How to design a great guest loyalty program for your hotel?


Creating a great guest loyalty program has become more important than ever. It is one of the most successful ways to boost your hotel’s repeat business and turn your guests into your brand advocates.

While designing a guest loyalty program that works best for your hotel, there are some broad, guiding principles, which if adhered to would ensure maximum results besides a significant improvement in the hotel’s repeat business.

Here are some tips to design an effective guest loyal program to increase direct bookings and revenue.

1.  Know Your Guests Well

Who is your guest? What are his preferences, and what kind of rewards would appeal to each of them individually? A guest loyalty program could even be customized to get the most benefit out of it. By being able to tailor your loyalty offerings, you would be able to give your guests exactly what they want, and therefore deliver value for money and guest satisfaction. 

2. Make it easy for them to earn rewards

Do not devise a reward program which is stringent or which makes it difficult for the guests to redeem its benefits. The rapidly evolving traveller, especially the millennial traveller, demands instant gratification and do not enjoy the complex structures to avail any loyalty program. Therefore, to make it effective, keep the guest loyalty program simple, easy-to-understand and quick to deliver.

3. Ensure maximum value to both parties 

Designing your program delivers high value to your guest, while also being cost-effective for the hotel. Rather, providing them free access to any of the key services, which are otherwise chargeable for all other guests could be the ideal way to go. This would again require knowing your guests comprehensively so that you can offer only those free services to them, which they individually desire and appreciate. The key is to hit the nail right!

4. Make loyalty members feel extra special 

Customers are the biggest asset for any business, but repeat customers are definitely the most valuable ones. Making them feel extra special could help the hotel win their loyalty for life. Offer personalized services based on the extensive information about those guests stored in your records. Make efforts to engage with these guests more often through various modes like e-mails, surveys, social media, and blogs, etc.
Delight them by offering benefits that are beyond the normal package. For example, if a hotel is aware that a particular guest likes to visit the hotel’s casino or a spa during each visit, then entice this guest with a free or discount on the entry to the casino or spa. By doing this, you are making sure that the guest is overjoyed, which would make him return to your property.

Loyalty programs are definitely a good way for the hotels to make it big and gain a competitive advantage over others. Hence, it is essential to create them with due diligence and implement them in the best possible manner so that it becomes one of the top deciding factors for your guests to return to your property.

Read more: Why do hotel revenue managers need performance analytics?