Interview with CEO & Co-founder Tiago Araújo of HiJiffy

What was your first job in the hospitality industry?

Although my academic background and initial career path were not directly in the hospitality industry, my passion for the travel sector was pivotal in shaping my journey. This enthusiasm for travel seamlessly intersected with my interest in digital solutions, leading me to contemplate a career that could blend these two passions.

My shift into the hospitality industry was not a conventional one. It was fueled by a shared vision with two other HiJiffy co-founders. They, like me, were eager to amalgamate a love for travel with their professional expertise. Driven by this collective ambition, we boldly decided to leave our respective jobs and venture into uncharted territory.

Our entrepreneurial journey began with the founding of Wonderoute, and that venture evolved into HiJiffy. It marked our formal entry into the hospitality industry over seven years ago. It was here, at HiJiffy, that I embarked on my first job within the hospitality sector.

Our dedication and continuous involvement in the industry have enriched our expertise significantly over the years. Today, after a journey filled with learning and growth, we consider ourselves proud experts in the hospitality industry. We’ve successfully blended our two greatest passions: digital solutions and travel.

What triggered you to start your company?

Our journey was like catching a wave at just the right moment. Lisbon was a hive of startup activity back in 2015. It was all about innovative products, not just services, and this atmosphere was inspiring.

I was immersed in digital marketing at the time. HiJiffy co-founders José Mendonça, Pedro Gonçalves, and I were spotting trends and gaps waiting to be filled. Our first stop on this entrepreneurial ride was Wonderoute. We initially saw a bright opportunity in the broader travel industry, aiming to innovate how people explored and experienced new places.

We realized our true calling was more specific as we dove into Wonderoute. There was a particular challenge in the hospitality sector. Guest communications seemed stuck in the past, and hotels missed the digital revolution.

Clearly, there was a gap just waiting for a tech-savvy solution. We pivoted from Wonderoute to HiJiffy with the energy of Lisbon’s booming startup scene as our backdrop. Leaving our stable jobs was a leap, but one that felt right. We were riding the wave of a trend towards product-focused startups and saw a chance to make a real impact.

Launching HiJiffy wasn’t just about starting a business; it was about innovating in a space we were passionate about. We wanted to transform hotels’ communication with guests and bring the industry into the digital age. It was our opportunity to shake things up in the hospitality industry by blending our love for travel with our digital marketing expertise.

What is the story behind your company?

The story of HiJiffy is about transformation, resilience, and the pursuit of innovation in the hospitality industry. Our journey began in Lisbon’s vibrant startup scene in 2015, initially with Wonderoute, where we aimed at the broader travel sector. As we delved deeper into the industry, we found our true calling. This led to enhancing hotel guest communication through HiJiffy.

October 2016 was a pivotal moment in our early days. Pedro Gonçalves, José Mendonça, and I had just registered HiJiffy. We chose to use ‘Horizon Behaviour LDA’ as the legal name. We found ourselves in a hostel in Barcelona shortly after that registration. It was a humble start that sharply contrasted with where we were heading. That Halloween night, amidst the buzz of our hostel roommates and the continuous slamming of doors, the reality of our startup journey was palpable.

We were moving into a new phase, fueled by an acceleration program in Barcelona, which provided guidance and the much-needed financial support to sustain us. This was after a challenging period following Wonderoute. Despite our efforts, it was also a period where we had to pivot and redirect our focus.

Our experiences during this time were a mix of high contrasts and rapid transitions. We went from staying in a hostel with twenty bunk beds to presenting at Marriott Hotels’ TestBED program in London. From the early struggles to key breakthrough moments, our journey encapsulated the essence of startup life.

These early experiences were instrumental in shaping HiJiffy. They taught us the importance of agility, adaptability, and the relentless pursuit of solutions that meet the hospitality industry’s evolving needs.

HiJiffy’s story is a testament to the power of resilience and innovation. It’s about identifying a gap in the market, believing in our vision, and turning challenges into opportunities. Our team has come far from those initial days in a hostel room. These experiences have forged the path for HiJiffy’s growth and success in the industry.

What does your company solve?

HiJiffy addresses several key pain points in the hospitality industry by enhancing guest communication and operational efficiency. One of the major challenges we tackle is the need for hotels to maximize direct bookings and in-stay revenue. Given the market’s competitive nature, hotels must capitalize on every interaction with guests.

Our platform leverages AI-driven revenue generation strategies. We turn these interactions into opportunities for direct bookings and additional revenue streams. We help hotels significantly enhance their revenue potential by engaging guests with personalized and timely communication.

Staff shortages are another critical issue faced by hotels. Difficulties in attracting and retaining talent further compound this issue. This is where our solution shines. HiJiffy automates repetitive tasks, efficiently handling 9 out of 10 guest requests through an AI-powered omnichannel guest communication system. This reduces the workload on hotel staff and ensures guests receive prompt and accurate responses to their inquiries.

Our platform’s ability to manage routine inquiries frees hotel staff to focus on more complex and personalized guest interactions, thereby improving the overall quality of service.

HiJiffy effectively bridges the gap between the traditional hospitality service model and the evolving needs of the digital era by integrating these solutions. Our platform enhances the guest experience and empowers hotels to improve their operational efficiency and revenue generation, making it an indispensable tool in the modern hospitality landscape.

What challenges did you face while developing and launching your technology? How did you overcome them?

Two other hurdles shaped our initial journey. We needed to introduce cutting-edge technology to a traditionally less tech-savvy industry and navigate the unprecedented impact of COVID-19. Bringing AI and advanced digital solutions to the hospitality industry was a bold move. The sector, known for emphasizing personal touch and traditional service models, was not typically at the forefront of technological adoption.

Convincing industry stakeholders to embrace AI, seeing it not as a replacement but as an enhancement of the human element, was a delicate task. Our approach had to be diplomatic and educational. We needed to demonstrate how our technology could complement and elevate the guest experience while improving operational efficiency. This required a balance of patience, persistence, and clear communication. We needed to bring those elements together to help the industry see the value and potential of digital transformation.

Then came COVID-19, a global crisis that hit the hospitality industry incredibly hard. HiJiffy was especially vulnerable as a small and relatively new player in the market. The pandemic brought new challenges as hotels faced staff shortages, increased guest inquiries about safety measures, and a surge in reservation changes.

Our response to this crisis was to stay lean and agile. We quickly reorganized our strategy to meet the evolving needs brought about by COVID-19. The strategy included asking how our platform could assist hotels in managing the influx of guest communications with reduced staff. We essentially turned a significant challenge into a growth opportunity.

Remarkably, this approach paid off. We managed to grow by 150% during this period. Our AI-driven solutions have become more relevant than ever. They’ve helped hotels handle reservations, cancellations, and various COVID-related inquiries efficiently. This period was a testament to our team’s resilience and technology’s relevance. We proved that innovation can survive and thrive in the most challenging circumstances.

In summary, introducing AI to the hospitality industry and navigating the COVID-19 pandemic were substantial challenges for HiJiffy. We turned these challenges into opportunities for growth through strategic thinking, adaptability, and a commitment to our vision. This solidified our place as an innovative leader in hotel guest communication technology.

Who were the people that have been the most helpful in getting you to where you are today? How did they impact your life and your success?

The support and guidance of several key individuals have been instrumental in our growth and success with HiJiffy. One pivotal figure in our story is Sebastien Lefebvre, a former Director of Growth at Twitter. Sebastien became our first investor and mentor. We met him during the NUMA Barcelona acceleration program, an environment that fostered connections with experienced industry leaders.

Sebastien, having been accelerated by NUMA in Paris and recently completed his vesting at Twitter, was eager to give back to the startup ecosystem. His decision to invest in HiJiffy and remain involved has been a cornerstone of our progress. Sebastien’s insights, drawn from his extensive experience in the tech industry, have been invaluable in navigating the challenges and opportunities we’ve faced.

Sergio Ibañez is another crucial supporter and a former client from our digital marketing agency days. His belief in our team, borne from firsthand experience working with us, led him to become one of our early investors. Sergio’s faith in our capabilities and vision has been a significant morale booster.

Additionally, our former boss, André Macedo, also chose to invest in HiJiffy. His ongoing involvement and practical advice have been a constant source of guidance, helping us steer the company through various stages of growth.

Our first clients have been equally important. Their feedback was fundamental in shaping HiJiffy’s product development. Being early adopters, they trusted our vision and provided critical insights that helped us refine our platform.

Lastly, the early collaboration with tech providers in the hospitality industry played a crucial role. By opening their integrations to us, we solved the classic chicken-or-egg problem typically faced by startups considering client acquisition and integration capabilities. This support was essential in expanding our reach and enhancing our product’s functionality.

Each of these individuals and groups provided unique contributions to HiJiffy’s journey. Their investment, trust, feedback, and guidance have impacted the company and our personal and professional growth.

How do you balance the traditional touchpoints of hospitality with technology?

Balancing the traditional touchpoints of hospitality with technology has been a fundamental aspect of our journey with HiJiffy. We understand that the essence of hospitality lies in personalization and human connection. Our approach has been to enhance, not replace, these traditional touchpoints.

Firstly, we address this balance by ensuring our AI-powered solutions complement human interaction rather than supplant it. Our platform is designed to handle routine inquiries and tasks, which frees up hotel staff to focus on more personalized guest interactions. Our technology takes care of the repetitive and time-consuming aspects of guest communications. The human element of hospitality remains front and center, allowing staff to provide a more tailored and attentive service.

Furthermore, we’ve incorporated feedback from our initial clients, many of whom continue to be HiJiffy users, to fine-tune this balance. Their insights have been crucial in understanding how technology can best serve the traditional values of hospitality. We’ve developed a platform that respects and upholds the personal touch valued in this industry by closely collaborating with these early adopters.

The challenge of COVID-19 also underscored the importance of this balance. During the pandemic, as hotels faced staffing challenges and increased guest communications needs, even with limited staff, our platform played a critical role in maintaining guest engagement and service quality.

In summary, balancing traditional hospitality touchpoints with technology at HiJiffy involves enhancing human interactions with efficient, AI-driven solutions, feedback from key industry players, and continual learning and adaptation to the evolving needs of the hospitality sector.

How do you stay up-to-date with the latest trends and advancements in the hospitality industry and technology? How do you incorporate them into your product roadmap?

Keeping pace with the evolving hospitality industry and technology landscape is a multifaceted endeavor at HiJiffy. Active participation in key hospitality events across Europe is a significant part of our strategy. These events include FITUR, Equiphotel, ITB, and the Independent Hotel Show. They provide direct insights from clients and partners, helping us understand industry trends and gather real-time feedback crucial for product development.

Internally, our team conducts regular discovery calls to explore and identify potential challenges and opportunities from various functional perspectives. This practice ensures a comprehensive understanding of the market and technological advancements from within our team.

Discovery calls with our clients are equally important. These discussions offer a first-hand view of the client’s experiences, challenges, and needs. This ongoing dialogue is vital for anticipating future requirements and staying ahead of industry demands.

Additionally, our team is constantly researching the latest technological advancements. Staying informed about new technologies, especially those that can transform the hospitality sector, is crucial for our product roadmap. Our team is dedicated to understanding these advancements and evaluating how they can be integrated into our solutions, whether it’s the latest developments in AI, machine learning, or customer experience enhancements.

We ensure our product roadmap is aligned with current industry needs and anticipates future trends by blending insights from industry events, internal and client discussions, and continual study of technological advancements. This approach helps HiJiffy maintain its edge as a provider of innovative and relevant solutions in the hospitality industry.

How will technology change the hospitality industry over the next five to ten years? Where do you see your company fitting into that future?

Technology will play a transformative role in the hospitality industry over the next five to ten years. This will be driven by two major trends – sustainability and artificial intelligence.

Sustainability is becoming a central concern, with the industry increasingly committing to global environmental goals. The shift towards sustainability will involve more than reducing single-use items or opting out of towel swaps.

Technology will be pivotal in helping hotels become more sustainable, especially with energy efficiency. We anticipate a significant investment in technologies that enable hotels to minimize waste and manage resources more effectively. This process will be especially crucial for resorts.

Artificial Intelligence is another trend set to redefine the industry. Contrary to the notion that AI might diminish the human touch in hospitality, we believe it will enhance it. AI enables hotel staff to focus more on delivering personalized guest experiences by automating repetitive tasks. The front desk staff, for instance, can spend less time looking at their laptops and more time engaging with guests, attending to their needs, and enhancing their overall stay experience.

GPT-4 has been a revolutionary step in demonstrating the potential impact of AI. HiJiffy is a case study of successfully implementing AI within the hospitality industry. Our platform shows how AI can enhance guest communication and improve operational efficiency. We see HiJiffy continuing to innovate at the forefront of this trend by developing new AI-driven solutions that help the hospitality industry meet the dual goals of sustainability and enhanced guest experience.

HiJiffy aims to be at the vanguard of this transformation as the industry evolves. We envision our company adapting to these changes and actively shaping them. Using technology to create a more sustainable, efficient, and guest-centric hospitality industry.