Loyalty in action: How top hotels optimized their programs to drive direct bookings
Loyalty in action: How top hotels optimized their programs to drive direct bookings
To kick off the loyalty program optimization track of the Direct Bookings Mastery Certification, we shared our exclusive guide on how you can go beyond the basic points-based hotel guest loyalty program model to meet rising guest expectations and drive more direct bookings. But what can you expect when you put those core strategies into practice?
After all, if you’re going to spend the time revamping your hotel guest loyalty program to provide the recognition and personalization travelers say they want, you need to make sure it’s going to drive real revenue.
So, we’re providing the real results from real properties to show you that optimizing your guest loyalty program doesn’t just strengthen relationships with your guests but also provides some pretty incredible results. From fueling retention to reducing OTA reliance and boosting your revenue, here’s a look at what you can expect based on real results from hotels like yours.
La Jolla Shores Hotel increased loyalty-driven direct bookings
La Jolla Shores Hotel, a relaxed beachfront property just steps from downtown La Jolla, California, wanted to recognize and reward guests who stayed with them during a renovation. But they knew that sending a generic promotion or offering points wouldn’t be enough. So, the hotel decided to design a creative, targeted campaign specifically for guests who stayed within a certain date range.
The hotel sent a one-time email offering those guests a 35% discount on a future stay, but with a very clear incentive: Book your next stay within four months. It provided a sense of urgency but also allowed enough flexibility for guests to book at a time that was best for them. It also showed La Jolla Shores Hotel’s guests just how important and appreciated they were. And that strategy paid off big time.
La Jolla Shores Hotel’s results:
- Open rate: 78%
- Click-through rate: 14%
- Room nights booked: 279
By combining a time-sensitive offer with the personalization and thoughtfulness guests have come to expect, the hotel showed how a single email campaign can not only strengthen guest loyalty but also generate meaningful revenue.
The Arca turned streamlined data into guest loyalty
As a design-forward, lifestyle-focused property on Hong Kong’s Southside, The Arca needed to find a way to unify its fragmented guest data and deliver more personalized communications to its guests. Disparate systems made it difficult to understand guest behavior and, as a result, run effective campaigns.
But once it was able to consolidate its guest data into a single platform, The Arca launched more targeted campaigns to its previous guests. From relaunching the hotel’s Sky bar to raising awareness as a partner of the Hong Kong Breast Cancer Foundation with their “Pink October” campaign, The Arca discovered how sending personalized communications to its guests could drive loyalty and produce immediate results.
The Arca’s results:
- Lifetime revenue: HK$ 1.6M
- Average open rate: 46% per campaign
- Average room revenue: HK$ 117K per campaign
By combining a 360-degree view of their guests with personalized offers, The Arca turned their data challenges into stronger loyalty, repeated direct bookings, and sustained revenue growth. As Jiho Kim, Hotel Cluster General Manager of The Arca shared, “By leveraging guest data and implementing personalized campaigns, we’ve strengthened guest relationships and driven loyalty.”
Ennismore’s new hotel guest loyalty program is a “Dis-loyal” revenue machine
London-based hotel management company Ennismore knew a traditional points-based hotel guest loyalty program wasn’t right for its guests. With Ennismore, it’s all about their members, which is why they launched “Dis-loyalty” — a paid membership program designed to encourage guests to explore various properties across their portfolio.
For one monthly fee, Ennismore members gain immediate benefits, including room discounts, F&B perks like 10% discounts and a daily barista-made drink, and even an incredible 50% discount off a stay at any of their newly-opened hotels. By personalizing its program, Ennismore flipped the structure of a loyalty program on its head, and the results have been incredible.
Ennismore’s results:
- A fully sold-out opening of its new property, The Hoxton in Vienna
- Low churn rates, proving long-term value for both loyal guests and Ennismore
- Improved ability to collect guest data through its Dis-loyalty program
Turning loyalty into a pathway for discovery through a membership model has allowed Ennismore to resonate with their guests and appeal to travelers who value experiences over points — a growing segment all properties should keep an eye on.
Daniel Thwaites drove revenue with its “surprise and delight” loyalty program
For over 215 years, UK hospitality company Daniel Thwaites has built its reputation on thoughtful hospitality across its portfolio of hotels, conference venues, inns, spas, lodges, and pubs. But managing their guest data across 23 different hotels and inns became a challenge, with their staff manually merging information from different systems. The result? It became almost impossible for the hospitality company to personalize its communications to guests or even identify its most loyal guests.
Once Daniel Thwaites gained a unified view of their guests along with the ability to run targeted campaigns with Revinate Marketing, they began to send tailored communications that resonated with guests. From seasonal promotions to automated lifecycle campaigns, the hospitality company effectively reached travelers and locals alike. But it was their “surprise and delight” loyalty program that stood out most.
By using the insights feature, Daniel Thwaites was able to bypass the dated points-based hotel guest loyalty program and instead reward repeat guests with personalized perks at check-in.
Daniel Thwaites’ results:
- Lifetime revenue: £7M
- Email health: 63%
- Average open rate on email campaigns: 43%
- Average click-through rate on email campaigns: 4%
- Net Promoter Score: 5.8% increase YoY
Replacing manual processes with automated and personalized data-driven engagement allowed Daniel Thwaites to strengthen guest loyalty and create experiences that keep guests coming back.
Why loyalty optimization works
While the success stories above represent a variety of properties and markets, it’s easy to identify common themes in their approaches to loyalty:
- Personalization pays off. Delivering customized messages to guests drives stronger engagement and repeat direct bookings.
- Loyalty reduces reliance on OTAs. When guests feel recognized and valued, they are more likely to return and book direct with your property.
- Data powers loyalty. Having access to unified, actionable guest data enables you to transform loyalty programs into increased revenue.
As you can see from these stories from hoteliers just like you, the question isn’t whether or not hotel guest loyalty programs work. The real question is this: Are you ready to optimize yours? Learn how to optimize your hotel guest loyalty program with the Direct Booking Mastery Certification so you can begin driving more measurable revenue for your hotel.
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