[Sponsored content] As connected devices become standard in short-term rentals, guest privacy risks are rising. Global TV and electronics company LG Electronics discusses why credential clearing on smart TVs is now a business essential and how LG’s commercial-grade technology helps property managers stay secure, compliant, and trusted.
Picture This: A Guest Privacy Breach
A guest checks out after a seamless stay, leaving glowing feedback and paying promptly. Everything seems fine until you realise they forgot to log out of Netflix and Gmail on your smart TV. Hours later, the next guest turns it on and gains access to private emails, payment confirmations, and viewing history.
This isn’t hypothetical, it happens daily. Shared devices create hidden risks because guests assume someone else logged out. Research from HospitalityNet shows privacy breaches in hospitality are among the most common cybersecurity incidents, often unnoticed until serious damage occurs.
The consequences are severe. Cisco’s 2024 Consumer Privacy Survey found 75 percent of consumers consider privacy practices when deciding where to book, and nearly two-thirds would switch providers over poor protection. For operators, one overlooked login can mean bad reviews, regulatory scrutiny, and lost bookings. What begins as a small oversight can quickly escalate into a liability that erodes trust, revenue, and long-term relationships.
The Privacy Problem
Unlike hotels which typically operate a 24-hour concierge, system Smart TVs, tablets, and streaming devices in short-term rentals may sit in rooms for weeks, storing logins, histories, and cached data long after guests leave.
This creates vulnerabilities hospitality protocols were never designed to handle. What seems like a small oversight, an unlogged Netflix account or saved password, can escalate into a data breach. Privacy failures in shared accommodations go beyond awkward moments; they open the door to legal liability and reputational harm that cut into occupancy and revenue.
Technical challenges heighten the risk. Research shows STRs are vulnerable due to the number of connected devices and lack of standards. A 2020 study noted that absent centralised control and device variety increase the odds of sensitive data being retained. By 2024, Hotel Technology News reported fragmented ecosystems and inconsistent updates had become a major cybersecurity problem for hotels and STRs.
For hosts managing multiple properties, the issue is daunting. Different brands, platforms, and mismatched software make manual logouts unrealistic. Without automated safeguards, credential exposure is not a matter of if, but when.
Beyond Embarrassment: The Costly Side of Privacy Breaches
The consequences of credential mishandling extend far beyond awkward guest interactions. Data privacy laws have broad reach, meaning STR operators are held to the same standards as major hotels and corporations. The European Union’s General Data Protection Regulation (GDPR) applies to any operator hosting European guests, regardless of location. In the United States, the California Consumer Privacy Act (CCPA) extends protections to California residents, while South Korea’s Personal Information Protection Act (PIPA) imposes strict requirements for data handling and breach notification.
Even a single incident can draw regulatory scrutiny. If a guest’s login credentials remain stored on a device and accessed by the next occupant, the exposure can qualify as a personal information breach. Penalties vary but can be severe: GDPR fines may reach 20 million euros or 4 percent of global turnover, while the CCPA authorises up to $7,500 per violation.
The financial risks go beyond government action. A mishandled breach often triggers negative reviews, lost repeat bookings, and reputational damage that spreads quickly online. TrainingHotels.com notes guest trust is one of hospitality’s most valuable yet fragile assets, and recovering from one privacy incident can take months or years. For operators, the expense of implementing credential clearing measures pales compared to the costs of regulatory action, legal defense, and lost revenue.
The Business Impact: ROI of Credential Clearing
For operators, the financial logic behind credential clearing is clear. Automated solutions usually cost only a few hundred to a few thousand dollars per property, depending on scale and integration. Compared to even one privacy breach, this expense is small.
Industry research underscores the imbalance. HospitalityNet reports that a data privacy incident in hospitality can cost tens of thousands once legal fees, guest compensation, reputation management, and lost bookings are included. Cisco’s 2024 Consumer Privacy Survey adds that over 70% of consumers would stop doing business with a company that mishandled their data. For small operators reliant on reviews and repeat stays, losing guest trust can mean lasting revenue decline.
The damage goes beyond direct costs. A privacy incident can trigger negative reviews across booking platforms, taking months to recover, if at all. Unlike other mishaps, privacy breaches strike at the foundation of guest trust. Once broken, that trust is very difficult to rebuild.
How Smart Operators Clear Credentials
Automated credential clearing has moved from a convenience to an operational necessity for STR operators. The best solutions integrate directly with property management systems (PMS), triggering a full device reset at checkout. This removes reliance on staff or guests to log out manually and ensures consistency across properties.
Leading operators are adopting layered approaches that combine several tools:
- Secure casting technologies allow guests to stream their own content without ever logging into the device.
- Automated browser clearing wipes cached data, cookies, and stored passwords across smart TVs, tablets, and in-room browsers.
- PMS integration ensures every property follows the same process, regardless of device brand or software version.
Industry research confirms their effectiveness. A 2024 study by Palo Alto Networks and Starfleet Research found top-performing hotels and resorts were over twice as likely to use automated IoT security solutions as their peers. Likewise, Trustwave’s 2025 report noted that manual procedures consistently fail under real-world conditions, leaving gaps in guest privacy protection.
For STR operators, the lesson is clear: manual logout isn’t enough. Only automation, integration, and full device coverage reliably prevent credential exposure in shared environments.
Making It Actionable: Privacy as Competitive Advantage
For operators evaluating solutions, three factors stand out above all others: automation, integration, and reliability. Systems that require manual intervention will eventually fail. Solutions that do not integrate seamlessly with property management workflows add friction for both hosts and guests. And platforms that cannot handle a wide range of devices leave dangerous gaps in protection.
What was once treated as a compliance checkbox has now become a clear competitive advantage. Cisco’s 2024 Consumer Privacy Survey found that consumers are not only paying attention to privacy practices but actively rewarding businesses that demonstrate strong protections. Booking platforms are also beginning to weigh trust and safety measures in host rankings, further raising the stakes for operators.
The smart TV in your guest room is no longer just an entertainment amenity, it has become a potential liability that must be managed as carefully as any other business risk. Importantly, effective credential clearing is not available on standard consumer smart TVs; it requires a commercial-grade smart TV specifically designed for hospitality environments. Operators who invest early in these professional solutions will be positioned to attract privacy-conscious travellers, avoid costly legal complications, and differentiate themselves in an increasingly competitive market. Those who delay will likely discover the cost of inaction through negative reviews, regulatory penalties, or loss of guest trust.
LG Electronics has released a series of videos showcasing its LG Pro: Centric Stay Solution, highlighting how its smart technology supports personalisation, convenience, and privacy for guests. The videos can be viewed here.
Explore the complete LG Pro:Centric Stay solution here.
Sources:
- Cisco 2024 Consumer Privacy Survey: https://www.cisco.com/c/en/us/about/trust-center/consumer-privacy-survey.html
- HospitalityNet – Data Privacy Breaches: A Wake-Up Call for Hotel Operators (2025):https://www.hospitalitynet.org/opinion/4127132.html
- Mercan, Akkaya, Cain, Thomas – Security, Privacy and Ethical Concerns of IoT Implementations in Hospitality Domain (2020): https://arxiv.org/abs/2009.10187
- Hotel Technology News – Understanding the Challenges of IoT Security in Smart, Connected Hotels (2024): https://hoteltechnologynews.com/2024/06/understanding-the-challenges-of-iot-security-in-smart-connected-hotels/
- GDPR Article 5: https://gdpr-info.eu/art-5-gdpr/
- California Consumer Privacy Act (CCPA): https://oag.ca.gov/privacy/ccpa
- South Korea Personal Information Protection Act (PIPA): https://elaw.klri.re.kr/eng_service/lawView.do?hseq=53044&lang=ENG
- Chapman University IS&T Blog – Shared Device Access Risks (2025): https://blogs.chapman.edu/information-systems/2025/06/04/why%E2%80%AFstoring%E2%80%AFpasswords%E2%80%AFin%E2%80%AFa%E2%80%AFweb%E2%80%AFbrowser%E2%80%AFis%E2%80%AFrisky/
- TrainingHotels.com – The Importance of Guest Privacy and Data Security in Hospitality (2025): https://traininghotels.com/2025/03/15/the-importance-of-guest-privacy-and-data-security-in-hospitality/
- Cisco 2024 Consumer Privacy Survey (Infographic PDF): https://www.cisco.com/c/dam/en_us/about/doing_business/trust-center/docs/cisco-consumer-privacy-infographic-2024.pdf
- HospitalityNet – Data Privacy Breaches: A Wake-Up Call for Hotel Operators (2025): https://www.hospitalitynet.org/opinion/4127132.html
- TrainingHotels.com – The Importance of Guest Privacy and Data Security in Hospitality (2025): https://traininghotels.com/2025/03/15/the-importance-of-guest-privacy-and-data-security-in-hospitality/
- Palo Alto Networks / Starfleet Research – IoT Security: Best Practices of Top-Performing Hotels and Resorts (2024): https://www.paloaltonetworks.com/resources/research/iot-security-best-practices-of-top-performing-hotels-and-resorts
- Switch Hotel Solutions – 5 IoT Risks Hotels Face and How to Manage Them (2025): https://switchhotelsolutions.com.au/5-iot-risks-hotels-face-and-how-to-manage-them/
- Trustwave – Hospitality Under Attack: New Trustwave Report Highlights Cybersecurity Challenges in 2025: https://www.trustwave.com/en-us/resources/blogs/spiderlabs-blog/hospitality-under-attack-new-trustwave-report-highlights-cybersecurity-challenges-in-2025/
- Cisco 2024 Consumer Privacy Survey (Investor Release): https://investor.cisco.com/news/news-details/2024/New-Cisco-Survey-Shows-Strong-Relationship-Between-Privacy-Awareness-and-Trust-in-AI/default.aspx
- Cisco 2024 Consumer Privacy Survey (Full Report PDF): https://www.cisco.com/c/dam/en_us/about/doing_business/trust-center/docs/cisco-consumer-privacy-report-2024.pdf
