When it comes to the hospitality industry, customers tend to remain loyal to the brands they know and trust. In response to this, hotels and hotel chains must ensure that they are identifying and communicating what sets them apart from their competitors to consumers. An effective way for hotels to achieve this is to introduce a loyalty scheme.
Loyalty schemes allow hotels to say a virtual ‘thank you’ to their loyal guests in the form of loyalty points or discount codes, whilst also giving consumers an incentive to book their next trip. This provides real value and incentive to hotel guests, whilst also helping to build a sense of loyalty for those who want to collect points in order to earn free or discounted accommodation for the future. This initiative is becoming vastly popular within the hotel industry, as it directly contributes to effective guest retention.
A potential problem that hotels are faced with is the possibility of their guest facilities being underused – therefore becoming quite expensive to run. Using loyalty incentives is a great way to encourage locals to use a range of guest facilities during quieter times. For example, including a special offer on the bar menu (such as ‘two-for-one-Tuesdays’) is a fantastic way to promote your facilities beyond your existing guests and to the wider public.
Hotels will also often charge premium rates for drinks, which could deters locals from using the bar regularly. Rather than going to the trouble of creating two separate price lists, a loyalty card for locals can be configured to enable them to get a discount – e.g. every fifth drink free at quiet times – the equivalent to 25% off.
In terms of promoting the scheme to your guests, there are many simple and cost-effective ways of spreading the word without breaking the bank. When a guest checks-in for their stay, you can verbally ask them if they would like to take part as well as leaving a leaflet or card in the guest’s room to promote the scheme. This can be followed up with a thank-you email following their stay, offering a discount for their next visit in return for signing up.
At Loyalty Pro, our bespoke systems have been developed to meet the needs of ambitious hotel businesses. Suitable for businesses of all sizes, these systems have been specially designed to entice, excite and engage with guests and can be tailored to suit any specific businesses requirements. As well as providing useful customer insight and business development opportunities, our loyalty systems for hotels offer a powerful marketing platform for retargeting existing customers – whilst all remaining fully GDPR compliant.
In short, guest loyalty is beneficial for both parties. By rewarding your most loyal visitors with extra incentives, you will be encouraging them to visit on an even more regular basis. By communicating the benefits of your scheme and your appreciation for their custom, the customer is more likely to feel reached on a personal level and will ultimately feel valued throughout the experience.