News from EHL Departments Student Business Project

How an SBP helped INTEL define the IoT in hospitality

SBP coach, Ian Millar, tells us about his latest project client, INTEL, and their desire to use the Internet of Things in the hospitality market.

The EHL Student Business Projects (SBP) are known for their high quality and value. No matter the industry sector, if it’s vaguely related to the world of hospitality, people turn to EHL. There is no definition of the Internet of Things in hospitality, so the SBP defined one!

1.What exactly is the Internet of Things?

The Internet of Things, or IoT, refers to the physical devices around the world that are now connected to the internet, all collecting and sharing data . Consumer-based devices function better with the help of IoT data. Imagine the regular readings of fridge temperatures, would you rather send out someone every hour to check and list the state of the fridge or have an IoT sensor that sends an alert to a smart phone to advise of any temperature changes? The same applies to air quality, room heating and the general health of a building.

2.How did a company like Intel come to be an SBP client?

It’s amazing to think that the world’s leading chip maker (77$ billion last year) turned to an SBP to understand how IoT can be used in hospitality. This is both flattering and indicative of the power of the SBP network. We had done a project for Yoonik last year and the recommendation reached Intel via word of mouth.

3.What were Intel’s main takeaways?

Market knowledge

Even if IoT is more suited to luxury and upper upscale hotels, simply due to the costs involved and the complexity of the technology stack, the SBP helped Intel understand that IoT is essentially of interest to asset managers since it helps to increase the value of assets and reduce overheads and spending. It leads to clarity on the make-up and structure of a hospitality building especially where managers, operators and owners are concerned.

But IoT is also of use in vertical hospitality & retail sectors, not just hotels. Service apartments and residence-style accommodation - the fastest growing market in Europe thanks to the rise in remote working possibilities. Guests want more of a smart home and less of traditional hotel structure. This expanding niche market suits IoT facilities with sensors embedded in curtains, heating, lighting, fridge and oven to facilitate a busy person’s stay – and yet still feel like more of a home.

Back-of-house

Another important takeaway was the realization of how IoT is key for optimizing behind the scenes operations. With many hoteliers still reluctant to accept that contactless is indeed the future, there is no denying that the back-of-house and engineering departments can benefit enormously from the technology that IoT offers. This is due to the fact it does not touch the customer experience and that, since it is mainly sensor-based, it is linked heavily to the physical asset (the building).