The Future of Personalized Concierge Service

In response to the economic downturn, luxury hotel chains have taken two very different—in fact, directly opposite—tacks when it comes to their concierge departments.

One strategy appreciates the profit potential of their concierge team, valuing them as an important component of their brand strategy and a source of referrals and repeat business Not only are they keeping concierges on the payroll, but some hotels are making additional investments by equipping their concierges with iPads and other technology to help inform the personalized services they provide for their guests.

On the other side of the coin, some luxury brands don’t recognize the concierge desk as a profit center in the least. During lean times, they view it as an unessential—even frivolous—function, which can easily be slashed from the budget. Rather than keeping a concierge team on the payroll and investing in technology that will allow them to provide even more personalized service, management assumes their guests have the same technology, so they might as well use it themselves.

This begs the question: Can technology replace the concierge? Author and hotel consultant, Daniel Edward Craig thoughtfully examines this question in his article, “Is the Role of the Concierge Going Obsolete?”

Here are a few noteworthy excerpts:

“At a time when online travel agencies and price wars have virtually commoditized hotels, concierge services are a way for a hotel to distinguish itself. More than any employee, the concierge can turn a ho-hum stay into an unforgettable experience….Can a hotel that doesn’t offer concierge services call itself luxury—or even upscale?”

“I love my iPhone, but so far it hasn’t volunteered to call up the owner of a sold-out restaurant to secure a table like the concierge in Barcelona did.”

I, of course, wholeheartedly side with Mr. Craig, but remain confused as to how one global brand espouses one philosophy, while the other goes in the opposite direction. (Actually, the decision to invest in personal service or  slash it to cut costs would apply to almost any industry!) I would appreciate hearing your comments on this issue and invite you to pass this along to your colleagues and management team to get their opinions, as well.

 

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