Artificial Intelligence (AI) is transforming industries, and hospitality is no exception. To better understand AI’s potential for this sector, I sat down with Eternity Founder—and AI Aficionado—Mike Lannen.
We chatted about AI’s common misconceptions and how inns, hotels and resorts can leverage AI to elevate their guest experience.
One of my favorite insights from this conversation? The importance of transparency. While we want our chatbots to sound more human-like, it’s not about tricking guests into believing they’re actually human.
Read on to learn more. Reach out to me [sophie@eternitymarketing.com] to share what stood out to you.
AI: A Game-Changer for Efficiency
According to Mike, AI is already making workplaces significantly more efficient.
"A couple studies I recently read said when each employee is efficiently using AI—when they've been trained on it to use it correctly—that on average, they can save a little over an hour and a half per day, which adds up."
This efficiency gain allows hospitality staff to shift their focus to higher-value, guest-facing interactions rather than tedious administrative tasks.
Mike also highlighted a key trend that many hospitality businesses may not be fully aware of:
"Another study said about 60% of employees are bringing their free version of an AI tool to work. So they might be using their free ChatGPT but not really paying much attention to the security concerns that could be there for data privacy."
This emphasizes the need for AI policies and proper training so AI can be used effectively and securely.
Common AI Misconceptions and Fears
Mike mentioned that one of the biggest roadblocks to AI adoption across various sectors is fear—often stemming from past negative experiences with basic automation or exaggerated sci-fi portrayals (ahem ‘Black Mirror’)
"We've had this upbringing in AI where it's either going to take our job completely, enslave humanity or just be really annoying to interact with. So I think this makes people hesitant."
Mike points out that many people associate AI with frustrating automated phone systems that are only capable of limited responses. In reality, today's AI is far more advanced and capable of understanding complex queries and contextual intent.
How AI Can Elevate the Guest Experience
One of AI’s most exciting applications in hospitality is its ability to enhance personalization and streamline service.
Mike envisions a future where AI-powered virtual concierges can:
- Create guest itineraries based on their preferences, travel party, and dietary restrictions.
- Book reservations in real time, eliminating the need for front-desk transfers.
- Answer frequently asked questions to free up staff for in-person service.
Beyond basic inquiries, AI has the potential to truly enhance the guest experience by offering personalized recommendations and proactive service. Mike frames it as a human and AI collaboration:
"There still should be a human in the loop, but AI can maybe get you to—like—a 70% draft in fifteen seconds. And then you use your human brain to fill in the rest and add your own creative flair to it."
AI-driven phone bots are evolving beyond answering FAQs to directly booking reservations. This type of AI is categorized as Agentic because, instead of delivering an output directly back to you, it acts independently, handling a specific action on your behalf.
"Instead of a bot answering a couple frequently asked questions and then transferring you to the front desk to make that reservation, or to the restaurant, it can actually live-connect to the available reservations and book that stay or dinner. And you can talk to it in a very conversational way.
Many front desk employees spend a lot of time answering simple inquiries over and over again, such as: 'Hey, can I bring my dog? What time is check-in? Can I check out early?' Things like that. AI could answer those, allowing the human staff to focus on the guests who are in front of them."
Mike also highlights that AI can free up guests from screens, allowing them to spend more time engaging in IRL (in real life) activities:
"This is technology, for the first time, that isn't necessarily—like—sucking you in to use the screen and sort of buy your attention more... If you use it correctly and efficiently, it can free up time so you can spend more time on the slopes or going for a hike. Or literally anything else.”
AI and Handling Peak Demand
Mike also discusses how AI can help in high-demand situations, especially at hotel check-ins where long lines can frustrate guests.
"I don't know about you, but occasionally when I travel, I go to check in, and there might be one or two people at the front desk. And they're on the phone, and I'm ready to check in, but someone is holding their finger up to wait one minute. And you have to wait for—like—two to three minutes. It’s not that big of a deal, but it creates this little pebble in your shoe. When those pebbles add up inside there, it’s like a boulder."
By automating responses to common phone questions and check-in procedures, AI can reduce wait times and allow staff to focus on more complex guest needs.
The Importance of Transparency in AI
One of the biggest concerns when implementing AI is ensuring transparency, especially in customer interactions. Mike stresses AI should never deceive users into thinking they are speaking with a human.
"Even if it's personified with a name and a photo, being very transparent that it is, in fact, a bot is important. And making sure there are certain trigger keywords beyond just ‘human’ or ‘agent’—which automatically has a prompt that comes up and says, ‘Hey, it looks like I (the AI) might be struggling to answer this question. Would you like me to see if someone at the front desk is available?’"
By setting clear expectations, you can build trust with your guests while still leveraging AI to enhance service efficiency. At Eternity, we advocate for offering a clear option for guests to reach a human, as we believe this creates a positive user experience rather than a frustrating one.
Security Considerations: Protecting Guest Data
As is true with the implementation of any technology, businesses should take a proactive approach when it comes to addressing privacy and data security concerns associated with the use of AI tools.
Mike emphasizes the importance of understanding how AI tools handle sensitive information.
"For any data that you put inside tools like ChatGPT, the owner of that particular software (OpenAI) can take that data and retrain their model to better improve its outputs for other people, as well."
To mitigate risks, hospitality businesses should:
- Use enterprise AI tools with strong privacy protections
- Adjust settings to disable data sharing whenever possible
- Train employees on responsible AI use
"Chat with your IT team. They can probably help you go into the settings and enable or disable those security settings properly. So you can use it the best way."
By implementing clear AI policies and selecting secure platforms, you can maximize AI’s benefits without compromising the trust of your guests.
How Eternity Works with Clients on AI Implementation
At Eternity, the approach to AI consulting begins with understanding our client’s specific needs and pain points.
"I'll typically start by asking, what some of their top-level pain points or what are your ‘time sucks’—what are the things that are sucking up all of your time?"
From there, Eternity helps businesses identify where AI can make the most impact—whether through chatbots, other automation, or workflow optimization.
Getting Started with AI at Eternity
For hospitality businesses looking to explore AI, Eternity offers tailored consultations and workshops to help integrate AI solutions effectively. If you're interested in learning how AI can improve your business operations and customer experience, you can reach out to Eternity to schedule a consultation.
Mike believes that by embracing AI thoughtfully, inns, hotels and resorts can enhance efficiency, improve guest satisfaction and future-proof their operations. Mike encourages businesses to explore:
"Have an open mind. Try an AI tool out for thirty days. Make sure you have your security settings configured the way you want, and your risks of anything bad happening are very minimal. Your chances of saving a bunch of time and improving service are quite high."
And lastly, my hot take? The term "chatbots" could use a rebrand. What do you think? Any ideas?