Points(earning, redeeming, value) seems to be the most important part of a hotel loyalty program for

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The Deloitte report " A Restoration in Hotel Loyalty: Developing miami international airport car rental a blueprint for reinventing loyalty programs " is one of the more interesting takeaways I have from the Americas Lodging Investment Summit (ALIS) 2013 at the JW Marriott@LA Live this week. The report suggests hotel loyalty programs are broken based on the propensity of customers to change hotel brands for many of their hotel stays each year.
My preliminary assessment of the Deloitte survey and report of hotel frequent travelers indicates there is a distinct division between high frequency loyal business travelers and travelers who seek out hotels more for leisure miami international airport car rental and value. Not surprising to me is the advice to redefine hotel loyalty programs with a personalization focus to reward high revenue travelers. Think of SPG's 50 nights for suite upgrade certificates and 75 nights for higher points earning bonus instituted in 2012. Stay 100 nights at Starwood Hotels and get your own VIP Concierge.
Hotel loyalty programs may be changing for the frequent leisure traveler miami international airport car rental gaming miami international airport car rental the transparent miami international airport car rental system to earn loads of free nights and upgrades. Social media has reduced the opaqueness of hotel loyalty programs for social media users and technology miami international airport car rental may allow hotel loyalty programs to reinstitute opaqueness and differentiation. Or at least provide the best rewards to their most profitable guests. Personalization of rewards based on customer profile data mining miami international airport car rental may see hotel loyalty programs becoming more like casino loyalty programs. Free drinks are so much harder to come by these days when playing penny slots.
I think I fit mostly in the Moderate Traveler miami international airport car rental group. But my average nightly hotel spend is more like $80 to 100 per night for upscale and upper upscale hotels. I use hotel loyalty programs to travel miami international airport car rental frequently with big savings. I am in the traveler demographic hotel loyalty programs seek to reduce when they discuss moving beyond points.
Hotels these days don't want you to just 'like' them. Hotel brands want you to display emotional commitment with an online presence beyond the hotel walls that spreads brand 'love' across social media to family, friends, and the masses. I tend to see that in plenty of travel blogger posts these days.
Restoring hotel loyalty is focused on using data mining to build comprehensive customer profiles. Hotel brands want to foster emotional loyalty that creates and retains high revenue customers. Differentiating hotel loyalty miami international airport car rental program offers to encourage loyalty from the kind of customers the hotel brand wants to retain is what I read into the report.
JW Marriott Chicago asked me to fill out a survey prior to arrival for a sponsored press trip in May 2012. I was pleasantly surprised to see an ice bucket of Stella Artois beer when I walked into the room.
Ric Garrido miami international airport car rental , writer and owner of Loyalty Traveler, shares news and views on hotels, hotel loyalty miami international airport car rental programs and vacation miami international airport car rental destinations for frequent guests. You can follow Loyalty Traveler on Twitter and Facebook and RSS feed .
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I guess I fit into the first category, I am specifically spreading most my stays about evenly across 2 chains this year, due to the lack of any real benefit of hitting 100+ nights at my primary brand.
Diamond, Platinum, and Gold in three major hotel loyalty programs for $3,600 per year with 60 annual hotel nights, 75% upscale to luxury segments with 25% midscale hotels miami international airport car rental to maximize price-value for hotel loyalty points and free nights promotions.
@IflyfromABE You are the target demographic for the best hotel loyalty benefits. I hope your preferred miami international airport car rental hotel loyalty program tracks you down through your comment here on my blog and gives you the best hotel loyalty year of your life.
All the changes over the last year or so in airline and hotel loyalty programs have the goal of rewarding high revenue customers. SPG s recent cash and point devaluation in context with last years changes (like more points for 75 night plats) do exactly that. Of course they wouldn t do them exactly simultaneously, but what s 7 months. These companies do need to be careful they don t alienate their regular customers though who make up the other 95% or so.
Those of us who use points wisely are no doubt amused by these average spend figures. I m a baby boomer who just spent 14 nights at luxury resorts in Scottsdale and Tuscon. The room charges, including tax, were just a tad more than $1,500.
I m not sure they really agree with your comment Redefining loyalty programs is likely geared miami international airport car rental for limiting the advantages and benefits received by savvy frequent travelers like me and most of you reading this blog.
In their summary, they mention: Be forgiving; don't penalize behavior that loyalty programs encourage On page 23 of their blueprint, they don t expand much on this, but it seems like they are saying to not punish travelers for staying other places also. An interesting miami international airport car rental way to approach this would be to give partial elite night credit for stays elsewhere send in your year-end statements and they could credit you with 25% of the nights. It would give them more data on who are the frequent travelers they want to target and it might give those travelers enough status that they are treated well when staying with you and so are encouraged to stay with you more or at least more than those chains miami international airport car rental who don t recognize them as that frequent of travelers.
miami international airport car rental Also, it is interesting how most customers don t want to be engaged by the hotel via social media. I don t really see hotels listening to this. There is more push (probably by young employees[Newbies?] who like social media) on social media. I think the low numbers for how often they were engaged miami international airport car rental (last slide) by social media is more indicative of the customer s choice, not the hotels.
It seems like they may have missed an important point on how often folks have added on personal leisure time to a business trip. Since 52.3% of the respondents were 100% leisure, that 58.6% that never added on personal leisure time were the 52.3% that didn t take a business trip and 6.3% that took business (and possibly separate personal) trips. That changes none from being the most popular option(by far) to being the 3rd most popular option.
Points(earning, redeeming, value) seems to be the most important part of a hotel loyalty program for folks, yet they (and somewhat you) seem to think the making me feel important is the important part. Okay, to Newbies, it seems to be also.
Seeing that it was a web survey and 52.3% of respondents traveled 100% for leisure, miami international airport car rental 83% haven t downloaded a smartphone app, I was wondering how applicable their results are. Though the segments they identify only include 893 of the 4000 surveyed. And it seems like they decided these are the ones that the loyalty programs are really targeting and are doing more in depth analysis based on that.
It also seems like they wrote the report based a lot on their beliefs, not actual analysis. We believe that preferred brand location availability and corporate travel policies have a minor impact on brand switching. Over 90 percent miami international airport car rental of high frequency travelers preferred brands are part of a major hotel brand family miami international airport car rental with extensive footprints. These high frequency travelers are the ones staying 16+ a month at a hotel. Even with an extensive footprint, miami international airport car rental they won t always have a location miami international airport car rental near where that high frequency miami international airport car rental traveler wants to stay, so out of 96+ stays per 6 months, it doesn t surprise me that 65.4% of those travelers actually stayed at a different brand in those 6 months. Hotels should be concerned when something so obvious escapes those who want you to pay them money to advise them. To me it shows a lack of understanding of the industry. It isn t like cell phones miami international airport car rental where you normally only have one provider. It s more like the type of food you eat. You may prefer pizza and Mexican food(two preferred brands which you ll notice they don t allow for/like), but also eat Chinese or Italian food depending on the mood. You might stay at Marriott for business, but stay at B Bs when your spouse goes with you on a leisure trip. On page 16, they acknowledge that complete loyalty isn t going to happen, then they base their estimates on complete loyalty. Unprofessional! They could have used the loyalty numbers they ve already gathered for the travelers to estimate what it would mean to switch from
On page 14, they say Proficient travelers miami international airport car rental are most interested in location and comfort . How very true. My girlfriend, when traveling to Portland, stayed at her a hotel in her 4th most frequent loyalty program because they are on the same block as the office she was visiting. Price and brand loyalty miami international airport car rental would have to work hard to overcome that. Throw in an airport shuttle
On their nice chart on page 12 of satisfaction versus importance of an attribute, they show as improvement opportunities lower importance attributes with low satisfaction. I think the ones to concentrate miami international airport car rental on are the higher importance attributes with lower satisfaction like K staff attitude and J deliver on promise.
Which leads me to the point that this seems more like a sales piece than a real analysis. It tells hotels miami international airport car rental that their programs aren t working like the hotels want, but that they can do better. Just send us money. Kinda like late night infomercials, only slicker.
I do like some of their suggestions. The more personalized experiences/welcome amenities is interesting. miami international airport car rental Though a lot o