Even with the impeccably high quality of service and accommodations most luxury hotels and resorts offer, it might surprise you to learn that the majority of guests stay only one time, never to return again. The tremendous investment your hotel marketing strategies make in product and hotel marketing should yield much higher lifetime values than they actually do. This begs the question, “Where is the snag?”
Why don’t guests come back?
The answer is surprisingly simple—when an established relationship is not present, your guests go elsewhere. Your competition is behind more than half of your guests’ failure to return. When we rely purely on web channels to drive business, we have to remain conscious that each of us is paired alongside a host of other choices. When a strong relationship is absent, the consumer’s choice may be driven by saving only a few dollars. Recognized loyalty and a good relationship can tip the scale.
A single stay does not make a relationship. When a guest stays with you for the very first time, you have an opportunity to plant a seed that can grow into a long and mutually-satisfying relationship. Loyalty does exist! Meaningful communication and incentive is all you really need to foster it.
By the third stay, a guest is not only loyal, but he or she has also become an advocate, telling friends and family members how much they enjoy the experience at your property. At that moment, your guest’s value has tripled.
What can we do encourage successive stays?
Outside of making certain that the guests’ experience meets or exceeds expectations while at the property, hotels can do two things:
- Invite them back through a medium to which they are receptive.
- Make a repeat stay and a referral rewarding.
How It Works:
In order to communicate regularly with past guests, many of whom have not provided the hotel with an email address, a turnkey campaign is generated that balances the use of email and postal mail. An eye-catching offer is featured in the campaign to entice them back. It is vital that the campaign is valuable, precise, timely and highly-targeted. We call the program Boomerang.
- A high degree of targeting to affect high response rates and avoid over-mailing to those that will not respond.
- A high degree of tracking to know exactly who is responding and how much revenue is being generated by the marketing investment.
- The highest possible quality of communication without overspending.
- A combined hotel offer and stay credit in the form of a promotional gift card to incent both the guest’s return and sharing the offer to friends and family.
Our clients manage and monitor Boomerang through a web interface. Using the web, clients can choose to upload offers, view results, and listen to recordings of phone responses. The entire program requires only minutes each month, but guarantees that every qualified guest will receive a timely offer to return at least once a year.
These Hotel Marketing Strategies are Worth Stealing Because:
✓ For every dollar invested in the program, the average return is $12 – $18 in revenues.
✓ Incite Response has spent years creating a unique methodology that controls direct communication costs, lifts response rates and generates high returns on direct mail and email campaigns.
✓ Our turnkey guest relationship program can be implemented within thirty days and starts showing measured returns immediately.
✓ With this program, the lifetime value of your hard-won guests increases dramatically.
✓ It is the easiest and most effective marketing effort any hotel can undertake.
Companies That Have Used This Idea:
- Destination Hotels and Resorts
- The Lodge and Spa at Cordillera.
- PGA Resort
- Pyramid Hotel Group
- Westin Hotels
- Revere Hotel
- Ojai Valley Resort
Contact Incite Response today at 720-493-1020 to learn how to put this hotel marketing strategy to work for you.