Bitcoin and Hospitality Industry: why has it boomed?

With the passage of time, the enormous potential that cryptocurrencies command is becoming increasingly pronounced, making them even more popular. The ease of transactions, hassle-free dealings, vast scope for anonymity, and increased user autonomy that cryptocurrencies like bitcoin provide have been appealing to customers, making them only more popular with time. Especially with apps like thebitcoinup.io which make trading in bitcoins easier and faster than ever before, the increasing dependence on cryptocurrencies does not come as a surprise.

Owing to their immense popularity and the innovative prospects that they bring, many industries have incorporated cryptocurrencies, especially bitcoin, and blockchain technology in their functioning. The Hospitality industry is one such sphere where the introduction of bitcoin has resulted in the revolutionization of the conventional system and has massively boosted this sector. Here are a few ways in which bitcoin has contributed to the blooming of the hospitality sector: 

Efficient Transactions

Many hotels and restaurants across the globe have now started accepting payments in bitcoins. This allows for a faster, simpler, and much more efficient transaction, especially in case of international transactions. This is because the hassles of international transactions in case of fiat money can be totally avoided, and bitcoin transfers are much quicker and more efficient.

Loyalty Management

Loyalty Management is one of the marketing strategies of the hospitality industry that has been designed to encourage existing customers to continue dealing with the specific agency. This is done by providing customers with incentives like discounts, reward points, Loyalty points, and VIP cards.

The use of blockchain technology for loyalty management has enabled agencies to make a secure database of the names, contact details, and preferences of the customers, providing them with a more rewarding experience. Loyalty points can also be traded seamlessly with the help of this technology.

Food procurement

With awareness regarding healthy food sources on the rise and a wide variety of food cultures developing among people, customers are now much more interested in knowing the sources of the food provided to them. Most customers seek more information regarding the procurement and preparation procedure of the food on their plate.

Using blockchain for storing food origin data can help in establishing a stronger rapport between the restaurants and the customers as customers can then be given free access to the blockchain, enabling them to have a more transparent idea about the preparation of their food.

Room reservation

Several giants of the hospitality industry have been experimenting with the idea of a distributed ledger of hotel inventory with open-access to customers. This would help both the hoteliers and the customers in two ways:

a) The customers would have free access to information regarding availability of rooms and would be free to compare prices and amenities to choose from. This would place smaller restaurants on the same foot with the biggest of OTAs, and make it easier for innovative start-ups to make a place for themselves.

b) If hotel booking transactions were placed in decentralized blockchains, transactions would become much cheaper and easier, allowing the customer to save a fortune.

Managing Employee Information

Implementation of the blockchain technology in storing employee information has revolutionised the functioning of the human resources system in the hospitality industry. Blockchain has helped in solving problems regarding the storing and sharing of employee information across institutions, verification and certification of the employees, processing of digital payrolls, and performing background checks.

All of these processes were time consuming and troublesome, both for the employers and the employees. But storing information on open-access ledgers have helped in making the process of storing, managing, and retracting information much more efficient.

For the hospitality sector, bitcoin has therefore opened new opportunities for perfection by eliminating the risks of third-party indulgence, enhancing the speed of transactions, improving security, revolutionising the loyalty system to make it more efficient, and providing for a safe and secure storage of information.

Conclusion

Providing an enjoyable experience to customers and managing information with efficiency have now become easier in the hospitality industry owing to its adoption of bitcoin and the blockchain technology.