According to Duetto, simply offering “up to 5%” or “up to 10%” off might prove more costly in the long run, with expensive marketing and television campaigns.
Furthermore, it argues many hotels are failing to recognise that individual customers have a different worth based on different factors, such as visit frequency, the most recent visit or on -property spend. As a result, they are failing to recommend a tailored rate for that individual – and potentially losing business.
“In this heightened competition for hotel loyalty, brands needs to differentiate their rewards programs by showing they can differentiate one guest from another. Personalized pricing and tailored rewards that resonate are the goal, not some static discount off the best available rate given to everybody,” said Michael McCartan,
managing director for Europe, the Middle East and Africa at Duetto.
As part of World Travel Market London, McCartan is holding another forum to debate the issue.
The “Revenue Strategy Forum London” takes place on Monday November 7 from 9am-2pm at Amba Hotel Charing Cross, London.
Speakers include Terri Scriven, head of hospitality UK, Google; Fernando Vives, chief commercial officers, NH Hotel Group; and David Taylor, chief commercial officer, glh Hotels; and Patrick Bosworth, chief executive, Duetto.
Tickets, priced from $165 to $275, are still available here.