AI in Hospitality Marketing: 7 Examples That Drive Bookings

Picture this: You step off a flight, exhausted and ready to collapse into bed. But instead of standing in a lobby line, clutching crumpled confirmation emails, your hotel room key is already waiting on your phone. Your preferences? Already loaded. Your late checkout request? Approved before you even asked. This isn’t some far-off fantasy—it’s happening right now.

Leading hotels, airlines, and restaurants are leveraging AI to deliver personalized promotions that actually match guest preferences, targeted campaigns that reach travelers at the perfect moment, and unified data systems that remember every interaction. 

These hospitality marketing artificial intelligence examples aren’t just impressive tech demos—they’re delivering measurable results that streamline operations, boost revenue, and create the kind of seamless experiences that turn first-time visitors into loyal customers.

With the help of advanced hospitality AI solutions, hotels, travel agencies, airlines, and even restaurants are streamlining the customer experience and reducing costs.

In this article, you’ll discover:

• 7 Hospitality marketing artificial intelligence examples
• The future of AI in hospitality
• How the biggest hospitality and travel brands incorporate AI into every step of their customer journey

Let’s begin!

How is artificial intelligence used in the hospitality industry?

As many as 92% of companies plan to increase their AI investments in the coming years. AI for hotels is transforming the hospitality industry as we speak. Hotels, restaurants, airlines, and travel agencies use AI to:

• Improve guest experiences
• Streamline operations
• Boost customer service efficiency
• Slash customer service costs

Advanced AI tools are used to power:

• AI chatbots and virtual assistants – They handle guest inquiries, bookings, and customer service 24/7, reducing the workload on your staff.
• Personalization – AI analyzes guest data to offer personalized recommendations for rooms, services, promotions, and upselling opportunities you didn’t even know you had.
• Routine services – AI contact centers help guests and customers with FAQs, bookings, check-ins/check-outs, and routine questions about your service (e.g., What is the largest hand luggage I can take on the plane?).
• Operational efficiency – Businesses use AI to optimize predictive maintenance, housekeeping schedules, and inventory management to reduce costs.

While customer service remains a cornerstone of the hospitality industry, artificial intelligence is reshaping every part of the guest experience—from check-in to marketing. One of the fastest-growing areas of opportunity is hotel marketing, where forward-thinking brands are already using AI to spark new ideas and drive revenue. The best way to grasp this shift? Look at how industry leaders are putting AI to work today.

7 Real-world examples of hospitality businesses using artificial intelligence

Great news for your marketing department — from now on, they can rely on one solution to:

• Boost email and ad campaign conversion rates
• Personalize guest communications
• Segment customers without spending long hours analyzing data

These real-world examples prove that this technology is a must-have for hospitality businesses. Let’s walk through how the biggest hotel groups, airlines, and travel brands use AI in their marketing workflows.

1. Hyper-personalized guest experiences

Digital marketing teams in the hospitality industry use AI to hyper-personalize guest experiences by analyzing large amounts of guest data to tailor every interaction. Using data on guest behaviors and preferences, hoteliers are using AI to personalize guest experiences across:

• Room types
• Activities or excursions
• Dining
• Spa services

You can also use AI to personalize your communication across multiple channels, like emails, app notifications, SMS, and more, to match the guest’s interests and travel history. For example, if a guest has previously stayed in historic towns across Europe, AI can send them newsletters with similar travel destinations, interesting museums, or guided city tours.

A great example of hyper-personalization is the Accor Group. They use AI to analyze guests’ preferences and behaviors, leading to bespoke room setups and personalized suggestions for amenities and services. Because what could be better than entering your hotel room after a long trip and finding a welcome package with your favorite snacks and drinks?

2. Predictive analytics for demand forecasting

AI tools process historical booking data and market trends to forecast demand, allowing hotels to adjust marketing efforts and staffing requirements proactively. This ensures optimal occupancy and effective revenue management. 

For example, spring holidays, summer, and the Christmas season are some of the busiest times for the hospitality industry. If you struggle every year to meet your customer needs, allocate staff, and prepare for this surge, your customers might not want to come back the next year. Think: long lines at the front desk, a busy customer support line, and overworked staff.

AI is a powerful technology to help you more accurately manage your staff schedules and vacation requests to ensure you have enough staff during peak seasons.

A great example of this is Marriott Hotels. They use predictive analytics to ensure guests have a flawless experience by analyzing:

• Historical data
• Seasonal and staffing trends
• Local events 

With this technology, they’re prepared to assist more visitors and manage their inventory and pricing better. 

The same applies when the number of guests drops. Think January or the beginning of the school year. AI adjusts pricing and allocates staff efficiently, so they don’t come to work just to sit around. It also helps ensure their working hours are used more effectively.

However, this is just a small part of their AI-driven initiatives. The hotel group also invests a lot in personalized guest experiences. For example, they launched an AI-powered search feature for destinations across their locations worldwide. A guest can describe the type of destination they’re looking for, and the search matches them with the most relevant stays and experiences.

3. Personalized conversations and upsell opportunities

A marketing tactic used by hotels to increase occupancy rates is to personalize conversations without any human input. A great example of this is upselling. Using past interactions and historical data, AI agents can suggest tailored upsells. 

For instance, if a customer is calling your hotel to ask if they can bring their pet with them, an AI system personalizes communication and offers extra services such as doggy daycare in the hotel or nearby.

The best part is that AI does this seamlessly through omnichannel communication, including:

• Voice calls
• WhatsApp messages
• SMS
• Email
• Website chat

As many as 71% of customers expect businesses to provide personalized attention. So, your effort to meet your customers’ needs pays off.

For example, early AI adopters, Choice Hotels, were looking to optimize different operations. However, they struggled to find the right technology to ensure an excellent customer experience. 

The intelligent virtual assistant they worked with in the past had many issues, such as misunderstanding information, hanging up on customers, and missing important personalization cues. When they switched to Capacity, we focused on hyper-personalization and unified communication across all channels. 

We worked with their front desk and customer service teams to:

• Modernize their front-door virtual agents
• Automate reservation management
• Ensure seamless routing

We used historical data, previous interactions, and patterns to customize a new and advanced IVA. The results surpassed their expectations! The updated IVA can start reservations, manage rewards, and facilitate account changes across all of the hotel’s communication channels. The Virtual Agent also catches conversational or behavioral cues to transfer callers to the right agents in case they need human assistance.  

The new IVA was so effective that in just 8 months, they:

• Saved nearly $2M in support costs
• Dropped escalation to a live agent from 7.6% to 2.6%
• And now reroute 97.4% of calls automatically

4. Dynamic pricing

Hospitality businesses leverage AI to monitor multiple data points in real time. This empowers them to recommend optimal rates for room bookings, flights, and more. It works by collecting data across:

• Booking trends
• Demand forecasts
• Local events
• Weather
• Competitor pricing
• Seasonality
• Flight data

Then, AI will use this data to identify the best price to maximize revenue and occupancy. For example, if flu season begins and you notice many booking cancellations, AI lowers the prices to incentivize new bookings. 

It can also set different prices for different customer segments. For example, loyalty members might get better prices to encourage them to stay with your business. AI continuously tests pricing strategies and learns which ones lead to better conversions and higher profits.

For example, Delta Air Lines uses AI to forecast demand and adjust ticket prices dynamically based on customer behavior, routes, and travel trends. When flight tickets are selling fast, the system automatically adjusts the pricing to manage demand and vice versa.

5. Customer segmentation

Data from the fastest-growing companies shows that around 40% of their revenue comes from personalized campaigns. Not only hospitality, but also beauty, automotive, education, and retail industries use AI to personalize their marketing efforts. This level of personalization is made possible through seamless customer segmentation. 

AI clusters customers based on:

• Behavior
• Demographics
• Spending habits
• Travel intent 

Customer segmentation lets you send personalized emails or tailor your ad campaigns to get better results and higher conversion rates. For example, AI marketing tools can send romantic getaway packages to couples or premium services for loyal customers based on their segment.

You can even use AI to segment your hotel’s social media marketing and generate content ideas. For example, the TUI Group uses AI marketing to:

• Segment its customers
• Track customer behavior across social media channels
• Boost top-performing posts

With the help of AI, they achieved a 150% increase in comments on their social media posts.

6. Targeted promotions

AI powers targeted promotions in the hospitality and travel industries by identifying the right audience, the right message, and the right time. 

Here’s how it works, step by step:

1. AI gathers and analyzes data such as booking history, browsing behavior, demographics, location, loyalty status, seasonality, travel patterns, and more.
2. Machine learning algorithms group customers based on shared behaviors or preferences (e.g., solo business travelers, weekend leisure guests, families, luxury seekers).
3. AI predicts what type of offer a guest is likely to respond to (e.g., discount vs. free upgrade), when they’re likely to book again, and which communication channel they prefer (email, SMS, app notification).
4. Finally, based on the insights, AI delivers custom promotions, such as special discounts, travel tips, deals, and last-minute hotel offers.

For example, Booking.com uses AI to send personalized deal alerts based on your browsing and booking behavior. If you searched for Paris in July but didn’t book, you might later receive relevant offers for that location during your searched dates.

7. Automated reputation management 

Tourism marketing is an intricate process that heavily relies on customer feedback. AI tools monitor reviews across platforms like Google, TripAdvisor, and OTA sites to identify sentiment and suggest appropriate responses. In part, this is a collaborative effort between the support and marketing teams. 

AI can identify patterns in customer reviews. For example, if some people complain about the tidiness of one of your hotels, the system automatically flags the issue and notifies the relevant teams. In this case, the particular hotel location would be notified about the cleanliness issue and can review how to fix it. 

Boost your marketing campaigns with AI every step of the way

New hospitality artificial intelligence marketing examples are emerging daily, and new developments in AI technology sprout faster than you can say artificial intelligence. We hope that this article gave you a better idea of how you can use and incorporate this technology into your hospitality business and its workflows.

If the following sounds good to you:

• Personalized guest experience
• Higher conversion rates
• Reduced customer support spend
• Insights into your customers

We invite you to try Capacity’s AI solutions for hospitality. We offer a comprehensive toolkit of AI solutions for every process of your business. From personalized offers to faster, automated routine procedures and questions. Sounds good?

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