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AI Revolution Hits South Africa’s Hospitality Sector with Urgent Call to Action

Travel and Hospitality

Business Honor
28 May, 2025

Micros Tech Connect 2025 reveals how AI is disrupting—and transforming—tourism business models.

The South African hospitality industry is facing a defining moment as artificial intelligence (AI) rapidly disrupts traditional models of service delivery and guest engagement. This was the clear message from Micros Hospitality Tech Connect 2025, where industry leaders were urged to embrace AI not as a threat, but as a critical growth catalyst.

Addressing the event, Micros Managing Director Reginald Sibeko highlighted AI’s transformative power across operations, guest experiences, and revenue generation. “AI is not an upgrade—it’s a reinvention,” he declared, stressing the importance of moving “from awareness to action” as South Africa prepares to host the G20 Summit in November 2025.

One of the event’s standout moments was the debut of South Africa Awaits – Come Find Your Joy, a fully AI-generated tourism video. Showcased by Darryl Erasmus, COO of South African Tourism, the campaign showcased AI’s ability to produce immersive, cost-effective content that would have traditionally required a full production crew.

Throughout the two-day conference, AI’s practical applications were on full display. Delegates explored innovations such as contactless check-in, dynamic rate management, hyper-personalized guest offers, and integrated global payments. Platforms like Profitroom, SpaGuru, and Electronicline demonstrated how AI is already improving efficiency and guest satisfaction.

Data presented by Sibeko revealed that AI-integrated businesses are already cutting operational costs by up to 37%. Technologies like Agentic AI, which can make decisions and execute actions independently, are set to redefine internal operations, boost productivity, and unlock new revenue streams.

Sibeko outlined a three-part strategy for the sector: migrate to cloud infrastructure, form AI leadership teams, and build trusted partner ecosystems. “This is not about replacing people,” he emphasized. “It’s about empowering them to orchestrate experiences, not just operate systems.”

As the hospitality sector evolves, the message is clear: AI will not be optional—it will be essential.