Information Communication Technology, or ICT in short, refers to technologies that provide access to information through telecommunications. This includes the Internet, wireless networks, cell phones, and other communication mediums. The importance of ICT lies in its ability to create greater access to information and communication in under-served populations. Such technologies have created a "global village", boosting real-time communication between people across the world (as if they were living next door to each other) through instant messaging, video-conferencing and voice over IP (voip). Significantly, the emergence of ICT has also revolutionised the way we do business. We now require business transactions to be performed in as little time as possible, at minimal cost and with little difficulty or inconvenience. If we can make the transaction with an effortless click of the mouse, all the better! No cumbersome documents, no maddening waiting time, fuss-free.
Info-communication technologies and changes in hotel room reservation services:
ICT has brought about great advancements in the operation of hotels and this is particularly true with respect to the room reservation process. Gone are the days of over-the-counter/phone hotel room bookings. We can now make reservations for hotel rooms all across the world through the internet and from millions of possible locations - libraries, Starbucks (in the company of fellow caffeine addicts), home (between television commercial breaks) or even the streets (at wireless internet hotspots). In addition, information such as availability of rooms, room rates, location and facilities can be easily gathered from the hotel's websites to help us make informed decisions. Comparing prices becomes a painless process and we can always seek third-party opinions from customer reviews. Indeed, hotel businesses are increasingly looking up to ICT to provide them with the competitive edge to win over customers.
Room reservations in the past
Traditionally, hotels reservations are made either through a travel agency or directly (by the customer) through the phone or over the counter. Such business arrangements can be very time consuming and costly. The hotels would incur middlemen costs as they engage the services of travel agents to recommend their rooms to customers. Moreover, a portion of such costs could possibly be transferred to the customers' hotel bills. This leads to additional costs being incurred for the parties on both sides of the transaction.
Often associated with the traditional mode of payment is the feeling of uneasiness especially when exposing a large sum of money over the counter. Particularly in regions where crime is rampant, one can hardly help but keep a watchful eye over his wallet and look out for opportunistic pickpockets while in the midst of the reservation process. And as the entire booking process is time-consuming, one has little choice but to face the horrors of prolonged anxiety.
When it comes to comparing hotel room prices, the process can be somewhat overwhelming. We could either explore the choices offered at our holiday locations through taxing door-to-door visits (to the hotels) or make uneconomical overseas calls for enquiries.
Present hotel reservation systems
As the population of IT-savvy consumers increases, more hotel chains or stand-alone motels and guesthouses are adopting ICT applications into their operating systems. Hotel websites now include the option of making room reservations online. With their own online booking system, hotels are able to cut out middlemen costs and market their services to a wider customer base. Archiving can also be easily done electronically , thereby reducing labour and saving trees.
At the same time, the amount of time spend over the counter to check-in is greatly reduced. Since the required "paperwork" and payment are already completed online, one only needs to produce the booking confirmation email at the counter for check-in.
The emergence of ICT brings many advantages to the hotel business. However, such technologies can only be as useful to the extent that they function well. At the end of the day, technologies are still vulnerable to system failures and security issues. There is always the danger of hacking and mishandling of customers' personal particulars.
We will now explore the changes made by ICT to the room reservation process through the example of an e-transaction broker.
Emergence of e-Transaction Brokers
A transaction broker refers to an individual or a firm who acts as an intermediary between a buyer and a seller, usually charging a commission. The transaction broker is not a representative or agent for either the buyer or the seller. 'e-Transaction broker' refers to the intermediary dealing with the buying and selling of products or services over electronic systems such as the Internet and other computer networks.
The prominence of ICT in the hospitality industry has led to the proliferation of popular e-transaction brokers such as Asiarooms.com, Zuji.com and Hotels.com.
Survey of Asiarooms.com
[screenshot of e-transaction broker Asiarooms.com]
Background of Asiarooms:
AsiaRooms.com is a member of the TUI Travel PLC Group of Companies, an international leisure travel group and has been operating online since 1994. It operates in approximately 180 countries and engages in business-to-consumer (B2C) e-commerce for more than 30 million customers in over 20 source markets. As a whole, Asiarooms.com specialise in hotels. The site boasts a listing of thousands of hotels located all over Asia and beyond which includes Thailand, India, Australia, New Zealand, China, United Arab Emirates, and Hong Kong.
The site reveals the following key features:
Hotel room reservations:
Once the customer has decided on his choice of hotel, he can proceed to view and select the type of room he prefers (one-bedroom suite, executive room, etc). He can then make a hotel reservation with the "BOOK" feature provided in the site.
Secured Payment System:
The website is secured by a DomainSSL Certificate provided by GlobalSign.Dedicated hotels search engine:
Travel Guides:
The site also provides travel guides on its key destinations. The information provided in these guides are extensive, ranging from the climate and culture of the country to popular destinations and recommended eats.
Community forum:
The community forum in Asiarooms.com provides a platform for customers to share first hand experiences, vacation tips and other essential information with fellow travellers.Reviews Page:
AsiaRooms.com also publishes thousands of genuine customer reviews to help customers make well informed decisions.. The reviews are written by guests who have booked their accommodations through the site.Advantages of Asiarooms
- User friendly interface
- Choice of displaying hotel prices in customer's local currency
- Wide variety of hotel choices
- Provides a comparison of hotel prices
- Incorporate customer reviews and travel guides to better assist customers in making their travel decisions
- 24 hour customer service hotline
- Hotel prices, information and availability are updated by the hotels themselves ensuring the most reliable information provided
- Shows available room types and the location of the hotel on the city map.
Disadvantages of Asiarooms
- No details on upcoming or available deals and promotions.
- Unlike some of its competitors, Asiarooms does not integrate flight bookings or activities with their hotel bookings.
- Inherent in all ICTs, there is a possibility of information being misused through cybercrime.
- A quick google search came up with some unfavourable customer reviews who complained of unconfirmed reservations, double charging on their credit cards and problems with getting refunds due to cancellation of reservations.
Conclusion
In summary, info-communication technologies have made positive changes to the hotel room reservation services, resulting in greater efficiency and wider consumer base. The online room reservation system allows consumers to book their holiday accommodations in a fuss-free and convenient way, without going through any agency or middleman . Consumers are also offered greater flexibility in the making of payments. However, the advantages that comes with adopting ICT into business operations are not without its limitations. Security and privacy are still major concerns for users of these internet-based ICT applications. Although these limitations are not to be overlooked, we could conclude that the advantages bought about by the application of ICT in business operations certainly outweighs the disadvantages. ICT has undoubtedly improved services in the hospitality industry in general. Aside from hotel businesses, the influence of ICT on business operations can also be seen in airline and cinema industries, where electronic systems are similarly employed for ticket purchasing. As ICT takes an increasingly significant role in our lives, queueing may soon become a thing of the past as we all defect to clicking.
