How Hotels Can Accelerate Recovery by Maximizing Incremental Revenue

Make the most of every revenue stream with personalized guest offers and contactless messaging throughout the guest experience.

Getting guests in the door is the number one priority for hotels and resorts across the world as they begin the process of recovery in the wake of lockdowns. No market is close to fully recovered and the U.S. market in particular has seen growth stagnate in the past two weeks.

Yet while raising occupancy rates is essential to recovery, that’s not the only metric that matters. For hotels, incremental revenue can play a major role in recovery—and demand for dining, storefronts, and amenities from guests who have been forced to stay at home for months should not be discounted. How can you capitalize on that interest? Here are a few ideas:

Personalize guest messaging to boost amenity and room service revenue.

Customers aren’t just worried about their physical safety, but their economic security as well, making them even more unlikely to spend on extras during their stay. To tempt them into dining at the hotel or booking amenities, hotels need to take their messaging and marketing to the next level. 87% of marketers across all industries report a measurable lift in conversions and customer satisfaction from personalization efforts. Yet while hotels pride themselves on personalized, high-touch service, personalized marketing efforts aren’t quite as common.

With a mobile app or in-room tablets, hotels can reach specific guests at critical moments throughout their stay with tailored offers that convert at a much higher rate and raise revenue. If a couple is celebrating an anniversary, the hotel can push a specialized offer for champagne or the spa. If a family is hosting a reunion, the restaurant can notify them of a special group rate. When a loyalty guest arrives, the spa can remind them they may want to book treatments they’ve enjoyed in the past.

Using personalized offers and messaging, properties have seen up to a 20-35% uptick in in-room dining sales—which could make a huge difference for any property, especially during recovery.

Make contactless service and safety measures a core part of your business strategy.

If hotels learned one thing during lockdown, it’s that safety was the key to getting guests to return. But it doesn’t stop there—and will in fact matter throughout the entire guest experience for the foreseeable future. If guests are going to spend their hard-earned money on a vacation or getaway, they want to know they’ll be well-taken care of during their stay. Offering contactless service in every area of your property is one way to sidestep fears about safety from the start.

On the flipside, hotels are in a perfect spot to monopolize travelers’ time and wallets once they walk in the door. Guests may be unable or uncomfortable visiting local attractions they might have visited during a normal year. And if you can help them feel fully comfortable at the hotel, they’re more likely to explore everything a property has to offer.

Incorporate contactless service and distancing measures at every amenity—and then make sure guests know about it. Remove roadblocks by allowing guests to do things digitally at any chance. Hosting your storefronts and dining digitally will increase sales and allow contactless deliveries of purchases. Allowing guests to make reservations at the spa and restaurant digitally eliminates unnecessary touchpoints, ensuring guests feel fully confident in your property’s ability to keep them safe. Safety, satisfaction, and revenue are entirely intertwined right now: as your focus on safety and contactless rises, satisfaction and revenue will rise as well.

Don’t underestimate the impact incremental revenue can have on your hotel’s success—find out how you can transform dining with digital menus, mobile ordering, and touchless deliveries. Read the dining one-sheet now.

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