Affordable tech - Rami Moukarzel and Laurent Voivenel

7 June 2016



The way that guests use various digital platforms is transforming how hotel operators think about in-room technology. While digital transformation may sound daunting, it does not necessarily require vast amounts of investment. Instead, hoteliers need to be smarter about the way that tech is integrated into the guest experience. Sophie Peacock speaks to two senior members of the hotel management industry – Rami Moukarzel of the Louvre Hotel Group and Laurent Voivenel of Hospitality Management Holdings – about adopting simple tech solutions that will benefit hoteliers and guests.


For most guests, the old adage of a successful hotel being a home away from home has tended to be aspirational. In reality, the mattress should always be a little more comfortable and the shower a little more powerful. The challenge for hoteliers is to exceed expectations by providing amenities that transcend the daily tedium.

That challenge persists, but it has recently acquired a significant new dimension through technological advancements. The speed of technological change has been so rapid that roles have been reversed and the industry looks to keep pace with the guest rather than the other way around. Refurbishing a hotel’s technological offering every two years is prohibitively expensive, but guests’ expectations evolve much faster than that. Furthermore, once seen as an added luxury, in-room technology and connectivity is now a necessary factor in attracting business.    

Some hotels urgently need to modernise their offering, and not just for the ubiquitous Generation-Y demographic, but for any guest who knows how to operate a smartphone or laptop. While meeting this urgent need sounds expensive, it may not be all that costly, assuming that hoteliers focus on leveraging the technology that guests bring into hotels themselves. This method requires integration rather than an entire overhaul.    

However, that does not mean that technology will not account for a large share of total capital expenditure. Hospitality Management Holdings (HMH) runs five distinct hotel brands in the Middle East, and it has recognised that guests demand new things from a hotel’s tech performance.

Laurent Voivenel, CEO of HMH, acknowledges that upgrades accounted for a staggering 90% share of capex last year, with a further 50% budgeted for 2016. Looking at the region as a whole, Voivenel sees efforts being made to reflect technological shifts, but not always at the required speed and with sufficient fervour. “Some hotel brands in the Middle East have been quick to adopt the necessary hardware and software, and are making the required purchases in technology,” he says. “But others are lacking the vision and strategy.

“We live in an era where you need everything in the palm of your hand, regardless of your age. Sometimes, hotels go overboard with smart technology, fixing ultra sophisticated and complex systems that may be impressive to tech geeks but bewildering and intimidating for Generation Xers. At HMH, we believe in clarity. Our objective is to meet the demands of the day without fixing complicated control systems for managing basics such as air-conditioning, lighting or entertainment that require an IT expert to operate. That’s when you start alienating Gen X.”

Simplicity is integral to making any service user-friendly and intuitive, regardless of which generation it is catering to.

“The key is to know exactly what your guests desire and expect,” Voivenel says. “Technology must complement the service, and enhance the guest experience. It should not replace the human touch totally. The needs of previous generations are not drastically different from the next, but we do have to address them all.”

Tailoring solutions

Rami Moukarzel, vice-president of development and acquisitions MENA at Louvre Hotels Group (LHG), says that catering to varied guest demographics is complex. Middle Eastern hoteliers should closely regard customers’ tech habits, but also ensure that they can be tailored to the hotel’s location and star rating. With 1,136 hotels across six brands at a range of price segments, it’s a concept with which LHG is more than au fait.

“In-room management systems and other technologies that enhance the guest experience invoke the question, ‘OK, what do we need for specific locations?’,” says Moukarzel. “For example, at the highest spec, you could control your thermostat, blinds, lighting and, of course, entertainment. But at mid-range, you’d work on conserving energy and managing the lighting facility.”

Initiatives, such as providing guests with a network to which they can connect, open hoteliers up to collaborations with other hospitality brands.

“We’re launching a boutique Royal Tulip hotel in Beirut in the next three or four months, and one thing we’re looking to do is collaborate with a company such as Uber,” Moukarzel says. “There would be a lot of incentive for guests to use the service while staying with us, as cars would always be available to them.”

Part of the pressure to offer services where guests can replicate their tech habits from home in the hotel room is due to what Moukarzel sees as a blurring of the dichotomy between work and leisure trips. Hotels are creating more accessible, casual and comfortable social spaces where guests sit to work, relax and e

“Today’s traveller mixes business and pleasure all the time. It’s no longer about either going for a professional trip or a holiday,” he says. “That plays into what we are doing with technology: what type of entertainment facilities we’re providing in the lobby, at the bar – it’s not only down to the rooms.”

Don’t charge for Wi-Fi

While LHG’s investments are moving in the right direction, hoteliers still contend with archaic attitudes towards utilities pricing. “I still hear from hoteliers how expensive Wi-Fi is, and they want to charge guests to use it,” Moukarzel says. “But it’s a brand-standard for us to not charge.” Astonishingly, the same cannot be said of hotels across the region – particularly in less mature markets.

“There’s no excuse,” Moukarzel says. “We can sell our owners on the idea of the guest experience, but more important to them is the question of ‘Where do I save?’. Yes, Wi-Fi is more expensive to implement, but you could save up to 30% on your energy bill if you put in the right in-room management systems. That’s an area we’re working on, especially with our mid-range hotels.”

The hub of most in-room technology is the television. Traditionally, it was considered a basic perquisite for the room, but it is becoming adaptable to facilitate increasingly complex digital applications.

“Entertainment will remain the focal point,” says Voivenel. “Ultra high-definition videos and seamless connectivity to the internet are making TVs more necessary. Intuitive technology is another emerging favourite, and the newest hotels are all moving fast in that direction.”

However, it is important not to overload guests with superfluous technology and many current TV set-ups are becoming outmoded, having far too many unnecessary channels and almost no cross-hardware compatibility. The new impetus is supplying the simple gadgets that a guest would typically use at home, and providing accessible outlets for visitors to integrate their own personal devices into rooms.

“Internet protocol TV systems are going to become redundant,” Moukarzel says. “Our consumers don’t care if they walk in and see their name on the TV with a huge list of channels they’ll never watch. They want to go in and stream Netflix. If they want to plug in their own content to the TV or the stereo system, then they can easily do that. This is more relevant than giving them the newest technology or what we think they should have.”

Brands that are willing to expand and modernise their guest facilities will be able to achieve other infrastructural benefits. Not only does supplying easily scalable in-room technology mean attracting a larger customer base, but it enhances the efficiency of hotel operations, allowing staff to prioritise non-client-facing duties. Yet, any fears that new technology will diminish the employability of hotel staff are, in Moukarzel’s opinion, unfounded: hospitality is a people  business, after all.

Changing communication

“People still want to communicate with one another, they just might be doing it differently,” Moukarzel says. “Some of our newer or younger clientele are more comfortable sending a WhatsApp message asking the concierge to book them a car, rather than pick up the phone and call. But you still need the people and the communication.”

Indeed, with the personal touch still being at the core of even the most modern establishments, Middle Eastern hotel owners need to focus on amending their staffing strategy in tandem with their technology updates. Taking into account the preferences of millennial guests means working with staff members that understand those preferences first-hand.

“We need to start hiring staff with the same mindset as our client base,” Moukarzel says.” “It’s not about wearing a suit and a tie and being clean shaven; it’s about someone who understands the guest that’s coming through the door.” 

The distinction between business and leisure trips has blurred, making access to customisable technology essential to a hotel’s success.
HMH’s Ajman Palace Hotel has modernised and integrated its in-room technology.


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