The Telecommunications Economy: Hospitality

Telecommunications is the central nervous system of the American economy. It has revolutionized virtually every aspect of our lives and every industry, from education and health care to banking and finance. Between 1995 and 2004, advances in telecommunications and information technology were responsible for as much as 75% of U.S. labor productivity gains. To remain competitive in the world, the United States must have the most advanced telecommunications technologies and services.

This fact sheet is part of an educational campaign which describes how the use and availability of advanced telecommunications technologies and services impact the U.S. economy and the nation's ability to compete in the global marketplace.

• An October 2005 In-Stat report revealed that the number of hotels offering broadband globally will more than triple, growing from 14,300 properties in 2004 to 54,000 properties in 2009.
• According to the online behavior and marketing company Claria Corporation, 61% of consumers who traveled in the summer of 2005 purchased, or planned to purchase, travel online. This is up from
  50% in 2004.
• The same study shows that of those who purchased travel online, 73% went to a specific company Web site to make a purchase after researching travel options at a general travel site.
• An Accenture survey found that, of 500 business travelers, nearly 75% booked their trips online, up from 61% in the 2004 survey.
• According to a June 2005 white paper published by Nomadix Inc., a company that provides technological solutions for public access wi-fi hotspots in 2004, more than 2 million guests each month logged onto the Internet at Marriott hotels.
• In a 2005 study, JupiterResearch found that 52% of hotel guests surveyed said that they would not return to a hotel with unreliable broadband service.
• In a 2004 study conducted by BusinessWeek, respondents ranked high-speed Internet access as the second most important attribute they consider when choosing a hotel.
• Hotels are leaders in providing wi-fi with more than 60,000 sites around the world, according to a September 2005 report by Gartner, Inc.

Wireless local area networks (WLANs) are already being used in a variety of ways, according to research reported from Washington State University in 2005.

• Wireless Access—Older hotels can provide wireless broadband without having to rewire the building.
• Curbside Check-in—Staff can register hotel guests as soon as guests arrive. One such hotel utilizing this technology is the Opryland Hotel in Nashville, TN.
• Self Check-in—In 2005 more than 100 lobbies in Hyatt Regency and Grand Hyatt hotels in the United States, Canada, and the Caribbean were equipped with self-check-in kiosks so that guests have the option to control their arrival and departure experiences.
• Revenue—Hotels can generate additional revenue by charging for Internet access.

Securing America's position as a global leader in telecommunications is key to sustaining real economic growth, creating jobs, improving our standard of living, and maintaining our competitive position in the world. 

To download a PDF version of this fact sheet, please click here.