Marriott International: Deploying AI across hotel brands in Singapore

• Main Authors: CHANG, Hannah H., CHUA, Ko Hwee Joyce, BLOWER, Matthew Liam Paske, NG, Yee Theng Emerlyn, GWEE, Su Xuan Tiffany, DE SOUZA, Sarah Anne
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2022
• Subjects: Digital Strategy; Digital Disruption; Chatbots; Competition; Customer Needs; Millennials; Asian Studies; Marketing; Technology and Innovation
• Online Access: https://ink.library.smu.edu.sg/cases_coll_all/426; https://smu.sharepoint.com/sites/admin/CMP/cases/SMU-22-BATCH%20%5BPDF-Pic%5D/SMU-22-0016%20%5BMarriott%5D/SMU-22-0016%20%5BMarriott%5D.pdf?CT=1661913669387&OR=ItemsView
• Institution: Singapore Management University

The case is set in 2021, amid accelerating digitalisation in Singapore, as Marriott International is facing pressure to innovate and review the AI strategy for its hotel brands. Marriott is the second largest hospitality player in terms of market share in Singapore, with AccorHotels Group holding market leadership. In 2016, Marriott merged with Starwood Hotels & Resorts Worldwide, valued at US$12.2 billion, making it the largest hotel chain in the world. Before the merger, Starwood had established itself as a technical innovation leader in the hospitality industry, which aligns with Marriott’s goals to improve the guest experience and build loyalty using technology. For example, Starwood invested in an array of services such as a mobile app which guests can bypass check-ins and use their mobile devices for keyless entry. Marriott has also channelled efforts toward digitalisation and innovation, and is one of the pioneers in deploying guest-facing technologies such as keyless entries and smart rooms. The company had partnered with Alibaba Group in a joint venture to pilot test a facial recognition check-in system with Fliggy, Alibaba’s travel service platform. This seamless and convenient alternative sought to meet the needs of tech-savvy Chinese travellers, who are receptive to technology powered by facial recognition. The uptake of artificial intelligence (AI) among hospitality players in Singapore and growing consumer trust towards AI engagements over the past few years has created an impetus for Marriott to review its strategies. Government support as well as successful use cases of front-facing AI solutions such as chatbots (i.e., digital concierges), service robots and automatic check-in/out systems, creates a favourable environment for Marriott to evaluate its next steps. Should Marriott deploy guest-facing AI in Singapore? If so, which AI solutions, and for which hotel brand, should be implemented?