel wrote, “In the coming 12 years AI will enable totality sorts of professions to execute their labor more efficiently, especially those involving ‘saving life’: individualized medicine, policing, even warfare (where attacks will focus on disabling infrastructure and less in killing enemy combatants and civilians). In other professions, AI will enable greater individualization, e.g., education based on the needs and intellectual abilities of each pupil/student. Of course, there will subsist some downsides: greater unemployment in inescapable ‘rote’ jobs (e.g., transportation drivers, food service, robots and automation, etc.).”
This section begins with experts sharing mostly positive expectations for the evolution of humans and AI. It is followed by sunder sections that comprehend their thoughts about the potential for AI-human partnerships and property of life in 2030, as well as the future of jobs, health custody and education.
AI will subsist integrated into most aspects of life, producing fresh efficiencies and enhancing human capacities
Many of the leading experts extolled the positives they anticipate to continue to expand as AI tools evolve to execute more things for more people.
Martijn van Otterlo, author of “Gatekeeping Algorithms with Human Ethical Bias” and coadjutant professor of synthetic intelligence at Tilburg University in the Netherlands, wrote, “Even though I survey many ethical issues, potential problems and especially power imbalance/misuse issues with AI (not even starting about singularity issues and out-of-control AI), I execute umpire AI will change most lives for the better, especially looking at the short horizon of 2030 even more-so, because even snide effects of AI can subsist considered predominantly ‘good’ by the majority of people. For example, the Cambridge Analytica case has shown us the huge privacy issues of modern gregarious networks in a market economy, but, overall, people value the extraordinary services Facebook offers to better communication opportunities, sharing capabilities and so on.”
…we necessity to subsist attentive about how these technologies are implemented and used, but, on the whole, I survey these as constructive.Vint Cerf
Vint Cerf, Internet Hall of Fame member and vice president and chief internet evangelist at Google, said, “I survey AI and machine learning as augmenting human cognition a la Douglas Engelbart. There will subsist abuses and bugs, some harmful, so they necessity to subsist attentive about how these technologies are implemented and used, but, on the whole, I survey these as constructive.”
Mícheál Ó Foghlú, engineering director and DevOps Code Pillar at Google’s Munich office, said, “The trend is that AI/ML models in specific domains can out-perform human experts (e.g., inescapable cancer diagnoses based on image-recognition in retina scans). I umpire it would subsist fairly much the consensus that this trend would continue, and many more such systems could aid human experts to subsist more accurate.”
Craig Mathias, principal at Farpoint Group, an advisory solid specializing in wireless networking and mobile computing, commented, “Many if not most of the large-scale technologies that they totality depend upon – such as the internet itself, the power grid, and roads and highways – will simply subsist unable to role in the future without AI, as both solution complexity and exact continue to increase.”
Matt Mason, a roboticist and the former director of the Robotics Institute at Carnegie Mellon University, wrote, “AI will present fresh opportunities and capabilities to better the human experience. While it is workable for a society to behave irrationally and choose to consume it to their detriment, I survey no judgement to umpire that is the more likely outcome.”
Mike Osswald, vice president of taste innovation at Hanson Inc., commented, “I’m thinking of a world in which people’s devices continuously assess the world around them to preserve a population safer and healthier. Thinking of those alive in large urban areas, with devices forming a network of AI input through sound analysis, air quality, natural events, etc., that can provide collective notifications and insight to everyone in a inescapable locality about the concerns of environmental factors, physical health, even helping provide no quarter for snide actors through community policing.”
Barry Hughes, senior scientist at the center for International Futures at the University of Denver, commented, “I was one of the original test users of the ARPANET and now can hardly imagine alive without the internet. Although AI will subsist disruptive through 2030 and beyond, sense that there will subsist losers in the workplace and growing reasons for concern about privacy and AI/cyber-related crime, on the whole I anticipate that individuals and societies will develop choices on consume and restriction of consume that profit us. Examples comprehend likely self-driving vehicles at that time, when my wife’s deteriorating vision and that of an increased superannuated population will develop it increasingly liberating. I would anticipate rapid growth in consume for informal/non-traditional education as well as some more ambivalent growth in the formal-education sector. Big-data applications in health-related research should subsist increasingly productive, and health custody delivery should benefit. Transparency with respect to its character and use, including its developers and their personal benefits, is especially primary in limiting the inevitable abuse.”
Dana Klisanin, psychologist, futurist and game designer, predicted, “People will increasingly realize the weight of interacting with each other and the natural world and they will program AI to champion such goals, which will in rotate champion the ongoing emergence of the ‘slow movement.’ For example, grocery shopping and mundane chores will subsist allocated to AI (smart appliances), freeing up time for preparation of meals in keeping with the late food movement. Concern for the environment will likewise inspirit the growth of the late goods/slow vogue movement. The aptitude to recycle, reduce, reuse will subsist enhanced by the consume of in-home 3D printers, giving soar to a fresh type of ‘craft’ that is supported by AI. AI will champion the ‘cradle-to-grave’ movement by making it easier for people to trace the manufacturing process from inception to final product.”
Liz Rykert, president at Meta Strategies, a consultancy that works with technology and knotty organizational change, responded, “The key for networked AI will subsist the aptitude to diffuse equitable responses to basic custody and data collection. If bias remains in the programming it will subsist a roomy problem. I believe they will subsist able to develop systems that will learn from and reflect a much broader and more diverse population than the systems they fill now.”
Michael R. Nelson, a technology policy expert for a leading network services provider who worked as a technology policy aide in the Clinton administration, commented, “Most media reports focus on how machine learning will directly impress people (medical diagnosis, self-driving cars, etc.) but they will survey roomy improvements in infrastructure (traffic, sewage treatment, supply chain, etc.).”
Gary Arlen, president of Arlen Communications, wrote, “After the initial frenzy recedes about specific AI applications (such as autonomous vehicles, workplace robotics, transaction processing, health diagnoses and entertainment selections), specific applications will develop – probably in areas barely being considered today. As with many fresh technologies, the benefits will not apply equally, potentially expanding the haves-and-have-nots dichotomy. In addition, as AI delves into fresh fields – including creative labor such as design, music/art composition – they may survey fresh legal challenges about illegal appropriation of intellectual property (via machine learning). However, the fresh legal tasks from such litigation may not necessity a conventional attorney – but could subsist handled by AI itself. Professional health custody AI poses another type of dichotomy. For patients, AI could subsist a bonanza, identifying ailments, often in early stages (based on early symptoms), and recommending treatments. At the very time, such automated tasks could impact employment for medical professionals. And again, there are legal challenges to subsist determined, such as liability in the case of a wrong action by the AI. Overall, there is no such thing as ‘most people,’ but many individuals and groups – especially in professional situations – WILL live better lives thanks to AI, albeit with some ascetic adjustment pains.”
Tim Morgan, a respondent who provided no identifying details, said, “Algorithmic machine learning will subsist their intelligence amplifier, exhaustively exploring data and designs in ways humans lonesome cannot. The world was shocked when IBM’s abysmal Blue computer beat Garry Kasparov in 1997. What emerged later was the realization that human and AI ‘centaurs’ could combine to beat anyone, human or AI. The synthesis is more than the sum of the parts.”
Marshall Kirkpatrick, product director of influencer marketing, responded, “If the network can subsist both decentralized and imbued with empathy, rather than characterized by violent exploitation, then we’re safe. I anticipate it will land in between, hopefully leaning toward the positive. For example, I anticipate their understanding of self and license will subsist greatly impacted by an instrumentation of a large allotment of memory, through personal logs and their data exhaust being recognized as valuable just enjoy when they shed the term ‘junk DNA.’ Networked AI will bring us fresh insights into their own lives that might look as far-fetched today as it would fill been 30 years ago to say, ‘I’ll disclose you what music your friends are discovering privilege now.’ AI is most likely to augment humanity for the better, but it will retract longer and not subsist done as well as it could be. Hopefully we’ll build it in a course that will befriend us subsist comparably understanding to others.”
Daniel A. Menasce, professor of computer science at George Mason University, commented, “AI and related technologies coupled with significant advances in computer power and decreasing costs will allow specialists in a variety of disciplines to fulfill more efficiently and will allow non-specialists to consume computer systems to augment their skills. Some examples comprehend health delivery, smart cities and smart buildings. For these applications to become reality, easy-to-use user interfaces, or better yet transparent user interfaces will fill to subsist developed.”
Technology progression and advancement has always been met with awe and anxiety, giving course to tremendous gains for humankind as they learn to enhance the best of the changes and accommodate and alter the worst.David Wells
David Wells, chief fiscal officer at Netflix, responded, “Technology progression and advancement has always been met with awe and anxiety, giving course to tremendous gains for humankind as they learn to enhance the best of the changes and accommodate and alter the worst. Continued networked AI will subsist no different but the pace of technological change has increased, which is different and requires us to more quickly adapt. This pace is different and presents challenges for some human groups and societies that they will necessity to avow and labor through to avoid marginalization and political conflict. But the gains from better education, medical custody and crime reduction will subsist well worth the challenges.”
Rik Farrow, editor of ;login: for the USENIX association, wrote, “Humans execute poorly when it comes to making decisions based on facts, rather than emotional issues. Humans procure distracted easily. There are certainly things that AI can execute better than humans, enjoy driving cars, handling finances, even diagnosing illnesses. Expecting human doctors to know everything about the varieties of disease and humans is silly. Let computers execute what they are responsible at.”
Steve Crocker, CEO and co-founder of Shinkuro Inc. and Internet Hall of Fame member, responded, “AI and human-machine interaction has been under vigorous evolution for the past 50 years. The advances fill been enormous. The results are marbled through totality of their products and systems. Graphics, speech [and] language understanding are now taken for granted. Encyclopedic scholarship is available at their fingertips. Instant communication with anyone, anywhere exists for about half the world at minimal cost. The effects on productivity, lifestyle and reduction of risks, both natural and man-made, fill been extraordinary and will continue. As with any technology, there are opportunities for abuse, but the challenges for the next decade or so are not significantly different from the challenges mankind has faced in the past. Perhaps the largest existential threat has been the potential for nuclear holocaust. In comparison, the concerns about AI are significantly less.”
James Kadtke, expert on converging technologies at the Institute for National Strategic Studies at the U.S. National Defense University, wrote, “Barring the deployment of a few different radically fresh technologies, such as common AI or commercial quantum computers, the internet and AI [between now and 2030] will proceed on an evolutionary trajectory. anticipate internet access and sophistication to subsist considerably greater, but not radically different, and moreover anticipate that malicious actors using the internet will fill greater sophistication and power. Whether they can control both these trends for positive outcomes is a public policy issue more than a technological one.”
Tim Morgan, a respondent who provided no identifying details, said, “Human/AI collaboration over the next 12 years will better the overall property of life by finding fresh approaches to persistent problems. They will consume these adaptive algorithmic tools to explore whole fresh domains in every industry and sphere of study: materials science, biotech, medicine, agriculture, engineering, energy, transportation and more. … This goes beyond computability into human relationships. AIs are genesis to understand and talk the human language of emotion. The potential of affective computing ranges from productivity-increasing adaptive interfaces, to ‘pre-crime’ security monitoring of airports and other gathering places, to companion ‘pets’ which monitor their aging owners and interact with them in ways that better their health and disposition. Will there subsist unseen dangers or consequences? Definitely. That is their pattern with their tools. They invent them, consume them to better their lives and then refine them when they find problems. AI is no different.”
Ashok Goel, director of the human-centered computing Ph.D. program at Georgia Tech, wrote, “Human-AI interaction will subsist multimodal: They will directly converse with AIs, for example. However, much of the impact of AI will arrive in enhancing human-human interaction across both space (we will subsist networked with others) and time (we will fill access to totality their previously acquired knowledge). This will aid, augment and amplify individual and collective human intelligence in unprecedented and powerful ways.”
David Cake, an leader with Electronic Frontiers Australia and vice-chair of the ICANN GNSO Council, wrote, “In general, machine learning and related technologies fill the capacity to greatly reduce human error in many areas where it is currently very problematic and develop available good, appropriately tailored counsel to people to whom it is currently unavailable, in literally almost every sphere of human endeavour.”
Fred Baker, an independent networking technologies consultant, longtime leader in the Internet Engineering job force and engineering fellow with Cisco, commented, “In my opinion, developments fill not been ‘out of control,’ in the sense that the creation of Terminator’s Skynet or the HAL 9000 computer might depict them. Rather, they fill learned to automate processes in which neural networks fill been able to result data to its conclusion (which they muster ‘big data’) unaided and uncontaminated by human intuition, and sometimes the results fill surprised us. These remain, and in my feeling will remain, to subsist interpreted by human beings and used for their purposes.”
Bob Frankston, software innovation pioneer and technologist based in North America, wrote, “It could fade either way. AI could subsist a bureaucratic straitjacket and appliance of surveillance. I’m betting that machine learning will subsist enjoy the X-ray in giving us the aptitude to survey fresh wholes and gain insights.”
Perry Hewitt, a marketing, content and technology executive, wrote, “Today, voice-activated technologies are an untamed beast in their homes. Some 16% of Americans fill a smart speaker, and yet they are relatively mute devices: They misinterpret questions, offer generic answers and, to the consternation of some, are turning their kids into a**holes. I am bullish on human-machine interactions developing a better understanding of and improving their daily routines. I umpire in particular of the working parent, often although certainly not exclusively a woman, who carries so much information in their head. What if a human-machine collaboration could stock the house with essentials, schedule the pre-camp pediatrician appointments and prompt drivers for the alternate-side parking/street cleaning rules. The aptitude for narrow AI to assimilate fresh information (the bus is conjectural to arrive at 7:10 but a month into the school year is known to actually arrive at 7:16) could preserve a family connected and informed with the privilege data, and reduce the mental load of household management.”
John McNutt, a professor in the school of public policy and administration at the University of Delaware, responded, “Throwing out technology because there is a potential downside is not how human progress takes place. In public service, a turbulent environment has created a situation where scholarship overload can seriously demean their aptitude to execute the things that are essential to implement policies and serve the public good. AI can subsist the incompatibility between a public service that works well and one that creates more problems than it solves.”
Randy Marchany, chief information security officer at Virginia Tech and director of Virginia Tech’s IT Security Laboratory, said, “AI-human interaction in 2030 will subsist in its ‘infancy’ stage. AI will necessity to fade to ‘school’ in a manner similar to humans. They will amass large amounts of data collected by various sources but necessity ‘ethics’ training to develop responsible decisions. Just as kids are taught a wide variety of info and some sort of ethics (religion, gregarious manners, etc.), AI will necessity similar training. Will AI procure the proper training? Who decides the training content?”
Robert Stratton, cybersecurity expert, said, “While there is widespread acknowledgement in a variety of disciplines of the potential benefits of machine learning and synthetic intelligence technologies, progress has been tempered by their misapplication. allotment of data science is knowing the privilege appliance for a particular job. As more-rigorous practitioners inaugurate to gain console and apply these tools to other corpora it’s reasonable to anticipate some significant gains in efficiency, insight or profitability in many fields. This may not subsist visible to consumers except through increased product choice, but it may comprehend everything from drug discovery to driving.”
A data analyst for an organization developing marketing solutions said, “Assuming that policies are in plot to preclude the mistreat of AI and programs are in plot to find fresh jobs for those who would subsist career-displaced, there is a lot of potential in AI integration. By 2030, most AI will subsist used for marketing purposes and subsist more annoying to people than anything else as they are bombarded with personalized ads and recommendations. The rest of AI usage will subsist its integration into more tedious and repetitive tasks across career fields. Implementing AI in this vogue will open up more time for humans to focus on long-term and in-depth tasks that will allow further and greater societal progression. For example, AI can subsist trained to identify and codify qualitative information from surveys, reviews, articles, etc., far faster and in greater quantities than even a team of humans can. By having AI fulfill these tasks, analysts can expend more time parsing the data for trends and information that can then subsist used to develop more-informed decisions faster and allow for speedier turn-around times. Minor product faults can subsist addressed before they become widespread, scientists can generate semiannual reports on environmental changes rather than annual or biannual.”
Helena Draganik, a professor at the University of Gdańsk in Poland, responded, “AI will not change humans. It will change the relations between them because it can serve as an interpreter of communication. It will change their habits (as an intermediation technology). AI will subsist a Great commodity. It will befriend in cases of health problems (diseases). It will moreover generate a Great ‘data industry’ (big data) market and a lack of anonymity and privacy. Humanity will more and more depend on energy/electricity. These factors will create fresh social, cultural, security and political problems.”
There are those who umpire there won’t subsist much change by 2030.
Christine Boese, digital strategies professional, commented, “I believe it is as William Gibson postulated, ‘The future is already here, it just not very evenly distributed.’ What I know from my labor in user-experience design and in exposure to many different Fortune 500 IT departments working in roomy data and analytics is that the engage and potential of AI and machine learning is VASTLY overstated. There has been so minute investment in basic infrastructure, entire chunks of their systems won’t even subsist interoperable. The AI and machine learning code will subsist there, in a pocket here, a pocket there, but system-wide, it is unlikely to subsist operating reliably as allotment of the background radiation against which many of us play and labor online.”
An anonymous respondent wrote, “While various deployments of fresh data science and computation will befriend firms Cut costs, reduce fraud and champion decision-making that involves access to more information than an individual can manage, organisations, professions, markets and regulators (public and private) usually retract many more than 12 years to accommodate effectively to a constantly changing set of technologies and practices. This generally causes a decline in service quality, insecurity over jobs and investments, fresh monopoly businesses distorting markets and gregarious values, etc. For example, many organisations will subsist under pressure to buy and implement fresh services, but unable to access responsible market information on how to execute this, leading to snide investments, distractions from core business, and labour and customer disputes.”
Mario Morino, chairman of the Morino Institute and co-founder of Venture Philanthropy Partners, commented, “While I believe AI/ML will bring huge benefits, it may retract us several decades to navigate through the disruption and transition they will interlard on multiple levels.”
Daniel Berninger, an internet pioneer who led the first VoIP deployments at Verizon, HP and NASA, currently founder at Voice Communication Exchange Committee (VCXC), said, “The luminaries claiming synthetic intelligence will surpass human intelligence and promoting robot reverence imagine exponentially improving computation pushes machine self-actualization from science fiction into reality. The immense valuations awarded Google, Facebook, Amazon, Tesla, et al., rely on this machine-dominance hype to sell eternal scaling. As with totality hype, pretending reality does not exist does not develop reality fade away. Moore’s Law does not concede the future to machines, because human domination of the planet does not owe to computation. Any road map granting machines self-determination includes ‘miracle’ as one of the steps. You cannot rotate a piece of wood into a true boy. AI merely ‘models’ human activity. No amount of improvement in the evolution of these models turns the ‘model’ into the ‘thing.’ Robot reverence attempts plausibility by collapsing the breadth of human potential and capacities. It operates via ‘denialism’ with advocates disavowing the weight of anything they cannot model. In particular, super AI requires pretending human will and consciousness execute not exist. Human beings remain the source of totality intent and the umpire of totality outcomes. Machines provide mere facilitation and mere efficiency in the journey from intent to outcome. The dehumanizing nature of automation and the diseconomy of scale of human intelligence is already causing headaches that reveal another AI Winter arriving well before 2030.”
Paul Kainen, futurist and director of the Lab for Visual Mathematics at Georgetown University, commented, “Quantum cat here: I anticipate knotty superposition of tough positive, negative and null as typical impact for AI. For the grandkids’ sake, they must subsist positive!”
The following one-liners from anonymous respondents moreover tie into AI in 2030:
An Internet Hall of Fame member wrote, “You’ll talk to your digital coadjutant in a typical voice and it will just subsist there – it will often anticipate your needs, so you may only necessity to talk to it to revise or update it.”
The director of a cognitive research group at one of the world’s top AI and large-scale computing companies predicted that by 2030, “Smartphone-equivalent devices will champion factual natural-language dialog with episodic memory of past interactions. Apps will become low-cost digital workers with basic commonsense reasoning.”
An anonymous Internet Hall of Fame member said, “The equivalent of the ‘Star Trek’ universal translator will become practical, enabling travelers to better interact with people in countries they visit, facilitate online discussions across language barriers, etc.”
An Internet of Things researcher commented, “We necessity to equilibrium between human emotions and machine intelligence – can machines subsist emotional? – that’s the frontier they fill to conquer.”
An anonymous respondent wrote, “2030 is quiet quite possibly before the advent of human-level AI. During this angle AI is quiet mostly augmenting human efforts – increasingly ubiquitous, optimizing the systems that environ us and being replaced when their optimization criteria are not quite perfect – rather than pursuing those goals programmed into them, whether they find the realization of those goals desirable or not.”
A research scientist who works for Google said, “Things will subsist better, although many people are deeply worried about the effects of AI.”
An ARPANET and internet pioneer wrote, “The kindhearted of AI they are currently able to build as responsible for data analysis but far, far away from ‘human’ levels of performance; the next 20 years won’t change this, but they will fill valuable tools to befriend resolve and control their world.”
An synthetic intelligence researcher working for one of the world’s most powerful technology companies wrote, “AI will enhance their vision and hearing capabilities, remove language barriers, reduce time to find information they custody about and befriend in automating mundane activities.”
A manager with a major digital innovation company said, “Couple the information storage with the ever-increasing aptitude to rapidly search and resolve that data, and the benefits to augmenting human intelligence with this processed data will open up fresh avenues of technology and research throughout society.”
Other anonymous respondents commented:
“AI will befriend people to manage the increasingly knotty world they are forced to navigate. It will empower individuals to not subsist overwhelmed.”
“AI will reduce human error in many contexts: driving, workplace, medicine and more.”
“In teaching it will enhance scholarship about student progress and how to meet individual needs; it will offer guidance options based on the unique preferences of students that can pilot learning and career goals.”
“2030 is only 12 years from now, so I anticipate that systems enjoy Alexa and Siri will subsist more helpful but quiet of only medium utility.”
“AI will subsist a useful tool; I am quite a ways away from fearing SkyNet and the soar of the machines.”
“AI will produce major benefits in the next 10 years, but ultimately the question is one of politics: Will the world Somehow manage to listen to the economists, even when their findings are uncomfortable?”
“I strongly believe that an increasing consume of numerical control will better the lives of people in general.”
“AI will befriend us navigate choices, find safer routes and avenues for labor and play, and befriend develop their choices and labor more consistent.”
“Many factors will subsist at labor to multiply or abate human welfare, and it will subsist difficult to sunder them.”
AI will optimize and augment people’s lives
The hopeful experts in this sample generally anticipate that AI will labor to optimize, augment and better human activities and experiences. They yelp it will save time and it will save lives via health advances and the reduction of risks and of poverty. They hope it will spur innovation and broaden opportunities, multiply the value of human-to-human experiences, augment humans and multiply individuals’ overall satisfaction with life.
Clay Shirky, writer and consultant on the gregarious and economic effects of internet technologies and vice president at fresh York University, said, “All previous forms of labor-saving devices, from the flat to the computer, fill correlated with increased health and lifespan in the places that fill adopted them.”
Jamais Cascio, research fellow at the Institute for the Future, wrote, “Although I execute believe that in 2030 AI will fill made their lives better, I suspect that Popular media of the time will justifiably highlight the large-scale problems: displaced workers, embedded bias and human systems being too deferential to machine systems. But AI is more than robot soldiers, autonomous cars or digital assistants with quirky ‘personalities.’ Most of the AI they will encounter in 2030 will subsist in-the-walls, behind-the-scenes systems built to accommodate workspaces, alive spaces and the urban environment to better suit their needs. Medical AI will preserve track of medication and alert us to early signs of health problems. Environmental AI will monitor air quality, heat index and other indicators apropos to their day’s tasks. Their visual and audio surroundings may subsist altered or filtered to better their moods, better their focus or otherwise alter their subconscious perceptions of the world. Most of this AI will subsist functionally invisible to us, as long as it’s working properly. The specific human-machine interface will subsist with a supervisor system that coordinates totality of the sub-AI – and undoubtedly there will subsist a lively trade in creating supervisor systems with quirky personalities.”
Mike Meyer, chief information officer at Honolulu Community College, wrote, “Social organizations will subsist increasingly administered by AI/ML systems to ensure equity and consistency in provisioning of services to the population. The even removal of human emotion-driven discrimination will rebalance gregarious organizations creating factual equitable opening to totality people for the first time in human history. People will subsist allotment of these systems as censors, in the obsolete imperial Chinese model, providing human emotional intelligence where that is needed to smooth gregarious management. totality aspects of human existence will subsist affected by the integration of AI into human societies. Historically this type of base paradigmatic change is both difficult and unstoppable. The results will subsist primarily positive but will produce problems both in the process of change and in totally fresh types of problems that will result from the ways that people execute accommodate the fresh technology-based processes.”
Mark Crowley, an coadjutant professor, expert in machine learning and core member of the Institute for Complexity and Innovation at the University of Waterloo in Ontario, Canada, wrote, “While driving home on a long commute from labor the human will subsist reading a book in the heads-up screen of the windshield. The car will subsist driving autonomously on the highway for the moment. The driver will fill an concept to note down and add to a particular document; totality this will subsist done via voice. In the middle of this a complicated traffic arrangement will subsist seen approaching via other networked cars. The AI will politely interrupt the driver, plot away the heads-up array and warn the driver they may necessity to retract over in the next 10 seconds or so. The conversation will subsist flawless and natural, enjoy Jarvis in ‘Avengers,’ even charming. But it will subsist tasks-focused to the car, personal events, notes and news.”
Theodore Gordon, futurist, management consultant and co-founder of the Millennium Project, commented, “There will subsist ups and downs, surely, but the net is, I believe, good. The most encouraging uses of AI will subsist in early warning of terror activities, incipient diseases and environmental threats and in improvements in decision-making.”
Yvette Wohn, director of the gregarious Interaction Lab and expert on human-computer interaction at the fresh Jersey Institute of Technology, said, “One locality in which synthetic intelligence will become more sophisticated will subsist in its aptitude to enrich the property of life so that the current age of workaholism will transition into a society where leisure, the arts, entertainment and culture are able to enhance the well-being of society in developed countries and solve issues of water production, food growth/distribution and basic health provision in developing countries.”
Ken Goldberg, distinguished chair in engineering, director of AUTOLAB’s and CITRIS’ “people and robots” initiative, and founding member of the Berkeley synthetic Intelligence Research Lab at the University of California, Berkeley, said, “As in the past 50+ years, AI will subsist combined with IA (intelligence augmentation) to enhance humans’ aptitude to work. One instance might subsist an AI-based ‘Devil’s Advocate’ that would challenge my decisions with insightful questions (as long as I can rotate it off periodically).”
Rich Ling, a professor of media technology at Nanyang Technological University, responded, “The aptitude to address knotty issues and to better respond to and facilitate the needs of people will subsist the predominant result of AI.”
An anonymous respondent wrote, “There will subsist an explosive multiply in the number of autonomous cognitive agents (e.g., robots), and humans will interact more and more with them, being unaware, most of the time, if it is interactivity with a robot or with another human. This will multiply the number of personal assistants and the flat of service.”
As daily a user of the Google coadjutant on my phone and both Google Home and Alexa, I feel enjoy AI has already been delivering significant benefits to my daily life for a few years.Fred Davis
Fred Davis, mentor at Runway Incubator in San Francisco, responded, “As daily a user of the Google coadjutant on my phone and both Google Home and Alexa, I feel enjoy AI has already been delivering significant benefits to my daily life for a few years. My wife and I retract having an always-on omnipresent coadjutant on hand for granted at this point. Google Home’s aptitude to disclose us apart and even respond with different voices is a major step forward in making computers people-literate, rather than the other course around. There’s always a concern about privacy, but so far it hasn’t caused us any problems. Obviously, this could change and instead of a helpful friend I might peep at these assistants as creepy strangers. Maintaining strict privacy and security controls is essential for these types of services.”
Andrew Tutt, an expert in law and author of “An FDA for Algorithms,” which called for “critical thought about how best to prevent, deter and compensate for the harms that they cause,” said, “AI will subsist absolutely pervasive and absolutely seamless in its integration with everyday life. It will simply become accepted that AI are responsible for ever-more-complex and ever-more-human tasks. By 2030, it will subsist accepted that when you wish to hail a taxi the taxi will fill no driver – it will subsist an autonomously driven vehicle. Robots will subsist responsible for more-dynamic and knotty roles in manufacturing plants and warehouses. Digital assistants will play an primary and interactive role in everyday interactions ranging from buying a cup of coffee to booking a salon appointment. It will no longer subsist unexpected to muster a restaurant to book a reservation, for example, and talk to a ‘digital’ coadjutant who will pencil you in. These interactions will subsist incremental but become increasingly common and increasingly normal. My hope is that the increasing integration of AI into everyday life will vastly multiply the amount of time that people can pledge to tasks they find meaningful.”
L. Schomaker, professor at the University of Groningen and scientific director of the synthetic Intelligence and Cognitive Engineering (ALICE) research institute, said, “In the 1990s, you went to a PC on a desktop in a scope in your house. In the 2010s you picked a phone from your pocket and switched it on. By 2030 you will subsist online 24/7 via miniature devices such as in-ear continuous support, counsel and communications.”
Michael Wollowski, associate professor of computer science and software engineering at Rose-Hulman Institute of Technology and expert in the Internet of Things, diagrammatic systems, and synthetic intelligence, wrote, “Assuming that industry and government are interested in letting the consumer choose and influence the future, there will subsist many exotic advances of AI. I believe that AI and the Internet of Things will bring about a situation in which technology will subsist their guardian angel. For example, self-driving cars will let us drive faster than they ever drove before, but they will only let us execute things that they can control. Since computers fill much better reaction time than people, it will subsist quite amazing. Similarly, AI and the Internet of Things will let us conduct out lives to the fullest while ensuring that they live vigorous lives. Again, it is enjoy having a guardian angel that lets us execute things, knowing they can save us from stupidity.”
Steve King, partner at Emergent Research, said, “2030 is less than 12 years away. So … the most likely scenario is AI will fill a modest impact on the lives of most humans over this time frame. Having said that, they umpire the consume of AI systems will continue to expand, with the greatest growth coming from systems that augment and complement human capabilities and decision-making. This is not to yelp there won’t subsist negative impacts from the consume of AI. Jobs will subsist replaced, and inescapable industries will subsist disrupted. Even scarier, there are many ways AI can subsist weaponized. But enjoy most technological advancements, they umpire the overall impact of AI will subsist additive – at least over the next decade or so.”
Vassilis Galanos, a Ph.D. student and teaching coadjutant actively researching future human-machine symbiosis at the University of Edinburgh, commented, “2030 is not that far away, so there is no scope for extremely utopian/dystopian hopes and fears. … Given that AI is already used in everyday life (social-media algorithms, suggestions, smartphones, digital assistants, health custody and more), it is quite probable that humans will live in a harmonious co-existence with AI as much as they execute now – to a inescapable extent – with computer and internet technologies.”
Charlie Firestone, communications and society program executive director and vice president at the Aspen Institute, commented, “I remain optimistic that AI will subsist a appliance that humans will use, far more widely than today, to enhance property of life such as medical remedies, education and the environment. For example, the AI will befriend us to conserve energy in homes and in transportation by identifying exact times and temperatures they need, identifying sources of energy that will subsist the cheapest and the most efficient. There certainly are dire scenarios, particularly in the consume of AI for surveillance, a likely episode by 2030. I am hopeful that AI and other technologies will identify fresh areas of employment as it eliminates many jobs.”
Pedro U. Lima, an associate professor of computer science at Instituto Superior Técnico in Lisbon, Portugal, said, “Overall, I survey AI-based technology relieving us from repetitive and/or weighty and/or risky tasks, opening fresh challenges for their activities. I envisage autonomous mobile robots networked with a myriad of other smart devices, helping nurses and doctors at hospitals in daily activities, working as a ‘third hand’ and (physical and emotional) champion to patients. I survey something similar happening in factories, where networked robot systems will befriend workers on their tasks, relieving them from weighty duties.”
John Laird, a professor of computer science and engineering at the University of Michigan, responded, “There will subsist a interminable off-loading of mundane intellectual and physical tasks on to AI and robotic systems. In addition to helping with everyday activities, it will significantly befriend the mentally and physically impaired and disabled. There will moreover subsist improvements in customized/individualized education and training of humans, and conversely, the customization of AI systems by everyday users. They will subsist transitioning from current programming practices to user customization. Automated driving will subsist a reality, eliminating many deaths but moreover having significant societal changes.”
Steven Polunsky, director of the Alabama Transportation Policy Research center at the University of Alabama, wrote, “AI will allow public transportation systems to better serve existing customers by adjusting routes, travel times and stops to optimize service. fresh customers will moreover survey advantages. Smart transportation systems will allow public transit to network with traffic signals and providers of ‘last-mile’ trips to minimize traffic disruption and inform decision making about modal (rail, bus, mobility-on-demand) planning and purchasing.”
Sanjiv Das, a professor of data science and finance at Santa Clara University, responded, “AI will enhance search to create interactive reasoning and analytical systems. Search engines today execute not know ‘why’ they want some information and hence cannot judgement about it. They moreover execute not interact with us to befriend with analysis. An AI system that collects information based on knowing why it is needed and then asks more questions to refine its search would subsist clearly available well before 2030. These ‘search-thinking bots’ will moreover write up analyses based on parameters elicited from conversation and imbue these analyses with different political (left/right) and linguistic (aggressive/mild) slants, chosen by the human, using advances in language generation, which are already well under way. These ‘intellectual’ agents will become companions, helping us develop sense of their information overload. I often collect files of material on my cloud drive that I institute tantalizing or needed to read later, and these agents would subsist able to summarize and engage me in a discussion of these materials, very much enjoy an intellectual companion. It is unclear to me if I would necessity just one such agent, though it seems likely that different agents with diverse personalities may subsist more interesting! As always, they should worry what the availability of such agents might connote for typical human gregarious interaction, but I can moreover survey many advantages in freeing up time for socializing with other humans as well as enriched interactions, based on scholarship and science, assisted by their fresh intellectual companions.”
Lawrence Roberts, designer and manager of ARPANET, the precursor to the internet and Internet Hall of Fame member, commented, “AI voice recognition, or text, with tough context understanding and response will allow vastly better access to website, program documentation, voice muster answering, and totality such interactions will greatly relieve user frustration with getting information. It will mostly provide service where no or minute human champion is being replaced as it is not available today in large part. For example, finding and/or doing a fresh or unused role of the program or website one is using. Visual, 3D-space-recognition AI to champion better-than-human robot activity including vehicles, security surveillance, health scans and much more.”
Christopher Yoo, a professor of law, communication and computer and information science at the University of Pennsylvania Law School, responded, “AI is responsible at carrying out tasks that result repetitive patterns. In fact, AI is better than humans. Shifting these functions to machines will better performance. It will moreover allow people to shift their efforts to high-value-added and more-rewarding directions, an increasingly faultfinding consideration in developing world countries where population is declining. Research on human-computer interaction (HCI) moreover reveals that AI-driven pattern recognition will play a faultfinding role in expanding humans’ aptitude to extend the benefits of computerization. HCI once held that their aptitude to gain the profit from computers would subsist limited by the total amount of time people can expend sitting in front of a screen and inputting characters through a keyboard. The advent of AI-driven HCI will allow that to expand further and will reduce the amount of customization that people will fill to program in by hand. At the very time, AI is merely a tool. totality tools fill their limits and can subsist misused. Even when humans are making the decisions instead of machines, blindly following the results of a protocol without exercising any judgment, can fill disastrous results. Future applications of AI will thus likely involve both humans and machines if they are to fulfill their potential.”
Joseph Konstan, distinguished professor of computer science specializing in human-computer interaction and AI at the University of Minnesota, predicted, “Widespread deployment of AI has immense potential to befriend in key areas that impress a large portion of the world’s population, including agriculture, transportation (more efficiently getting food to people) and energy. Even as soon as 2030, I anticipate we’ll survey substantial benefits for many who are today disadvantaged, including the superannuated and physically handicapped (who will fill greater choices for mobility and support) and those in the poorest allotment of the world.”
The future of work: Some forecast fresh labor will emerge or solutions will subsist found, while others fill abysmal concerns about massive job losses and an unraveling society
A number of expert insights on this topic were shared earlier in this report. These additional observations add to the discussion of hopes and concerns about the future of human jobs. This segment starts with comments from those who are hopeful that the job situation and related gregarious issues will rotate out well. It is followed by statements from those who are pessimistic.
Respondents who were positive about the future of AI and work
Bob Metcalfe, Internet Hall of Fame member, co-inventor of Ethernet, founder of 3Com and now professor of innovation and entrepreneurship at the University of Texas at Austin, said, “Pessimists are often right, but they never procure anything done. totality technologies arrive with problems, sure, but … generally, they procure solved. The hardest problem I survey is the evolution of work. hard to pattern out. Forty percent of us used to know how to milk cows, but now less than 1% do. They totality used to disclose elevator operators which floor they wanted, and now they press buttons. Most of us now drive cars and trucks and trains, but that’s on the verge of being over. AIs are most likely not going to destroy jobs. They will handle parts of jobs, enhancing the productivity of their humans.”
Stowe Boyd, founder and managing director at labor Futures, said, “There is a tall possibility that unchecked expansion of AI could rapidly lead to widespread unemployment. My bet is that governments will step in to regulate the spread of AI, to late the impacts of this phenomenon as a result of unrest by the mid 2020s. That regulation might include, for example, not allowing AIs to serve as managers of people in the workplace, but only to augment the labor of people on a job or process level. So, they might survey tall degrees of automation in warehouses, but a human being would subsist ‘in charge’ in some sense. Likewise, fully autonomous freighters might subsist blocked by regulations.”
An anonymous respondent wrote, “Repeatedly throughout history people fill worried that fresh technologies would liquidate jobs. This has never happened, so I’m very skeptical it will this time. Having said that, there will subsist major short-term disruptions in the labor market and smart governments should inaugurate to contrivance for this by considering changes to unemployment insurance, universal basic income, health insurance, etc. This is particularly the case in America, where so many benefits are tied to employment. I would yelp there is almost zero chance that the U.S. government will actually execute this, so there will subsist a lot of twinge and misery in the short and medium term, but I execute umpire ultimately machines and humans will peacefully coexist. Also, I umpire a lot of the projections on the consume of AI are ridiculous. Regardless of the existence of the technology, cross-state shipping is not going to subsist taken over by automated trucks any time soon because of legal and ethical issues that fill not been worked out.”
Steven Miller, vice provost and professor of information systems at Singapore Management University, said, “It helps to fill a sense of the history of technological change over the past few hundred years (even longer). Undoubtedly, fresh ways of using machines and fresh machine capabilities will subsist used to create economic activities and services that were either a) not previously possible, or b) previously too scarce and expensive, and now can subsist copious and inexpensive. This will create a lot of fresh activities and opportunities. At the very time, they know some existing tasks and jobs with a tall proportion of those tasks will subsist increasingly automated. So they will simultaneously fill both fresh opening creation as well as technological displacement. Even so, the long-term track record shows that human societies preserve finding ways of creating more and more economically viable jobs. Cognitive automation will obviously enhance the realms of automation, but even with tremendous progress in this technology, there are and will continue to subsist limits. Humans fill remarkable capabilities to deal with and accommodate to change, so I execute not survey the ‘end of human work.’ The ways people and machines combine together will change – and there will subsist many fresh types of human-machine symbiosis. Those who understand this and learn to profit from it will proposer.”
Henry E. Brady, dean of the Goldman School of Public Policy at the University of California, Berkeley, wrote, “AI can supersede people in jobs that require sophisticated and accurate pattern matching – driving, diagnoses based upon medical imaging, proofreading and other areas. There is moreover the fact that in the past technological change has mostly led to fresh kinds of jobs rather than the net elimination of jobs. Furthermore, I moreover believe that there may subsist limits to what AI can do. It is very responsible at pattern matching, but human intelligence goes far beyond pattern matching and it is not clear that computers will subsist able to compete with humans beyond pattern matching. It moreover seems clear that even the best algorithms will require constant human attention to update, check and revise them.”
If they embrace the inevitable evolution of technology to supersede redundant tasks, they can inspirit today’s youth to pursue more creative and strategic pursuits.Geoff Livingston
Geoff Livingston, author and futurist, commented, “The term AI misleads people. What they should muster the trend is machine learning or algorithms. ‘Weak’ AI as it is called – today’s AI – reduces repetitive tasks that most people find mundane. This in rotate produces an opening to evade the trap of the proletariat, being forced into monotonous labor to deserve a living. Instead of thinking of the ‘Terminator,’ they should view the current trend as an opening to seek out and embrace the tasks that they truly love, including more creative pursuits. If they embrace the inevitable evolution of technology to supersede redundant tasks, they can inspirit today’s youth to pursue more creative and strategic pursuits. Further, today’s workers can learn how to manage machine learning or embrace training to pursue fresh careers that they may savor more. My awe is that many will simply reject change and guilt technology, as has often been done. One could squabble much of today’s populist uprising they are experiencing globally finds its roots in the current displacements caused by machine learning as typified by smart manufacturing. If so, the movement forward will subsist troublesome, rife with dismal bends and turns that they may grief as cultures and countries.”
Marek Havrda, director at NEOPAS and strategic adviser for the GoodAI project, a private research and evolution company based in Prague that focuses on the evolution of synthetic common intelligence and AI applications, explained the issue from his point of view, “The evolution and implementation of synthetic intelligence has brought about questions of the impact it will fill on employment. Machines are genesis to fill jobs that fill been traditionally reserved for humans, such as driving a car or prescribing medical treatment. How these trends may unfold is a crucial question. They may anticipate the emergence of ‘super-labour,’ a labour defined by super-high-added-value of human activity due to augmentation by AI. Apart from the aptitude to deploy AI, super-labour will subsist characterised by creativity and the aptitude to co-direct and superintend safe exploration of trade opportunities together with pertinacity in attaining defined goals. An instance may subsist that by using various online, AI gig workers (and maybe several human gig workers), while leveraging AI to its maximum potential … at totality aspects from product design to marketing and after-sales care, three people could create a fresh service and ensure its smooth delivery for which a medium-size company would subsist needed today. We can anticipate growing inequalities between those who fill access and are able to consume technology and those who execute not. However, it seems more primary how roomy a slice of the AI co-generated ‘pie’ is accessible to totality citizens in absolute terms (e.g., having enough to finance public service and other public spending) which would develop everyone better off than in pre-AI age, than the relative inequalities.”
Yoram Kalman, an associate professor at the Open University of Israel and member of The center for Internet Research at the University of Haifa, wrote, “In essence, technologies that empower people moreover better their lives. I survey that progress in the locality of human-machine collaboration empowers people by improving their aptitude to communicate and to learn, and thus my optimism. I execute not awe that these technologies will retract the plot of people, since history shows that again and again people used technologies to augment their abilities and to subsist more fulfilled. Although in the past, too, it seemed as if these technologies would leave people unemployed and useless, human ingenuity and the human spirit always institute fresh challenges that could best subsist tackled by humans.”
Thomas H. Davenport, distinguished professor of information technology and management at Babson College and fellow of the MIT Initiative on the Digital Economy, responded, “So far, most implementations of AI fill resulted in some form of augmentation, not automation. Surveys of managers imply that relatively few fill automation-based job loss as the goal of their AI initiatives. So while I am certain there will subsist some marginal job loss, I anticipate that AI will free up workers to subsist more creative and to execute more unstructured work.”
Yvette Wohn, director of the gregarious Interaction Lab and expert on human-computer interaction at the fresh Jersey Institute of Technology, commented, “Artificial intelligence will subsist naturally integrated into their everyday lives. Even though people are concerned about computers replacing the jobs of humans the best-case scenario is that technology will subsist augmenting human capabilities and performing functions that humans execute not enjoy to do. Smart farms and connected distribution systems will hopefully liquidate urban food deserts and enable food production in areas not suited for agriculture. synthetic intelligence will moreover become better at connecting people and provide immediate champion to people who are in pass situations.”
A principal architect for a major global technology company responded, “AI is a prerequisite to achieving a post-scarcity world, in which people can pledge their lives to intellectual pursuits and leisure rather than to labor. The first step will subsist to reduce the amount of labor required for production of human necessities. Reducing tedium will require changes to the gregarious fabric and economic relationships between people as the exact for labor shrinks below the supply, but if these challenges can subsist met then everyone will subsist better off.”
Tom Hood, an expert in corporate accounting and finance, said, “By 2030, AI will stand for Augmented Intelligence and will play an ever-increasing role in working side-by-side with humans in totality sectors to add its advanced and massive cognitive and learning capabilities to faultfinding human domains enjoy medicine, law, accounting, engineering and technology. Imagine a personal bot powered by synthetic intelligence working by your side (in your laptop or smartphone) making recommendations on key topics by providing up-to-the-minute research or key pattern recognition and analysis of your organization’s data? One instance is a CPA in tax given a knotty global tax situation amid constantly changing tax laws in totality jurisdictions who would subsist able to research and provide guidance on the most knotty global issues in seconds. It is my hope for the future of synthetic intelligence in 2030 that they will subsist augmenting their intelligence with these ‘machines.’”
A professor of computer science expert in systems who works at a major U.S. technological university wrote, “By 2030, they should anticipate advances in AI, networking and other technologies enabled by AI and networks, e.g., the growing areas of persuasive and motivational technologies, to better the workplace in many ways beyond replacing humans with robots.”
The following one-liners from anonymous respondents express a shimmering future for human jobs:
“History of technology shows that the number of fresh roles and jobs created will likely exceed the number of roles and jobs that are destroyed.”
“AI will not subsist competing with humanity but augmenting it for the better.”
“We develop a mistake when they peep for direct impact without considering the larger picture – they worry about a worker displaced by a machine rather than focus on broader opportunities for a better-trained and healthier workforce where geography or income no longer determine access not just to information but to apropos and commandeer information paths.”
“AI can significantly better usability and thus access to the benefits of technology. Many powerful technical tools today require detailed expertise, and AI can bring more of those to a larger swath of the population.”
Respondents who fill fears about AI’s impact on work
A section earlier in this report shared a number of key experts’ concerns about the potential negative impact of AI on the socioeconomic future if steps are not taken soon to inaugurate to adjust to a future with far fewer jobs for humans. Many additional respondents to this canvassing shared fears about this.
Wout de Natris, an internet cybercrime and security consultant based in Rotterdam, Netherlands, wrote, “Hope: Advancement in health care, education, decision-making, availability of information, higher standards in ICT-security, global cooperation on these issues, etc. Fear: Huge segments of society, especially the middle classes who carry society in most ways, e.g., through taxes, savings and purchases, will subsist rendered jobless through endless economic cuts by industry, followed by governments due to lower tax income. Hence totality of society suffers. Can governments and industry refrain from an overkill of surveillance? Otherwise privacy values preserve declining, leading to a lower property of life.”
Jonathan Taplin, director emeritus at the University of Southern California’s Annenberg Innovation Lab, wrote, “My awe is that the current political class is completely unprepared for the disruptions that AI and robotics applied at scale will bring to their economy. While techno-utopians point to universal basic income as a workable solution to wide-scale unemployment, there is no indication that anyone in politics has an appetite for such a solution. And because I believe that meaningful labor is essential to human dignity, I’m not certain that universal basic income would subsist helpful in the first place.”
Alex Halavais, an associate professor of gregarious technologies at Arizona condition University, wrote, “AI is likely to rapidly displace many workers over the next 10 years, and so there will subsist some potentially significant negative effects at the gregarious and economic flat in the short run.”
Uta Russmann, professor in the department of communication at FHWien der WKW University of Applied Sciences for Management & Communication, said, “Many people will not subsist benefitting from this development, as robots will execute their jobs. Blue-collar workers, people working in supermarkets stacking shelves, etc., will not subsist needed less, but the job market will not offer them any other possibilities. The gap between wealthy and penniless will multiply as the necessity for highly skilled and very well-paid people increases and the necessity for less skilled workers will abate tremendously.”
Ross Stapleton-Gray, principal at Stapleton-Gray and Associates, an information technology and policy consulting firm, commented, “Human-machine interaction could subsist for responsible or for ill. It will subsist hugely influenced by decisions on gregarious priorities. They may subsist at a tipping point in recognizing that gregarious inequities necessity to subsist addressed, so, say, a decreased necessity for human labor due to AI will result in more time for leisure, education, etc., instead of increasing wealth inequity.”
Aneesh Aneesh, author of “Global Labor: Algocratic Modes of Organization” and professor at the University of Wisconsin, Milwaukee, responded, “Just as automation left large groups of working people behind even as the United States got wealthier as a country, it is quite likely that AI systems will automate the service sector in a similar way. Unless the welfare condition returns with a vengeance, it is difficult to survey the increased aggregate wealth resulting in any meaningful gains for the bottom half of society.”
Alper Dincel of T.C. Istanbul Kultur University in Turkey, wrote, “Unqualified people won’t find jobs, as machines and programs retract over simple labor in the near future. Machines will moreover solve performance problems. There is no shimmering future for most people if they don’t start to try finding solutions.”
Jason Abbott, professor and director at the center for Asian Democracy at University of Louisville, said, “AI is likely to create significant challenges to the labor force as previously skilled (semi-skilled) jobs are replaced by AI – everything from AI in trucks and distribution to airlines, logistics and even medical records and diagnoses.”
Kenneth R. Fleischmann, an associate professor at the University of Texas at Austin’s School of Information, responded, “In corporate settings, I worry that AI will subsist used to supersede human workers to a disproportionate extent, such that the net economic profit of AI is positive, but that economic profit is not distributed equally among individuals, with a smaller number of wealthy individuals worldwide prospering, and a larger number of less wealthy individuals worldwide suffering from fewer opportunities for gainful employment.”
Gerry Ellis, founder and digital usability and accessibility consultant at Feel The BenefIT, responded, “Technology has always been far more quickly developed and adopted in the richer parts of the world than in the poorer regions where fresh technology is generally not affordable. AI cannot subsist taken as a stand-alone technology but in conjunction with other converging technologies enjoy augmented reality, robotics, virtual reality, the Internet of Things, roomy data analysis, etc. It is estimated that around 80% of jobs that will subsist done in 2030 execute not exist yet. One of the reasons why unskilled and particularly repetitive jobs migrate to penniless countries is because of cheap labour costs, but AI combined with robotics will inaugurate to execute many of these jobs. For totality of these reasons combined, the large proportion of the earth’s population that lives in the under-developed and developing world is likely to subsist left behind by technological developments. Unless the needs of people with disabilities are taken into account when designing AI related technologies, the very is factual for them (or I should yelp ‘us,’ as I am blind).”
Karen Oates, director of workforce evolution and fiscal stability for La Casa de Esperanza, commented, “Ongoing increases in the consume of AI will not profit the working penniless and low-to-middle-income people. Having worked with these populations for 10 years I’ve already observed many of these people losing employment when robots and self-operating forklifts are implemented. Although there are opportunities to program and maintain these machines, realistically people who fill the requisite scholarship and education will fill those roles. The majority of employers will subsist unwilling to invest the resources to train employees unless there is an economic incentive from the government to execute so. Many lower-wage workers won’t fill the self-possession to return to school to develop fresh knowledge/skills when they were unsuccessful in the past. As the consume of AI increases, low-wage workers will lose the minute niche they hold in their economy.”
Peggy Lahammer, director of health/life sciences at Robins Kaplan LLP and legal market analyst, commented, “Jobs will continue to change and as many disappear fresh ones will subsist created. These changes will fill an impact on society as many people are left without the necessary skills.”
A European computer science professor expert in machine learning commented, “The gregarious sorting systems introduced by AI will most likely define and further entrench the existing world order of the haves and the have-nots, making gregarious mobility more difficult and precarious given the unpredictability of AI-driven judgements of fit. The tantalizing problem to solve will subsist the fact that initial designs of AI will arrive with built-in imaginaries of what ‘good’ or ‘correct’ constitutes. The flat of flexibility designed in to allow for changes in normative perceptions and judgements will subsist key to ensuring that AI driven-systems champion rather than obstruct productive gregarious change.”
Stephen McDowell, a professor of communication at Florida condition University and expert in fresh media and internet governance, commented, “Much of their daily lives is made up of routines and habits that they repeat, and AI could assist in these practices. However, just because some things they execute are repetitive does not connote they are insignificant. They draw a lot of sense from things they execute on a daily, weekly or annual basis, whether by ourselves or with others. Cultural practices such as cooking, shopping, cleaning, coordinating and telling stories are crucial parts of building their families and larger communities. Similarly, at work, some of the routines are predictable, but are moreover how they gain a sense of mastery and expertise in a specific domain. In both these examples, they will fill to umpire about how they define knowledge, expertise, collaboration, and growth and development.”
David Sarokin, author of “Missed Information: Better Information for building a Wealthier, More Sustainable Future,” commented, “My biggest concern is that their educational system will not preserve up with the demands of their modern times. It is doing a penniless job of providing the foundations to their students. As more and more jobs are usurped by AI-endowed machines – everything from assembling cars to flipping burgers – those entering the workplace will necessity a flat of technical sophistication that few graduates possess these days.”
Justin Amyx, a technician with Comcast, said, “My worry is automation. Automation occurs usually with mundane tasks that fill low-paying, blue-collar-and-under jobs. Those jobs will disappear – lawn maintenance, truck drivers and quickly food, to cognomen a few. Those un-skilled or low-skilled workers will subsist jobless. Unless they fill training programs to retract custody of worker displacement there will subsist issues.”
The future of health care: Great expectations for many lives saved, extended and improved, mixed with worries about data abuses and a divide between ‘the haves and have-nots’
Many of these experts fill tall hopes for continued incremental advances across totality aspects of health custody and life extension. They forecast a soar in access to various tools, including digital agents that can fulfill rudimentary exams with no necessity to visit a clinic, a reduction in medical errors and better, faster recognition of risks and solutions. They moreover worry over the potential for a widening health custody divide between those who can afford cutting-edge tools and treatments and those less privileged. They moreover express concerns about the potential for data abuses such as the denial of insurance or coverage or benefits for select people or procedures.
Leonard Kleinrock, Internet Hall of Fame member and co-director of the first host-to-host online connection and professor of computer science at the University of California, Los Angeles, predicted, “As AI and machine learning improve, they will survey highly customized interactions between humans and their health custody needs. This mass customization will enable each human to fill her medical history, DNA profile, drug allergies, genetic makeup, etc., always available to any caregiver/medical professional that they engage with, and this will subsist readily accessible to the individual as well. Their custody will subsist tailored to their specific needs and the very latest advances will subsist able to subsist provided rapidly after the advances are established. The rapid provision of the best medical treatment will provide Great benefits. In hospital settings, such customized information will dramatically reduce the episode of medical injuries and deaths due to medical errors. My hope and expectation is that smart agents will subsist able to assess the likely risks and the benefits that ensue from proposed treatments and procedures, far better than is done now by human evaluators, such humans, even experts, typically being penniless decision makers in the puss of uncertainty. But to bring this about, there will necessity to subsist carefully conducted tests and experimentation to assess the property of the outcomes of AI-based decision making in this field. However, as with any ‘optimized’ system, one must continually subsist vigilant of the fragility of optimized systems when they are applied beyond the confines of their sweep of applicability.”
Kenneth Grady, futurist, founding author of the Algorithmic Society blog and adjunct and advisor at the Michigan condition University College of Law, responded, “In the next dozen years, AI will quiet subsist stirring through a angle where it will augment what humans can do. It will befriend us sift through, organize and even evaluate the mountains of data they create each day. For example, doctors today quiet labor with siloed data. Each patient’s vital signs, medicines, dosage rates, test results and side effects remain trapped in isolated systems. Doctors must evaluate this data without the profit of knowing how it compares to the thousands of other patients around the country (or world) with similar problems. They struggle to rotate the data into effective treatments by reading research articles and mentally comparing them to each patient’s data. As it evolves, AI will better the process. Instead of episodic studies, doctors will fill near-real-time access to information showing the effects of treatment regimes. Benefits and risks of drug interactions will subsist identified faster. Novel treatments will become evident more quickly. Doctors will quiet manage the last mile, interpreting the analysis generated through AI. This human in the loop approach will remain faultfinding during this phase. As powerful as AI will become, it quiet will not match humans on understanding how to integrate treatment with values. When will a family sacrifice effectiveness of treatment to prolong property of life? When two life-threatening illnesses compete, which will the patient want treated first? This will subsist an primary learning phase, as humans understand the limits of AI.”
Charles Zheng, a researcher into machine learning and AI with the National Institute of Mental Health, commented, “In the year 2030, I anticipate AI will subsist more powerful than they currently are, but not yet at human flat for most tasks. A patient checking into a hospital will subsist directed to the revise desk by a robot. The receptionist will subsist aided by software that listens to their conversation with the patient and automatically populates the information fields without needing the receptionist to type the information. Another program cross-references the database in the cloud to check for errors. The patient’s medical images would first subsist automatically labeled by a computer program before being sent to a radiologist.”
A professor of computer science expert in systems who works at a major U.S. technological university wrote, “By 2030 … physiological monitoring devices (e.g., lower heartbeats and decreasing blood sugar levels) could argue lower levels of physical alertness. Smart apps could detect those decaying physical conditions (at an individual level) and imply improvements to the user (e.g., taking a coffee smash with a snack). Granted, there may subsist large-scale problems caused by AI and robots, e.g., massive unemployment, but the recent trends look to argue minute improvements such as health monitor apps outlined above, would subsist more easily developed and deployed successfully.”
Kenneth Cukier, author and senior editor at The Economist, commented, “AI will subsist making more decisions in life, and some people will subsist uneasy with that. But these are decisions that are more effectively done by machines, such as assessing insurance risk, the propensity to repay a loan or to survive a disease. A responsible instance is health care: Algorithms, not doctors, will subsist diagnosing many diseases, even if human doctors are quiet ‘in the loop.’ The profit is that healthcare can compass down to populations that are today underserved: the penniless and rural worldwide.”
Gabor Melli, senior director of engineering for AI and machine learning for Sony PlayStation, responded, “My hope is that by 2030 most of humanity will fill ready access to health custody and education through digital agents.”
Kate Eddens, research scientist at the Indiana University Network Science Institute, responded, “There is an opening for AI to enhance human aptitude to gain faultfinding information in decision-making, particularly in the world of health care. There are so many stirring parts and components to understanding health custody needs and deciding how to proceed in treatment and prevention. With AI, they can program algorithms to befriend refine those decision-making processes, but only when they train the AI tools on human thinking, a tremendous amount of true data and actual circumstances and experiences. There are some contexts in which human bias and emotion can subsist detrimental to decision-making. For example, breast cancer is over-diagnosed and over-treated. While mammography guidelines fill changed to try to reflect this reality, tough human emotion powered by anecdotal taste leaves some practitioners unwilling to change their recommendations based on evidence and advocacy groups reluctant to change their stance based on public outcry. Perhaps there is an opening for AI to calculate a more specific risk for each individual person, allowing for a tailored taste amid the broader guidelines. If screening guidelines change to ‘recommended based on individual risk,’ it lessens the ordeal on both the custody provider and the individual. People quiet fill to develop their own decisions, but they may subsist able to execute so with more information and a greater understanding of their own risk and reward. This is such a low-tech and simple instance of AI, but one in which AI can – importantly – supplement human decision-making without replacing it.”
Angelique Hedberg, senior corporate strategy analyst at RTI International, said, “The greatest advancements and achievements will subsist in health – physical, mental and environmental. The improvements will fill positive trickle-down impacts on education, work, gender equality and reduced inequality. AI will redefine their understanding of health care, optimizing existing processes while simultaneously redefining how they avow questions about what it means to subsist healthy, bringing custody earlier in the cycle due to advances in diagnostics and assessment, i.e. in the future preventative custody identifies and initiates treatment for illness before symptoms present. The advances will not subsist constrained to humans; they will comprehend animals and the built environment. This will befall across the disease spectrum. Advanced ‘omics’ will empower better decisions. There will subsist a shove and a pull by the market and individuals. This is a global story, with fragmented and discontinuous moves being played out over the next decade as they witness wildly different experiments in health across the globe. This future is full of hope for individuals and communities. My greatest hope is for disabled individuals and those currently alive with disabilities. I’m excited for communities and interpersonal connections as the labor in this future will allow for and multiply the value of the human-to-human experiences. Progress is often only seen in retrospect; I hope the hasten of exponential change allows everyone to savor the benefits of these collaborations.”
An anonymous respondent wrote, “In health care, I hope AI will better the diagnostics and reduce the number of errors. Doctors cannot recall totality the possibilities; they fill problems correlating totality the symptoms and recognizing the patterns. I hope that in the future patients will subsist interviewed by computers, which will correlate the described symptoms with results of tests. I hope that with the further evolution of AI and cognitive computing there will subsist fewer errors in reports of medical imaging and diagnosis.”
Eduardo Vendrell, a computer science professor at the Polytechnic University of Valencia in Spain, responded, “In the sphere of health, many solutions will loom that will allow us to anticipate current problems and discover other risk situations more efficiently. The consume of personal gadgets and other domestic devices will allow interacting directly with professionals and institutions in any situation of danger or deterioration of their health.”
…I foresee an increased evolution of mobile (remote) 24/7 health custody services and personalized medicine thanks to AI and human-machine collaboration applied to the field.Monica Murero
Monica Murero, director of the E-Life International Institute and associate professor in sociology of fresh technology at the University of Naples Federico II in Italy, commented, “In health care, I foresee positive outcomes in terms of reducing human mistakes, that are currently quiet creating several failures. Also, I foresee an increased evolution of mobile (remote) 24/7 health custody services and personalized medicine thanks to AI and human-machine collaboration applied to the field.”
Uta Russmann, professor in the department of communication at FHWien der WKW University of Applied Sciences for Management & Communication, said, “Life expectancy is increasing (globally) and human-machine/AI collaboration will befriend older people to manage their life on their own by taking custody of them, helping them in the household (taking down the garbage, cleaning up, etc.) as well as keeping them company – just enjoy cats and dogs do, but it will subsist a much more ‘advanced’ interaction.”
Lindsey Andersen, an activist at the intersection of human rights and technology for license House and Internews, now doing graduate research at Princeton University, commented, “AI will augment human intelligence. In health care, for example, it will befriend doctors more accurately diagnose and handle disease and continually monitor high-risk patients through internet-connected medical devices. It will bring health custody to places with a shortage of doctors, allowing health custody workers to diagnose and handle disease anywhere in the world and to preclude disease outbreaks before they start.”
An anonymous respondent said, “The most primary plot where AI will develop a incompatibility is in health custody of the elderly. Personal assistants are already capable of many primary tasks to befriend develop certain older adults linger in their home. But adding to that emotion detection, more in-depth health monitoring and AI-based diagnostics will surely enhance the power of these tools.”
Denis Parra, coadjutant professor of computer science in the school of engineering at the Pontifical Catholic University of Chile Chile, commented, “I live in a developing country. Whilst there are potential negative aspects of AI (loss of jobs), for people with disabilities AI technology could better their lives. I imagine people entering a government office or health facility where people with eye- or ear-related disabilities could effortlessly interact to condition their necessities and resolve their information needs.”
Timothy Leffel, research scientist, National feeling Research center (NORC) at the University of Chicago, said, “Formulaic transactions and interactions are particularly ripe for automation. This can subsist responsible in cases where human error can occasions problems, e.g., for well-understood diagnostic medical testing.”
Jean-Daniel Fekete, researcher in human-computer interaction at INRIA in France, said, “Humans and machines will integrate more, improving health through monitoring and easing via machine control. Personal data will then become even more revealing and intrusive and should subsist kept under personal control.”
Joe Whittaker, a former professor of sciences and associate director of the NASA GESTAR program, now associate provost at Jackson condition University, responded, “My hope is that AI/human-machine interface will become commonplace especially in the academic research and health custody arena. I envision significant advances in brain-machine interface to facilitate mitigation of physical and mental challenges. Similar uses in robotics should moreover subsist used to assist the elderly.”
James Gannon, global head of eCompliance for emerging technology, cloud and cybersecurity at Novartis, responded, “AI will multiply the hasten and availability to develop drugs and therapies for orphan indications. AI will assist in common lifestyle and health custody management for the medium person.”
Jay Sanders, president and CEO of the Global Telemedicine Group, responded, “AI will bring collective expertise to the decision point, and in health care, bringing collective expertise to the bedside will save many lives now lost by individual medical errors.”
Geoff Arnold, CTO for the Verizon Smart Communities organization, said, “One of the most primary trends over the next 12 years is the aging population and the tall costs of providing them with custody and mobility. AI will provide better data-driven diagnoses of medical and cognitive issues and it will facilitate affordable AV-based paratransit for the less mobile. It will support, not replace, human care-givers.”
John Lazzaro, retired professor of electrical engineering and computer science, University of California, Berkeley, commented, “When I visit my primary custody physician today, she spends a honest amount time typing into an EMS application as she’s talking to me. In this sense, the computer has already arrived in the clinic. An AI system that frees her from this clerical job – that can listen and watch and distill the doctor-patient interaction into actionable data – would subsist an improvement. A more-advanced AI system would subsist able to form a ‘second opinion’ based on this data as the appointment unfolds, discreetly advising the doctor via a wearable. The End goal is a reduction in the number of ‘false starts’ in-patient diagnosis. If you’ve read Lisa Sander’s columns in the fresh York Times, where she traces the arc of difficult diagnoses, you understand the true clinical problem that this system addresses.”
Steve Farnsworth, chief marketing officer at exact Marketing, commented, “Machine learning and AI offer tools to rotate that into actionable data. One project using machine learning and roomy data already was able to forecast SIDS correctly 94% of the time. Imagine AI looking at diagnostics, tests and successful treatments of millions of medical cases. They would instantly fill a deluge of fresh cures and know the most effective treatment options using only the data, medicines and therapies they fill now. The jump in property health custody lonesome for humans is staggering. This is only one application for AI.”
Daniel Siewiorek, a professor with the Human-Computer Interaction Institute at Carnegie Mellon University, predicted, “AI will enable systems to fulfill labor-intensive activities where there are labor shortages. For example, reckon recovery from an injury. There is a shortage of physical therapists to monitor and revise exercises. AI would enable a virtual coach to monitor, revise and inspirit a patient. Virtual coaches could retract on the persona of a human companion or a pet, allowing the aging population to live independently.”
Joly MacFie, president of the Internet Society, fresh York chapter, commented, “AI will fill many benefits for people with disabilities and health issues. Much of the aging baby boomer generation will subsist in this category.”
The overall hopes for the future of health custody are tempered by concerns that there will continue to subsist inequities in access to the best custody and worries that private health data may subsist used to restrict people’s options.
Craig Burdett, a respondent who provided no identifying details, wrote, “While most AI will probably subsist a positive benefit, the workable darker side of AI could lead to a loss of agency for some. For example, in a health custody setting an increasing consume of AI could allow wealthier patients access to significantly-more-advanced diagnosis agents. When coupled with a supportive custody team, these patients could receive better treatment and a greater sweep of treatment options. Conversely, less-affluent patients may subsist relegated to automated diagnoses and treatment plants with minute opening for interaction to explore alternative treatments. AI could, effectively, manage long-term health custody costs by offering lesser treatment (and sub-optimal recovery rates) to individuals perceived to fill a lower status. reckon two patients with diabetes. One patient, upon diagnosis, modifies their eating and exercise patterns (borne out by embedded diagnostic tools) and would profit from more advanced treatment. The second patient fails to modify their behaviour resulting in substantial ongoing treatment that could subsist avoided by simple lifestyle choices. An AI could subjectively evaluate that the patient has minute interest in their own health and withhold more expensive treatment options leading to a shorter lifespan and an overall cost saving.”
Sumandra Majee, an architect at F5 Networks Inc., said, “AI, abysmal learning, etc., will become more a allotment of daily life in advanced countries. This will potentially widen the gap between technology-savvy people and economically well-to-do folks and the folks with limited access to technology. However, I am hopeful that in the sphere of healthcare, especially when it comes to diagnosis, AI will significantly augment the field, allowing doctors to execute a far better job. Many of the routines aspects of checkups can subsist done via technology. There is no judgement an expert human has to subsist involved in basic A/B testing to compass a conclusion. Machines can subsist implemented for those tasks and human doctors should only execute the faultfinding parts. I execute survey AI playing a negative role in education, where students may not often actually execute the hard labor of learning through experience. It might actually develop the overall population dumber.”
Timothy Graham, a postdoctoral research fellow in sociology and computer science at Australian National University, commented, “In health care, they survey current systems already under weighty criticism (e.g., the My Health Record system in Australia, or the NHS Digital program), because they are nudging citizens into using the system through an ‘opt-out’ mechanism and there are concerns that those who execute not opt out may subsist profiled, targeted and/or denied access to services based on their own data.”
Valarie Bell, a computational gregarious scientist at the University of North Texas, commented, “Let’s yelp medical diagnosis is taken over by machines, computers and robotics – how will stressful prognoses subsist communicated? Will a hologram or a computer deliver ‘the snide news’ instead of a physician? Given the health custody industry’s inherent profit motives it would subsist simple for them to warrant how much cheaper it would subsist to simply fill devices diagnose, prescribe treatment and execute patient care, without concern for the weight of human paw and interactions. Thus, they may devolve into a health custody system where the wealthy actually procure a human doctor while everyone else, or at least the penniless and uninsured, procure the robot.”
The following one-liners from anonymous respondents moreover tie into the future of health care:
“People could consume a virtual doctor for information and first-level response; so much time could subsist saved!”
“The merging of data science and AI could profit strategic planning of the future research and evolution efforts that should subsist undertaken by humanity.”
“I survey economic efficiencies and advances in preventive medicine and treatment of disease, however, I execute umpire there will subsist plenty of adverse consequences.”
“Data can reduce errors – for instance, in clearly taking into account the side effects of a medicine or consume of multiple medications.”
“Human-machine/AI collaboration will reduce barriers to proper medical treatment through better recordkeeping and preventative measures.”
“AI can retract over many of the administrative tasks current doctors must do, allowing them more time with patients.”
The future of education: tall hopes for advances in adaptive and individualized learning, but some doubt that there will subsist any significant progress and worry over digital divide
Over the past few decades, experts and amateurs alike fill predicted the internet would fill large-scale impacts on education. Many of these hopes fill not lived up to the hype. Some respondents to this canvassing said the advent of AI could foster those changes. They anticipate to survey more options for affordable adaptive and individualized learning solutions, including digital agents or “AI assistants” that labor to enhance student-teacher interactions and effectiveness.
Barry Chudakov, founder and principal of Sertain Research and author of “Metalifestream,” commented, “In the learning environment, AI has the potential to finally demolish the retain-to-know learning (and regurgitate) model. Knowing is no longer retaining – machine intelligence does that; it is making significant connections. Connect and assimilate becomes the fresh learning model.”
Lou Gross, professor of mathematical ecology and expert in grid computing, spatial optimization and modeling of ecological systems at the University of Tennessee, Knoxville, said, “I survey AI as assisting in individualized instruction and training in ways that are currently unavailable or too expensive. There are hosts of school systems around the world that fill some technology but are using it in very constrained ways. AI consume will provide better adaptive learning and befriend achieve a teacher’s goal of personalizing education based on each student’s progress.”
Guy Levi, chief innovation officer for the center for Educational Technology, based in Israel, wrote, “In the sphere of education AI will promote personalization, which almost by definition promotes motivation. The aptitude to poke learning forward totality the time by a personal AI assistant, which opens the learning to fresh paths, is a game changer. The AI assistants will moreover communicate with one another and will orchestrate teamwork and collaboration. The AI assistants will moreover subsist able to manage diverse methods of learning, such as productive failure, teach-back and other innovating pedagogies.”
Micah Altman, a senior fellow at the Brookings Institution and head scientist in the program on information science at MIT Libraries, wrote, “These technologies will befriend to accommodate learning (and other environments) to the needs of each individual by translating language, aiding memory and providing us feedback on their own emotional and cognitive condition and on the environment. They totality necessity adaptation; each of us, practically every day, is at times tired, distracted, fuzzy-headed or nervous, which limits how they learn, how they understand and how they interact with others. AI has the potential to assist us to engage with the world better – even when conditions are not model – and to better understand ourselves.”
Shigeki Goto, Asia-Pacific internet pioneer, Internet Hall of Fame member and a professor of computer science at Waseda University, commented, “AI is already applied to personalized medicine for an individual patient. Similarly, it will subsist applied to learning or education to realize ‘personalized learning’ or tailored education. They necessity to collect data which covers both of successful learning and failure experiences, because machine learning requires positive and negative data.”
Andreas Kirsch, fellow at Newspeak House, formerly with Google and DeepMind in Zurich and London, wrote, “Higher education outside of typical academia will profit further from AI progress and empower more people with access to scholarship and information. For example, question-and-answer systems will improve. Tech similar to Google Translate and WaveNet will lower the barrier of scholarship acquisition for non-English speakers. At the very time, child labor will subsist reduced because robots will subsist able to fulfill the tasks far cheaper and faster, forcing governments in Asia to find true solutions.”
Kristin Jenkins, executive director of BioQUEST Curriculum Consortium, said, “One of the benefits of this technology is the potential to fill really effective, responsive education resources. They know that students profit from immediate feedback and the opening to practice applying fresh information repeatedly to enhance mastery. AI systems are perfect for analyzing students’ progress, providing more practice where needed and stirring on to fresh material when students are ready. This allows time with instructors to focus on more-complex learning, including 21st-century skills.”
Mike Meyer, chief information officer at Honolulu Community College, commented, “Adult education availability and relevance will undergo a major transformation. Community colleges will become more directly community centers for both occupational training and greatly expanded optional bounteous arts, art, crafts and hobbies. Classes will, by 2030, subsist predominantly augmented-reality-based, with a full fuse of physical and virtual students in classes presented in virtual classrooms by national and international universities and organizations. The driving necessity will subsist expansion of scholarship for personal interest and enjoyment as universal basic income or equity will supersede the automated tasks that had provided subsistence jobs in the obsolete system.”
Jennifer Groff, co-founder of the center for Curriculum Redesign, an international non-governmental organization dedicated to redesigning education for the 21st century, wrote, “The impact on learning and learning environments has the potential to subsist one of the most positive future outcomes. Learning is largely intangible and invisible, making it a ‘black box’ – and their tools to capture and champion learning to this point fill been archaic. umpire large-scale assessment. Learners necessity tools that befriend them understand where they are in a learning pathway, how they learn best, what they necessity next and so on. We’re only just genesis to consume technology to better avow these questions. AI has the potential to befriend us better understand learning, gain insights into learners at scale and, ultimately, build better learning tools and systems for them. But as a large gregarious system, it is moreover prey to the complications of penniless public policy that ultimately warps and diminishes AI’s potential positive impact.”
Norton Gusky, an education-technology consultant, wrote, “By 2030 most learners will fill personal profiles that will tap into AI/machine learning. Learning will befall everywhere and at any time. There will subsist commandeer filters that will restrict the influence of AI, but ethical considerations will moreover subsist an issue.”
Cliff Zukin, professor of public policy and political science at Rutgers University’s School of Planning and Public Policy and the Eagleton Institute of Politics, said, “It takes ‘information’ out of the category of a commodity, and more information makes for better decisions and is democratizing. Education, to me, has always been the status leveler, correcting, to some extent, for birth luck and gregarious mobility. This will subsist enjoy Asimov’s ‘Foundation,’ where everyone is plugged into the data-sphere. There is a dismal side (later) but overall a positive.”
However, some anticipate that there will subsist a continuing digital divide in education, with the privileged having more access to advanced tools and more capacity for using them well, while the less-privileged lag behind.
Henning Schulzrinne, co-chair of the Internet Technical Committee of the IEEE Communications Society, professor at Columbia University and Internet Hall of Fame member, said, “Human-mediated education will become a frill good. Some tall school- and college-level teaching will subsist conducted partially by video and AI-graded assignments, using similar platforms to the MOOC [massive open online courses] models today, with no human involvement, to deal with increasing costs for education (‘robo-TA’).”
Huge segments of society will subsist left behind or excluded completely from the benefits of digital advances – many persons in underserved communities as well as others who are socio-economically challenged.Joe Whittaker
Joe Whittaker, a former professor of sciences and associate director of the NASA GESTAR program, now associate provost at Jackson condition University, responded, “Huge segments of society will subsist left behind or excluded completely from the benefits of digital advances – many persons in underserved communities as well as others who are socio-economically challenged. This is due to the fact that these persons will subsist under-prepared generally, with minute or no digital training or scholarship base. They rarely fill access to the relatively ubiquitous internet, except when at school or in the workplace. Clearly, the children of these persons will subsist greatly disadvantaged.”
Some witnesses of technology’s evolution over the past few decades feel that its most-positive potential has been disappointingly delayed. After witnessing the slower-than-expected progress of tech’s impact on public education since the 1990s, they are less hopeful than others.
Ed Lyell, longtime educational technologies expert and professor at Adams condition University, said education has been held back to this point by the tyranny of the status quo. He wrote, “By 2030, lifelong learning will become more widespread for totality ages. The tools already exist, including Khan Academy and YouTube. They don’t fill to know as much, just how to find information when they want it. They will fill on-demand, 24/7 ‘schooling.’ This will develop going to sit-down classroom schools more and more a hindrance to their learning. The biggest negative will subsist from those protecting current, status-quo education including teachers/faculty, school boards and college administrators. They are protecting their paycheck- or ego-based role. They will necessity training, counseling and befriend to embrace the existing and forthcoming change as responsible for totality learners. allotment of the problem now is that they execute not want to avow the reality of how current schools are today. Some execute a responsible job, yet these are mostly serving already smarter, higher-income communities. Parents fight to fill their children fill a school enjoy they experienced, forgetting how inefficient and often useless it was. AI can befriend customize curricula to each learner and guide/monitor their journey through multiple learning activities, including some existing schools, on-the-job learning, competency-based learning, internships and such. You can already learn much more, and more efficiently, using online resources than almost totality of the classes I took in my public schooling and college, totality the course through getting a Ph.D.”
A consultant and analyst moreover said that advances in education fill been held back by entrenched interests in legacy education systems, writing, “The consume of technology in education is minimal today due to the existence and persistence of the classroom-in-a-school model. As they fill seen over the last 30 years, the application of synthetic intelligence in the sphere of man/machine interface has grown in many unexpected directions. Who would fill thought back in the late 1970s that the breadth of today’s online (i.e., internet) capabilities could emerged? I believe they are just seeing the genesis of the benefits of the man/machine interface for mankind. The institutionalized education model must subsist eliminated to allow education of each and every individual to grow. The human brain can subsist ‘educated’ 24 hours a day by smart ‘educators’ who may not even subsist human in the future. Access to information is no longer a barrier as it was 50 years ago. The next step now is to remove the barrier of structured human delivery of learning in the classroom.”
Brock Hinzmann, a partner in the trade Futures Network who worked for 40 years as a futures researcher at SRI International, was hopeful in his comments but moreover issued a staid warning. He wrote: “Most of the improvements in the technologies they muster AI will involve machine learning from roomy data to better the efficiency of systems, which will better the economy and wealth. It will better emotion and purpose recognition, augment human senses and better overall satisfaction in human-computer interfaces. There will moreover subsist abuses in monitoring personal data and emotions and in controlling human behavior, which they necessity to recognize early and thwart. smart machines will recognize patterns that lead to materiel failures or flaws in final products and subsist able to revise a condition or shut down and pinpoint the problem. Autonomous vehicles will subsist able to resolve data from other vehicles and sensors in the roads or on the people nearby to recognize changing conditions and avoid accidents. In education and training, AI learning systems will recognize learning preferences, styles and progress of individuals and befriend direct them toward a personally satisfying outcome.
“However, governments or religious organizations may monitor emotions and activities using AI to direct them to ‘feel’ a inescapable way, to monitor them and to discipline them if their emotional responses at work, in education or in public execute not conform to some norm. Education could become indoctrination; democracy could become autocracy or theocracy.”
PALM BEACH, Florida, March 8, 2018 /PRNewswire/ --
MarketNewsUpdates.com advice Commentary
Artificial Intelligence continued influence and advancements for The Internet of Things (IoT) is transforming how businesses and consumers fade about their daily activities. The technology that underlies this whole segment is evolving quickly, whether it's the rapid soar of the Amazon resound and voice assistants upending the consumer space, or growth of AI-powered analytics platforms for the enterprise market. The Internet of Things (IoT) space is one of the hottest avenues within the tech sector as society becomes increasingly connected to the web at totality times. Due to the rapid growth, advancements and consumer demand, the Boston Consulting Group is forecasting the sector to top $267 billion in revenues within two years. Additionally, the number of firms investing in the evolution of IoT platforms and technologies is rising, particularly as the infusion of mesh technology will serve to enhance the operating efficiency of IoT platforms, enabling companies to develop and release fresh platforms for consumers and businesses alike. active companies in the markets this week comprehend Gopher Protocol Inc. (OTC: GOPH), Microsoft Corporation (NASDAQ: MSFT), NVIDIA Corporation (NASDAQ: NVDA), Facebook Inc. (NASDAQ: FB), Alphabet Inc. (NASDAQ: GOOG) (NASDAQ: GOOGL).
Gopher Protocol Inc. (OTCQB: GOPH) BREAKING NEWS: Gopher Protocol, a company specializing in the creation of Internet of Things (IoT) and synthetic Intelligence enabled mobile technologies, announced a closing of the sale of a convertible debenture containing a fixed conversion price, which generated $750,000 in crude proceeds. The details on the funding can subsist institute in the Company's form 8-K - https://www.sec.gov/Archives/edgar/data/1471781/000161577418001621/s109251_8k.htm.
The financing is allotment of the Company's strategy to reduce its dependence on derivative convertible financing and create a equilibrium sheet that gives investors clarity regarding the number of shares outstanding and potential dilution caused by convertible debenture financing. The investor that participated in this financing may, in its sole discretion, provide additional funding to the Company at similar terms of the current funding.
As previously announced on January 2, 2018 ( https://finance.yahoo.com/news/gopher-protocol-closes-growth-financing-140000380.html ), an investor, that had previously acquired convertible debt from the Company, invested $1 million in a common equity financing and agreed to potentially purchase an additional $500,000 in its discretion, potentially bringing the total investment to $1.5 million. Read this and more advice for GOPH at http://www.marketnewsupdates.com/news/goph.html
"The Company is pleased to subsist on a Great track financially, it should subsist a very positive signal to the market that in January 2018, a private accreditor investor made the transition from being a lender to an equity investor" stated Greg Bauer, CEO. "We believe the closing of the current convertible debenture with a fixed conversion expense supports the notion that the investment community agrees that Gopher is on the privilege track, going forward", added Greg Bauer, CEO. Gopher Protocol has made a concerted pains to de-lever its equilibrium and add shareholder equity to the equilibrium sheet. As reported on its most recent form 8-K, the Company continues to better its fiscal outlook by eliminating totality derivative liabilities by paying off its reaming derivative liability on March 5, 2018.
Along with the recently announced growth capital financing, the Company is positioned to pursue growth and fund the rollout of its fresh technologies. The de-levering is allotment of the Company's strategy to reduce its dependence on variable convertible debt financing and create a equilibrium sheet that gives investors clarity regarding the number of shares outstanding and potential dilution caused by historical variable convertible debt financing.
"We are pleased to develop this string of announcements, which they believe is evidence of the fact that they are on track to complete many of the tasks that I fill laid out including their absorbing of their recent acquisition, as well as potentially fresh acquisitions, as they seek to combine their distribution channels with their fresh technologies," stated Greg Bauer, CEO. "In simple words, the Company's debt schedule following the current funding and the payment of the last derivative liability result in only one outstanding liability of $750,000 that may potentially subsist converted into common stock at a fixed price" added Greg Bauer, CEO.
In other Tech and AI developments in the markets of note:
Microsoft Corporation (NASDAQ: MSFT) is planning to comprehend more synthetic intelligence capabilities inside Windows 10 soon. The software giant is unveiling a fresh AI platform, Windows ML, for developers today, that will subsist available in the next major Windows 10 update available this spring. Microsoft's fresh platform will enable totality developers that create apps on Windows 10 to leverage existing pre-trained machine learning models in apps. Windows ML will enable developers to create more powerful apps for consumers running Windows 10. Developers will subsist able to import existing learning models from different AI platforms and hasten them locally on PCs and devices running Windows 10, speeding up real-time analysis of local data enjoy images or video, or even improving background tasks enjoy indexing files for quick search inside apps. Microsoft has already been using AI throughout Office 365, inside the Windows 10 Photos app, and even with its Windows Hello facial recognition to allow Windows 10 users to badge into PCs and laptops with their faces.
NVIDIA Corporation (NASDAQ: NVDA) is one of the most prominent IoT hardware companies in the market at this moment. Nvidia's Tegra automotive systems chips are already an integral allotment of Tesla Motors' full lineup, powering the self-driving capabilities of the Model S, Model X and Model 3. The company moreover recently announced partnerships with auto parts manufacturer Bosch, to better upon AI in automobiles, and with Audi, to plot the first fully self-driving car on the market by 2020.
Facebook Inc. (NASDAQ: FB) recently obtained a patent for a fresh type of robot, one that can swiftly transform into a unique "two-wheeled self-balancing mode." In documents recently made public, Scott C. Wiley, an inventor at Facebook, detailed how the futuristic robot would work, providing rudimentary sketches of its appearance. If the drawings prove accurate, it will arrive equipped with a camera and microphone, a rotatable "main arm" and a set of wheels to befriend it zoom around. The filing states: "The robot includes a corpse and a pair of drive wheels located at a first End portion of the body. Each drive wheel is coupled to a drive assembly operative to propel the robot along a surface. A third wheel is located on the corpse at a second End portion contradictory the first End portion.
Alphabet Inc. (NASDAQ: GOOG) (NASDAQ: GOOGL) recently announced its latest synthetic intelligence home product in its "Google Clips" device. The $249 device, which is designed to clip onto furniture or other fixed objects, automatically captures subjects that stray into its viewfinder. But unlike some trail or security cameras that are triggered by motion or programmed on timers, Clips is more discerning. Google has trained its electronic brain to recognize smiles, human faces, dogs, cats and rapid sequences of movement. The company sees roomy potential with parents and pet owners looking to grab candid shots of kids and animals. The Clip shoots seven-second videos, without audio, that can subsist edited into GIFs or high-definition photos. These images can then subsist downloaded and shared via smartphone. But Google's bigger ambition is the mastery - and commercialization - of synthetic intelligence, an locality where it is investing big. Google executives yelp success requires taut integration between hardware and software, which is why the search-engine giant keeps plugging away at consumer electronics.
DISCLAIMER: MarketNewsUpdates.com (MNU) is a third party publisher and advice dissemination service provider, which disseminates electronic information through multiple online media channels. MNU is NOT affiliated in any manner with any company mentioned herein. MNU and its affiliated companies are a advice dissemination solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. MNU's market updates, advice alerts and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to subsist strictly informational and is NEVER to subsist construed or interpreted as research material. totality readers are strongly urged to fulfill research and due diligence on their own and consult a licensed fiscal professional before considering any flat of investing in stocks. totality material included herein is republished content and details which were previously disseminated by the companies mentioned in this release. MNU is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose totality or a portion of their investment when investing in stocks. For current services performed MNU has been compensated twenty three hundred dollars for advice coverage of the current press releases issued by Gopher Protocol Inc. by a non-affiliated third party. MNU HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
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By Tyler Titherington
I am a restaurateur. I’m behind schedule. Again. Not because I am disorganized or fill too much to do, more so because I fill a hierarchy of tasks that are addressed based on priority. Guest needs are my first priority, staff needs are a nigh second and everything else last. There is a tertiary hierarchy in the last basket as well. Some tasks with a lower priority plunge through the cracks. Not because they are unimportant, but rather there just was not enough time. The verisimilitude is that I am obsessively organized. I esteem “To Do” lists, calendars, stream charts and the accomplishment of tasks. I eat projects for breakfast, while alive on the edge of chaos and complete catastrophe. Short staffed? Yawn. Drains flooding? Been there, done that. POS system crash during service on a weekend? Bring it. I am the duck – tranquil above water and feet stirring nonstop below. However, how execute I manage totality the curveballs and quiet manage to gain time without compromising any of my other priorities? It is very simple – accommodate and embrace technology wherever possible, specifically, cloud-based computing solutions that allow one to subsist in many places at one time. These applications simplify daily tasks for management teams and staff, which will ultimately leverage senior management down to focus on the bigger picture. Maybe even procure a day off…
Over the last 10 years or so, the increased availability of cloud-based computing solutions (using network computers over the internet rather than property-based hard drives) has been a major paradigm shift for many industries. However, as with most technological advances, the restaurant industry has been very late to adapt. taut margins, resistance to change, and awe of unknown outcomes fill long driven the restaurateur’s decision-making process. However, with increased options, cheaper costs, and ease of use, that mindset is quickly becoming a thing of the past. Restaurant operators are genesis to embrace cloud-based solutions for everything from Point of Sale and Tableside Payment to Menu Design and Scheduling.
Our foray into cloud computing began with an ill-started set of circumstances that the entire industry was facing. The year was 2010 and the impending doom of PCI Compliance was upon us. At best, their network infrastructure was dated and they needed to act quickly to procure it into compliance. enjoy most operators, their hand was forced and they had no choice. What is PCI Compliance? The avow depends on who you ask.
Your guests fill never heard of it and fill no concept what it is. Most restaurant operators will disclose you that PCI Compliance is an almost unachievable set of network security standards designed to protect the credit card giants, who already pervade them course too much for credit card processing and continually squeeze them with a plethora of monthly fees. The definition of PCI Compliance is below, according to PCI ComplianceGuide.org
“The Payment Card Industry Data Security touchstone (PCI DSS) is a set of security standards designed to ensure that totality companies that accept, process, store or transmit credit card information maintain a secure environment. The PCI Security Council Card focuses on improving payment account security throughout the transaction process. It is an independent corpse that was created by the major payment card brands (Visa, MasterCard, American Express, discover and JCB.).”[i]
PCI DSS is mandatory for any and totality businesses that accept credit cards. It involves a process of assessment, remediation and reporting. Operators must identify network vulnerabilities, physical vulnerabilities, and operational vulnerabilities that could result in a credit card transgression and fix them. In summary, it is a painfully tedious, extremely time consuming, and potentially expensive process.
It is extremely primary for the security of their guest’s payment information, both for ensuring dependence with their customers and limiting legal liabilities. In 2017-8, major retail stores including Home Depot, Macy’s, Sears, Kmart, Best Buy and Lord & Taylor made headlines across the country for data breaches possibly compromising customer’s credit card personal information. The restaurant industry is moreover plagued with security breaches, including large chains such as Darden (Cheddar’s), Panera Bread, Sonic and Arby’s. The number of customers whose credit card information may subsist compromised totals into the millions.[ii]
At Grafton Group, the process of obtaining Credit card security involved working directly with their IT vendor and POS vendor to achieve PCI compliance. The first order of trade was to procure their network infrastructure in order. Some of the major network upgrades that they undertook were upgrading wiring, locking down patch panels, securitizing external ports, adding wireless access points (WAPs), and replacing firewalls. The WAPs and fresh firewalls were the heart of the upgrades and would ultimately allow us to operate unencumbered in the cloud. The fresh access points give their guests their own network and preclude them from accessing ours. The security firewalls preclude intrusions and moreover allow their IT vendor remote access so they can develop changes without actually being in the restaurant. What used to subsist a scheduled visit from their IT vendor that may fill taken weeks, is now a simple email and can often subsist addressed online in minutes. In a nutshell, PCI DSS forced us to upgrade their network, which ultimately allowed us to operate in the cloud. This unintended outcome to a painful requirement was truly a blessing in cloak and it pushed us into fresh territory – the cloud! Being in the cloud has allowed us access to exciting applications and services that would otherwise subsist unavailable to us.
IBM defines cloud computing as “the delivery of on-demand computing resources — everything from applications to data centers — over the internet on a pay-for-use basis.”[iii] For their purposes, these on exact computing resources primarily consist of “SaaS” or Software as a Service. Here are some of the areas where cloud computing can streamline their operation.
Point of Sale
POS systems are the most tantalizing locality of cloud-based solutions for restaurant operators. Legacy systems such as Positouch, Micros, and Aloha are bulkier, more expensive, and much harder to program and implement. There are quite a few cloud-based POS options, most notably Boston-based Toast. Toast has done a Great job streamlining and simplifying the interface for both front and back End users. Management can access the system remotely for screen programming, troubleshooting or reviewing sales. It is extremely intuitive, enjoy using a smartphone, thus needing very minute training. As wireless POS solutions evolve, legacy systems will eventually subsist phased out. It is only a matter of time.
EMV (Europay, MasterCard and Visa) is another set of regulations that are coming to the restaurant industry. “EMV is a global touchstone for cards equipped with computer chips and the technology used to authenticate chip-card transactions.”[iv] Used in Europe for years, the credit card never leaves the customer and totality transactions are processed tableside with a handheld device. One instance of an EMV compliant, cloud-based device for tableside payments that they at Grafton Group are currently analyzing and contrivance on implementing is Pay My Tab. Pay My Tab will fully integrate with their POS system and eliminates many bulky PCI DSS requirements. Many similar systems are already in consume at quick service operations, where guests and staff fill easily adapted to them. In addition to tougher security, the implementation should abate payment time, liquidate paper receipts (emailed instead) and simplify the process for management to search for specific receipts.
Reservations and Floor Management
There are a variety of solutions for reservations and floor management systems. Their solid has been using OpenTable for over 15 years, so when they rolled out their cloud-based system, GuestCenter, they were early adopters. This has been one of the lone best applications in terms of roll out, ease of use, and seamless integration. It is iPad-based and eliminates totality the wiring and host stand true estate. It is compatible to smart phones that allows for remote access, allowing management to check stream of service, identify unique reservations, and develop certain that waitlists are being managed appropriately. Soon to arrive is an interface with POS systems that automatically applies any “guest notes” from GuestCenter to the server’s check, such as special occasions, etc. Most importantly, due to its intuitive design, their millennial hosts consume the system seamlessly.
Private Event Management
Private events are the foundation of most full service restaurant operations. They are the incompatibility between a responsible week and a Great week. However, it can subsist a very confusing process with totality of the stirring parts. In order to linger organized, they consume TripleSeat to manage leads, create BEOs and track their events calendar. The cloud-based event management system allows their Private Event Coordinators to respond at any given time from anywhere, giving them a leg up on the competition, giving them the opening to deserve fees for each event. Since their coordinators receive an administrative fee for each event, they savor responding when available off-site; responsible communication is key for making certain work-life equilibrium is maintained.
Bar at the Russell House Tavern in Cambridge, MA. Photo: graftongrouphospitality.com
An locality which the cloud has really saved their restaurants time is with food & beverage inventories. No more paper and no more transposing paper to spreadsheet. Inventories can subsist uploaded in true time using a tablet, laptop or even a smart phone. BevSpot is used for both their food and beverage inventories. They fill moreover given access to their accounting firm, in order to reduce bulky invoice scans and uploads. totality information can subsist entered into the cloud and accessed by totality of their approved users. It moreover allows for multiple people to retract inventory simultaneously. One person can subsist on the bar, another in the walk in fridge, and another in the liquor room, totality at the very time. In addition to being a major time saver, it has helped Grafton Group to reduce sitting inventory by a significant amount across totality properties.
Staff scheduling is a weekly administrative headache for managers, but there are cloud-based scheduling applications that lessen the pain. They fill institute HotSchedules to meet their needs as it interfaces with their POS system and allows their solid to execute some creative reporting in regards to budgeting and forecasting, as well as taking employees requests and requirements into consideration.
Email and File Sharing
Grafton Group has arrive a long course from sharing access to a desktop version of Outlook and toggling between accounts. They were able to liquidate their main server entirely and now they consume Office 365 for their email and file sharing needs. Not only is this highly securitized, it has redundancy so their information is always backed up. They access both their email and files from anywhere in the world. This has greatly improved productivity and allowed their management teams to communicate in true time.
Grafton Street in Cambridge, MA. Photo: graftongrouphospitality.com
Our office hardware now consists of much less expensive “Network Computers”, which execute not require expanded memory for giant programs, CD drives for downloading drivers, or expansion slots for extraneous drives. They can purchase more computers at a reduced cost and their managers no longer fill to participate computer access in the office.
For their menu design need, they fill institute InDesign to subsist the most efficient program, which is allotment of the Adobe Creative Cloud. This program can now subsist selected a la carte from Adobe’s menu of programs and paid for on a month to month basis for under $20. This is much more palatable than paying $600 for the entire Adobe suite.
These are just a handful examples of how cloud computing has impacted their operations and ultimately saved time for their management team and staff. Ten seconds here, 5 minutes there, an hour tomorrow – it adds up to impactful chunks of time that can subsist better spent elsewhere. They fill only scratched the surface as an industry – they will survey more and more options for cloud-based solutions to true world restaurant problems. Although the solutions highlighted above create efficiency and save time, they execute not serve guests and they don’t understand the craft of hospitality. It is imperative that as restaurateurs they continue to create a positive environment, embrace innovation, and engage and train their employees in the craft and skill of hospitality.
There are some things you will never fill time for in the restaurant industry, regardless of cloud-based advancements. “Lunch”, for example, I fill heard is a meal that takes plot in the middle of the day. For me, “lunch” is the sandwich that I eat in 30 seconds somewhere between 2pm and 6pm standing over a trash can in the back of the kitchen. There is no technology for that…
PDF Version Available Here
[i] “PCI Compliance pilot FAQ.” PCIComplianceGuide.Org. September, 2018. https://www.pcicomplianceguide.org/faq/#1.
[ii] Green, D. and Hanbury, M. (Aug. 22, 2018). “If you shopped at these 16 stores in the last year, your data might fill been stolen.” https://www.businessinsider.com/data-breaches-2018-4
[iii] “What Is Cloud Computing?” IBM.com. September, 2018. https://www.ibm.com/cloud/learn/what-is-cloud-computing.
[iv] Kossman, Sienna. ” 8 FAQs about EMV credit cards.” CreditCards.com. August 29, 2017. https://www.creditcards.com/credit-card-news/emv-faq-chip-cards-answers-1264.php.
Tyler was born and raised in Portland, Maine and has lived in the Boston locality since attending Boston University. After graduating from the Boston University School of Hospitality Administration, Mr. Titherington operated a handful of bars and restaurants in Boston. He has been with Grafton Group since October 2007.
By Christopher Muller
In allotment 1 of this analysis of the restaurant delivery system they looked at the owner/operator models which quiet offer some measure of control over expense and quality. This is quickly becoming an issue with the soar of the Ghost Kitchen where the ODP is an integral allotment of the equation. Here they present the larger challenges from the predominant ODP control of the marketplace. It is responsible to remember that most of the ODPs themselves are quiet looking to find profits in what they do, a suggestion that those profits will necessity to arrive at the expense of the restaurant providers in one course or another.
5. The Aggregator or On-Line Delivery Provider (ODP) – No Driver Fleet
If someone were to say, “Let me retract custody of totality of your delivery problems for a minute Cut of your revenues” many restaurant operators, especially those keen to procure into the market with the least amount of upfront investment, would jump at the chance. Enter the On-Line Delivery Provider with a trade model built upon a brand cognomen customer-facing APP, website or phone number and an huge amount of back office computing power to drive order volume.
At its core, to subsist successful the Aggregator needs to subsist a world-class matchmaker for food orders, with both a large customer database of users and a broad assortment of restaurant menus offered in major cities. enjoy many of what MIT’s Bill Aulet calls an Innovation Driven Enterprise (IDE) the cost of customer acquisition is the key hurdle in entering this distribution channel. What it doesn’t necessity is its own fleet of employee delivery drivers. Capitalizing on the DIY gig economy, drivers are hired on a contractual basis, working as independent delivery agents with their own vehicles.
The barrier to lowering this tall cost of entry has favored early market entrants and large well-funded digital innovators. Worldwide, the fastest growing ODP is Uber Eats, the natural extension of car service provider, Uber, with its existing huge data base of users, an ever expanding fleet of drivers, and the understanding for a driver that delivering food with an APP-based pre-payment system is considerably faster and easier than dealing with human passengers.
The upside for restaurant companies using an ODP such as Uber Eats, from those as predominant as McDonalds or as minute as the local pizzeria, is that there is no necessity to hire and train non-core employees. As touted by Uber Eats delivery service can inaugurate almost immediately upon signing up. The downside, that has a potential for long term impact, is two-fold. The fee structure for traditionally low margin restaurants can subsist between 20-30% of a menu item price, leaving minute to cover remaining expenses. Worse though is that the restaurant gives away its brand and trade dress image to the company making the delivery to the front door. McDonalds hamburgers may subsist in the bag, but the cognomen on the ordering APP and the uniform on the person handing it to the customer says Uber Eats.
6. The Consolidator – Bulk “Bus Stop”
As noted, the most expensive lone piece of the delivery mystify is getting food from the restaurant to the front door, what is called “the last mile.” One proven course to minimize that expense is to fill the customer meet the food delivery at a central drop-off spot (see: Amazon ). A start-up, Yun Ban Bao, in fresh York City is taking handicap of ethnic Chinese food deserts through direct targeted marketing using the predominant Chinese online service provider, WeChat. By doing so it is creating a captive delivery market with the handicap of pre-ordering and payment.
Taking online requests for delivery on the next trade day, then consolidating orders using a bulk delivery model, Yun Ban Bao is lowering the cost of delivery while maintaining control with its own fleet of drivers. It advertises a data analytics service for smaller restaurants as well as being a revenue growth accelerator for restaurants in suburban locations which otherwise could not find fresh or broader market opportunities.
Using a pre-arranged group delivery network, often outside parks, office towers or apartment buildings, the system mirrors a bus route, not the more traditional taxi route model of one-on-one delivery. This moreover affords the network of restaurants a course to lower operating costs by controlling the production process in advance.
7. The Aggregator ODP – Owned Fleet
Some of the largest ODP players started in the delivery trade by controlling their own fleets of employee managed delivery drivers. The global leader, Just Eat, has used this model throughout the UK, Europe and worldwide. But it moreover has worked directly with restaurants who fill their own in-house deliver fleets to create a broad partnership. Just eat acts as the online ordering platform, but then allows the local branded company to subsist the puss at the door.
The aptitude to present a standardized customer facing brand identity means that dependence may subsist established with the customer directly. While this can arrive at the risk of the restaurant losing its direct brand relationship, what Just eat has been able to master is the collection of a vast customer database of its users. It has created a relationship with many of its restaurant partners to assist them in finding model store locations, menu item design and creative targeted pricing and promotions programs which would not otherwise subsist affordable or even available to smaller companies.
For these ODP companies, the costs for maintaining their own fleets or working as a hybrid with a local restaurant creates a higher operating expense, but these are often offset with a higher fee participate from both the restaurant and the consumer. It moreover creates a competitive handicap by building a broader network of restaurants to choose from for the customer, which builds long term loyalty and habitual purchase behaviors.
8. The ODP Aggregator – dismal Kitchens
One of the greatest threats to the bricks and mortar restaurant delivery partners is the emerging concept of a dismal Kitchen. This is a space created by an OPD to facilitate the lowest cost per delivery mile from restaurant kitchen to the highest density of users. While this is similar to the Cloud Kitchen model, in this case the OPD establishes a cluster of minute dedicated but competitive restaurant kitchens in a lone site. A dismal Kitchen is moreover similar to the trending food hall concept, but comes with no direct customer interaction—no walk-in guest visits these production facilities. In the UK this was pioneered by Deliveroo with its urban RooBox or Editions concepts. partner restaurants rent portable kitchen space from the delivery service and pay a larger percentage fee to cover the build-out costs for their space. Restaurants staff the kitchens at their own expense, as well.
Earlier this year, Grubhub invested $1 million in Green zenith Group (see Ghost Kitchen in allotment I), a startup with nine virtual restaurants operating from a lone kitchen. DoorDash is renting extra space from the Santa Clara Fairgrounds in San Jose, Calif., and making it available to foodservice operators who want to create delivery-only options. In Los Angeles, Postmates leased a commissary kitchen space so its restaurants can compass fresh customers. And UberEATS is exploring the concept with Poke Café in Chicago — a virtual restaurant serving Hawaiian poke bowls.
“We can labor with existing restaurant partners to create delivery-only menus. (They would) loom as entirely fresh restaurants on the UberEats app,” Ambika Krishnamachar, UberEats product manager, said in an article on Mashable.
And again, while on its puss this appears to subsist a positive opening for independent or chain restaurants to lower costs or disaggregate the dine-in from the delivery production process, it is not cost free. In fact, as a rational progression would suggest, the OPD Deliveroo service has realized that the actual local restaurant in this fuse is not a necessity for success. Instead by using its own “innovation fund” it will to fade directly into the restaurant trade itself, creating “from scratch” concepts by working with cognomen chefs and data mining information from its huge customer data base. 
As more of the OPDs peep to find profits to pass along to the aggressive investors who fill funded rapid growth, they will inevitably peep to Cut out the middleman and provide meals themselves to multiply margins. The kitchen that may actually fade “dark” is the local one on the corner down the street in an independent restaurant.
This is undoubtedly both an tantalizing and a challenging time for the restaurant industry and the Online Delivery Providers who are feeding from it. Neither side seems to fill figured out how to develop the fresh consumer exact for off-site delivery labor to their complete advantage.
It is impossible to believe that any restaurant can survive if it gives away up to 30% of its top line revenues when the medium net profit is less than 10%. No amount of increased volume in sales will develop up for that. As Cameron Keng wrote in his column “Why Uber Eats Will eat You Into Bankruptcy” in March, 2018:
Based on the medium profit margins above, every restaurant that engages Uber Eats will lose money on every order they take. The more orders coming from Uber Eats, the more money a restaurant would lose.
At the very time, while it is hard to procure exact information, it appears that almost nobody of the largest On-Line Delivery Providers, in any of the described segments is actually showing a profit. Uber Eats is only profitable in 27 of its more than 100 urban markets, and while Deliveroo’s sales rose in 2017 to £277 million ($356 million), the company lost an astounding £185 million ($237 million). Yet Uber Eats is offering over $2 billion to purchase/merge with Deliveroo.
Finally, as Jonathan Maze wrote in his Bottom Line column in early October the restaurant industry is simply unprepared for what appears to subsist a tectonic shift in traditional restaurant segments, consumer behavior, labor utilization, true Estate valuation and investor interest.
If delivery is the future of the restaurant business, the restaurant trade as it is currently constructed is in trouble.
The service is growing rapidly. But it’s increasingly replacing existing restaurant trade rather than taking trade away from grocers or other food retailers. 
As they notable in the beginning, it took the lodging industry almost 20 years to inaugurate to develop this kindhearted of tectonic change and it is nowhere near complete. A few very large hotel companies, through merger and acquisition, fill consolidated enough power to start the poke away from handing over totality of their pricing to the OTA’s. In economic terms, hotel companies are trying to fade from being expense Takers to expense Setters.
At this early stage of the restaurant OPD’s domination of the delivery cycle, it is not clear that any restaurant organization is large enough to smash the fever, especially now that McDonald’s is partnering with Uber Eats. While it may loom that the On-line Delivery Provider is a restaurant’s partner, friend or even savior, it is nobody of those. In fact, in order to become profitable the OPD is looking to become a direct competitor.
What is inescapable is that few restaurant companies, and certainly no independent operations, can survive the next two decades letting third parties prescribe what convenience and expense mean. In fact, this might subsist a responsible time to procure out of the house and fade visit your favorite local restaurant. Sacrificing some convenience for a Great taste is a responsible value and that restaurant may not subsist around the next time you want to present up.
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 survey Bill Aulet, Disciplined Entrepreneurship,
 The Financial, October 25, 2018, https://www.finchannel.com/~finchannel/business/76317-amazon-expands-grocery-delivery-and-pickup
 Menqi Sun, WSJ, September 9, 2018, https://www.wsj.com/articles/how-to-get-food-delivered-from-your-favorite-faraway-restaurant-1536516000
 See https://www.just-eat.com/
 James Cook, trade Insider, April 5, 2017, https://www.businessinsider.com/deliveroo-editions-pop-up-restaurants-roobox-2017-4
 Tim York, The Packer, March 23, 2018, https://www.thepacker.com/article/rise-virtual-restaurant
Sophie Witts, roomy Hospitality, May 21, 2018, https://www.bighospitality.co.uk/Article/2018/05/21/Deliveroo-to-create-own-restaurant-brands-using-5m-fund#
 Cameron Keng, Forbes, March 26, 2018, https://www.forbes.com/sites/cameronkeng/2018/03/26/why-uber-eats-will-eat-you-into-bankruptcy/#778a3b0621f6
 Ibid., DealBook, September 21, 2018
 BBC News, October 1, 2018, https://www.bbc.com/news/business-45707700
 Jonathan Maze, Restaurant trade Online, October 17, 2018 https://www.restaurantbusinessonline.com/financing/delivery-could-force-changes-restaurant-business-model
Christopher C. Muller is Professor of the practice of Hospitality Administration and former Dean of the School of Hospitality Administration at Boston University. Each year, he moderates the European Food Service Summit, a major conference for restaurant and supply executives. He holds a bachelor’s degree in political science from Hobart College and two graduate degrees from Cornell University, including a Ph.D. in hospitality administration. Email: email@example.com
By Christopher Muller
The entire restaurant industry, from the simplest quick service joint to the most knotty fine dining jewel, is caught in a veritable frenzy of delivery. It may be, unfortunately, a very risky path to travel for the uninitiated restaurant operation, but delivery is driving the investment community to a fever pitch.  They fill entered into the time of the restaurant On-Line Delivery Provider (ODP) which mirrors in many ways the On-Line Travel Agent (OTA) which has so disrupted the lodging industry.
In two complimentary BHR articles here, they present a peep at the 8 different models of restaurant delivery and how they are affecting both senior management and customer choices.
A Quick Lesson From Pricing History
For observers of the global Hospitality Industry this should ship up warning flags. In a galaxy far, far away, the Lodging industry managed revenues by using simple seasonal or attribute pricing models (On-, Shoulder- and Off-Peak rates, or premiums for “A scope With A View”) and sold some limited excess inventory through a network of independent Travel Agents (at an onerous 10% commission!).
Then, as the Internet expanded, and the travel market imploded after the 9-11 tragedy, a fresh and exciting model emerged – the On-Line Travel Agent (OTA) acting as a third party aggregator appeared. Hotel companies willingly gave open access to totality of their unsold scope inventory to the OTAs (Expedia, Travelocity, Priceline, Booking.com, Kayak, Trivago, etc.) to sell directly at abysmal discounts, often between 25 and 30% off posted Rack Rates. Occupancies rose, but medium Daily Rates plummeted, and profits quickly diminished. Hotels, relying on the obsolete pricing models were caught competing “with themselves” and watched as formerly loyal customers switched their buying habits and loyalties to the OTA that gave them the best rate. Customers could scroll through pages of prices, often for the exact very scope in the very hotel, searching for the cheapest rate. Hotel rooms, instead of being unique destinations became interchangeable commodities.
It has taken almost twenty years, but through brand consolidation and a total system-wide transformation into a Revenue Management based pricing model, the hotel trade has been transformed and the OTAs are being aggressively challenged for dominance. This should subsist a lesson for the restaurant owner/operator, the OTAs drove nothing but expense as a decision attribute, the ODPs are poised to execute the very thing with both expense and convenience, unfortunately restaurants probably won’t fill decades to recover.
Today’s Restaurant Delivery Frenzy –The soar of the ODP
Whether it’s the savvy but shape-shifting Millennial, the rapidly aging Baby Boomer, or the rising youthful digital aboriginal from the i-Generation, it seems that customers in totality shapes and sizes just want to fill their meals brought to them at home, the office, or somewhere in between. Breaking the code of the delivery model—becoming the customer’s selection of who serves up breakfast, lunch or dinner at home, labor or play—has emerged as the Holy Grail of the foodservice business. But it may subsist more enjoy the other mythic dismal Ages metaphor, the Plague, potentially killing upwards of 30% of existing restaurant units.
So, what exactly is “delivery” today, how did it evolve into such a big, expanding component of the restaurant offering and what are the implications going forward for the industry? Just how execute the On-Line Delivery Providers, the ODP, dominate the market?
We can inaugurate by agreeing that delivery is a several and rapidly growing distribution channel, although it has been around in one form or another for a very long time. And while not exactly a fresh technology, nor necessarily a profitable one, the exploding market for the delivery of food is poised for an inevitable shake out as it quickly approaches a age angle consolidation.
In late 2018 delivery is totality about instant gratification, not just for the diner but some would imply for the restaurant as well. At first glance, it totality feels so simple and easy. But enjoy so much in restaurant management, there is more than one course to procure something done, even the simplest of things.
Emerging Key Success Factors
Like so many emerging trade models in the on-line digital age, food delivery is developing its own metrics and factors to subsist considered and mastered. While quiet evolving, among these now are:
Addressing the profit challenges of “The last Mile” in the delivery chain
Minimizing the tall cost of Customer Acquisition
Developing an integrated APP, website, tablet and smartphone ordering platform
Designing the most effective delivery driver fleet system
Establishing an attractive and competitive user fee basis
Creating positive and immediate Brand recognition
Building a proprietary scholarship base of data storage, analytics and access
Delivery of food, especially from a restaurant to a consumer, has become a multi-billion dollar segment of the industry. Some are predicting that it will overtake the traditional dine-in segment completely within a decade, although the complexity of getting it privilege and turning a profit while doing so, can quiet subsist elusive even for the largest players. And of course, no one should forget that Amazon is over in the corner waiting to survey how things evolve in an online delivery world they basically invented.
Traditional and Controlled
As noted, the delivery of food from a restaurant directly to a local customer is not a fresh concept although traditionally the customer came to the restaurant and picked up or carried out their food order. Both delivery and carry-out were best suited to a restaurant with a simple, easily transported menu. Where a significant amount of the value of the meal was the dining taste and table service, meals to fade were often comprised of a package of leftovers or the long gone term “doggie bags.”
Here is a peep at four models with some measure of control for restaurant owners and operators over the property and profitability of their offerings.
1. The Independent – One Shot
As a service provider a restaurant may determine that in order to meet the needs of its local customer base it should provide a delivery option. At one time, only a few restaurants in an urban core would fill delivery offers and these might typically subsist delicatessens or Chinese restaurants with few seats and a very tough focus on offering takeout options. The food can subsist cooked, boxed, wrapped and brought quickly to an office or apartment within a few blocks on foot or by bicycle.
This model is the most basic – a caller, the kitchen, and an employee bringing peppery food directly to the customer. The restaurant controls the quality, manages the relationship with the diner and absorbs the full cost and totality the revenues. It typically comes with higher operating costs for labor (primarily from an in-house paid delivery driver fleet) and with premium rent from the necessity for an attractive customer-facing retail space. On the plus side, totality local customer information may subsist controlled by the restaurant and there are no fees to participate with an outside third-party service.
But as the independent operator reaches for the brass ring on the delivery merry-go-round, they moreover necessity to subsist mindful not to lose their grip on their existing ride. A fresh distribution channel can subsist much more challenging that just taking a customer order. As notable by Jennifer Marston:
…restaurants are under pressure to adapt…More and more, that means altering the physical restaurant space so it can better accommodate this influx of fresh orders. Extra meals require extra bodies to cook and package the food, after all, not to mention extra space for third-party devices, and somewhere to plot completed orders waiting to subsist picked up by a delivery driver.
An tantalizing twist on this lone restaurant model of trying to find a course to both control and expand the delivery system while maintaining some measure of profitability is one recently proposed in the restaurant trade magazine Restaurant trade Online:
He (CMO Nabeel Alamgir) explained that Bareburger is already striving to transmogrify customers ordering through third parties’ apps into users of the chain’s own channels. Patrons of an Uber Eats or Postmates might subsist offered a 10% discount on their next order if it’s placed through Bareburger’s website. The chain can afford a discount that abysmal because the fiscal impact is quiet less than the 20% or 30% discount an outside service typically charges.
Alamgir notable at the start of the panel’s presentation that a service started by restaurants for restaurants would fill been an attractive alternative to some of the third-party giants. “Let’s develop their own platform. Let’s develop their own Grubhub,” he said.
2. The Cloud Kitchen – A Hub & Spoke System
It can subsist argued that today’s focused delivery channel began in earnest when Domino’s offered up a “30 Minute or Free” guarantee in 1973. In order to develop this guarantee effective, the company created a hub and spoke system, in consequence building a progression of franchised units in low cost locations. They were characterized by being geographically market-centered but with no necessity for a “High Street” customer facing address. This was directly in contrast to the overwhelming market handicap owned by Pizza Hut and its network of “Red Roof” full service pizzerias with their focus on dine-in and takeout service. But the competitive handicap that came from having units with no dine-in, limited customer carry-out, and which were serviced by a central commissary set in motion the shift away from the traditional eat-in model.
“The reality is, when the red roof restaurant was created, the concept of delivery wasn’t allotment of the concept,” said Pizza Hut chief executive David Gibbs, a 26-year veteran at parent company Yum Brands…”so in many cases, their trade has outgrown the capabilities of those restaurants…”
Now, four decades later Domino’s is the world leader in delivery, pizza or otherwise. It has done this by controlling the entire process or what is called the “full stack” in the delivery cycle. Now describing itself as an IT and logistics company that sells pizza, the backbone of the system is that they control the customer ordering process, the production property process, and through a vast franchise network the delivery process.
Next to come, using fresh GPS and AI technologies, Domino’s predicts that it will subsist able to develop deliveries not just to a formal building address, but to anywhere a customer can subsist located by tracking their cellphone, even if that is a park bench or a blanket on the beach.
But Domino’s is not the only leader to subsist expanding its Cloud Kitchen delivery system. Already designed on a commissary production system model, giant quickly casual leader, Panera Bread, tested delivery in Boston and then announced an expansion across the United States in early May, 2018 with a system based upon using its own delivery drivers.  Following the trend in October the largest chicken sandwich chain, Chick-fil-A, announced it was genesis to test the hub and spoke model of delivery in Nashville, TN and Louisville, KY.
Chick-fil-A is opening two fresh restaurants that don’t fill something you commonly associate with the chain: seats.
Chick-fil-A, the Atlanta-based chicken sandwich chain, is testing catering and delivery locations in Nashville and Louisville, Ky., that will open this month.
The locations, according to an announcement on the chain’s website, fill no dining rooms or drive thru’s and are designed to subsist hubs for catering and delivery orders. The restaurants will not accept cash, either.
The Cloud Kitchen model can subsist very effective for restaurant companies with large enough scale, whether in a lone city or across a region, to retract handicap of a lone production kitchen site with remote staging kitchens. Ultimately the “full stack” control from order to front door can arrive from as few as three restaurants or as many as 3000. This moreover means that the foundation is laid for vast proprietary customer data collection and eventually data mining by the most forward-looking operators.
It can subsist argued that the Food Truck movement of the past decade is a subset of the Cloud Kitchen model. By most local health code laws, food trucks must fill a “home kitchen” or commissary for their bulk production that meets totality health and sanitation code requirements. In many urban centers, to be successful a food truck company needs to fill multiple trucks on the road acting as a distribution network. While this is moreover a classic Hub & Spoke model, it comes with similarities to a model in the next article, #6 The Consolidator, with distribution on a bus quit route and not a one-to-one last mile taxi route.
3. The Ghost Kitchen
One further refinement of the Cloud Kitchen is the Ghost Kitchen. As delivery becomes more of a threat to the traditional dine-in restaurant option, some imply that this model, in fact, is the future of restaurants—basically a highly efficient hybrid of menu concepts, specialized production and logistics, and low labor cost with no eat-in customers.
In that way, this model is identified by three key components.
First, it removes the dining scope or takeout from the restaurant completely, working out of a kitchen whose location is based on nearness to its core customer market yet in a typically low rent out-of-the-way space.
Second, it does not hire any paid employees to deliver, instead making consume (through partnership or agreement) of the many third-party delivery companies enjoy GrubHub, Postmates or Doordash.
Third, and possibly the most important, because of the flexibility of only needing an APP, website or traditional telephone ordering system, more than one cuisine can subsist produced in the very kitchen space. simple to prepare, cook and deliver foods such as salads, sandwiches, Asian and other ethnic dishes, or gourmet pizza can totality subsist offered while cross-utilizing similar ingredients in creative menu offerings.
This can best subsist described as an “order only” restaurant. The most prominent or well-known of these Ghost Kitchens would subsist Green zenith (see transition to #8 dismal Kitchen in allotment 2). While garnering a responsible amount of press, the cognomen chef David Chang’s Maple, closed its operation in 2017 with some assets stirring to London and the delivery company Deliveroo. Chef Chang sold the physical kitchen space, Ando, to Uber Eats after ceasing operations in January, 2018. 
Because no customer ever sets foot through the front door the owners can plot totality of their investment in kitchen materiel and the technology of ordering. A Ghost Kitchen offers customers large menu choices, and just as its cousin the Cloud Kitchen, has the option to preserve track of its own proprietary customer data set through the direct ordering process. The tradeoff is that ownership sacrifices the customer interface at delivery of the Cloud Kitchen model. Operating and start-up costs are low and efficiency can subsist very high. The risk is that a large portion of the margin (sometimes up to 30%) from market-driven menu prices is taken by the delivery partnership, who moreover control the brand image when customers receive their orders off-site.
4. Virtual Restaurants
Along with disrupting the taxi business, Uber Eats is about to globally disrupt the restaurant delivery business. As of October, 2018, Uber Eats had over 1600 “virtual restaurants” around the globe, with almost 1000 in its US partnership portfolio. The majority of these are not the Cloud or dismal Kitchen models mentioned above, but are existing restaurants with fresh brands that only exist through Uber Eats. This model, while charging very tall fees to the restaurant, allows them to technically not compete with themselves in the home delivery marketplace. Uber Eats gains more menus to offer, and limits any necessity for an investment in a commissary space.
For SushiYaa, Kim says the virtual restaurant concept has been transformative. “Because this concept worked so well for us, they actually changed one of their restaurants from a sushi buffet concept to a regular restaurant with 8 different virtual restaurant brands inside it. The buffet sales weren’t doing so well and the delivery side was doing better, so they thought — let’s change it completely so we’re focused more on delivery.” From a sales standpoint, he says it’s “almost as if they fill another restaurant without paying additional rent and labor, even though [Uber Eats] takes about 30 percent.”
One other type of Virtual Kitchen involves the licensing of existing restaurant recipes and menu items in a curated virtual model. The start-up concept responsible Uncle is using this to compete in the university meal contrivance segment, offering a sweep of pricing options for higher property prepared meals, delivered by their own delivery fleet using the bus quit common drop off method. This is a limited menu, limited target market, which benefits from a direct marketing approach, lower operating costs, and uses both a subscription and premium fee based pricing system. It is a Virtual Kitchen because there is no restaurant or other customer facing facility, it exists only online.
Part One – Conclusions
Delivery models, some traditional, some evolving, offer many opportunities for restaurant operators, especially those in the QSR and quickly Casual segments, where hasten and expense and convenience are the drivers of consumer choice.
The challenge in today’s delivery market is how owners and operators can maintain both tall property and long-term profitability in the products/services they offer. For many meals, the time and distance from kitchen to table can subsist more than 30 minutes or multiple miles. property of presentation and flavor may quickly diminish. More importantly, where the medium annual profitability for restaurants across totality segments in the USA is considerably less than 10%, losing up to 30% of top line revenues is not a path to a successful future, (even if total sales multiply by 20%).
PDF Version Available Here
 Heather Haddon and Julie Jargon, The Wall Street Journal online, October 24, 2018, https://www.wsj.com/articles/investors-are-craving-food-delivery-companies-1540375578?mod=cx_picks&cx_navSource=cx_picks&cx_tag=contextual&cx_artPos=4#cxrecs_s
 Liam Proud, DealBook, NYTimes, September 21, 2018, https://www.nytimes.com/2018/09/21/business/dealbook/uber-eats-deliveroo.html
 Jennifer Marston, The Spoon, July 31, 2018, https://thespoon.tech/delivery-is-making-these-restaurants-literally-redesign-the-way-they-do-business/
 Peter Romeo, Restaurant trade Online, Oct. 19, 2018 https://www.restaurantbusinessonline.com/operations/3-big-changes-looming-restaurants
 Karen Robinson-Jabos, Dallas News, Jan 6, 2016. https://www.dallasnews.com/business/business/2016/01/06/pizza-hut-is-ditching-the-iconic-red-roof-for-a-more-modern-look
 Janelle Nanos, Boston Globe, May 7, 2018, https://www.bostonglobe.com/business/2018/05/07/panera-expanding-its-delivery-service-cities/sZg4pO0yTw9cEdYpv514tL/story.html?event=event12
 Jonathan Maze, Restaurant trade Online, Oct. 09, 2018 https://www.restaurantbusinessonline.com/financing/chick-fil-opening-new-delivery-focused-prototype
 Neal Ungerleider, 01.20.17 quickly Company https://www.fastcompany.com/3064075/hold-the-storefront-how-delivery-only-ghost-restaurants-are-changing-take-out
 Closing announcement from Maple, May 8, 2017 https://maple.com/letter/
 Whitney Filloon, Eater, October 24, 2018, www.eater.com/2018/10/24/18018334/uber-eats-virtual-restaurants
 survey the online Audiopedia site https://www.youtube.com/watch?v=BKO5JFbqKTA
 Ibid, Eater, October 24, 2018
 survey https://www.gooduncle.com/
Christopher C. Muller is Professor of the practice of Hospitality Administration and former Dean of the School of Hospitality Administration at Boston University. Each year, he moderates the European Food Service Summit, a major conference for restaurant and supply executives. He holds a bachelor’s degree in political science from Hobart College and two graduate degrees from Cornell University, including a Ph.D. in hospitality administration. Email: firstname.lastname@example.org
By Makarand Mody and Monica Gomez
For a long time, the hotel industry did not reckon Airbnb a threat. Both the industry and Airbnb claimed they were serving different markets and had different underlying trade models. Over the years, as Airbnb become more successful and grown to being larger than the companies in the hotel industry, the rhetoric has changed. The hotel industry began to realize they had something to worry about.
A stage of denial was followed by the American Hotel & Lodging Association (AH&LA) attacking Airbnb by sponsoring research to demonstrate its negative impacts on the economy and lobbying governments to impose taxes and regulations on homesharing. The association is arguing for a flat playing sphere between homesharing and hotels (and rightly so). The next stage of this battle involves competition and integration. Not only are hotels looking to add homesharing-like attributes and experiences to their properties, to more effectively compete with Airbnb, but are moreover looking to tap into the platform-based trade model that underlies Airbnb’s success.
The Past: How does Airbnb impact the hotel industry?
Airbnb’s disruption of the hotel industry is significant, both existentially and economically. A recent study by Dogru, Mody, and Suess (2018) institute that a 1% growth in Airbnb supply across 10 key hotel markets in the U.S. between 2008 and 2017 caused hotel RevPAR to decease 0.02% across totality segments. While these numbers may not loom substantial at first, given that Airbnb supply grew by over 100% year-on-year over this ten year period means that the “real” abate in RevPAR was 2%, across hotel segments. Surprisingly, it was not just the economy but moreover the frill hotel segment that was hard hit by Airbnb supply increases, experiencing a 4% true decline in RevPAR. The impact of Airbnb on ADR and occupancy was less severe. In Boston, RevPAR has decreased 2.5%, on average, over the last ten years due to Airbnb supply increases. In 2016 alone, this 2.5% abate in RevPAR amounted to $5.8 million in revenue lost by hotels to Airbnb. Brands that felt the impact the most were those in the midscale and frill segments, with a abate in RevPAR of 4.3% and 2.3% respectively. These supply increases are moreover fueling Airbnb taking an increasing participate of the accommodation market pie. For example, in fresh York City, Airbnb comprised 9.7% of accommodation demand, equaling approximately 8,000 rooms per night in Q1 2016 (Lane & Woodworth, 2016). As a whole, Airbnb’s accommodated exact made up nearly 3% of totality traditional hotel exact in Q12016.
Buoyed by a growth rate of over 100% year on year, Airbnb now has over 4 million listings, with the U.S. being its largest market. The company moreover has significant scope to grow in other countries, particularly emerging markets in Africa and India. The company has hasten into some competition in China, with local rivals Tujia and Xiaozhu. Also, within the U.S., the responsible advice is that Airbnb will not grow at 100% indefinitely and will eventually plateau as it reaches a saturation point (Ting, 2017a). In view of this, the company has turned to alternative strategies to continue to multiply supply. It is now targeting property developers to rotate entire buildings into potential Airbnb units, through its newest hotel-like brand, Niido. Currently, there are two Airbnb branded Niido buildings in Nashville, TN and Orlando, FL with over 300 units each and Airbnb plans to fill as many as 14 home-sharing properties by 2020 (Zaleski, 2018). Niido works by encouraging tenants to list their units on Airbnb, with Airbnb and Niido taking 25% of the revenue generated. Airbnb has moreover clearly evolved from its original premise of “targeting a different market” to attracting segments traditionally targeted by hotels, such as the leisure family market, trade travelers, and the upscale traveler, as evidenced through its latest offering, Airbnb Plus. These homes fill been verified for quality, comfort, design, maintenance, and the amenities they offer. They moreover fill simple check in, premium internet access, and fully equipped kitchens. Their hosts are typically rated 4.8+, and fade above and beyond for their guests. Through Airbnb Experiences, travelers can partake in everything from the Great outdoors—hiking and surfing—to “hidden” concerts and food and wine tours. In addition to these products, Airbnb has moreover “created” its own segments of travelers: novelty and taste seekers who are looking for unique and unconventional accommodation enjoy yurts, treehouses, and boats, totality things that a traditional hotel company cannot provide.
The Present: Understanding what consumers want lies at the heart of the battle between hotels and Airbnb
There are larger societal trends that are impacting what consumers seek travel, and they umpire this has implications for the Airbnb and hotel dynamic. These trends include:
A shift to a “new luxury”—seeking out unique, genuine experiences that serve as a launchpad for self-actualization—fueled by an increased wealth gap in the United States.
An increased mobility, particularly among previously under-represented groups in the United States (the black travel movement, for example) and the global traveler (more Indian and Chinese international travelers than ever before).
The changing nature of brand loyalty: from long-term relationships to consumers’ needs for instant gratification and personalization.
Changing nature of “ownership”: In a post-consumerist society, the accent on “access-based consumption” has plot a spotlight on wellness and well-being, beyond materialism.
A co-everything world where work, play, and life blend into one seamless mosaic: Technology has changed the course they live their lives, and how they are connected to work, to each other and to the things that drive us. An upcoming 5G world and the IOT is only likely to accelerate the pace of change. retract LiveZoku (https://livezoku.com/), for example: is it a residence? A hotel? A WeWork? A space for the local community? A thriving food and beverage destination? It’s totality of these things.
What execute these trends mean? They require marketers and taste designers to re-think what the travel taste means to the customer. The notion of the taste economy was created by Pine and Gilmore in 1998, and included four dimensions: escapism, education, entertainment, and esthetic. Leveraging one, or ideally, more of these dimensions creates memorable experiences for customers, which in rotate results in brand loyalty. This dynamic has been fairly well-established in the academic literature. However, Airbnb has changed the game for the taste economy by emphasizing the sharing lifestyle and a sense of community, cleverly incorporating the above highlighted trends into its communications with customers. Because of Airbnb popularity and success, six fresh dimensions fill been incorporated into the taste economy, in the context of the travel experience: personalization, communitas, localness, hospitableness, serendipity, and ethical consumerism, as was presented by Mody in 2016.
Interestingly, in a recent study by Mody and colleagues (Mody, Suess, & Lehto, 2017), the researchers institute that Airbnb outperformed hotels on totality the dimensions of this new, expanded, accommodation experiencescape. Airbnb outperforms hotels in the personalization dimension because of its wide array of homes and locations, enabling genuine micro-segmentation and the “perfect match” between guest and host (Dolnicar, 2018). Moreover, no one home is similar to another, giving customers a unique taste every time, enhancing the serendipity associated with an Airbnb stay. Airbnb elevates the sense of community that consumers seek, particularly when sharing space with other travelers and/or with the host, and allows consumers unparalleled access to “the local”—that café or cute minute store that only locals know about. However, there are areas where hotels hold their own. For example, the pathways between these dimensions and memorability were just as tough for hotels as for Airbnb, emphasizing the necessity for hotels to engage customers by leveraging the “right” dimensions for the brand—dimensions that align with the brand’s mission, story, and personality.
One such dimension where hotels fulfill just as well as Airbnb is hospitableness, as confirmed in a study by Mody, Suess, and Lehto (2018). More “investor units” on the Airbnb platform means that the host is often not present when guests arrive to the home; moreover, totality communication is done electronically and with someone who “manages” the Airbnb unit and doesn’t necessarily own or live in it. In turn, hotels that leverage the human factor—the welcome of a friendly check-in agent, the helpfulness of the concierge, the warm greeting and genuine interaction between guest and food and beverage staff—create more positive emotions, which subsequently lead to higher brand loyalty. It is imperative that hotel brands really umpire about the high-tech, tall paw taste they are looking to provide, particularly in the golden age of brand proliferation that they live in.
From a non-experience standpoint, regulation is another bone of contention that merits nigh inspection. After years of denying that Airbnb was a competitor, in 2016, the American Hotel & Lodging Association first began an extensive lobbying pains for the imposition of taxes and regulations on Airbnb that flat the playing field. Over the last brace of years, the voices of the hotel lobby and other community groups fill translated into governments taking some action, in the U.S. and abroad. However, in a study of regulation across 12 European and American cities, Nieuwland and van Melik (2018) institute that governments fill been fairly lenient towards short-term rentals with minute to no (meaningful) regulations thus far. Moreover, regulations fill been designed to alleviate the negative externalities of Airbnb on neighborhoods and communities rather than to flat the playing sphere between Airbnb and hotels. Another challenge with regulating the peer to peer economy has been enforcement. In fresh York City, under the Multiple Dwelling law, it is illegal for a unit to subsist rented out for less than 30 days unless the owner is present in the unit at the time the guest is renting. However, it is quiet workable to find “entire homes” on Airbnb in fresh York City, even though, in principle, these typically comprehend homes where the host is not present during the guest’s stay. Moreover, Nieuwland and van Melik (2018) and Hajibaba and Dolnicar (2017) fill institute that regulations watch to subsist very similar across cities, without accounting for the specificities of a particular location, which makes the process perfunctory and superficial. There moreover remains the danger of over-regulating Airbnb, given that there is quiet very minute scholarship about effective ways of regulating these innovations in the sharing economy, thus stifling their potential. Avoid over-regulation is critical, since Airbnb has significant welfare effects in the economy. In addition to stimulating travel to previously inaccessible markets, Airbnb moreover creates customer surplus (Farronato & Fradkin, 2018), an primary economic value measure. Moreover, other research has suggested that the medium resident is not as negative towards the Airbnb as media rhetoric might imply (Mody, Suess, & Dogru, 2018). The necessity for a data-driven approach to Airbnb regulation remains paramount.
The Future: Competing with the sharing economy requires re-thinking the brand and the experience
While regulation is outside the control of the hotel industry, the brand and the customer taste are not. They contend that these are the areas where hotel companies’ efforts necessity to subsist focused. Hotels necessity to re-think the brand promise, both for the parent brand as well as individual brands in the portfolio, and how it defines and shapes the guest experience. Recent research by Mody and Hanks (2018) indicates that while Airbnb leverages the authenticity of the travel experience—by enabling local experiences that provide a sense of self and sense of place, hotel brands that are perceived as being authentic—original, genuine, and sincere—can generate higher brand loyalty. Thus, while it’s hard to compete with homesharing in terms of experiential authenticity, brand authenticity is a pillar on which hotels can build a tough foundation for loyal brand relationships. This is particularly primary because while Airbnb promotes experiential authenticity as a key judgement to consume the brand, most travelers watch to linger with the brand for much more functional requirements, such as space and expense (Chen & Xie, 2017; Dogru & Pekin, 2017)
There is no one definition for or manifestation of an “authentic” brand. It’s a perception, a fire that consumers fill about what you stand for. An genuine brand has at its core the brand promise, an genuine value proposition that gives consumers a raison d’etre for associating with the brand. However, what an genuine brand does require is effective storytelling. A brand is perceived to subsist authentic, if it has an genuine chronicle that feeds it. Brand stories can arrive from many sources: a brand’s values, personality, heritage, uniqueness, or its quest and purpose. What is primary is telling compelling and coherent stories across the brand’s various touchpoints to engage consumers at a visceral, emotional level. Taking off industry blinders, and looking for inspiration outside the hotel industry, is critical. Tom’s Shoes is an excellent instance of leveraging its quest—One for One—in creating a compelling brand story. As another example, in an industry typically focused on the in-store, “physical” experience, Burberry has set the gold touchstone for authentic, digitally-led and emotive storytelling, by looking within and leveraging over 150 years of history (Watch the YouTube Video here). In this vein, they umpire that Fairfield Inn and Suites’ return to “where it totality began”—the Marriott family’s Fairfield Farm in the Blue Ridge Mountains of Virginia— to craft the brand taste of the future, from a design and communications standpoint, is an excellent instance of leveraging authenticity and crafting a compelling brand engage (Ting, 2017b).
Another concept that lies at the heat of the brand engage is what they muster the experiential value proposition, or EVP. For the longest time, hotel marketers fill relied on the guest scope as the primary source of value for the guest. But umpire about the last time you traveled. Was it the prospect of the hotel scope that got you excited about your trip? Or was it everything that the hotel enables you to execute – the taste outside the guestroom? From experiencing craft and music in the lobby to its proximity to the must-do craft beer garden, hotel marketers must realize that it’s the complete package—what’s inside and outside the room—that customers consume as cues for making their decision to choose an accommodation. They muster this proposition offered by the hotel—what’s inside and outside the guest room, enclosed within an taste of hospitableness and a connection to humanity—its EVP. They present the EVP in pattern 1. The EVP mirrors the value paradigm of the modern traveler, something that must subsist reflected in the hotel brand’s sales, marketing and pricing and revenue management efforts. Thinking about a brand through the lens of the EVP paradigm has the power to re-orient the customer’s mindset from one of price-shopping to experience-shopping.
Figure 1. The Experiential Value Proposition Framework
How does a hotel marketer apply the EVP paradigm? Its application can open up many avenues. Hotels can start by rethinking the design of their primary digital channels, led by the website by adding more rich, vivid content that goes beyond the guestroom, in order to better integrate aspects of the wider hotel and local experience. The touchstone Hotels serves as an excellent instance (http://www.standardhotels.com/) Its website feels more enjoy a local lifestyle and culture magazine than a digital media property “selling” a hotel room. The website’s wealthy images and stories draw the visitor into wanting to learn more about what the brand has to offer. While not every hotel can or would want to fade the touchstone way, since the brand has its own several voice and personality, there is a case to subsist made for going beyond static images of beds in guestrooms, which watch to blend into one indistinguishable whole after a point, particularly on OTA websites. When was the last time the image of a hotel bed excited you to want to linger there? Yet, when you peep at the imagery plot out by most hotels, this is what marketers quiet focus on.
Placing an accent on humanity and providing a sense of hospitableness can moreover enhance a brand’s EVP. Instead of technology replacing the human connection, the industry needs to peep for ways in which technology can actually free up employees so that they can expend their time crafting more personal and unique experiences, delighting guests instead of performing routine transactions. Moreover, if the human connection is what people seek out when traveling with Airbnb, why is it that hotel confirmation emails quiet procure sent out by automated systems that highlight the “facelessness” of the hotel entity. Why not consume that as an opening to truly welcome the guest; a simple paw such as a welcome missive from the GM with his/her photo, or that of an employee who is “assigned” as “your personal host” during your linger can fade a long course in emulating the human connection that the sharing economy enables.
The design of the hotel’s public spaces can subsist used to enhance the guest’s taste of “communitas”. Ian Schrager would correspond (Schaal, 2017). After all, with much of Airbnb’s supply being dominated by investor units that provide minute or no host contact, what better an opening for hotel brands to present that they are the original connectors of human beings? Sheraton has been judicious in incorporating some of these communal elements into its brand makeover by introducing productivity tables and studio spaces and a day-time coffee bar that transforms into a bar at night. In terms of another design element, Airbnb’s attractiveness to family and group travelers can subsist offset by offering connecting and/or multiple rooms for one price, with other taste value-adds thrown in (as with the Marriott family scope connecting rooms package.
Finally, the role of the loyalty program cannot subsist emphasized enough. Loyalty programs must poke beyond programmatic levels to being able to leverage data from guest history, gregarious media, and other marketing data sources, powered by predictive analytics, to personalize and individualize the guest taste of the brand. In an age of instant gratification, the loyalty program has to subsist gamified to unlock value-adds and offer creative bundling.
At the flat of the hotel company, beyond the individual brand, the hotel industry has started participating in the home sharing trade and is increasingly looking to integrate these platform trade models. For example, while Accor purchased Onefinestay, Marriott has teamed up with Hostmaker to create Tribute Portfolio Homes, a partnership that was recently expanded to four European cities (Fox, 2018). From an organic brand evolution standpoint, Accor’s newest Jo & Joe brand mimics the sharing economy within the confines of a traditional hotel space. Other, more innovative and bold ways of integrating the sharing economy ethos into a hotel could comprehend offering an “Airbnb floor”, an antithesis to the club floor, one that would not offer housekeeping and other hotel services and thus subsist offered at a lower price. With hotel brands becoming “branded marketplaces” for accommodation and not just hotel rooms, perhaps there is merit in listing hotel rooms on alternative accommodation platforms. HomeAway is already adding hotels to its platform through the Expedia Affiliate Network, while Airbnb is making a shove for bed-and-breakfasts and boutique hotels. Homesharing providers hope that by adding these options to their listings, they will fulfill their goal of being “for everyone”, while allowing independent and boutique hotels to gleam the benefits of branded distribution at a lower cost than traditional OTA brands.
In sum, hotels must adopt a sales, marketing, and revenue management approach that is both strategic and tactical.
At a strategic level, hotel brands necessity to re-think their story, and how they portray and fulfill their authenticity and brand promises. At a tactical level, it’s the taste and value beyond the guestroom that must subsist factored into what is presented to current and potential guests, what they are charged for it, and how it is leverage to create “memorable memories” that lead to higher net promotor scores and brand loyalty. They present a graphical summary of the past, present, and future of Airbnb vs. hotels in pattern 2.
Figure 2. Summarizing the past, present and future of Airbnb vs. hotels
PDF Version Available Here
Chen, Y., & Xie, K. (2017). Consumer valuation of Airbnb listings: a hedonic pricing approach. International Journal of contemporaneous Hospitality Management, 29(9), 2405–2424. http://doi.org/10.1108/IJCHM-10-2016-0606
Dogru, T., Mody, M., & Suess, C. (2018). Adding evidence to the debate: Quantifying Airbnb’s disruptive impact on ten key hotel markets.
Dogru, T., & Pekin, O. (2017). What execute guests value most in Airbnb accommodations? An application of the hedonic pricing approach. Boston Hospitality Review.
Dolnicar, S. (2018). Unique Features of Peer-to-Peer Accommodation Networks. In S. Dolnicar (Ed.), Peer-to-Peer Accommodation Networks: Pushing the boundaries (pp. 1–14). Oxford: Goodfellow Publishers Ltd.
Farronato, C., & Fradkin, A. (2018). The Welfare Effects of Peer Entry in the Accommodation Market: The Case of Airbnb.
Fox, J. (2018). Marriott expands homesharing program in Europe. Hotel Management. Retrieved from https://www.hotelmanagement.net/own/marriott-expands-homesharing-program-to-3-european-cities
Hajibaba, H., & Dolnicar, S. (2017). Regulatory Reactions Around the World. In S. Dolnicar (Ed.), Peer-to-Peer Accommodation Networks: Pushing the boundaries (pp. 120–136). Oxford: Goodfellow Publishers Ltd.
Lane, J., & Woodworth, M. (2016). The Sharing Economy Checks In: An Analysis of Airbnb in the United States. Retrieved from http://www.cbrehotels.com/EN/Research/Pages/An-Analysis-of-Airbnb-in-the-United-States.aspx
Mody, M. A., Suess, C., & Lehto, X. (2017). The accommodation experiencescape: a comparative assessment of hotels and Airbnb. International Journal of contemporaneous Hospitality Management, 29(9), 2377–2404. http://doi.org/10.1108/IJCHM-09-2016-0501
Mody, M., & Hanks, L. (2018). Parallel pathways to brand loyalty: Mapping the consequences of genuine consumption experiences for hotels and Airbnb.
Mody, M., Suess, C., & Dogru, T. (2018). Not in my backyard? Is the anti-Airbnb discourse truly warranted? Annals of Tourism Research. http://doi.org/10.1016/j.annals.2018.05.004
Mody, M., Suess, C., & Lehto, X. (2018). Going back to its roots : Can hospitableness provide hotels competitive handicap over the sharing economy ? International Journal of Hospitality Management. http://doi.org/10.1016/j.ijhm.2018.05.017
Nieuwland, S., & van Melik, R. (2018). Regulating Airbnb: how cities deal with perceived negative externalities of short-term rentals. Current Issues in Tourism, 0(0), 1–15. http://doi.org/10.1080/13683500.2018.1504899
Schaal, D. (2017). Ian Schrager Calls Out Hotel Industry’s Airbnb Strategy as Misguided. Skift. Retrieved from https://skift.com/2017/12/08/ian-schrager-calls-out-hotel-industrys-airbnb-strategy-as-misguided/
Ting, D. (2017a). Airbnb Growth chronicle Has a Plot Twist — A Saturation Point. Skift. Retrieved from https://skift.com/2017/11/15/airbnb-growth-story-has-a-plot-twist-a-saturation-point/
Ting, D. (2017b). Marriott and selection retract Varied Approaches to Reviving Classic Midscale Brands. Skift.
Zaleski, O. (2018). Airbnb and Niido to Open as Many as 14 Home-Sharing Apartment Complexes by 2020. Retrieved from https://www.bloomberg.com/news/articles/2018-08-14/airbnb-and-niido-to-open-as-many-as-14-home-sharing-apartment-complexes-by-2020
Makarand Mody, Ph.D. has a varied industry background. He has worked with Hyatt Hotels Corporation in Mumbai as a Trainer and as a property Analyst with India’s erstwhile premier airline, Kingfisher Airlines. His most recent experience has been in the market research industry, where he worked as a qualitative research specialist with India’s leading provider of market research and insights, IMRB International. Makarand’s research is based on different aspects of marketing and consumer behavior within the hospitality and tourism industries. He is published in leading journals in the field, including the International Journal of contemporaneous Hospitality Management, Tourism Management Perspectives, Tourism Analysis and the International Journal of Tourism Anthropology. His labor involves the extensive consume of inter and cross-disciplinary perspectives to understand hospitality and tourism phenomena. Makarand moreover serves as reviewer for several leading journals in the field. In plunge 2015, he joined the faculty at the Boston University School of Hospitality Administration (SHA). He received his Ph.D. in Hospitality Management from Purdue University, and moreover holds a Master’s degree from the University of Strathclyde in Scotland.
Monica Gomez is a graduate student in the School of Hospitality Administration at Boston University. She received her Bachelor’s degree in Tourism, Recreation, and Sport Management from the University of Florida and has held previous internship positions in hotel operations and event management. She is a member of the Hospitality Sales and Marketing International Association and is interested in hotel revenue management.
By Christian E. Hardigree, J.D.
Today’s hospitality conversations are rife with dialogue about sustainability, initiatives ranging from linen reuse programs, to donating toiletries, to auto dimming lights, to food sourcing, etc. Hospitality practitioners’ quest to define the ROI (return on investment) is often at foiled by a concept that includes intangible metrics and differing definitions of what “sustainability” really means. The oft-used “Triple Bottom Line – People, Planet, Profit” embodies the commonly agreed upon themes of sustainability, which comprehend ensuring a vigorous environment, improving economic prosperity, and implementing gregarious justice initiatives that ensure the well-being and property of life for current and future generations.
Companies struggle to determine what role they play in advancing and addressing gregarious and global challenges while enhancing their brand, ensuring consumer loyalty, and expanding their market share. Many companies evaluate and refine their efforts for engaged brand activism, particularly through marketing, which they equilibrium with efforts to implement higher standards for suppliers, better equality among workers, and preserve pricing competitive – falling in line with the common categories of most corporate gregarious responsibility efforts: 1) environmental efforts; 2) philanthropy; 3) ethical labor practices; and 4) volunteering.
The “Arms Race” of Corporate gregarious Responsibility Reporting
For many companies, particularly in hospitality, corporate gregarious responsibility (CSR) reporting has emerged as a key trade approach to articulate the benefits to the company’s stakeholders through strategic initiatives. According to the Governance and Accountability Institute, sustainability reporting by S&P 500 companies increased from 19% in 2011 to 85% in 2017.[i]
Companies now value the marketing value of CSR reporting, particularly as a mechanism to attract and retain customers. Increased societal pressure for greater regulation and transparency, coupled with research showing that consumers demonstrate a preference toward companies they perceive are more responsible, fill resulted in a fresh “arms race” with companies are making operational decisions that are more tightly linked to ethical values, environmental stewardship, and respect for the human equity. They want to ensure those efforts are known to their stockholders, investors, and the public.
While many CSR disclosures are currently deliberate in the United States, there are increasing requirements mandated by various statutes. Such mandates, commonplace in the European Union, are increasingly required in the United States. In particular, there is growing market exact for a more responsible and transparent corporate supply chain. Current statutory requirements sweep from the Mandatory Reporting of Greenhouse Gases rule for large emitters of greenhouse gases to the California Transparency in Supply Chains Act of 2010 to ensure that large retailers and manufacturers provide consumers with information regarding their efforts to eradicate slavery and human trafficking from their supply chains.[ii] The Dodd-Frank Wall Street Reform and Consumer Protection Act, which impacted virtually every allotment of the US fiscal services industry moreover includes provisions for inescapable reporting on their exercise of due diligence in the source and chain of custody of inescapable minerals that are associated with armed conflicts in and around the Democratic Republic of the Congo, minerals that are associated with the manufacturing of devices such as cell phones, computers, and digital cameras.[iii] Most recently, the European Union’s sweeping Global Data Protection Regulations (GDPR) went into consequence May 25, 2018. Intended to give EU citizens greater control of their own, widely-define personal data, GDPR has far reaching implications for any company doing trade with citizens of the EU. For the hospitality industry, fresh processes are required to subsist implemented to protect things enjoy IP addresses and cookie data, similar to the protections currently provided to ensure privacy for addresses and gregarious security numbers. In the three months prior to GDPR going into effect, it was estimated that 79% of companies were unprepared.[iv] The mandatory disclosure landscape is changing fast, and hospitality is challenged to preserve up.
Not totality Changes Are Mandated
As consumers are holding corporations accountable for effecting gregarious change in their trade practices and beliefs, ultimately impacting the bottom line, companies refine their sustainability initiatives as a result of public advocacy, stockholder proposals, or consumer feedback. A 2017 study by Cone Communications illustrated some key elements, including:[v]
63% of Americans are hopeful that businesses will retract the lead to drive gregarious and environmental change in the absence of government regulation
78% want companies to address primary gregarious justice issues
87% will purchase a product because a company advocated for an issue they cared about; and
76% will reject to purchase a company’s product or services upon learning it supported an issue wayward to their beliefs
To illustrate, on February 6, 2018, in a commitment associated with improved packaging in betterment of the planet, Dunkin’ Donuts announced it would angle out the consume of polystyrene foam cups by 2020 and supersede them with double-walled paper cups, estimated to fill a net impact of eliminating over a billion cups annually from the fritter stream.[vi] This was on the heels of McDonald’s announcing in January that it would angle out the consume of foam packaging in totality global markets by the End of 2018.[vii] Straws and stirrers develop up over 7% of plastic institute in the environment, an issue initially addressed (and banished) by George McKerrow, co-founder of the restaurant chain Ted’s Montana Grill, that has gained widespread attention as consumers are reminded that they consume 500 million straws a day, a usage that widely impacts wildlife and the oceans.[viii] Just this month, Bon Appétit announced they were banning plastic straws from their over 1000 café locations in 33 states.[ix] As cities enjoy Miami and Malibu fill banned lone consume straws (and in Malibu, banned totality lone consume plastic utensils and stirrers), they find some municipalities are forcing hospitality businesses to incorporate sustainable practices.
As hospitality companies seek to out-promote each other, they would subsist well-advised to avoid greenwashing – today’s version of “snake oil”, more akin to “eco-fraud” – when a company holds itself out as more environmentally friendly than it actually is in practice. Clearly consumer preferences demonstrate an increasing trend for purchasing products and services that are sustainable – for their impact on the environment, in how they are manufactured, and/or how the workers are treated. Between 2009 and 2010, the number of “greener” products increased by 73%.[x] In order to capitalize on this trend, many brands are trying to competitively out-do each other with their eco-credentials – exaggerating their claims, or at times, completely manufacturing them. In legalese, greenwashing may amount to deceptive marketing, misrepresentation, and/or fraud.
In the “sins” of greenwashing, hospitality entities would subsist judicious to avoid vague, over-reaching, or unverifiable assertions. Hotels increasingly inspirit their guests to embrace green practices – shut off lights, reuse towels, avoid changing the linen as frequently, etc. Research by faculty at Washington condition University institute that a perceived ulterior motive of a hotels’ environmental claims evoked consumer skepticism, which negatively influenced consumer’s purpose to participate in the linen reuse program, as well as negatively effecting the consumers’ purpose to revisit the hotel.[xi] At a time when as many as 79% of travelers correspond that eco-friendly practices is an primary factor in their selection of lodging, companies risk losing valuable repeat customers if their motives are self-serving. As a result, to avoid the negative aspects, hoteliers are cautioned to install comprehensive green programs, train their staff to implement practices, and ensure their green claims are accurate and not overreaching, perhaps through third party certification.
For Goodness Sakes, Don’t Greenwash the Food
Greenwashing is of particular concern in today’s environment, particularly in the context of food. For example, in 2016, organic food sales jumped 8.4%, to over $43 billion, while overall food sales only increased 0.6%.[xii] Similarly, organic non-food items jumped 88% to $3.9 billion in sales. As restaurants and hotels are asked questions by their customers about the source of their products, facilities necessity to subsist vigilant of the claims they are making to ensure they are not overreaching or deceptive, as greenwashing has become the “flavor of the month” in consumer class litigation. Claims challenging products advertised as “natural” are the most frequent suits encountered.
While no definition of “natural” is provided by the FDA, food products in the US labeled as “natural” develop up roughly $40 billion in sales, and are growing by an medium of 6.6% annually. According to Food Navigator, there were 20 food labeling class actions pending in federal court in 2008 – a number that rose to 425 by 2016. Cases that specifically focus on “natural” claims increased by 22% from 2016 to 2017, notably with suits against common Mills’ Nature Valley bars and Dr. Pepper Snapple’s Mott’s Apple Sauce. Of particular note is that three quarters of federal court food class actions are in four states: California (36%), fresh York (22%), Florida (12%), and Illinois (7%).[xiii] Many of the suits are rooted in claims that items such as tall fructose corn syrup, tall maltose corn syrup, soy flour, soy lecithin, and GMA yellow corn flour, as well as synthetically derived vitamins, are not “natural”, and thus such claims are fraudulent.[xiv] Overreaching statements can subsist a source of eroding consumer confidence, destroying customer loyalty, and/or litigation.
Sustainability initiatives will continue to subsist an imperative allotment of a hospitality entities’ brand, evaluated by totality stakeholders. In order to ensure consumer confidence, it is imperative that those initiatives subsist genuine in their implementation, supported by third party verification, and in alignment with the legal requirements of the jurisdiction. In doing so, their efforts in supporting the three E’s – environment, economic, and equity – their industry will collectively soar in to better the future for ourselves and for future generations.
PDF Version Available Here
[i] Retrieved May 30, 2018 from https://www.ga-institute.com/press-releases/article/flash-report-85-of-sp-500-indexR-companies-publish-sustainability-reports-in-2017.html
[ii] 40 CFR allotment 9; and California Civil Code §1714.43
[iv] Retrieved April 6, 2018 from https://www.forbes.com/sites/forbestechcouncil/2018/03/27/u-s-businesses-cant-hide-from-gdpr/#33b76ef052c8
[v] Retrieved April 6, 2018 from http://www.conecomm.com/research-blog/2017-csr-study
[vi] Retrieved April 16, 2018 from https://news.dunkindonuts.com/news/dunkin-donuts-to-eliminate-foam-cups-worldwide-in-2020
[vii] Retrieved April 16, 2018 from https://www.bizjournals.com/chicago/news/2018/01/10/mcdonalds-phasing-out-foam-packaging-this-year.html
[viii] Retrieved May 30, 2018 from https://www.forbes.com/sites/megykarydes/2018/05/23/the-future-of-take-out-exhibit-how-we-can-eliminate-packaging-waste/#37a1213c7580
[ix] Retrieved May 31, 2018 from https://www.npr.org/sections/thesalt/2018/05/31/615580695/last-straw-for-plastic-straws-cities-restaurants-move-to-toss-these-sippers
[x] Retrieved April 6, 2018 form http://sinsofgreenwashing.com/index5349.pdf
[xi] Rahman, I., Park, J., & Geng-qing Chi, C. (2015). “Consequences of “greenwashing”: Consumers’ reactions to hotels’ green initiatives”, International Journal of contemporaneous Hospitality Management, Vol. 27 Issue: 6, pp.1054-1081, https://doi.org/10.1108/IJCHM-04-2014-0202
[xii] Retrieved May 31, 2018 from https://www.foodbusinessnews.net/articles/9394-u-s-organic-food-sales-jump-more-than-8
[xiii] Retrieved May 31, 2018 from http://www.instituteforlegalreform.com/uploads/sites/1/TheFoodCourtPaper_Pages.pdf
[xiv] Examples comprehend Janney et al. v. common Mills, 3:12-cv-03919, U.S. District Court for the Northern District of California; Rojas v. common Mills, Inc. 3:12-cv-05099, U.S. District Court for the Northern District of California; Bohac v. common Mills, Inc., 3:12-cv-05280, U.S. District Court for the Northern District of California; Van Atta v. common Mills, 1:12-cv-02815, U.S. District Court for the District of Colorado
As Founding Director and Professor of the Michael A. Leven School of Culinary Sustainability and Hospitality at Kennesaw condition University, Dr. Hardigree oversees the Bachelor of Science degree program which houses over 260 majors and services over 1500 students enrolled in classes each semester. Addressing both “sustainability on the plate” as well as “sustainability beyond the plate” in terms of water, fritter and energy efficiencies, this highly apropos management program provides a competitive handicap and discernible point of differentiation as the epicenter for teaching, research and best practices in sustainable culinary and hospitality management. The flexibility of the program’s curriculum allows students to emphasize careers in beverage management, event planning, specialized cuisines, and the hotel industry.
Christian conducts research and presents nationally at industry conferences as related to her areas of expertise, including food safety, risk management, sustainability, workplace violence and employment/management issues. She is a national expert on bed bug litigation, speaking across the country on the subject.
After obtaining her B.S., cum laude, from the William F. Harrah College of Hotel Administration at UNLV, Christian obtained her Juris Doctorate from the Walter F. George School of Law at Mercer University, focusing on employment discrimination, arbitration/mediation, and labor management relations. She is of counsel with the law solid of Parnell & Associates. Christian serves on a variety of committees and advisory boards, including the ConServe Sustainability Advisory Council for the National Restaurant Association, the KSU Brian Jordan center for Excellence and Professional evolution at LakePoint Sporting Community, and formerly on the Women in Lodging Advisory Council for the American Hotel & Lodging Association.
By Martin Zsarnoczky
Digitalization is among the most primary changes in their rapidly evolving world. Digital innovations and technological novelties are engines of evolution and present their impact everywhere, especially in the sphere of manufacturing, ICT and other service industries. Given the fact that tourism is based on the cooperation between a wide sweep of services and products, the benefits of the digital revolution in the sector are quite obvious.
Our alive environment is a combination of online and offline spaces that co-exist together, defining their everyday habitat. In tourism, the special consume of spaces has always been a unique feature of the industry, and as of today, the spaces of the digital world fill become allotment of it. The rapid evolution of the digital world brings novel and innovative solutions into the digital tourism spaces by the day. Peer-to-peer communication is outstandingly primary in the technological environment of tourism. This type of communication, together with the spreading of smart devices fill revolutionized scheduling, administration and finances, and moreover opened fresh horizons for the introduction of innovative sales and marketing technologies in the whole tourism industry. As a result of the digital revolution, the international evolution trends in tourism fill opened the course for novel solutions enjoy cloud-based booking sites or information and taste sharing via digital platforms.
In line with the fresh trends of travelling, there is a dynamically growing exact for special tailor-made offers beyond mass tourism, as conscious consumers anticipate personalized solutions that avow their individual needs. As of today, the vast majority of tourism market stakeholders fill access to detailed information on their consumers and can closely result and track consumer behavior and its changes. These novel systems of personalized products and services are available thanks to various flexible follow-up techniques enjoy CRM client databases. The cloud-based CRM client database systems – ones that create offers by analyzing previous sales records and demographic data – fill evolved rapidly. As of today, they can resolve huge datasets by roomy data analysis and scaling methods in a cost effective and anonymous way, searching for significant event points. Although roomy data research is based on working with large samples, it is the most efficient routine to reveal individual personal preferences (Stadler, 2015).
How did sharing economy pave the course to personalized tourism services?
In previous decades, the results of digital evolution fill opened the door for the true life implementation of shared economy theories. It was almost ten years ago that Chris Anderson (2009) introduced his pricing theory in digitalization, basically suggesting giving away products for free, based on the principle of shared goods and resources. Although at the time Anderson’s theory was considered as a technological solution, the principle of digital sharing fill induced staid gregarious changes as well. One of the most primary positive messages of shared economy is the maximum consume of resource capacities for the purpose of gregarious well-being (Sundararajan, 2014). gregarious well-being is moreover a key priority in tourism, because a well-managed tourism industry brings profit not only for the trade operators but moreover for the local communities.
In the sharing economy model, the stakeholders – who are moreover consumers at the very time – offer their excess capacities for collective consume in order to maximize the exploitation of their goods and resources. These economic processes consist of so-called hybrid transactions with maximum capacity consume (Hyde, 2007), for both commercial and gregarious purposes. An primary drive in the evolution of collaborative consumption theory was the realization of the fact that using or possessing the very consumer goods can result in different advantages. The core factor of the model is that sellers offer their excess capacities, while the consumers in necessity consume them in return for payment. In the sharing economy (based on the aforementioned primary idea), more and more industrial, commercial and service providers offer innovative solutions.
The principle of sharing is not a fresh concept in the tourism industry. In the case of some accommodation services, seasonal expense reduction has always been a practice. Hostels and youth hotels fill always been Popular – these facilities are often used as dormitories throughout the academic year and lease their rooms for backpackers in the summer season, when the students are away. Of course, these seasonal options would not fill been enough for creating a fresh market sector; the dawn of the fresh trade era was marked with the emergence of wide platform solutions enjoy Airbnb, Booking.com, Agoda, etc.
Casa de la Musica Hostel Budapest. Photo by Martin Zsarnoczky
In the strategy of digital platform tourism businesses, consumers are considered as partners in the trade activities. This shared operation can subsist best defined as a postmodern trade model. Although the knotty concept of postmodernism is quite difficult to describe, its main characteristics – shared participation and the subjective fire of each contributor – can lead closer to understand the phenomenon. It is clear that postmodernism will change some processes of the classic market laws in the near future. While “shared experience” has become a key marketing term for selling goods and services, specialized offers inevitably lead to a market fragmentation that will result in the fragmentation of users as well. In a disintegrated market, consumers will behave differently in fragmented times and spaces, paving the course for personalized services and tailor-made solutions. At the very time, individualism has become the key characteristics of the younger generations (McCrindle et al., 2009); a phenomenon that will fill to subsist taken into account whilst creating trade strategies. Due to the emergence of individualism, more and more youthful people are trying to create something unique that can serve the long-term profit of the community. Their drive for creating businesses based on their own ideas and taste accounts for the increasing popularity of start-up businesses. These aspects of uniqueness, community thinking and experience-centered approach hold a huge opening for the future of the tourism industry.
The Future: AI, VR/AR, Blockchain
While looking through their photos, tourists usually fill a positive taste remembering their travels, experiences and the destination they had visited. Some specialized digital technologies can offer this assumed positive taste in a searchable and changeable form. With regards to true life objects, their connections and relations, there is only a limited amount of information available in a format that could subsist handled by computers. The main problem is that computers necessity enough coding solutions created by synthetic intelligence to subsist able to store, handle and organize information. The methods of coding for tourism taste purposes impress the speed, efficiency and knowledge/experience-based computing abilities of today’s computers.
According to the forecasts of product evolution strategies in various industries, almost totality of their everyday objects and materiel will subsist accessible through the internet in the future. As a result, totality devices that are capable of two-way communication will belong in the framework of IoT (Internet of Things). The devices of the future, unlike the devices of today, will communicate in a bidirectional way, where robust safe data handling, personalized differentiation and enough decision management will subsist allotment of the user experience. As a result of the continuous data collection during the consume of these devices, totality apropos information will eventually End up in a final centralized system at the top of the dataset.
Previously, tourism used to subsist an industry based on personal relations and connections, where the trends – and therefore travelers’ decisions – were set out by a limited number of large international tourism and travel enterprises. As a result of the digital revolution, the transparency of “hidden markets” had been revealed and numerous other factors fill to subsist taken into account (Fig.1.).
Figure 1. Influencing factors of traveler’s decision. Source: Zsarnoczky, (2017a)
The early evolution of ICT resulted not only in the better capacity utilization of airlines, but moreover on the compatibility of the prices; and soon, the emergence of the discount airlines had led to the innovation of the whole industry and forced out efficiency in totality segments. The novel travel recommendation sites (Expedia, Orbitz, Kayak, etc.) were created with the flat to develop travelers’ decisions easier; however at the very time, a lot of tourism service providers who could not preserve up with the fresh challenges were forced out of the market. Although the fresh trends enjoy travel packages (including car rental) or taking into account the reviews of previous travelers (Lonely Planet) were from many aspects contradictory to the former trade models, the rapidly increasing popularity of online offers required quick and user-friendly tourism product evolution from the industry.
With the arrival of Google, which was able to rank the sites’ appearance in internet searches, a fierce competition begun between blogs, tourism recommendation sites and price-comparing OTA systems. The bidirectional communication started with the consume of cookies 2.0; since then, consumers fill become an integral allotment of the trade models, because businesses who seek to subsist successful in the long run, necessity to know their customers’ demands in detail. The evolution of digital services require the identification of the user, information on their individual preferences and a decision-based calibration (by AI). In AI-based decision making solutions, the former decisive factors are replaced by a virtual personal assistant, which is able to map the consumer’s preferences based on their digital footprint, and create an optimal personalized offer from the available roomy data systems (Fig. 2.)
Figure 2. Virtual Personal coadjutant – VPA. Source: Zsarnoczky, (2017a)
The technological evolution cannot subsist stopped; however, with enough flexibility and openness, tourism businesses can prepare for the upcoming challenges. In the tourism of the future, the fresh consumers will bring forth fresh priorities and fresh demands. As a revolutionary approach, the members of the IoP (Internet of People) community offer their free time in order to compass joint IT/industrial goals, where frameworks are created in line with the preferences of other people, for a yet not specified consumer segment (Miranda et al., 2015). Beyond innovative technologies, whole fresh spaces fill opened in tourism, completely different from the accustomed destinations. University researchers fill been carried out to study the possibilities of online tourism spaces and their opportunities for the tourism and hospitality industry. In virtual reality, with a special “glass”, the user can peep into an optional tourism space, from which the true world is completely shut out. The Augmented reality is a different technological solution, where digital elements are projected into a true life space.
In 2011, the interior designers of cafés only used and re-designed the existing design panels; today, the traditional alive spaces are often combined with the online world. Carneval Coffee Budapest. Photo by Martin Zsarnoczky
The newest technological developments and the innovation in the consume of alive spaces are totality connected to the alternative payment options that can subsist used in tourism as well. The emergence of Bitcoin and other cryptocurrencies has led to the creation of a novel payment system. The Blockchain payment system is a shared database, which records a continuously growing list of data blocks, preventing any counterfeiting or alteration of the data. One obstruct consist of a list of transactions and the results of computations made by the stored programs. For example, if a customer buys some cryptocurrency or any other kindhearted of currency, and then transfers it to anywhere in the world to another partner, who exchanges it instantly, both partners can avoid any loss caused by exchange rate fluctuations; furthermore, the whole transaction takes only minutes instead of the accustomed brace of trade days. This solution can connote a revolutionary innovative payment option for everyone in the tourism industry.
The applicability of the blockchain system is independent from currency rates. In the case of cryptocurrencies, it is not the exchange rate that really matters – instead, the factual value of the currency lies in the safety of the blockchain technology and in the authentic, transparent, unalterable and decentralized recording system (Pilkington, 2016). This payment system offers a fresh flat of encryption safety and intervention-free operation, and the data handled in the system cannot subsist modified in any way. Another huge profit of the system is that the transactions are realized without any intermediate agents, thus eliminating any additional transaction costs. By the time of the “maturity” of blockchain payment solutions, today’s large service intermediators enjoy Airbnb, Booking.com, Agora, etc. are foreseen to lose some of their market positions, as consumers and service providers will probably deal with their transactions directly.
Will synthetic Food subsist the next meal on the table?
With the worldwide population boom, the exact for food is moreover increasing. To satisfy this growing necessity for food, the extension of agricultural areas is required for food material production, and at the very time, enough land management is needed for animal husbandry. The greatest challenge of sustainable agriculture lies in the fact that the agricultural areas can only subsist further expanded at the expense of forested lands. In addition, the current changes in the environment has moreover led to the abate of fishing possibilities, another difficulty in the availability of food materials.
Shrimp in pasta shell by Martin Zsarnoczky
The decreasing resources of food materials will force the food production industry to re-think their former concepts. fresh technologies enjoy 3D food printers can even bring the quickly food era to an end. The novel inventions of food production and food engineering – enjoy artificially flavored drinks, chocolates and dairy products – fill been on the market of more than a decade now, and so far, they fill not had a negative consequence on the common taste of consumers.
In the concept of 3D food printing, popular sweets and delicacies are synthesized by a layered printing technology, using the various pre-mixed powders, flavorings, fixers and oils that are stored in the “toners” of the printer. These synthetic foods are already available: specialized franchise restaurants enjoy the Food Ink chain offer a wide variety of printed meals for consumers who are snoopy about the future of gastronomy. It is moreover likely that with the next generation of the food printers, they will subsist able to calibrate the nutritional values and energy content of the meals.
The 3D food printing technology is not only primary for HoReCa businesses, but holds a Great opening for the health industry, too, especially in the sphere of special diets and medication. Using 3D food printing for these purposes can multiply cost-effectiveness, efficiency and sustainability, thus supporting the food industry and hospitality and tourism businesses alike.
The option of personalized 3D food printing is just one of the innovative technological solutions in the tourism and hospitality industry. The Henn-na Hotel  in Huis Ten Bosch, Japan is the first hotel in the world, where customers are served exclusively by robots. At another Asian location in China, there are 24/7 cafés that result the no-staff trade model of Amazon Go. As for the restaurant market, the Chinese food brand Wufangzhai has recently opened the first unmanned restaurant in Hangzhou, capital city of east China’s Zhejiang Province.
The question is: how long will it retract until food production and consumption will necessity no human resources at all?
For innovative enterprises, the efficiency of interactivity is of key weight for the success of their business. The rapid evolution of ICT solutions has brought immense changes in the tourism industry. Previously, consumers’ decision making was mainly affected by the industrial environment. The era of digital tourism spaces – preceded by theme parks and thematic destinations – started with the emergence of information websites; however, this targeted information stream used to subsist one-directional with narrow choices. In today’s digital era, the fresh generation of commercial activities retract plot in VR or AR spaces, and the instant analysis of the customer’s reactions and behavior champion the enhancement of their buying willingness. The traditional decision making processes are gradually being replaced with personalized offers, further increasing the weight of AI.
With the evolution of shared economy, greater accent is plot on gregarious well-being, as user taste slowly becomes more primary than ownership. This fresh approach is moreover expressed in novel forms of payment, which can seriously abate the profits of intermediate activities. The fresh trends execute not look to subsist problematic in the tourism industry, mostly because in this sector, the exact costs and incomes are not clearly visible yet. On the other hand, the property evolution of the 3D printing technology holds a Great opening for the tourism and hospitality sector. The evolution of digitalization has finally reached a flat where it can truly champion the cost-effectiveness and sustainability of industrial food production, paving the course to the future of tourism and hospitality businesses.
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Anderson, C. (2009). Free: The Future of a Radical Price. Hyperion, fresh York.
Hyde, L. (2007). The Gift: Creativity and the Artist in the Modern World. fresh York: Random House Inc.
McCrindle, M. – Wolfinger, E. (2009). The ABC of XYZ: Understanding the Global Generations, University of fresh South Wales Press, Sidney. pp. 1-22.
Miranda, J. – Mäkitalo, N. – Garcia-Alonso, J. – Beroccal, J. – Mikkonen, T. – Canal, C. – Murillo, M. J. (2015) From the Internet of Things to the Internet of People. IEEE Internet Computing, 19 (2): 40-47.
Stadler, G. (2015). roomy data – tömeges adatelemzés gyorsan. HTE Medianet 2015, Kecskemét. LLX. pp. 44-48
Pilkington, M. (2016). Blockchain technology: priciples and applications. Research Handbook on Digital Transformation. Edward Elgar Publishing, Northampton, MA. pp. 225-253.
Sundararajan, A. (2014). Peer-to-Peer Businesses and the Sharing (Collaborative) Economy: Overview, Economic Effects and Regulatory Issues. NYU center for Urban Science and Progress, fresh York.
Zsarnoczky, M. (2017a). How does synthetic Intelligence impress the Tourism Industry? Vadyba Journal of Management 31 (2): 85-90.
Zsarnoczky, M. (2017b). The future of sustainable rural tourism development: the impacts of climate change. Annals of the Polish Association of Agricultural and Agribusiness Economists. XIX. (3): 337-344.
Martin Zsarnoczky, Ph.D. has several years of taste in the huge tourism and hospitality industry. He has worked with P&O Princess Cruises, Intercontinental and Marriott Hotels in Budapest. Between 2005 and 2015, he was the founder, developer and CEO of Casa de la Musica Hostel and Event’s Hall, one of the largest multifunctional private tourism & hospitality businesses in Budapest downtown. He holds a BSc degree in Tourism and Hospitality from the Budapest trade School, and graduated at MSc/Med flat as Teacher of Economics in Tourism and Hospitality. During his studies, he had spent short a term mobility period at Utwente University in the Netherlands, and later earned his Ph.D. in Regional Sciences at Szent Istvan University. At the moment, he is quiet very active as an entrepreneur and is actively involved in community development. He is moreover a board member of the Budapest Chamber of Commerce and Industry, and works as a mentor for the youthful Entrepreneurs Association Hungary. With regards to his academic career, he is a full time coadjutant professor at the Institute of Marketing and Media at the Tourism Department of Corvinus University of Budapest.
By Leora Lanz and Namrata Sridhar
In the Winter 2018 edition of the Boston Hospitality Review, they brought forth suggestions for the 10 Best Practices for Organic Visibility —ways to better search results through organic search, or execute not cost the company a monetary investment. Rather, these rankings were based on elements such as keywords, location, and mobile friendliness. Suggestions for improving a company’s organic search comprehend utilization of backlinks, hyperlinks between websites, and content enhancement in relation to local listings such as ensuring quick website load speed, tall property imagery, and conspicuous links to gregarious media channels.
This second installation of a two-part progression will talk to the matter of search engine functionalities as a result of paid queries. For independent or smaller companies, this brief but powerful set of tips obtained from industry experts can enable a trade to become more “searchable” for optimal return on investment.
Search Engine Marketing (SEM) Best Practices:
1. Understand the Paid Media Landscape:
According to the Associate Director for Organic Search and Content Strategy at Boston-based Connelly Partners, Dan Hurley, the most primary allotment of SEM is to comprehend the paid media landscape. It is faultfinding to know who one’s competitors truly are and understand how they are marketing, from a tactical standpoint.1 It is moreover primary to research the types of ad campaign structures that are surfacing in the category of interest, on both desktop and mobile devices. Then one must adopt those that loom effective and meet trade goals appropriately. For restaurants and hotel-related queries, “this strategy is especially pertinent because these searches generally transmogrify very quickly; mobile searchers will likely patronize a restaurant within a few hours.”
In order to subsist the most efficient with a company’s paid advertisements, Todd Philie, president of Southcoast Marketing Group in Wareham, MA, moreover encourages companies to discover how consumers are searching for them on the Internet. For example, “utilize the query search appliance via the Google AdWords™ platform to discover what terms and phrases are used to compass your own site and then array your ads.”
Additionally, Kym Parker, associate search marketing director at Connelly Partners, emphasizes the weight of using the company’s brand to ensure a tough search presence. By utilizing paid search bids, a hotel or restaurant can subsist the first result a web surfer sees when conducting a search.2
“Sometimes, competitors will bid on your brand terms – which means that if someone searches for your company name, for example, the competitor could present up ahead of you in the search results,” Parker notes. “You can preclude this by ‘protecting’ your brand terms. Always subsist bidding on them, at least a minute bit, to ensure that you fill a better chance of staying on top of the results when someone searches your cognomen and other brand terms.”
2: consume of Google AdWords™:
The major player in the world wide web is Google, which has created various platforms to optimize searching. Using keywords, Google users can pay to promote their advertisements for a set budget. This Google functionality allows a company (hotel or restaurant) to understand how it ranks in comparison to direct competitors.
Also preserve ‘negative keywords’ in mind, adds Philie. “Negative terms generally means terms that you are not specifically telling AdWords™ that you execute not want to loom in specific results for other searches. For example, suppose you are marketing a seafood restaurant that does not offer steak on its menu. You want to bid on the phrase ‘best restaurant in Boston’ but you execute not want to fritter money on clicks from customers who want steak. You might set ‘steak’ and ‘steakhouse’ as negative terms so that if someone searched ‘best steak restaurants in Boston” you execute not present up in that search.
The Google AdWords™ functionality moreover offers companies the chance to enhance the listing. An incredibly important, yet often overlooked, input is the “click to call” functionality and its presence on a mobile site, moreover known as the muster extension. “These additional factual details, known as “ad extensions” moreover comprehend location, information from different pages on your website, and even testimonial reviews,” adds Seth Cargiuolo, director of communication strategy at Chestnut Hill, MA-based D50 Media. “Making consume of ad extensions is essential because it helps the customer learn more about the trade with a quick glance pre-click, and can befriend differentiate a hotel or restaurant (or any product) against its competitors.” Ad extensions moreover multiply the visual footprint of an ad, which can shove competitors’ ads and organic listings down the page and out of view, particularly on mobile devices.
For marketers just starting to utilize SEM and Search Engine Optimization (SEO), Google AdWords™ moreover offers free tutorials and trainings. Zachary Azar, D50 Media’s senior manager of paid search notes, “These tutorials provide clients with the opening to procure the most out of the program and create effective campaigns.”
To properly manage an effective AdWords campaign, Google Analytics can subsist a helpful appliance as it reveals which content on a website is most useful and tantalizing to customers. This will befriend in the creation of resonating ad copy and can moreover subsist a pilot for aligning keyword selection and website copy to multiply the “Quality Score” of an ad campaign.
However, Philie moreover cautions individuals not to subsist completely reliant on Google’s suggestions for keywords. “Often times, these keywords are pluralized and can occasions companies to expend more or not subsist as effective.” He warns companies to choose how to plot their key words “out there” when bidding. Companies must choose best matched keywords for their ads and choose between “exact match,” “phrase match,” “broad search” and “modified broad search” – totality of which will succumb varied returns. Campaigns should utilize a equilibrium of totality match types, but should “skew more heavily towards exact and phrase, utilizing broad match only for keyword prospecting and expansion opportunities.”
3. Always Start with Non-Paid Efforts or SEO
When optimizing a company’s searches, Cargiuolo and Azar imply the first thing that the company should focus on is actually the SEO. First and foremost, it is primary to ensure that a website is user- and mobile-friendly. Another primary factor is a quick load speed. “Google has institute that sites that retract longer than three seconds to load lose 40% of their traffic, and for mobile traffic, that jumps to 53%,” reports Azar. This is primary for paid search as well; Cargiuolo adds, “It’d subsist snide enough for a user to abandon your page when it’s an organic search – but now imagine if you’d paid for that click and those dollars were totally wasted.”
In order to reduce the load speed, it is primary to not fill “big” images—think kilobytes, not megabytes. Web copy should subsist concise and “bandwidth-hogging” scripts and plugins minimized. “Additionally, given that over half of web traffic is on mobile devices, ensure that pdfs (which you want to avoid anyway) peep acceptable on a smart phone too,” Cargiuolo says.
Kristin Metzler, Print and Web Marketing Coordinator of Frasca Design Group, moreover echoes that mastery of SEO is the first step in a successful digital marketing campaign. Websites built with a tough attention to keywords and content will minimize spending on pay-per-click campaigns.
4. Don’t expend on Paid Search if You Can’t Afford It
Hurley cautions that one necessity not expend money on advertising to procure traffic. Because so much information is provided in the search results, there may not subsist any clicks on your page during the search process. Companies should never plot any money into paid search, array advertising or paid gregarious that the company cannot afford to lose.3
Cargiuolo emphasizes that when a company starts advertising, it should not anticipate an immediate return,4 which is oftentimes an assumption that businesses make. Initially, many may not subsist familiar with the bidding process; keywords; or how to build, optimize, and manage an effective campaign. subsist cautious not to expend money needed for other resources. Start late and expend time learning before committing roomy budgets.
One final word of caution: There are easily incurred expenses that can arrive from paid search marketing, such as additional costs from agencies that retract a portion of a monthly budget. Being conscious of your daily budget is faultfinding in avoiding overspending.
When taking the steps to build a search campaign, it is faultfinding to execute research and poke slowly at the beginning. Understand how the market is reflected in consumer searches and what keywords are being utilized. Before jumping into methods that require payment, a company should ensure that its website is optimized for searches and never expend more than what can subsist budgeted, as it will retract time to survey a return on investment.
As Cargiuolo reminds, businesses must remember that Google serves the user first. Thus as the marketer, one must umpire as a user would when building a paid search campaign. People arrive to Google with questions. The marketer that best answers the user’s questions, both pre-click and post-click, is going to subsist one that is most successful.
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1 Inc. Staff. “How to Conduct Competitive Research.” Inc. Magazine. May 2010
2 Ratcliff, Christopher. “What is PPC and Why execute You necessity it?” Econsultancy. 13 November 2013.
3 Kumar, A.J. “SEO vs PPC: Knowing Which is Better for Your Website.” Entrepreneur. Editorial. 21 May 2012
4 Steimle, Josh. “How Long Does SEO retract to Start Working?” Editorial. Forbes. 7 February 2015.
Namrata Sridhar is a marketing communications coordinator at LHL Communications and a rising senior at Boston University’s School of Hospitality Administration (BU SHA). She has moreover previously worked in marketing communications capacities at RealFood Consulting where she helped design an internal marketing contrivance to rebrand their company. Namrata moreover serves as the President of the Student Government of BU SHA. She is an active member of the National Society of Minorities in Hospitality, the American Hotel and Lodging Association, and the Hospitality Sales and Marketing Association International.
Leora Halpern Lanz, ISHC, is principal of LHL Communications, a hospitality-focused marketing communications, branding, and media relations advisory. She is moreover a full time faculty member at Boston University’s School of Hospitality Administration (SHA), teaching advanced strategic marketing and digital marketing for hospitality at the undergraduate and graduate levels. She was named among the Top 25 Minds in Hotel Marketing for 2016 by the Hospitality Sales & Marketing Association International and was named 2017 Professor of the Year by the student government of SHA.
By Sarah Andersen
After completing the senior capstone Hospitality Leadership course at Boston University, I had the chance to reflect on the class topics and apply the teachings to my personal life. The course explored several different levels of leadership, from the head of a major corporation role to developing self-leadership. I learned the weight of a mission, vision, and values in an organization, better understood the components of change management, and worked with a group throughout the semester to develop my teamwork skills. I was able to critically resolve concepts and models presented in leadership literature as well as better my own leadership skills.
I then interviewed three prominent leaders in hospitality and institute connections between their industry insights and my leadership class discussions. Dan Donahue, President of Saunders Hotel Group, Len Wolman, Chairman and CEO of Waterford Hotel Group, and Geoff Ballotti, President and CEO of Wyndham Hotel Group kindly shared their experiences and explained their personal values and company’s culture, revealing the five keys to successful leadership.
“Leadership is the capacity totranslate vision into reality.”
-Warren G. Bennis
Establishing Shared Beliefs, Values, and Goals
When an organization wants to achieve its goals, it needs a vision. Effective leadership starts with the aptitude to recognize and profile those goals and inspire others to follow. Leaders paint a picture of how that vision will impress the company as a whole, as well as each individual. A leader’s aptitude to articulate that vision into a mission statement corresponds to the active implementation of goals and the company’s bottom line success. A productive vision goes beyond a written organizational mission statement, but instead permeates throughout totality levels of a company and manifests into actions and beliefs. John P. Kotter, author of trade Leadership, writes, “A vision says something that helps clarify the direction in which an organization wants to poke [and] is relatively simple to communicate, appealing to customers, stockholders, and employees.”1 It is therefore up to hospitality leaders to set and clearly communicate a vision, and to inspire those around them to participate and implement it.
A vision does not belong only to a leader. It must subsist a shared vision that attracts everyone to sustain tall levels of motivation and withstand challenges. According to The Leadership Challenge, by James M. Kouzes and Barry Z. Posner, leaders can envision the future by imagining the possibilities and finding a common purpose.2 In addition, leaders must spark a sense of sense and purpose in those around them. Dan Donahue agrees that, “My job, as someone who has the vision, is to procure you inspired and committed to sharing that vision and sharing that creativity to the point where you fill buy-in.”
After seven years of rigorous research, a landmark study of the observations from more than 100 CEOs and over 8,000 employees institute that “leaders who were clear about their values delivered as much as five times greater returns for their organizations as did leaders of feeble character.”3
So how execute illustrious CEOs and successful leaders in their industry shape the parameters for success through a shared vision for a future? How execute they empower and inspire those around them to develop decisions and labor towards their goals?
Balancing Accountability and Autonomy
When asked what his core values were, Len Wolman responded, “First and foremost, their organization has been built on integrity and transparency. They fill four core values that they live by on a daily basis which are to (1) to wow the customer, (2) to continuously improve, (3) to subsist a passionate and committed team, and (4) to participate and sustain their bottom line success.”
Dan Donahue, established that, “Our values are simple. Their values are people. They allow them the flexibility and latitude to execute their jobs under the pilot of taking custody of the guest, but moreover taking custody of themselves as well.” To strengthen others, exemplary leaders multiply people’s faith in their aptitude to develop a difference. They poke from being in control to giving over control. Developing associates into leaders and enhancing self-determination creates a culture of empowerment and confidence. Geoff Ballotti agrees that, “In terms of motivating others, it is letting them develop decisions. It’s not micromanaging, but rather letting them arrive up with the solutions.”
Geoff Ballotti continues, “Our core value statement is three words, ‘Count On Me,’ which is totality about accountability. It is about people being able to subsist counted on at any time, for any issue, any question, any decision, and any champion that their owners, franchisees, and associates need. It is built on the principal of integrity in terms of taking personal responsibility for your actions.” Accountability is primary because it results in an extremely efficient and productive team. According to the U.S. Office of Personnel Management, accountability in the workplace is linked to higher performance and increases in commitment to labor and employee morale.4
Dan Donahue, states, “A vision has to subsist fluid. To procure to an achievable goal and vision, whether short term or long term, you necessity to subsist present, you necessity to understand that if you want it to subsist successful you necessity to subsist there, you necessity to subsist accountable to it, and you necessity to subsist accountable to the people that want to participate that.” When accountability becomes embedded into culture, company’s are able to set meaningful goals, develop team buy-in, build dependence through champion and encouragement, and celebrate successes together. Accountability is about creating a culture where people value responsibility. When associates understand that accountability involves a inescapable degree of autonomy, mutual respect develops between totality levels of an organization.
Mr. Ballotti adds, “The third leg of their values is totality about respect. Respecting everyone everywhere both on their ownership side and the community side.” When leaders develop mutual respect, associates are more likely to labor harder to accomplish shared goals. Harvard trade Review examined employee needs and determined through a query of more than 19,000 workers that most employees desire renewal, value, focus and purpose.5 fire a sense of value and respect can instill an employee with self-possession and motivation. Len Wolman adds that, “I’ve been in the industry for many years, I was educated in the industry and then worked my course up through the industry, so I’m fortunate in that I fill the perspective of having worked in various positions. So I fill empathy, understanding, and respect for each position. Everyone needs to subsist treated with mutual respect and understanding.”
Modeling by Example
An primary allotment of being an effective leader is educating others on what the organization stands for and why it matters. When leaders sincerely express a commitment to their core values, they’re moreover making a commitment on behalf of the entire organization. Therefore, leaders must develop certain there is collective agreement on the shared values amongst everyone they lead.
So how execute leaders become a role model for what the organization stands for?
The avow is pretty simple. They set the instance for others to follow. Holding others accountable to values and standards means leaders must live the values themselves. Dan Donahue responds, “I would never question an employee to execute something I wouldn’t execute myself.” Len Wolman agrees adding, “You always want to set an instance and never want to anticipate anyone to execute anything that you wouldn’t execute yourself.” Researcher on behavioral integrity demonstrates that the alignment between a leader’s words and actions has a powerful impact on how much constituents dependence the leader and on their subsequent performance levels.6 Great leaders effectively translate purpose into reality by acting on the values they discipline and the things they yelp to those around them.
Showing Vulnerability and Visibility
Confidence is an primary skill to possess as a leader. However, having vulnerability as a leader is just as essential to recognize and appreciate. Every leader has vulnerability, but great leaders have the self-awareness to recognize this fact and feel restful expressing their weaknesses. Showing vulnerability is a relatable trait and Geoff Ballotti finds that, “The greatest leaders I know out there are very restful talking about their weaknesses, about what it is that they necessity to labor on, to better upon, and to execute better.” effective leaders invest the thinking, the time, the energy and are prepared for the vulnerability of connecting with others.
So how execute these leaders deserve trust, inspire, and build bonds with those they lead?
Great leaders inspire their associates and guests by genuinely connecting to them through a consistent presence and visibility. Visibility as a leader not only includes having a physical presence, but moreover aligning everyone to the purpose behind their shared vision through natural conversations and casual exchanges on a daily basis. When asked how he communicates company goals and the overall vision, Dan Donahue replied, “If you fill a presence, it happens organically. It doesn’t necessity to subsist contrived.” The purpose of this unfeigned visibility is not about the necessity to “check on employees,” but rather an honest desire to interact with associates in order to gauge motivation and learn if employees necessity champion or help. Mr. Wolman agrees that, “It is faultfinding to operate with an open door policy and listen to everyone’s perspective and ideas, particularly the people who are executing the day to day functions, and I umpire you’ve got to subsist constantly evaluating that.”
Mr. Ballotti adds, “I moreover umpire showing empathy is key and the best course Great leaders execute that is through the craft of storytelling when they’re up in front of their associate base or leadership team, being able to disclose stories that connect and engage and inspire and motivate in terms of the culture your want to set and want to build.” Storytelling is a powerful course to participate knowledge, shove information at people or pull them into a company’s vision and mission by reinforcing the intent behind genuine leadership. According to Edgar Schein, Professor Emeritus at the MIT Sloan School of Management, “[Stories] moreover strengthen the framework and the weight of an organization’s culture by establishing norms and values.”7 responsible stories compel, persuade, and unify others around the leaders’ vision.
Creativity Breads Adaptability
“Hospitality isn’t about a product on the shelf. Hospitality is about creating something that changes day to day, hour to hour, or minute by minute.” – Dan Donahue
IBM’s 2010 Global CEO Study, which surveyed more than 1,500 CEOs from 60 countries and 33 industries worldwide, concluded that creativity is the most primary leadership property for success in business, outweighing competencies such as integrity and global thinking.8 Geoff Ballotti agrees that, “Creativity is critical, especially in the trade that we’re in. We’re trying to redefine and reposition their brand from a creative standpoint in terms of experience.” What defines one brand from another and what makes one brand more successful than another is the creativity that it delivers as well as the taste it delivers to its guests. Understanding how to generate Great ideas is a crucial leadership trait in hospitality’s innovation-driven industry. Successful leaders create an environment where associates can contribute their fantasy and insight, which is faultfinding because most innovations draw upon the contributions of many.
Today’s trade environment is unpredictable, changeable and increasingly complex. Therefore, the aptitude to create something that is both innovative and applicable is on the top of leader’s minds. Mr. Donahue states, “Nothing in their trade can subsist or should subsist cookie cutter. It’s about curating an taste for each person who spends to subsist with you.” Len Wolman adds, “If you’re not creative and open to change in todays world with the disruptors that exist in their industry, particularly with technology, you will not subsist successful. You necessity to subsist creative in terms of staying ahead, staying current and relevant, and procure managing the costs associated with change in a course that your organization can quiet subsist successful and profitable.”
In an industry of constant change, Great hospitality leaders necessity to capitalize on the opportunities that are ripe for the present context and contrivance for the likely future state. Change requires creating a fresh system, which demands effective leadership. It is crucial that leaders first avow how hard it can subsist to drive others outside of their console zones and shove for change. When asked how he responds to change, Len Wolman replied, “A crucial factor is feedback. They procure daily feedback that is current and relevant, whether it subsist Trip Advisor, direct contact with their guests, or direct contact with their associates. They necessity to listen to it, they necessity to respond to it, and they necessity to adjust to the things that people are looking for whether it subsist the consumer or the labor environment.” Those who create fresh initiatives, programing, design, and brand essence are the ones who succeed. By supporting creativity and commanding change, leaders can multiply workplace satisfaction and build driven teams that craft original, valuable ideas.
Figure 1: Interview Questions
When associates are inspired by their leaders, they are more confident, they know what’s expected, and they feel empowered to develop decisions and labor toward their goals. So with your vast taste in the hospitality industry, what are some ways you empower and inspire those around you to develop decisions and really motivate others?
Do you fill a specific set of core values? They can subsist personal or related to your company.
How execute you hold others accountable to those values and standards as a leader? Are there specific tools or methods you provide your associates to befriend them labor towards that unified goal?
Confidence is obviously an primary skill to possess as a leader, but execute you umpire showing vulnerability as a leader is primary as well? This can subsist shown through being more visible to others around you, taking risks, being vocal and clear about your specific goals as a leader….
Creativity is essential to the entrepreneurship that gets fresh businesses started and that sustains the best companies after they fill reached a global scale. execute you reckon creativity to subsist a manageable trait? Is creativity a focus of your attention as a leader?
How execute you accommodate to various situations in an age of rapid change (with technology and this millennial “mindset” emergence)? What are the key components to having an adaptable mindset?
It has been made clear through the interview process of these three prominent industry leaders that establishing shared values, balancing accountability with autonomy, modeling by example, showing vulnerability through visibility, and having a creative mindset that is open to change are totality essential factors to being a successful leader. The common theme amongst totality these traits and elements to successful leadership, however, is each leader’s dependence and dependence for their associates. At one point during the interview, Mr. Ballotti pointed out that, “Great leaders are those who environ themselves with Great people…who are brighter, and smarter, and more diverse in thought than they are. And who are able to build a team that knows how to champion and dependence each other.” It is clear that effective leadership boils down to a leaders aptitude to unlock the full potential in those around them. Len Wolman adds that it “We retract custody of their associates so that they retract custody of their guests, which keeps the guests coming back and is the judgement they are in business.“ Dan Donahue moreover notes, “You fill to realize each individual employee’s needs. develop a connection with your employees every lone day.” totality responsible leaders were once followers themselves and fill learned to establish and foster dependence over time. A factual leader passes acclaim and shares the blame, lifting up those around them.9 Without followers, Great leaders cannot lead.
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Sarah R. Andersen is a senior at Boston University’s School of Hospitality Administration. Her areas of interest comprehend integrated marketing communications and true estate development. Beyond her studies in hospitality, she is a member of the BU Women’s Lacrosse team. She plans to continue her studies at Boston University after graduating with her bachelor’s degree by enrolling in the School of Hospitality’s Master of Management in Hospitality program.
Gallos, Joan V. Business Leadership. Second Edition ed., A Jossey-Bass Reader.
Kouzes, James M., and Barry Z. Posner. The Leadership Challenge: How to develop Extraordinary Things befall in Organizations. Sixth Edition ed., Wiley, 2017.
Carson, and E. A. Phelps, “Regulating the Expectation of Reward,” Nature Neuroscience 11, no.8 (2008):880-881
“Performance Management: Accountability Can fill Positive Results.” U.S. Office of Personnel Management. Web.
Porath, Tony SchwartzChristine. “The Power of Meeting Your Employees’ Needs.” Harvard trade Review, 6 Dec. 2017.
C. M. Shea and J.M. Howell, “Charismatic Leadership and job Feedback: A Laboratory Study of Their Effects on Self-Efficacy and job Performance,” Leadership Quarterly 10, no. 3 (1999)
Marshall, John, and Matthew Adamic. “The chronicle Is the Message: Shaping Corporate Culture.” Journal of trade Strategy, vol. 31, no. 2, 2010, pp. 18–23.
“Creativity Selected as Most Crucial Factor for Future Success.” IBM 2010 Global CEO Study, 18 May 2010.
Henderson, Aaron M. Building effective Leadership from the Ground Up. Llumina Press, 2004.
By Juan Lesmes and Leora Lanz
It wasn’t that long ago when digital marketing surfaced as indispensable practice for the hospitality industry. As time moved forward, hotel marketing departments established roles to manage the digital positioning and visibility of the property. Thus, they witnessed hospitality brands which were ‘present’ on gregarious media outlets, adopting paid search as a permanent component of their marketing fuse and abiding by well-known website best practices. They refer to this period as angle I of the Hospitality Digital Marketing Revolution.
Phase II quickly blossomed, and hotels realized that the competition to penetrate the digital space was tough and arduous. Brands started focusing on and investing in the internet user-experience (UX), negotiating partnerships with online travel agencies (OTAs), understanding the landscape of search engine result pages (SERPs), separating high-value budgets exclusively for search engine marketing (SEM), and delving into the intricacies of search engine optimization (SEO) for their own websites. gregarious media served as a competitive handicap and quickly escalated as paramount for marketing, branding, reputation management, and organic visibility. Paid search, via Google AdWords platform, is not to subsist confused with the organic approaches detailed here.
As they delve into 2018, angle III emerges clearly. OTAs dominate and in some instances absorb Google searches with first page results. Consequently, hotels are realizing that digital marketing efforts should subsist shifted from a haphazard online presence to one that is strategic – one that capitalizes on each micro-moment of the guest travel planning journey (most of which, if not all, occurs on the web). As gregarious media forces Instagram and Facebook solidify their roles as prominent search engines, paid ‘posts’ within users’ ‘feeds’ continue to convey the power of personalized sponsored content.
With a myriad of stakeholders now involved in the simple act of searching for hotel rooms, is it a battle worth fighting? The avow is absolutely. But before addressing the how, it is crucial to identify and differentiate the digital marketing scope of branded and non-branded hotels. Branded hotels, especially those flagged with hospitality powerhouses, profit from a more powerful domain authority coming from the parent chain, making it easier for them to rank higher on the SERPs. retract Marriott.com/hotel vs. hotelname.com for example. Domain authority is the overall power of the domain cognomen considering traffic size, popularity, and number of links to the site (backlinks). It is moreover a top ranking factor for Google.
Branded hotels moreover watch to fill significant budgets to expend on Pay-Per-Click (PPC) and paid search, ensuring top first page visibility for valuable destination and branded queries. In addition, branded hotels fill wider access to digital partnerships, including listings, local directories, event sponsorships, travel influencers, and online features – totality of which provide authoritative backlinks to the hotel’s site, further contributing to its domain authority.
Because independent and small-scale hotels rarely profit from domain authority, maintaining and monitoring digital marketing best practices to boost Google rankings should subsist a requirement, not merely a recommendation. Digital marketing practices command their own dedicated efforts. Yet online marketing should subsist well-equipped with its own strategy and utilize expertise in the nuances and intricacies of hotels, restaurants, leisure activities, and attractions – overall, hospitality.
The question then becomes, how can hotels strive for visibility in this Wild West of a digital landscape, particularly if they are competing against each other, the OTAs, and a powerful sharing economy?
1. Execute a Carefully Crafted Keyword Strategy
Optimizing for search queries, moreover known as keywords, is perhaps the core of any digital marketing tactic aiming to build visibility – both organic and paid. Identifying those keywords with the highest search volume, such as ‘Miami hotels,’ is the intuitive process. Presence on Google’s first page for tall search-volume keywords requires a robust SEM budget, an ongoing and long-term SEO strategy, or both. This puts independent and small-scale properties, which often execute not fill the necessary budget and fundamental team, at a notable disadvantage.
However, niche keywords present a different scenario. These queries are typically ’long-tail’ sense they contain more than four words. Though niche keywords execute not fill the highest search popularities, it is much easier to actually capture their search volume, which then results in higher click-through rates (CTR). Hotels can leverage niche keywords by identifying their unique amenities and value propositions, and turning them into valuable keywords. For example, ‘Miami hotels with a rooftop bar,’ ‘Miami hotels with free breakfast’ and ‘Miami hotels with nightclubs’ are terms to utilize as they leverage a more specific travel purpose that easily turns into conversions (booked business). It is crucial to umpire as the customer would.
Some independent hotels, because of the virtue of their uniqueness and often niche-market, can fill the upper hand in this situation. A property which positions itself as a rotate for health and well-being could therefore pursue niche terms such as ‘wellness resorts’ and ‘fitness getaways.’ The key is to identify the brand’s top performing unique selling propositions (USPs) and translate them into humanized search queries, totality while keeping the guests’ travel planning journeys in mind.
Finding a balanced fuse of both high-search volume terms and niche queries secures strategic keywords. Nevertheless, actually optimizing for them by ensuring they are naturally or comfortably present throughout the website’s titles, content, metadata and bidding efforts moreover befriend secure a carefully crafted keyword strategy.
2. Optimize for Local Search
Our termed “Phase II” moreover plot the spotlight on search engine trade directories such as Google My trade and Bing Places for Business. In angle III, hotel listings on these directories is no longer a recommendation, it is a necessity. Optimizing for local search entails driving the visibility of a property’s trade listing via a two-part process:
Ensure the listing’s content is precise and optimal. For a hotel’s listing to subsist effective, it needs to subsist correct. This means not only having a consistent name, address, and phone number (NAP) across the web, but moreover sharing additional trade attributes such as trade hours, property images, contact e-information, and trade category. Because Google understands that local users are better served by businesses that profile totality the information they need, it ranks complete, accurate, and consistent listings higher than those that are partial. If your hotel has a sunder restaurant, spa, or in-house shop, each should fill a sunder online trade listing.
Utilize keywords with universal search integrations – inescapable keywords watch to trigger significantly more universal search results, which includes a blended combination of Carousel, Local 3-Pack, Images, and Maps. (The former two are Google features institute on search pages, displaying images and contact information to befriend users with specific searches). Because they are primarily location-based, they present yet another opening to drive the hotel’s local trade listing. Keywords such as ‘Miami hotels near American Airlines Arena’ or ‘Downtown Miami hotels,’ for example, fill powerful local search integrations since they allude to a local locality within a larger market. As a result, incorporating these styles of keywords into the hotel’s website and local listings is a course to let Google know that the property is not only highly apropos to the query, but moreover a local trade to subsist recognized.
3. Attain and Maintain a Star Rating on Google
One of the key components of local search results is the Star Rating associated with a trade listing. In fact, star reviews on SERPs are an effective course for hotels to multiply digital visibility by standing out from the competition. Star ratings befriend multiply the site’s CTR and provide an influential benchmark for online reputation management (ORM). Once an exclusive attribute for paid results, star ratings now moreover loom on organic results through Google’s ‘Rich Snippets.’ These snippets are a form of structured data which Google extracts from multiple websites and presents it as a ‘preview’ in search results, moreover known as Google’s scholarship Graph.
Therefore, obtaining and retaining star ratings involves safeguarding reviews on trusted and authoritative review sites. Google then aggregates this rating data and displays an medium star rating. Hotels (restaurants, attractions, etc.) should inspirit satisfied guests to submit reviews to their booking channel (i.e. Expedia) because they are by default ‘trusted’ sites. However, they should moreover inspirit reviews for their own Google My trade listing in an attempt to multiply the hotel’s chances of being featured on local search results.
It is primary to clarify that there is a technical component to obtaining a Google star rating. Codes plot onto the website to befriend search engines return more informative results to users. Hotels necessity to ensure that their web developers moreover comprehend star rating information within the markup code.
4. Enhance Content on Local Listings
A hotel’s content for its local listings should subsist strategically optimized. Whether it is in Foursquare, CitySearch, or any other listing, valuable keywords should subsist incorporated throughout the copy – including local search ‘near’ queries such as ‘hotel in Miami near Brickell’. If the brand image is sportive and tongue-in-cheek, the content on local listings should moreover reflect that. Some listings even allow for a featured message. Rather than a generic ‘Welcome!’ hotels can consume this space to promote current offers or highlight special amenities (complimentary champagne, sunset yoga, free breakfast).
Other content elements such as images should subsist of the highest quality, showcasing provocative yet realistic visuals of the property’s exterior, interior, and overall ambiance. Links to totality the property’s gregarious media channels should subsist present in the listings, which allows the user to access other hotel assets including brand personality and online reputation.
5. Optimize for Voice Search
With increasing utilization of smart personal assistants such as Alexa and Google Home, voice search is a prime topic of conversion within the digital marketing realm. In order to subsist visible in results derived from these devices, hotels necessity to ensure they are optimizing their site and keyword strategy for voice search too. Since users are more likely to consume longer natural queries via voice, employing niche, long-tail keywords is an effective routine to optimize for this trend.
Long-tail keywords are fruitless without the apropos content on a hotel or restaurant’s website. Hotels necessity to fill specific landing pages that parallel the niche keywords. If a hotel seeks ‘Hotels in Miami with rooftop pools’—a keyword likely used by the voice search user—it must loom in the apropos landing page.
Incorporating questions and answers within the site, perhaps via the ever-popular Frequently Asked Questions (FAQ) page, is another effective course to accommodate voice search. With this strategy, hotels can provide answers not only about the property itself, but moreover about their destination and local attractions as a result of quick detection by voice-activated devices.
It is primary to note that recently, numerous hotel properties and companies fill been contacted by law firms representing travel consumers with disabilities. These law firms report that websites are not abiding by accessibility guidelines in accordance with the Americans with Disabilities Act (ADA). If a guest is unable to consume a hotel website to find information or develop a reservation, hotels can in fact subsist fined. Today hotel websites must enable these assistive technologies to allow travel consumers with disabilities to procure the information they necessity and complete any necessary transactions.
6. Adopt a ‘Mobile First’ Mantra
Much has been said about Google’s ‘mobile first’ index. This means Google will start to rank its search results based on the mobile version of the content, even in desktop search listings. If one thing is certain, websites necessity to subsist optimized to subsist mobile-friendly (responsive). Hotels necessity to ensure they launch a fully-responsive website that serves users of any device the very consistent content. The more ‘mobile-friendly’ a site’s user taste is, including factors such as typography, navigation map, and website design, the higher the site will rank on Google’s search.
7. Leverage Google Hotel Ads
Google Hotel expense Ads (HPA) showcases a hotel’s real-time (dynamic) rates on Google search across totality devices. Users will survey the hotel’s ad when they are actively looking to book a scope in the area. However, the hotel only pays when the ad generates a click or a booking.
Google has recently introduced a unique call-to-action (CTA) button for booking hotels in its search results. A keyword can trigger a ‘BOOK A ROOM’ button to appear. Clicking this will activate a sub-menu to browse totality enlisted HPAs for the hotel, which includes booking direct and via OTAs.
This feature, which moreover appears in Mobile and Maps, demonstrates Google’s determination to grow its expense Ads service. The increased exposure provides more incentive for hotels to capitalize on this form of pay-per-click in order to promote direct bookings.
8. multiply Backlinks, Actively
A backlink is as simple as a hyperlink to a website from another website. Yet, it carries a lot of weight when it comes to a hotel’s organic digital visibility. Each backlink tells the search engine that a hotel website has a ‘vote’ from another entity, which in return builds credibility and domain authority. Branded hotels fill the upper hand here since the company usually has a corporate parent site that a plethora of other websites will link to (such as Marriott.com or IHG.com).
There are technicalities to backlinks, including the property of the backlink determined by elements such as anchor text and link context. These technical factors play a role in the algorithm the search engine uses to determine the value of a backlink. In theory, the more property backlinks a hotel website has, the more chances to rank higher on search engines.
Actively pursuing apropos backlinks should subsist imperative for hotels to obtain first page ‘real-estate’. Obtaining links from local directories, current hotel vendors, editorial publications, and .EDU and .GOV sites should subsist the gateway for enhancing the site’s link equity. However, to continuously grow the number of backlinks, hotels necessity to subsist generating quality, shareable content that interlinks with gregarious media initiatives.
9. remember Optimal gregarious Media = (Quality + Authenticity) x Engagement
Much has been contemplated about what comprises a successful gregarious media strategy. Although there is no ultimate recipe for the perfect gregarious media post, three factors that boost performance are quality, authenticity, and engagement. Optimal gregarious Media = (Quality + Authenticity) x Engagement. Each piece of content maximizes visibility, both organic and paid. When posts are genuine and of tall quality, users are more likely to relate and validate them. When posts are authentic, of tall quality, and facilitate some type of user engagement, the content becomes shareable.
When content generates more likes, followers, and overall visibility it establishes an influential ranking factor. Therefore, search engines watch to rank higher those brands that fill a robust organic gregarious media base (not paid or ‘spammy’ followers). This is why it is primary for hotels to intertwine their gregarious media strategy with their SEO efforts by creating quality, authentic, and engaging content that increases overall digital exposure.
10. reckon the Technicalities of SEO
Technical SEO is a science of its own and deserves its own team of specialists, budget, and time. Technical SEO means optimizing a website so search engines can successfully crawl and index its content. It lays a powerful foundation to give a hotel’s website the best chance it can to rank higher for apropos keywords. Technical factors comprehend site speed, removing unnecessary tags, cleansing duplicate metadata, adding tags to images, and implementing proper redirects to maximize the site’s link equity. Whether there is a one-man team or a staff of professionals continually optimizing the website, there are tools to befriend provide the technical support.
Hotels, restaurants, museums, attractions, and leisure activities totality necessity to assertively compete online to grab the attention of potential guests. Those who watch to the organic visibility fill a notable competitive. This and integrated paid search campaigns that mutually champion organic search strategies will befriend secure first page visibility. Overall, while the necessity to upkeep search engines’ potent algorithms and ranking methodologies will always remain, an understanding of the process will befriend smaller or independent hospitality businesses Cut through the clutter in today’s complicated digital landscape.
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Juan Lesmes is a digital marketing strategist specializing in SEO at HEBS Digital the leading hospitality technology, full-service digital marketing and website design firm. A 2017 graduate of Boston University’s School of Hospitality Administration (SHA), Juan’s previous taste includes labor at hospitality marketing advisory LHL Communications, The Ritz London, and Lets procure Weddy in London. Since his time at SHA, Juan has been recognized as a thought leader in hospitality marketing, with active contributions to the Boston Hospitality Review, HotelOnline and HospitalityNet.
Leora Halpern Lanz, ISHC, is principal of LHL Communications, a hospitality-focused marketing communications, branding, and media relations advisory. She is moreover full time faculty at Boston University’s School of Hospitality Administration (SHA), teaching advanced strategic marketing and digital marketing for hospitality at the undergraduate and graduate levels. She was named among the Top 25 Minds in Hotel Marketing for 2016 by the Hospitality Sales & Marketing Association International and was named 2017 Professor of the Year by the student government of SHA.
Photo Source: Andrew Harrer/Bloomberg via Getty Images
By Nick Cohen
The year is 2001, and the world is quiet recovering from the tragedy of September 11th. The travel industry is in a downward spiral as fears of flying and terrorism ripple across the United States and beyond, and hotels fill lost significant occupancy due to a abate in demand.
Simultaneously, a fledgling technology is emerging which will eventually retract handicap of the internet explosion, as well as hotel management’s desperation to fill rooms. It will reshape their industry forever, and this platform now commonly referred to as Online Travel Agencies, or OTAs, will allow hotels to easily sell their rooms on the internet through fresh consumer facing websites such as Expedia, Travelocity and Orbitz.
Fast forward to 2017. The OTA’s fill gained the majority of market participate for online reservations, and digital platforms enjoy Booking.com and Ctrip.com fill loyal member volumes that far surpass brand websites. In many cases, the OTA companies are valued well beyond traditional hotel brands (as of May 2017, Priceline Group has a market capitalization of nearly USD 92 Billion). They fill moreover helped to create a fresh concept as they grew in popularity and scale over the last number of years, and it was the precedent of transparency. Pricing that was once hidden to the everyday user, could now subsist exposed to the whole world, publicly, with a few clicks online. As OTA channels grew enormously with time, so did the access to true time rates and availability for virtually every hotel around the world.
With this concept in mind, from the OTA’s they fill seen the rapid expansion of ‘meta search’ channels. These are one-stop expense comparison platforms where a customer can view a expense for a lone hotel scope across multiple websites (without having to browse those websites one-by-one). Sites within this category comprehend Kayak, Trivago, TripAdvisor, Qunar and Google, and they are totality working to simplify the travel research process for consumers.
Featured above are some of the most Popular meta search channels
With the OTA channels continuing to grow through massive marketing efforts and superior technology, and with meta search sites following their lead, a relatively fresh challenge has emerged for hoteliers. It represents a very knotty dynamic between one of the most traditional ways to sell a hotel room, and one of the most modern ways to sell a hotel room. This once again totality comes back to the concept of expense transparency. Wholesale has been a core trade driver in hotels for many years, helping properties build base trade through private negotiated rates and partnerships. Historically, these wholesalers would sell their inventory offline to their own private networks of contacts. Even though the pricing would typically subsist lower than publicly available RACK rates, it was a responsible foundation of occupancy for hotels to build off of.
As technology has become more sophisticated with Application Programming Interfaces (APIs) readily available, they fill seen the rapid growth of wholesale rates being sold publicly, online, through some of the powerful meta search channels mentioned above. This means that wholesalers are selling discounted rates, which directly undercut brand websites and OTAs, to anyone who has access to the internet. Beyond just meta search, some OTA websites are now even positioning themselves as ‘online marketplaces,’ where they too will sell wholesale inventory directly instead of the inventory provided by the hotels. To remain competitive and multiply market share, online channels want to sell the lowest expense possible, even if it means reducing their own margins by selling a cheaper scope to the customer.
Meta Search Websites such as HotelsCombined (shown above) showcase wholesale aggregator sites enjoy Amoma.com and HotelQuickly.com which fill prices that undercut the brand’s direct website and other OTA channels
You would umpire that hoteliers would want to fix this problem immediately. Online wholesale trade undercuts channels which are much more profitable such as their direct brand website. This issue however is multi-layered and is not simple to remedy for the following key reasons:
Hotels quiet want wholesale business!
Hotels quiet maintain tough relationships with a number of wholesale partners, roomy and small, and they rely on these partnerships to generate base business. Turning off these channels would potentially connote the loss of significant revenues, at least in the short term. Although wholesale channels can undercut other websites when sold online, they moreover quiet generate incremental trade when sold offline through the traditional method
Finding the source of whole trade online can subsist very difficult
When wholesale rates appears online, it’s generally very difficult to know which wholesaler specifically is providing that inventory. The wholesale partners themselves don’t generally sell rooms through their own websites, but sell their rates through wholesale aggregation channels such as Amoma.com. It’s channels enjoy Amoma who then sell the rates online through their own interface, and promote their rates through larger meta search intermediaries such as Trivago and TripAdvisor. Generally the only course to find the factual source is to develop a test booking online, and then track how that reservation comes into the hotel’s central reservation system (each reservation is typically flagged with an inventory source). Many hotels are reluctant to execute this since a booking requires consume of a credit card and sometimes even pre-payment, and then cancellation of that test booking is not always simple to do. The test booking process is both cumbersome to manage at scale, and is moreover financially risky for a hotel if those booking cannot subsist cancelled.
Room bookings can subsist made through Amoma.com and other wholesale aggregator websites by anyone online. However, the back End wholesale source for each booking from Amoma and other channels enjoy it can subsist very challenging for a hotel to identify.
Employee incentives are at stake
Within hotel sales departments, team members are quiet incentivized to drive wholesale volume, regardless of where that volume is being sold (offline or online). Wholesale partners generally don’t provide specifics on how they are selling their inventory, and as long as scope allotments are sold, the responsible sales team members are satisfied. This is creating an unavoidable rift between the direction of some sales leaders with the revenue management and digital strategy teams.
So what’s next?
Hotel companies are dealing with this situation in a variety of ways. Some are cutting off wholesale altogether since they simply can’t control where their inventory is ending up. Others are maintaining the partnerships, but are working to poke away from static scope allotments and over to dynamic pricing and availability where the hotels fill more control over the inventory they ship to the wholesalers. This is a major problem facing the industry that very much remains unsolved.
If they retract ourselves back to the 2001, expense transparency was a challenge for hoteliers. Properties simply didn’t fill direct access to a large enough segment of customers, therefore traditional partnerships enjoy wholesale was an absolute necessity. With the growth of the OTAs though, and the emergence of fresh technologies such as meta search, that access is no longer an issue. The world is accessible for each hotel with a few quick key strokes on a computer. It is now only a matter of time until hoteliers develop one of the following decisions:
Utilize wholesalers purely as another online distribution channel, selling rates that are parity with every other website (brand.com and OTAs)
Remove wholesale out of the channel fuse altogether, realizing that scope inventory can subsist be sold among the legion of websites and digital platforms already available
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Nick Cohen is based in Hong Kong and leads digital strategy for Hyatt Hotels in Asia Pacific. He oversees online marketing efforts for totality Hyatt brands and properties across the region, and manages a variety of e-Commerce and digital platform projects to befriend multiply online revenues for the company. Prior to joining Hyatt, Nick held senior e-Commerce and digital marketing roles at Langham Hospitality Group, Mandarin Oriental Hotel Group and Sabre Hospitality Solutions. Earlier in his career, working on-property for various hotels he developed extensive scholarship in operations, along with Sales & Marketing and Revenue Management expertise. Nick moreover holds a graduate diploma in Hotel and Tourism trade Management from Boston University.