Location based services (LBS) have been the focus of many developments exploring the general tourism experience. From a market perspective where a perceived low value of LBS to customers lingers, revealing hotel guest preferences should help customise products and services to target specific segments. Additionally, if tourism information providers can optimise the information delivery, then there is less confusion and information overload for the customer. Partnerships and relationships between LBS players are essential to fulfil the hotel guests’ requests in this context and would provide access to critical information and services. Hotels are in a key position to define, encourage, bundle, explain such services and personalise them to targeted guest segments.

A new study, just concluded by the Ecole hoteliere de Lausanne (EHL) and University of Applied Sciences Valais (HEVs), highlights the key content and features for the development of a mobile concierge for hotel guests.

The study examines 68 key segmentation variables for the development of such a location based system. A survey was conducted with 323 hotel guests in Lausanne and Geneva, primarily to reveal their key information and navigation requirements within their destinations. For details on these information requirements see table below.

Table: What local information and activities are most important to hotel guests DURING their stay (scale from 1=least important to 5=most important)

A cluster analysis was performed on the basis of variables related to mobile information requirements and perceived value of mobile information for hotel guests. There are 2 key clusters that show important characteristics that predispose them to utilising LBS. These are the 2 business traveller segments which both indicate a willingness to pay and share a core number of tourist information requirements that could be incorporated into a hotel LBS.

Traditional Business Segment: Guests belonging to this segment are predominately business people, 26-65 years old, staying in 2-3 star hotels, have visited the destination more than once and are travelling alone or with a business partner. They are “always” online and willing to pay for mobile information. Though they always want to know their exact location within the destination, they tend to be “independent” and unlikely to consult sources for local information (e.g. tourist office, locals).

Techie Male Business Segment: Guests of this cluster are predominantly 41-50 years old men, visit the destination frequently, are with a business partner and mostly stay in 3-4 star hotels. They have the highest usage of advanced mobile devices (more than 50% have a 3G phone or PDA) and are willing to pay significantly more for mobile information than members of any other clusters. They consult many sources (websites, mobile devices, friends and concierges) for destination information, significantly more than the other clusters.

Identifying these segments and their information requirements pinpoints the early adopters. These innovators are crucial in penetrating the market and encouraging widespread commercial use of hotel LBS. This research also indicates that the 3-4 star hotels should be the focus for the launch of a mobile concierge in the (Swiss) hotel market.

Detailed results of this study will be presented at the ENTER2006 conference in Lausanne in January 18-20: www.ifitt.org/enter.