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Young woman using her smartphone to scan a QR code on a hotel counter, while holding a cup of coffee, illustrating the accessibility of a digital loyalty program in a modern hotel environment.

How a digital loyalty program can transform customer relationships in hotels

November 5, 2024
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6 min read
In a hotel sector where competition is becoming more and more intense, customer loyalty is becoming essential to ensure a lasting relationship and generate recurring revenue. A digital loyalty program offers hotels a unique opportunity to strengthen their relationships with customers while simplifying the user experience. This article explores how a digital loyalty program can transform customer relationships, improve the user experience, and ultimately contribute to business growth.

1. Why adopt a digital loyalty program in hotels?

Traditional loyalty programs often relied on physical cards or complex systems that customers had to carry and manage themselves. With a digital loyalty program, hotel establishments are modernizing this experience by offering an intuitive solution, accessible at any time via smartphone or computer.

Benefits for customers and hotels

Customers benefit from a simplified experience: no more physical cards, instant access to loyalty points and benefits. For hotels, digital programs allow for the collection of essential customer data to personalize the experience and offer adapted offers.

2. The key elements of a successful digital loyalty program

To maximize the impact of a digital loyalty program, it is important to integrate certain key elements that facilitate customer adherence and maximize customer engagement.

Simplicity and accessibility

A digital loyalty program should be easily accessible and understandable. For example, it can be integrated directly into the hotel's digital room directory. Thus, customers can consult their loyalty points and benefits effortlessly, via a QR code, without downloading an additional application.

Customizing the customer experience

The data collected through customer interactions allows hotels to adapt their offers. A guest who stays regularly during the low season could be offered a discount the next time they stay, while a customer who loves spa services could receive special offers for massages.

Gamification and rewards

Modern loyalty programs use gamification techniques to make the experience more engaging. For example, a customer who stays in a hotel three times could reach a higher status, unlocking exclusive benefits such as upgrades or discounts on additional services.

3. The benefits of a digital loyalty program for hotels

The impact of a digital loyalty program goes far beyond simply retaining customers. It offers several strategic advantages that reinforce the hotel's position in the market.

Reduced marketing costs

Retaining a customer is often less expensive than acquiring a new one. With a digital program, hotels can set up targeted campaigns at a lower cost, based on the preferences and buying behavior of their customers.

Better customer knowledge

Each interaction in the loyalty program provides valuable data, such as room preferences, services enjoyed, and even preferred booking periods. This information allows hoteliers to personalize their communication and offer perfectly adapted promotions.

Improving the customer experience

A well-thought-out digital loyalty program can transform the customer experience by making every stay more enjoyable and memorable. For example, a loyal customer could receive special attention upon arrival, such as a welcome drink or a free upgrade, reinforcing the feeling of appreciation.

4. The steps to set up a successful digital loyalty program

Define goals and KPIs

Before launching a loyalty program, it is essential to define goals, such as increasing retention rates, increasing the frequency of stays, or improving additional sales. These indicators make it possible to measure the effectiveness of the program and to adjust strategies.

Choosing a suitable platform

For a loyalty program to be effective, it needs to be easy to manage. A platform like Sunver can be particularly useful. It offers a digitized solution accessible via QR code, making it possible to manage customer interactions in real time and to ensure optimal personalization.

Train staff and integrate the program into the customer journey

Employees play a key role in promoting the loyalty program. Proper training allows them to clearly explain the benefits of the program to clients and maximize memberships. The loyalty program must also be integrated into every stage of the customer journey, from booking to check-out.

5. How the digital loyalty program boosts customer relationships in the hotel industry

The digital loyalty program allows hotels to stay connected with their customers even after they leave, thanks to personalized notifications and exclusive offers.

Long-term loyalty

A well-designed digital loyalty program keeps customers coming back. By offering them rewards for each stay, hotels create a long-term relationship, where the customer feels valued and recognized.

Increase in additional sales

With personalized offers, customers are more likely to book additional services, like the spa or local activities. Online payments, especially via platforms like Stripe, simplify the management of reservations for additional services.

Contribution to the hotel's eco-responsible image

Digital loyalty programs also allow hotels to promote their eco-responsible commitment. By reducing the use of plastic cards and paper brochures, they contribute to a sustainable approach.

Conclusion

By adopting a digital loyalty program, hotels have the opportunity to transform their customer relationships and build customer loyalty in an efficient and profitable way. With advantages such as the personalization of the experience, the reduction of marketing costs, and better knowledge of customers, a digital loyalty program is an essential solution for hotel establishments wishing to stand out and retain their customers.

sourcing

“Why Hotel Loyalty Programs Are Worth It” Hotel Tech Report

“Key figures on the role of technology in the hotel guest experience” Loungeup

Create, personalize, and share your AI-assisted digital Room Directory.

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Article written by:

Nathan Assouline

Co-founder of Sunver

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