Hotels are in a constant battle to drive more direct bookings, increase revenue, and reduce dependency on online travel agencies (OTAs). Traditional demand generation strategies like digital ads and SEO are critical, but they only get travelers to your website. The real challenge? Convincing them to book with you instead of an OTA or competitor. That’s where instant rewards come in—a game-changer in converting lookers into bookers and maximizing demand generation efforts.

What Is Demand Generation for Hotels?

Before diving into instant rewards, let’s define demand generation. Unlike lead generation, which focuses on capturing guest information for future bookings, demand generation is about creating immediate interest in your hotel and driving direct bookings.

It includes tactics like:

• Paid advertising (Google Ads, Meta Ads)

• Email marketing

• SEO and content marketing

• Social media engagement

• OTA share shift strategies

• Retargeting campaigns

The problem? These tactics bring visitors to your site, but they don’t necessarily get them to book. This is where instant rewards provide the extra push needed to drive conversions.

Why Instant Rewards Are the Missing Piece

Travelers today expect immediate value. They’re used to dynamic pricing, loyalty perks, and special offers when booking through OTAs. If your website doesn’t provide a compelling reason to book direct, they’ll abandon their search and return to familiar platforms like Expedia or Booking.com.

Instant rewards solve this issue by:

• Incentivizing direct bookings in real time

• Enhancing the guest experience before arrival

• Differentiating your hotel from competitors

• Increasing revenue through additional spending

Instead of hoping guests recognize the value of booking direct, instant rewards actively show them why it’s the better option.

Takeaways: How Hotels Can Use Instant Rewards for Better Demand Generation

1. Convert Website Visitors with Immediate Value

Most hotel websites have strong branding, beautiful imagery, and a seamless booking experience, but they often lack a compelling reason for guests to book direct.

By incorporating Laasie’s instant rewards, hotels can offer guests immediate incentives such as:

• A $20 Uber credit

• A free coffee from Starbucks

• A room upgrade guarantee

These small perks make a huge difference in convincing guests to complete their booking.

2. Leverage Instant Rewards in Paid Campaigns

If you’re investing in paid advertising, instant rewards amplify your ROI. Instead of generic discounts, ad copy can highlight a tangible benefit:

“Book direct and get a $20 Lyft credit. Limited time only!”

This creates urgency and a clear reason for guests to click through and book directly instead of price-shopping OTAs.

3. Increase OTA Share Shift with Better Offers

OTAs offer rewards through their own loyalty programs, making it difficult for hotels to compete. Instead of lowering rates or increasing commission payouts, hotels can use Laasie to provide instant, customizable rewards that align with guest preferences.

For example, rather than giving a 10% discount, offer a reward that provides the same perceived value without cutting into revenue. A $15 dining credit or local experience voucher can be more enticing than a simple rate reduction.

4. Improve Retargeting Campaigns

Retargeting campaigns are essential in bringing back abandoned bookings. Instead of generic ads that say, “Come back and book!”, hotels can personalize messages based on previous interactions:

“Still thinking about your stay? Complete your booking now and enjoy a free welcome drink!”

This approach not only reminds travelers of your hotel but also adds an extra layer of motivation to finalize their booking.

5. Drive More Revenue Per Guest

Beyond bookings, instant rewards encourage guests to spend more. By offering on-property rewards such as spa credits or dining perks, hotels can drive additional revenue while improving the guest experience.

For example:

• A guest who books a two-night stay receives a $25 credit to use at the bar.

• An early-booking incentive includes a free room service breakfast.

These rewards make the stay more enjoyable while increasing ancillary revenue streams.

The Bottom Line: Hotels Need Instant Rewards Now

Demand generation for hotels is more than just driving traffic—it’s about ensuring that traffic converts into direct bookings. Laasie’s instant rewards platform makes this easier by providing a clear, compelling reason for travelers to book direct.

If your hotel is looking to:

• Increase direct bookings

• Reduce OTA commissions

• Boost guest satisfaction

• Drive incremental revenue

…it’s time to implement instant rewards into your demand generation strategy. Hotels using Laasie see up to a 43% lift in conversions, making it one of the most effective tools available for turning lookers into bookers.

Ready to Get Started?

Book a demo with Laasie today and see firsthand how instant rewards can transform your hotel’s demand generation strategy!

In an era of rapidly evolving customer expectations and fierce competition within the hospitality sector, it's abundantly clear that the age-old offering of complimentary internet and bottled water is no longer sufficient to win the hearts of modern hotel guests. Today, the hospitality industry is witnessing a seismic shift in the dynamics of guest loyalty. A shift driven by the emergence of instant merchant rewards, on-property perks, and the powerful union of emotional and transactional loyalty.

Traditionally, hotels have relied on simple amenities like free Wi-Fi and bottled water to create a favorable impression and build loyalty among guests. These offerings were once novel and appreciated by travelers, but in today's world, where connectivity and hydration are almost taken for granted, they have lost much of their appeal. Travelers now demand more personalized and meaningful experiences during their stay, and hotels are embracing innovative strategies to meet these evolving expectations.

One of the key drivers of this transformation is the adoption of instant merchant rewards. Hotels are increasingly partnering with local businesses to offer guests discounts and special offers at nearby restaurants, attractions, and services. This not only enhances the overall guest experience but also encourages guests to explore and engage with the local community. By providing guests with exclusive access to the best experiences a destination has to offer, hotels are creating a sense of belonging and connection, fostering emotional loyalty.

Furthermore, on-property rewards have become a powerful tool for hotels to incentivize ancillary spend and secure repeat reservations. The concept is simple but effective: guests receive special perks for spending on additional services within the hotel, such as dining, spa treatments, or room upgrades. This approach not only boosts revenue but also encourages guests to extend their stay or return for future visits. The result is a win-win situation, with hotels benefiting from increased revenue, and guests enjoying enhanced value and recognition.

What sets these instant merchant rewards and on-property perks apart is their ability to marry emotional and transactional loyalty. Emotional loyalty is all about fostering a deep, personal connection between the guest and the hotel. It's about creating memorable experiences and forging lasting relationships. Instant rewards, such as exclusive discounts at local businesses, tap into this emotional connection by making guests feel like insiders, enabling them to explore the destination like a local.

On the other hand, transactional loyalty is based on value and convenience. It's about providing guests with tangible benefits that make their stay more enjoyable and cost-effective. On-property rewards, like room upgrades or dining credits, cater to this aspect of loyalty by giving guests clear incentives to spend within the hotel.

The synergy between these two forms of loyalty is where the magic happens. Guests not only feel emotionally attached to the hotel but also recognize the tangible benefits of their loyalty through rewards and perks. This dual approach not only drives repeat reservations but also encourages guests to spend more during their stay, boosting a hotel's bottom line.

The hotel industry's landscape is rapidly changing, and guest loyalty is no longer a matter of just offering free internet and bottled water. Hotels that recognize the value of instant merchant rewards and on-property perks are at the forefront of this evolution. By creating a harmonious blend of emotional and transactional loyalty, hotels can foster deeper connections with guests, encourage ancillary spend, and secure repeat reservations. In this new era of hospitality, it's not just about providing a place to sleep; it's about curating unforgettable experiences that keep guests coming back for more.

The lodging industry thrives on repeat guests and strong customer relationships. Hoteliers are constantly seeking an edge, it’s not enough to simply provide a great stay. Hotels need innovative loyalty strategies that drive results, increase direct bookings, and strengthen guest connections. But here’s the catch: traditional points-based programs, while effective for large hotel chains, often fall short for independent and mid-sized hotel groups.

So, what are the loyalty ideas that work? Let’s explore strategies that can transform your approach to guest retention and why platforms like Laasie’s are redefining the game.

Innovative Loyalty Ideas That Work

Here are loyalty strategies designed to drive guest engagement, increase revenue, and create a loyal customer base:

1. Instant Rewards

Guests today want immediate value. That’s where Laasie’s instant rewards platform shines. Instead of earning points for future use, guests receive personalized rewards instantly upon booking. These rewards come from a global merchant marketplace with over 1,000 options, ranging from gift cards to exclusive experiences.

Why It Works:

• Guests see immediate benefits, increasing the likelihood of booking directly.

• Rewards are tailored to individual preferences, creating a more engaging experience.

• Hotels can easily implement the system, with results showing a 43% lift in direct bookings on average.

2. Milestone-Based Programs (Laasie's answer for points)

Rather than rewarding guests for every dollar spent, consider celebrating key milestones in their journey with you. For example:

• Offer a complimentary room upgrade on their third stay.

• Provide a personalized experience for their fifth visit.

• Surprise them with a thank-you gift on their one-year booking anniversary.

Why It Works: Milestone rewards feel more personal and meaningful than generic points. They create emotional connections and give guests something tangible to look forward to.

3. Flexible Service Recovery

Mistakes happen, but how you recover can make or break guest loyalty. Laasie’s Flex product allows hotels to turn service recovery into an opportunity to delight guests. Whether it’s addressing a booking issue or compensating for a less-than-perfect stay, you can reward guests instantly with something valuable.

Why It Works:

• Strengthens relationships by addressing concerns quickly and effectively.

• Turns potential detractors into loyal advocates.

4. Enhanced Member Rates

Offer exclusive member rates that guests can access when booking directly. Combine this with Laasie’s Retain solution to layer in personalized rewards, increasing the perceived value of direct bookings.

Why It Works:

• Competes effectively with OTAs by providing better value.

• Encourages repeat bookings and reduces guest acquisition costs.

5. Localized Experiences

Reward guests with unique experiences tied to your location. Partner with local businesses to offer perks like:

• Free wine tastings at a nearby vineyard.

• Discounts at popular local attractions.

• Exclusive dining experiences at acclaimed restaurants or your F&B outlets

Why It Works: Localized rewards enhance the guest experience, differentiate your hotel, and support the local economy.

(Continue reading below)

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Why Points-Based Loyalty Falls Short for Most Hotels

Points-based loyalty programs have been the industry’s default for decades. Guests earn points for every dollar spent and redeem them for future stays or perks. But while this model works well for global brands with extensive networks, it’s often ineffective for smaller or independent hotels. Here’s why:

1. Limited Scope: Large hotel brands can offer points that are redeemable across hundreds or thousands of properties worldwide. Independent hotels or small groups lack this scale, making their points less valuable and appealing.

2. Delayed Gratification: Points take time to accumulate, and guests often lose interest before they can redeem meaningful rewards. In an era of instant gratification, waiting months to see value is a tough sell.

3. Costly Maintenance: Administering a points-based program requires significant resources—from managing point accruals to integrating complex systems.

4. Low Differentiation: Guests are accustomed to points programs and often see them as transactional. They do little to foster an emotional connection with your brand.

For these reasons, many hotels are shifting their focus to innovative loyalty strategies that deliver immediate value and measurable results.

The Laasie Advantage

Laasie’s platform helps hotels implement these strategies with ease, delivering real results:

1. Shifting Share from OTAs: By incentivizing direct bookings with instant rewards, Laasie reduces reliance on OTAs and shifts booking share back to hotels.

2. Lowering Guest Acquisition Costs: Instant rewards create a compelling reason to book directly, cutting commission costs from third-party platforms.

3. Increasing Direct Bookings: Hotels using Laasie’s platform see an average conversion lift of 43%, helping them compete effectively in crowded markets.

4. Driving Ancillary Revenue: Rewards encourage guests to spend more on-property, from dining to spa services.

5. Higher Spend from Members: Data shows that loyalty members spend significantly more than non-members, increasing total revenue per guest.

6. Longer Booking Windows: Members often book further in advance, providing better forecasting and revenue management opportunities.

7. Repeat Bookings: Personalized, meaningful rewards create lasting impressions, increasing the likelihood of repeat stays.

Results That Speak for Themselves

Hotels across markets are seeing the impact of these strategies. For example:

• Miami: Hotels using Laasie’s platform average a 43% higher direct booking conversion rate.

• New York City: Properties reported a 22% increase in ancillary revenue due to instant rewards.

• San Francisco: Guests who received rewards during service recovery showed a 35% higher likelihood of rebooking.

The future of hotel loyalty lies in innovation and personalization. Points-based programs may work for the largest chains, but independent hotels and small to medium hotel groups need solutions that align with their unique challenges and opportunities. With Laasie’s instant rewards platform and flexible loyalty solutions, you can engage guests, drive direct bookings, and increase revenue like never before.

Hotel call centers are much more than just another booking channel. They’re the bridge between a potential guest who’s almost decided on your property and the actual booking. But sometimes, despite the best efforts of your well-trained agents, a caller wavers. They’re about to hang up without booking. This is where an instant rewards strategy—designed to “save the sale”—can transform that hesitation into a reservation.

With Laasie’s integration into Sabre’s ResAgent software, it’s easier than ever to incorporate instant rewards into call center interactions. This approach not only boosts conversion rates, but it also establishes loyalty and creates memorable guest interactions. Let’s unpack why instant rewards are the secret weapon for hotel call centers aiming to close more bookings and build loyalty with every call.

Understanding “Save the Sale”: Turning an “Almost” into a “Yes!”

We’ve all been there—after a good 15 minutes on the phone, a caller says, “I’m just not ready to book right now.” Ouch. This is the tipping point. In traditional call centers, an agent might try a last-minute pitch or emphasize the property’s charm, but there’s no real incentive for the guest to commit right then. Enter the “save the sale” instant reward.

A “save the sale” reward is a tangible, immediate incentive offered when the guest wavers. It could be a $20 Uber credit, a complimentary spa treatment, or a digital gift card. The goal is simple: provide a meaningful reason for the guest to hit “book” now, not later.

With Laasie’s instant rewards technology fully integrated into Sabre’s ResAgent platform, agents can deliver these rewards seamlessly. Just imagine the impact of an agent saying, “Wait! Before you hang up, I’d like to offer you a $30 dining credit as a thank-you for booking with us today.” This small, personalized offer can make all the difference.

Instant Rewards Drive Higher Conversion Rates—Here’s How

Most hotel marketing strategies are built to capture guests’ attention online, but call centers have a unique advantage—they’re personal. Yet, a live voice alone isn’t always enough to turn interest into a confirmed booking. With an instant reward, you can improve conversion by up to 22%. Laasie’s integration with ResAgent enables agents to offer rewards in real-time, giving guests an extra nudge to complete their reservation.

Instant rewards work because they align with our psychology. We love to feel like we’re getting something extra, something unexpected, and something special. When a guest is close to booking, a reward offers that final push they need to make a commitment. It also conveys to the caller that the hotel values their business enough to offer a meaningful thank-you.

Building Loyalty Beyond the Transaction

Instant rewards don’t just drive conversions; they create a positive experience that can lead to lasting loyalty. Hotels that offer rewards at the booking stage signal that they value each guest’s decision to stay with them. And here’s the kicker: once guests receive an unexpected reward, they’re more likely to return. They remember the incentive, the friendly agent, and that unique interaction as part of their booking experience.

Loyalty in the hotel industry has long relied on points-based programs that can feel a bit abstract. By integrating instant rewards into the call center, hotels can deliver immediate, memorable value to guests who may or may not be regulars. This approach democratizes loyalty, making each guest interaction meaningful, whether they’ve stayed with the property once or a dozen times. It’s a loyalty strategy with instant gratification at its core, and it’s effective.

Enhancing the Guest Interaction: Beyond Scripted Service

One of the biggest challenges in call centers is making each call feel personal and genuine, especially when agents are following scripts. Instant rewards can help agents break out of the mold and connect on a more authentic level. When guests feel that the agent is offering them a unique benefit—a reward tailored to the moment—it humanizes the booking experience.

With Laasie’s platform, agents using ResAgent can access a marketplace of over 1,000 instant rewards, enabling them to offer perks that match each guest’s profile and preferences. For example, if a guest mentions a business trip, an Uber credit or coffee gift card could be a winning offer. If it’s a family vacation, perhaps a free round of mini-golf or a local attraction pass. This approach turns a scripted booking call into an engaging conversation, where guests feel genuinely appreciated.

A Cost-Effective Strategy that Pays for Itself

In a time when acquisition costs are climbing and every booking matters, instant rewards offer a win-win scenario. Instead of discounting room rates or adding traditional amenities, hotels can use Laasie’s pay-for-performance model, which means you only pay when the rewards work. Plus, this approach can shift bookings from OTA channels to direct ones, saving on those dreaded commission fees.

By targeting the “almost-booked” guests who are on the verge of exiting the call, instant rewards focus spending where it matters most. When you only pay for rewards that secure bookings, every dollar spent is tied directly to revenue.

Integrating with Sabre’s ResAgent: Instant Rewards at Your Fingertips

The synergy between Laasie and Sabre’s ResAgent takes this strategy to the next level. Call center agents can now seamlessly offer and distribute rewards within the same system they’re already using. No extra steps or cumbersome processes; it’s all right there. The result? Smooth, efficient interactions that keep guests from feeling like they’re being handed off between systems.

Through Laasie’s marketplace, each reward is designed to be enticing and valuable to a broad spectrum of guests, ensuring that every “save the sale” effort has a high likelihood of success. Laasie’s rewards are integrated directly into ResAgent’s interface, meaning agents can focus on providing great service rather than toggling between systems.

Looking Forward: Make Every Call Count

The hotel call center has long been a critical point of contact for guests, yet in recent years, it’s been underutilized as a revenue driver. Adding instant rewards to the call center strategy transforms these interactions from simple service touchpoints to key conversion opportunities. “Save the sale” rewards provide a strategic nudge for hesitant guests, drive higher conversion rates, and create memorable, loyalty-building experiences.

As more hotels seek ways to stand out and reclaim revenue from OTAs, leveraging call centers with an instant rewards strategy becomes a competitive advantage. So, the next time a guest is on the line, about to say, “I’ll think about it,” your agents can turn the moment around, reminding them there’s no time like the present—and no reward like one that’s instant.

By integrating with Sabre’s ResAgent and partnering with Laasie, hotels can take full advantage of the power of instant rewards. Because why let a guest walk away when a well-timed reward can make them feel like they’ve already checked in?

Why Loyalty Tech Should Be a Must-Have in Your Hotel’s 2025 Budget

Loyalty technology has emerged as a vital component for hotels aiming to stay competitive, enhance guest satisfaction, and boost revenue. But as budgets are scrutinized and technology investments evaluated, why should loyalty tech find a prominent place in your 2025 budget? Let’s dive into the trends shaping the industry and why the right solution, like Laasie, could future-proof your hotel's success.

The Loyalty Evolution: Instant Gratification > Points

Gone are the days when points-based loyalty programs reigned supreme. Guests no longer want to jump through hoops, tracking points or waiting months to redeem a reward. Today's travelers, driven by convenience, want rewards here and now—instant gratification is the new loyalty currency.

That’s where Laasie sets itself apart. Traditional loyalty programs might offer the illusion of value with complex point systems, but in practice, they leave guests unengaged. Laasie’s instant rewards marketplace provides something tangible and actionable at the point of booking or even during their stay, making your loyalty strategy more compelling. As hotels strive to meet guests' modern expectations, allocating budget to solutions that deliver immediate value can keep you ahead of competitors stuck in the past.

Why Hotels Can't Afford to Ignore Loyalty Tech in 2025

According to industry insights, loyalty programs are evolving into data-rich engines that power guest personalization, direct bookings, and lifetime value strategies. In fact, research suggests hotels with strong loyalty programs outperform others in terms of guest retention and direct bookings—two key factors in staying competitive as online travel agencies (OTAs) continue to siphon away business.

Here’s why loyalty tech should be a top priority for 2025:

1. Personalization is Power: The future of hotel loyalty lies in personalized guest experiences. Loyalty tech doesn’t just drive repeat bookings—it gives you the data to understand your guests better. Laasie’s platform integrates with your Property Management System (PMS), Central Reservation System (CRS), and Customer Relationship Management (CRM) tools, providing actionable guest insights in real-time. First-party data collection will only grow in importance as third-party cookies phase out.

2. Direct Booking Conversion: If increasing direct bookings is a priority for your hotel in 2025 (hint: it should be), loyalty tech will help you achieve that goal. While traditional loyalty programs offer deferred rewards, Laasie’s Convert Web product is designed to drive immediate action with real-time incentives. With a 43% conversion lift, it's clear that rewarding lookers at the moment of interest turns them into bookers.

3. Cost-Effective Solutions: Traditional loyalty programs can be costly to maintain, requiring significant investments in marketing, administration, and technology. In contrast, Laasie offers a pay-for-performance model, meaning you only pay when the solution delivers value. The platform can be implemented in a matter of weeks, not months, making it a budget-friendly choice for independent hotels and groups looking for quick, effective results.

4. Flexible and Scalable: Unlike rigid points-based systems, Laasie’s Flex On Demand product allows you to reward guests for almost anything, anytime—whether it’s solving a service recovery issue, offering a booking incentive, or enhancing a group stay. The flexibility of the product allows hotels to adapt to market changes and guest preferences, which is key in today’s fast-moving hospitality landscape.

5. The OTA Factor: As OTAs continue to grow their market share, hotels need tools to shift that share back to direct channels. Investing in loyalty technology that offers guests tangible rewards—whether through rate parity or immediate booking incentives—can be the key to reducing your OTA dependency. Laasie Retain helps you do just that by integrating seamlessly with your existing systems, giving you control over your loyalty strategy and, more importantly, your data.

Future-Proofing Your 2025 Budget

While loyalty programs are not a new concept, the technology behind them has radically transformed. A points-based system might offer incremental rewards, but it doesn’t match the pace or preferences of today’s travelers. The shift towards immediate rewards is more than a trend; it’s the future of loyalty. Budgeting for loyalty tech in 2025 means investing in a guest-centric strategy that drives real-time engagement, fosters repeat business, and boosts your direct booking rates—all while providing a cost-effective solution that delivers measurable ROI.

Part 1: The Shift from Points to Instant Rewards & Milestones

The Limitations of Traditional Points-Based Programs

For years, points-based loyalty programs have been the industry standard. Guests accumulate points over time and redeem them for rewards once they've reached a threshold. While this method works for large brands with widespread appeal, it often fails to deliver the same level of engagement and satisfaction in small to mid-sized hotel groups. Why?

• Delayed Gratification: Guests need to stay multiple times before seeing any benefit, which can feel unattainable for travelers who aren’t frequent visitors.

• Complexity: Points-based systems can be confusing, with different rates of accumulation depending on booking channel, room type, or even seasonality.

• Competition: Independent hotels are up against large brands with vast resources. A guest may prefer a Marriott points system simply because it's global, creating a steep uphill battle for smaller groups.

The Rise of Instant Rewards and Milestone Programs

Instant reward programs, on the other hand, offer immediate value and drive engagement from the very first interaction. Instead of waiting for a large accumulation of points, guests can earn rewards during their stay, or even at the moment of booking. This strategy creates an instant emotional connection and encourages repeat business.

• Guest Experience Enhancement: Instant rewards like discounts on dining, room upgrades, or access to exclusive experiences can surprise and delight guests. It's an immediate reminder of why they should choose your hotel over a competitor.

• Simplicity: Rewarding behavior immediately—whether booking directly, referring friends, or engaging with your hotel on social media—makes the system transparent and easy to understand.

• Increased Ancillary Spend: When a guest receives an instant reward, they are more likely to spend additional money at your property, enhancing your revenue.

Milestones: A Balanced Approach

Milestone programs reward guests for reaching specific achievements, like their 5th, 10th, or 20th stay. Unlike points, which may seem abstract, these milestones are concrete moments guests can look forward to. Pairing instant rewards with milestones ensures both immediate engagement and long-term loyalty, without the frustrations of waiting to accumulate points.

Part 2: How to Implement a Successful Loyalty and Reward Strategy

Define Your Goals and Audience

Before implementing any loyalty strategy, it’s essential to clearly define your hotel group’s goals. Are you aiming to increase repeat bookings, encourage direct bookings, or boost ancillary revenue from guests?

• Target Audience: Understand the needs and preferences of your ideal guest. Are they leisure travelers, business guests, or a mix of both? This will help shape the types of rewards and experiences that will appeal most.

• Measuring Success: Whether you want to boost direct bookings by 20%, or increase repeat guests by 15%, set measurable goals that will guide your program’s success.

Choose the Right Technology Platform

The technology behind your loyalty program should be seamless and easy to use for both you and your guests. An ideal solution integrates with your hotel’s existing Property Management System (PMS) or Central Reservation System (CRS), enabling you to track guest interactions and offer real-time rewards.

• Flexibility: Ensure the platform allows for customizations—whether you want to reward guests for staying during low-demand periods or offer bonuses for social media engagement.

• Data Collection: Make sure the system captures valuable guest data. First-party data from loyalty programs is crucial for personalization, helping you tailor future offers and rewards to each guest’s preferences.

Incentivize Direct Bookings

One of the primary benefits of a well-structured loyalty program is the ability to incentivize direct bookings, helping you avoid hefty commissions from OTAs (Online Travel Agencies).

• Offer Instant Rewards at Booking: Provide rewards like discounts or free amenities for guests who book directly through your website, reinforcing the value of bypassing third-party channels.

• Personalized Experiences: Use data from previous stays to offer customized rewards at the booking stage, such as a room upgrade for a repeat business traveler or a spa discount for leisure guests.

Part 3: Maintaining and Evolving Your Loyalty Program

Keeping Guests Engaged Over Time

Launching a loyalty program is just the first step. To maintain engagement and drive repeat business, you need to continuously interact with your guests, offering new rewards and staying relevant in their travel planning.

• Dynamic Rewards: Rotate and refresh rewards based on seasonality, local events, or new services at your hotel. This creates urgency for guests to return and take advantage of limited-time offers.

• Guest Feedback Loop: Regularly collect guest feedback to understand which rewards are most appealing and where there may be room for improvement. Encourage feedback through surveys or reward incentivized reviews.

Personalized Loyalty Marketing

Leverage the first-party data collected through your loyalty program to offer personalized marketing. Segment guests by travel patterns, preferences, and spending habits to send targeted offers that feel unique.

• Triggered Messaging: Set up automated emails or text messages triggered by specific guest actions, like completing a booking or reaching a milestone. For instance, a guest may receive a “Congrats on your 5th stay!” message with a complimentary room upgrade offer.

• Loyalty-Driven Promotions: Offer exclusive promotions to loyalty members that aren’t available to the general public. This could be special rates, access to events, or early booking windows for high-demand periods.

Continuously Measure and Adjust

To ensure your loyalty and reward strategy remains effective, consistently track key performance indicators (KPIs) like repeat booking rates, direct bookings, and ancillary revenue. Adjust the program based on what’s working—and what’s not.

• A/B Testing: Experiment with different rewards and offers to see what resonates most with your guests. Try offering a local experience reward in one instance and a room upgrade in another, and compare the results.

• Analyze Milestone Effectiveness: Evaluate whether your milestone rewards are prompting the desired level of guest retention and loyalty. If certain milestones aren’t driving repeat visits, reconsider the reward or timing.

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The Future of Guest Loyalty

Independent hotels and small groups need a fresh approach to guest loyalty. By shifting from traditional points programs to more flexible and engaging instant rewards and milestone strategies, you can cultivate deeper connections with guests and drive both short- and long-term revenue growth.

At Laasie, we believe that the future of loyalty lies in immediacy, personalization, and measurable success. Our platform allows hotel groups to offer compelling, instant rewards that keep guests coming back—no matter their size or market position.

Laasie, a leading innovator in customer loyalty solutions for the hospitality industry, is proud to announce its partnership with Skipper, the premier travel booking platform. This strategic collaboration is set to transform the travel industry by integrating Laasie's instant rewards and loyalty programs with Skipper's seamless booking experience.

With this partnership, Laasie and Skipper aim to disrupt traditional travel booking models and elevate customer loyalty to new heights. By combining Laasie's instant reward marketplace with Skipper's user-friendly platform, travelers will now enjoy unparalleled benefits, including instant rewards and personalized booking experiences.

"We are thrilled to partner with Skipper to bring a new level of innovation to the travel industry," said Ellis Connolly, Chief Revenue Officer at Laasie. "This collaboration aligns perfectly with our mission to provide hotels with the tools they need to enhance guest loyalty and drive revenue. Together, we are setting a new standard for travel bookings and loyalty programs."

Skipper's platform is designed to simplify the booking process, offering travelers a streamlined experience from start to finish. By integrating Laasie's loyalty solutions, Skipper users will have access to instant rewards from a diverse range of global merchants, making each booking more rewarding and engaging.

"Partnering with Laasie is a strategic step forward for Skipper," said Jason Shames, CEO of Skipper. "Our goal has always been to provide travelers with the best possible booking experience with the least amount of friction. With this partnership with Laasie, we can now offer our users instant gratification and a more personalized journey, ultimately fostering greater customer loyalty."

The integration of Laasie's technology with Skipper's platform ensures that hotels can easily implement these enhancements without any disruptions to their existing operations. Additionally, hotels can now incorporate on-property rewards within the Laasie reward marketplace, driving significant ancillary spend from guests. This includes rewards for dining, spa services, and other amenities, further enhancing the guest experience and boosting hotel revenue and loyalty.

As the travel industry continues to evolve, Laasie and Skipper are committed to staying at the forefront of innovation. This partnership represents a significant leap forward in delivering value to travelers and hoteliers alike.

About Laasie

Laasie powers a new kind of loyalty for over 3,000 lodging partners through AI and a network of 1,000+ instant gratification partners. No points, no tiers, no waiting for qualification. Laasie uses artificial intelligence and big data to dynamically create loyalty with personalized, instant rewards that motivate customer actions like booking directly, making a return visit, joining a marketing program for offers, and more. The result? Customers enjoy enriched experiences with each brand interaction and partners benefit with increased net revenue, actionable data insights, strengthened customer relationships, and a scalable loyalty program that increases the lifetime value of every customer. For more information, visit www.laasie.ai

About Skipper

Skipper is a hotel & resort reservation platform that makes it easy for guests to book everything a hotel has to sell: rooms, dining, and more. Skipper increases booking conversion rates by keeping the guest on the marketing website throughout the transaction and allows guests to pay with digital wallets. Implementation is as easy as inserting a few lines of code on the hotel's website. For more information, visit www.skipperhospitality.com

Source

Ever wondered if there's a way to make hotel guests feel like royalty without your revenue team staging a rebellion? Welcome to the world of "new member rate" strategies, where we sprinkle a little bit of financial wizardry to create win-win scenarios for both hotels and their beloved guests.

The Classic Dilemma: Discount or Perish?

Traditionally, hotels have tried to woo guests with hefty discounts. It’s a noble effort, but let’s face it: slashing 20% off your room rate is like giving away the crown jewels. Sure, it attracts attention, but at what cost? Your margins get thinner, and your revenue takes a hit. But what if we told you there’s a better way? A way where you can keep more of your revenue and still have guests singing your praises?

Enter the Member Rate + Instant Reward Strategy

Here’s the secret sauce: instead of offering a 20% off member rate, offer a 10% off member rate with a high perceived value instant reward, like a $25 local experience that costs the hotel only $2.50. The result? You retain more revenue from the reservation, and the guest feels like they just hit the jackpot.

Imagine a guest named Linda, an avid traveler. She’s shopping around for a hotel and sees two options. Hotel A offers a 20% discount, and Hotel B (that’s you!) offers a 10% discount plus a $25 credit to a local experience. Linda picks Hotel B, feeling like she’s gotten a fantastic deal, while you smile knowing you've kept more revenue in the till.

Why This Works: The Psychology of Value

The beauty of this strategy lies in perceived value. Guests love instant rewards because they feel like they’re getting something extra, something special. A instant reward or a digital voucher is tangible, immediate, and gratifying. It’s not just a discount; it’s a little gift that says, “We value you.”

From the hotel's perspective, the actual cost of these rewards is significantly lower than the face value, meaning you’re not giving away the farm to keep your guests happy.

Aligning with Direct Booking Strategies

This approach aligns perfectly with direct booking strategies. When guests book directly through your website to access these exclusive member rates and rewards, you sidestep the hefty commissions charged by Online Travel Agencies (OTAs). This means higher-margin reservations and better control over the guest experience.

Impact Across Marketing Funnels

Let’s dive into the ripple effects this strategy can have across your marketing efforts:

1. Higher Digital Marketing ROI: Incorporating the member rate + instant reward into your digital ads can significantly improve your click-through and conversion rates. Guests are more likely to click on an ad promising an exciting reward rather than a simple discount.

2. Higher Conversions within Meta: Meta search channels, where hotels compete directly on price, become a battleground for creativity. The promise of an instant reward can set you apart from competitors who are simply slashing prices.

3. Increased Loyalty Member Enrollments: Offering attractive member rates with instant rewards is a compelling reason for guests to sign up for your loyalty program. More members mean more repeat bookings and a more robust customer database for targeted marketing.

The Bottom Line: More Revenue, Happier Guests

By leveraging the member rate + instant reward strategy, hotels can retain more revenue while still offering something enticing to guests. It’s a smarter way to discount, ensuring that both the guest and the hotel come out ahead.

So, next time you're pondering how to attract more guests without breaking the bank, remember: a little bit of creativity and a touch of instant gratification can go a long way. Offer a member rate with an instant reward and watch your occupancy rates—and guest satisfaction—soar.

And remember, in the hotel business, keeping everyone happy (including your revenue team) is the ultimate luxury.

The Case for Instant Rewards

Loyalty programs have long been synonymous with points accumulation. Guests earn points for their stays and other activities, which they can later redeem for rewards. However, the evolving preferences of modern travelers have sparked a shift in how loyalty is cultivated. Today's guests crave immediacy and personalization, favoring instant gratification over the slow burn of point accumulation. At Laasie, we believe that hotels can achieve remarkable loyalty outcomes without relying on points-based programs by leveraging instant rewards. Here’s how.

1. Instant Gratification Drives Engagement

For Guests: Modern travelers are accustomed to instant results and quick benefits in various aspects of their lives, from social media likes to fast food delivery. This same expectation applies to their hotel experiences. Instant rewards cater to this desire by providing immediate perks and recognition, which can significantly enhance guest satisfaction.

For Hotels: Offering instant rewards creates a more dynamic and engaging guest experience. It turns each interaction into an opportunity to delight and surprise, fostering a stronger emotional connection with the brand.

2. Personalized Rewards Increase Perceived Value

For Guests: Personalized rewards feel more special and relevant to individual guests. Whether it’s a complimentary drink at the bar, a discount on a future stay, or an exclusive local experience, these tailored perks show that the hotel understands and values each guest’s unique preferences.

For Hotels: Personalized rewards can lead to higher redemption rates and greater guest satisfaction. They also provide valuable insights into guest preferences and behaviors, which can inform future marketing strategies.

3. Simplified Loyalty Programs Enhance Usability

For Guests: One of the common complaints about points-based programs is their complexity. Guests often find it challenging to understand how to earn and redeem points, which can deter participation. Instant rewards simplify the process, making it easy for guests to see and enjoy their benefits immediately.

For Hotels: Simplified loyalty programs reduce administrative burdens and improve operational efficiency. They also make it easier to communicate the benefits of the program to guests, increasing participation rates.

Implementing Instant Rewards: Practical Strategies

1. Welcome Gifts and Upgrades

Upon check-in, surprise your guests with a small gift or an unexpected room upgrade. This instant reward can set a positive tone for their stay and increase their overall satisfaction.

2. On-Site Spending Incentives

Encourage guests to explore your hotel's amenities by offering instant rewards for on-site spending. For example, provide a discount on spa services, a complimentary dessert at the restaurant, or a free drink at the bar.

3. Special Occasion Celebrations

Recognize and celebrate your guests' special occasions, such as birthdays or anniversaries, with personalized rewards like a complimentary cake, a bottle of wine, or a spa treatment.

4. Social Media Engagement

Reward guests for engaging with your hotel on social media. Offer instant rewards for actions like checking in, posting a photo with a designated hashtag, or leaving a review.

5. Eco-Friendly Incentives

Promote sustainability by offering rewards for eco-friendly actions. Guests who participate in towel reuse programs, opt for digital receipts, or choose other green options can receive instant benefits like discounts or vouchers.

6. Referral Bonuses

Encourage guests to refer friends and family by providing instant rewards for successful referrals. This could be in the form of a discount on their next stay or a gift card for use at the hotel.

7. Gamification Elements

Introduce gamification into your loyalty strategy by offering rewards for completing certain challenges or activities. This could include exploring specific parts of the hotel, participating in events, or using particular amenities.

Real-World Success Stories

Many hotels have successfully transitioned from points-based programs to instant rewards with outstanding results. For instance, one of our clients saw a 25% increase in direct bookings within six months of implementing an instant rewards program. Guests appreciated the immediacy and relevance of the rewards, leading to higher satisfaction rates and more positive reviews.

In the era of instant gratification, hotels can no longer rely solely on traditional points-based loyalty programs. By adopting a strategy focused on instant rewards, hotels can meet the evolving expectations of modern travelers, enhance guest engagement, and drive loyalty. At Laasie, we’re dedicated to helping hotels implement innovative loyalty strategies that deliver exceptional outcomes. No guest loyalty points? No problem. With instant rewards, your hotel can create a compelling loyalty program that delights guests and boosts your bottom line.

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Where guest preferences are continually evolving and large hotel chains dominate with extensive resources, independent hotels face unique challenges. Among these is the imperative to cultivate guest loyalty in an era where Online Travel Agencies (OTAs) like Expedia, with its newly launched OneKey loyalty program, and major hotel brands lure guests with sophisticated loyalty schemes. Let's explore the latest trends in hotel loyalty programs and demonstrate how independent hotels can leverage a robust loyalty strategy to stay competitive and drive guest engagement.

Today's Hotel Loyalty Programs

Hotel loyalty programs have long been a cornerstone of guest retention strategies, providing rewards and incentives that foster repeat bookings. However, the landscape is rapidly evolving, driven by technological advancements, shifting consumer expectations, and intensified competition from OTAs and large hotel chains. Here are some of the key trends shaping modern loyalty programs:

Personalization is Paramount

Today's travelers expect highly personalized experiences that cater to their individual preferences and behaviors. According to a recent survey by Accenture, 91% of consumers are more likely to shop with brands that provide relevant offers and recommendations. In the context of hotel loyalty programs, personalization involves tailoring rewards, communications, and experiences to align with guest preferences.

With a well-designed loyalty strategy, you can tap into the power of personalization. By using data analytics and AI, your strategy can deliver customized offers and rewards based on guest profiles and booking history. This way, every guest feels like they’re getting something uniquely tailored to them, which boosts satisfaction and loyalty.

Instant Gratification Over Points Accumulation

Traditional loyalty programs often rely on point accumulation, where guests earn points over time to redeem for future rewards. However, there is a growing shift towards instant gratification, where guests receive immediate rewards and incentives. This approach resonates particularly well with modern travelers who seek quick benefits and immediate value.

By incorporating instant rewards into your loyalty strategy, you can provide guests with immediate incentives like discounts or exclusive offers right when they book. This not only delights your guests but also encourages them to choose your hotel repeatedly, creating a cycle of ongoing loyalty.

Integration of Technology

Technology is revolutionizing the way loyalty programs operate. Mobile apps, chatbots, and AI-driven platforms are streamlining the loyalty experience, making it more accessible and convenient for guests. Moreover, blockchain technology is emerging as a tool for enhancing transparency and security in loyalty programs.

A strong loyalty strategy will integrate seamlessly with your existing booking systems. Utilizing AI ensures that rewards and communications are always timely and relevant. This tech-driven approach simplifies the management of your loyalty program and enhances the overall guest experience.

Gamification

Gamification adds an element of fun and engagement to loyalty programs by incorporating game-like elements such as challenges, leaderboards, and rewards for completing specific actions. This trend is gaining traction as a way to enhance guest interaction and motivate repeat bookings.

Incorporating gamification into your loyalty strategy can turn your loyalty program into an engaging experience. Think of it as turning guest interactions into a game where everyone wins—guests get exciting rewards, and you get increased bookings.

Sustainability and Social Responsibility

As sustainability and social responsibility become increasingly important to consumers, loyalty programs are evolving to reflect these values. Hotels are incorporating eco-friendly rewards and charitable giving options into their loyalty schemes, aligning with guests’ desire to make a positive impact.

Your loyalty strategy can support sustainable and socially responsible rewards. This means offering incentives that not only appeal to your guests but also reflect their values, like eco-friendly rewards or charitable donations, making your loyalty program even more appealing.

The Imperative for Independent Hotels

Independent hotels often operate with fewer resources than their chain counterparts, making it challenging to compete on the same level. However, a well-crafted loyalty strategy can level the playing field by driving guest retention, increasing direct bookings, and differentiating the hotel in a crowded marketplace.

Competing with Large Brands

Large hotel chains have the advantage of extensive loyalty programs with vast networks of properties, providing guests with a wide range of earning and redemption options. Independent hotels, on the other hand, can struggle to match this scale. However, they can compete effectively by offering unique, personalized experiences and rewards that large brands may not be able to replicate.

With a robust loyalty strategy, you can offer highly personalized rewards and experiences. By tailoring the rewards to match the unique charm of your hotel, you can create something truly special that stands out from the big chains.

Countering OTA Dominance

OTAs like Expedia have a significant influence on the booking landscape, often providing loyalty programs that encourage guests to book through their platforms rather than directly with hotels. The launch of Expedia’s OneKey loyalty program, which consolidates multiple rewards into a single currency, further intensifies this competition.

A strong loyalty strategy is designed to encourage direct bookings by offering guests compelling incentives when they book directly with you. This helps you reduce dependency on OTAs and build stronger relationships with your guests.

Enhancing Guest Engagement

Independent hotels have the opportunity to build stronger, more personal relationships with their guests compared to larger brands. A well-designed loyalty program can enhance this engagement by offering rewards and experiences that reflect the unique character and strengths of the hotel.

Your loyalty strategy should focus on enhancing these personal connections. By engaging with your guests through tailored rewards and communications that reflect the unique character of your hotel, you can foster guest loyalty and drive repeat business.

Benefits of Implementing a Loyalty Strategy

Implementing a robust loyalty strategy offers numerous benefits for independent hotels, including increased guest retention, higher revenue, improved brand loyalty, enhanced guest experience, and operational efficiency. Let’s dive deeper into these benefits and explore key metrics that demonstrate the impact of a well-designed loyalty program.

Increased Guest Retention

A well-executed loyalty program incentivizes repeat bookings, reducing guest churn and fostering long-term relationships. According to a study by Harvard Business Review, increasing customer retention rates by 5% can increase profits by 25% to 95%.

Metrics to track:

• Repeat Guest Rate: Measure the percentage of guests who return for additional stays within a specific period. A higher rate indicates better retention.

• Customer Lifetime Value (CLV): Calculate the total revenue generated by a guest throughout their relationship with your hotel. A successful loyalty strategy should increase the CLV.

• Churn Rate: Monitor the percentage of guests who do not return. A decrease in the churn rate suggests improved retention.

Higher Revenue

Loyalty program members tend to spend more than non-members, both in terms of booking frequency and total spend per stay. This increased revenue can be attributed to the enhanced value perception and personalized offers provided through the loyalty program.

Metrics to track:

• Revenue per Available Room (RevPAR): Evaluate the total room revenue divided by the number of available rooms. Higher RevPAR indicates more efficient revenue generation.

• Average Daily Rate (ADR): Track the average revenue earned per occupied room. Loyalty programs that drive higher rates and upsell opportunities can increase ADR.

• Incremental Revenue from Loyalty Members: Measure the additional revenue generated by loyalty program members compared to non-members.

Improved Brand Loyalty

A strong loyalty program builds brand loyalty by creating positive associations and fostering emotional connections with guests. This loyalty translates into increased word-of-mouth referrals, higher guest satisfaction, and a stronger competitive position.

Metrics to track:

• Net Promoter Score (NPS): Assess guest satisfaction and willingness to recommend your hotel. A higher NPS indicates stronger brand loyalty and positive guest experiences.

• Referral Rate: Monitor the rate at which loyalty members refer friends or family to your hotel. An effective loyalty strategy should increase referral rates.

• Social Media Engagement: Track mentions, shares, and reviews on social media platforms. Positive engagement reflects strong brand loyalty.

Enhanced Guest Experience

A personalized loyalty program enhances the guest experience by providing tailored rewards and seamless interactions. This leads to higher satisfaction and a more memorable stay.

Metrics to track:

• Guest Satisfaction Score: Use post-stay surveys to measure guest satisfaction with their overall experience and the loyalty program. High scores indicate a positive impact on the guest experience.

• Engagement Rate: Evaluate the participation rate in loyalty activities and the redemption rate of rewards. Higher engagement rates suggest that guests find the program valuable and enjoyable.

• Guest Feedback and Reviews: Analyze comments and ratings related to the loyalty program. Positive feedback indicates an enhanced guest experience.

Differentiation in a Competitive Market

In a crowded marketplace, a unique and compelling loyalty program can differentiate an independent hotel from its competitors. By offering distinctive rewards and experiences, hotels can attract guests who are seeking more than just a place to stay.

Metrics to track:

• Market Share: Monitor your hotel’s share of bookings relative to competitors. An effective loyalty strategy should help increase your market share.

• Competitive Set Analysis: Compare your hotel's performance metrics (e.g., occupancy rates, ADR) against a set of competitors. Improvements relative to competitors indicate successful differentiation.

• Direct Booking Ratio: Track the proportion of bookings made directly through your hotel’s website or channels versus OTAs. A higher direct booking ratio signifies effective differentiation and reduced OTA dependency.

Operational Efficiency

A well-implemented loyalty program can streamline operations by automating reward management, enhancing guest communication, and providing actionable insights through data analytics.

Metrics to track:

• Cost per Acquisition (CPA): Measure the cost of acquiring new loyalty members versus the cost of acquiring non-members. A lower CPA for loyalty members indicates operational efficiency.

• Redemption Efficiency: Evaluate the time and resources required to manage reward redemptions. Efficient processes reduce costs and improve guest satisfaction.

• System Integration: Monitor the seamless integration of the loyalty program with your existing systems. Effective integration reduces manual efforts and operational bottlenecks.

Implementing a Successful Loyalty Strategy

To successfully implement a loyalty program, independent hotels need to consider several key elements, including program design, technology integration, and ongoing engagement strategies.

Define Clear Objectives

Hotels should start by defining clear objectives for their loyalty program, such as increasing direct bookings, enhancing guest retention, or boosting revenue. These objectives will guide the design and implementation of the program.

Defining clear objectives will ensure that your loyalty strategy aligns with your overall business goals and delivers the desired outcomes.

Choose the Right Rewards

Selecting the right rewards is crucial to the success of a loyalty program. Rewards should be relevant, valuable, and aligned with guest preferences. Hotels should consider a mix of instant rewards, experiential rewards, and exclusive offers.

Choose and customize rewards that are perfect for your guests. Offering a diverse range of reward options allows you to create a loyalty program that’s as unique as your hotel and as enticing as possible for your guests.

Leverage Technology

Integrating technology into the loyalty program enhances its efficiency and effectiveness. This includes using AI for personalization, mobile apps for accessibility, and data analytics for tracking performance.

Embrace the latest technology. AI-driven platforms that integrate smoothly with your existing systems make it easy to manage your loyalty program and provide personalized rewards that delight your guests.

Engage and Communicate

Ongoing engagement and communication are essential to maintaining the success of a loyalty program. Hotels should regularly communicate with members through email, social media, and in-person interactions to keep them informed and engaged.

Include tools to keep your guests engaged. Features for targeted messaging and updates ensure that your guests stay informed and connected to your loyalty program.

In an increasingly competitive hospitality landscape, independent hotels must adopt innovative loyalty strategies to compete with large brands and OTAs like Expedia. By embracing the latest trends in hotel loyalty programs—such as personalization, instant rewards, and technological integration—and leveraging a well-crafted loyalty strategy, independent hotels can enhance guest engagement, drive direct bookings, and build lasting relationships with their guests.

Implementing a robust loyalty strategy not only levels the playing field but also positions independent hotels to thrive in a dynamic and competitive market. With a thoughtful approach and the right tools, independent hotels can create loyalty programs that deliver immediate value, foster guest loyalty, and ultimately, drive long-term success.

For more information on how to develop and implement an effective loyalty strategy tailored to your hotel’s needs, consider collaborating with the team at Laasie and leveraging advanced loyalty software solutions that can provide the necessary support and technology integration needed to compete in today's market.

The dream of building a rock-solid loyalty strategy that transforms casual visitors into raving fans can often feel like a mirage. You’ve got the perks, the points, the potential… and yet, your loyalty strategy isn’t winning hearts or bookings. Why? Let’s dive into the top three reasons your hotel loyalty strategy is not working and how to fix them. And spoiler alert: Laasie’s white-label loyalty platform might just be the fairy godmother you need.

No One Is Redeeming Anything: The Ghost Town of Rewards

Why It’s Failing: Imagine throwing a lavish party and no one shows up. That’s your loyalty program when guests don’t redeem their rewards. The shiny points pile up but remain untouched, like the vegetables in a child’s dinner plate. The problem? Your rewards are either irrelevant, unreachable, or both.

How to Fix It:

• Offer Tangible Value: Ensure your rewards are desirable and accessible. Instead of points that feel like Monopoly money, offer tangible benefits like room upgrades, free nights, or spa vouchers.

• Simplify the Redemption Process: If redeeming points requires guests to jump through hoops or solve a Rubik’s Cube, they’ll lose interest faster than a cat in a dog park. Make the redemption process straightforward and hassle-free.

• Personalize the Rewards: Use data to tailor rewards to individual preferences. A business traveler might value a free breakfast, while a family on vacation could prefer amusement park tickets.

Enter Laasie: With Laasie’s smart loyalty platform, guests can redeem a variety of rewards with a single click. It integrates seamlessly into your hotel’s existing systems, offering real-time, customized rewards that align perfectly with what your guests actually want. Think of it as transforming your loyalty program from a boring conference room into a lively, engaging carnival.

Points Without a Purpose: Insufficient Geographic Breadth

Why It’s Failing: Your loyalty program is a points-only system, but you’re not exactly Marriott or Hilton with hotels in every city from Albuquerque to Zanzibar. Without a broad network of properties, guests have nowhere to spend their hard-earned points, making your loyalty program about as useful as a chocolate teapot.

How to Fix It:

• Offer Instant Rewards: Consider incorporating a reward strategy that allows guest to select rewards to be use during their stay.

• Add Non-Hotel Rewards: Introduce flexible redemption options that aren’t limited to your own hotels. Guests can choose instant rewards like local experiences, gift cards, or even charitable donations.

Enter Laasie: Laasie’s platform doesn’t just stop at hotel stays. It offers a cornucopia of rewards that transcend the physical boundaries of your hotel network. From e-gift cards to exclusive experiences, Laasie expands the universe of redemption options, making your loyalty program relevant and exciting even if you have just one charming bed-and-breakfast.

You’re Not Owning the Payment Moment: Missing the Magic at the Confirmation Page

Why It’s Failing: The confirmation page is where the magic happens. It’s the moment your guest has decided to stay with you, and their dopamine levels are through the roof. Yet, if your loyalty program isn’t front and center at this crucial juncture, you’re missing out on an opportunity to solidify their loyalty. Ignoring the confirmation page is like forgetting the grand finale in a firework display—anticlimactic and disappointing.

How to Fix It:

• Highlight Rewards: Clearly display the instant rewards or benefits they’ve earned with this booking.

• Offer Immediate Incentives: Provide an instant reward or discount for booking directly or joining the loyalty program at the confirmation page.

• Encourage Engagement: Prompt them to explore their rewards or how they can earn more, right there, right then.

Enter Laasie: Laasie’s white-label platform integrates seamlessly at the booking confirmation stage, turning it into a powerful engagement tool. Imagine your guests being immediately offered a reward—like a discount on their next stay or a complimentary breakfast—right as they complete their booking. This instant gratification not only enhances their experience but also reinforces their decision to book with you, solidifying their loyalty while the excitement is still fresh.

Bringing It All Together: The Laasie Effect

Laasie’s white-label loyalty platform is like a trusted compass guiding you through the storm. Here’s how it transforms your loyalty strategy:

• Real-Time Rewards: Offers a dynamic range of real-time rewards that can be redeemed effortlessly, ensuring your guests feel valued and engaged.

• Flexibility: Expands redemption options beyond just hotel stays, making your loyalty program appealing even if you’re not a global hotel chain.

• Engagement at Crucial Moments: Enhances the booking experience by owning the confirmation page, offering immediate incentives that boost satisfaction and loyalty.

With Laasie, your loyalty program evolves from a static exercise into a vibrant, engaging ecosystem where guests are excited to participate and redeem. You’re not just building loyalty; you’re creating memorable experiences that guests will cherish and return for.

Make Loyalty Work for You

To sum it up, if your hotel loyalty strategy feels like it's stuck in the mud, it's time to re-evaluate and revamp. Focus on making rewards redeemable, expand your redemption options beyond your hotel network, and capture the magic at the booking confirmation page. Laasie’s white-label loyalty platform offers the perfect toolkit to address these issues and transform your loyalty program from a lackluster effort into a show-stopping success. So, dust off that loyalty strategy, sprinkle some Laasie magic, and watch your guest satisfaction—and bookings—soar.

Because let’s face it, a great loyalty program should feel more like a joyous homecoming and less like an algebra exam.

As the Chief Revenue Officer at Laasie, a leading provider of innovative loyalty solutions, I've often found myself marvelling at the intricate dance between consumer behavior and loyalty strategies within the travel industry. The evolution of loyalty programs in the travel vertical has been a thrilling voyage—one where adaptability and creativity steer the ship towards success.

Historically, hotel loyalty programs were akin to a pot of gold at the end of a rainbow—a destination one would strive to reach after numerous stays. However, in this modern era, where time is the ultimate luxury and attention spans are fleeting, the game has transformed. Enter the era of instant gratification—a potent elixir in the world of loyalty programs.

Let's dissect why instant gratification wields such incredible power within hotel loyalty and rewards programs.

Evolution of Loyalty Programs in Travel: From Milestones to Moments

In the travel realm, loyalty strategies have morphed from a focus on accumulating points or reaching specific milestones towards a more nuanced approach. Brands now understand that loyalty isn't a one-size-fits-all equation. A personalized experience reigns supreme, with each brand having its unique DNA, catering to a diverse array of traveler preferences.

This evolution echoes the changing dynamics of consumer expectations—where instant gratification has emerged as a key player. Guests no longer wish to wait eons to reap the benefits of their loyalty. They seek immediate acknowledgment, tangible rewards, and experiences that resonate with them from the get-go.

Diverse Loyalty Strategies: One Size Doesn't Fit All

Loyalty strategies within the hotel industry are as diverse as the guests they serve. What might be a winning formula for one brand could be a complete mismatch for another. Some brands thrive by offering tiered perks and exclusive experiences, while others find success in the simplicity of instant rewards for every interaction.

Understanding these nuances and tailoring loyalty programs to match the brand's ethos and customer base is crucial. It's similar to the art of crafting a bespoke suit—meticulously designed to fit and accentuate the unique characteristics of the wearer.

The Science Behind Instant Gratification: A Magnetic Force in Loyalty Programs

Why does instant gratification wield such magnetic appeal? The answer lies in the intricate workings of our brains. The surge of dopamine—a neurotransmitter associated with pleasure and reward—when individuals receive instant gratification is like a delightful fireworks display within our neural circuitry.

It's not just about the reward itself; it's about the immediate joy, the sense of recognition, and the emotional connection established in that moment. Leveraging this neurological phenomenon within loyalty programs can significantly elevate guest engagement and loyalty.

Incorporating Instant Gratification: A Must-Have in Loyalty Strategies

Instant gratification should undoubtedly take center stage in the playbook of every hotel's loyalty strategy. It's not about replacing traditional rewards but about complementing them. A well-crafted loyalty program is like a symphony, where instant gratification adds the perfect crescendo—the moment that resonates deeply with the guest, fostering a bond that transcends transactional interactions.

As we navigate the ever-evolving landscape of hotel loyalty programs, remember this: the power of instant gratification lies not just in its immediacy but in its ability to forge emotional connections and transform guests into loyal advocates.

In the world of loyalty, striking the right balance between instant gratification and timeless rewards is akin to concocting the perfect cocktail—a blend that delights and leaves a lasting impression.

Ellis Connolly
Chief Revenue Officer
Laasie

Guess what? The wait is over! Episode 2 of our video series, "Reward Your World" with Spencer Orr from Laasie, is now live!

In this episode, Spencer delves into the world of loyalty and first-party data. Say goodbye to boring loyalty systems and hello to instant gratification that'll have your guests feeling like VIPs faster than you can say "room service"! Spencer reveals insider secrets on how to create unforgettable guest experiences that keep them coming back for more and how properties can leverage rewards to collect the evermore important, first party guest data!

Watch episode 2: Rewarding First Party Data (5 mins) here.

While the hospitality industry is constanly changing, one thing remains constant: the pursuit of guest satisfaction. As hoteliers, your mission is clear—to create unforgettable experiences that keep guests coming back time and time again. But in an era where competition is fierce and guest expectations are higher than ever, how can your hotels stand out from the crowd?

The answer lies in reimagining the traditional approach to guest recognition and loyalty programs. For independent hotel groups, gone are the days of cumbersome point systems and lengthy redemption processes. Today's guests crave instant gratification and personalized experiences that speak to their individual preferences and desires. That's where Laasie comes in.

Laasie is not just another loyalty platform—it's a game-changer for the hotel industry. By offering instant rewards and personalized perks, Laasie helps hotels forge deeper connections with their guests and foster long-term loyalty. But what sets Laasie apart from other rewards programs? Let's take a closer look.

Instant Gratification, Unforgettable Experiences

One of the biggest frustrations with traditional loyalty programs is the delay between earning points and redeeming rewards. With Laasie, guests can enjoy instant gratification from the moment they check-in. Whether it's a complimentary room upgrade, a free meal at the hotel restaurant, or a surprise gift waiting in their room, Laasie ensures that every guest feels valued and appreciated from the start.

But it's not just about instant rewards—it's about creating unforgettable experiences that leave a lasting impression. From personalized welcome amenities to exclusive access to local attractions and events, Laasie helps hotels tailor their offerings to meet the unique needs and preferences of each guest. By delivering moments of delight and surprise, hotels can turn ordinary stays into extraordinary memories that guests will cherish for years to come.

Simplicity and Transparency

Another common pain point with traditional loyalty programs is complexity. From convoluted point structures to confusing redemption processes, many guests find themselves frustrated and disengaged. Laasie takes a different approach by prioritizing simplicity and transparency.

With Laasie, earning and redeeming rewards is intuitive and straightforward. Guests can easily track their progress and see exactly what perks they're eligible for, eliminating any confusion or uncertainty. Plus, with real-time tracking and reporting tools, hotels can monitor the success of their loyalty programs and make data-driven decisions to optimize performance.

Personalization at Scale

In today's hyper-connected world, guests expect personalized experiences that cater to their individual tastes and preferences. Laasie helps hotels deliver on this expectation by offering personalized rewards and perks that speak directly to each guest.

Whether it's a special birthday surprise, a customized amenity based on past preferences, or a curated itinerary tailored to their interests, Laasie allows hotels to go above and beyond to exceed guest expectations. By leveraging data and technology, hotels can create truly memorable experiences that resonate with guests on a personal level, driving loyalty and advocacy in the process.

Driving Revenue and Loyalty

At the end of the day, the success of any loyalty program is measured by its impact on revenue and guest loyalty. Laasie helps hotels achieve both of these objectives by incentivizing repeat business and encouraging guests to spend more during their stays.

By offering instant rewards and exclusive perks, hotels can motivate guests to book direct and choose their property over the competition. Plus, with tiered loyalty programs that reward high-value guests with even greater benefits, hotels can cultivate a loyal customer base that drives sustainable revenue growth over time.

A New Era of Hospitality

The key to success lies in innovation and differentiation. Laasie represents a new era of hospitality—one where instant rewards, personalized experiences, and transparent loyalty programs reign supreme.

Get ready to check-in to a whole new level of excitement because we're thrilled to announce the launch of our latest video series: Reward Your World
 
New Video Alert: Forget about the humdrum of traditional loyalty programs that make you wait ages for those elusive points to add up. We're shaking things up with instant gratification that will have your guest feeling like a VIP from the moment they step through our doors!

Watch episode 1: Reward Your World (5 mins) here.

In our brand-new video series, we're diving deep into the world of meaningful rewards for your loyal guests – without the headache of point systems. Think surprises, treats, and perks that'll make them feel like they've hit the hospitality jackpot.
 
Join us on this exciting journey as we unveil the secrets behind our innovative loyalty strategy!

Tell me if you have been in this situation before? You want and know that you need a loyalty strategy for you property or portfolio, maybe you've had a few false starts and don't know where to begin again or start at all... Everyone usually has something to say about loyalty across marketing, sales, operations, finance... you get the point! At Laasie, we believe in starting small and growing strategically. This crawl, walk, run process has helped our partners create programs that create value for their properties and the guest... as well as the finance team. Here's a quick guide on how you can seamlessly level up your hotel's loyalty strategy:

Enrollment and First-Party Data Collection: Kick off by keeping it simple, but don't underestimate the power of a well-crafted enrollment process. It's not just about gathering basic information; it's about understanding your guests on a personal level. Use this opportunity to collect first-party data that goes beyond the standard name and email. Dive into preferences, special occasions, and feedback to create a robust profile for each guest. This not only enables personalized experiences but also empowers your marketing strategies.

Laasie's approach is all about turning data into actionable insights. Our platform seamlessly integrates with your existing systems, making data collection and analysis a breeze. No more siloed information – it's time to harness the power of guest knowledge!

Recognize and Reward: Recognizing your guests' loyalty is the heartbeat of any successful program. While points systems have their merits, the future is undoubtedly leaning towards instant rewards. In the age of instant gratification, guests appreciate immediate recognition for their loyalty. Laasie advocates for experience rewards – think local attractions and retailers to compliement the more traditional room upgrades, spa treatments and exclusive dining experiences. These tangible, emotion-evoking rewards create a lasting impression and forge a stronger connection between your guests and your brand.

Our platform goes beyond conventional loyalty programs by offering a range of customizable reward options. From personalized digital welcome amenities to surprise and delight, Laasie helps you curate a reward system that resonates with your unique brand identity.

Incentives that Engage and Increase Loyalty: Incentives should not only engage your guests but also drive loyalty. Laasie understands the challenges faced by independent hotels in competing with industry giants like Marriott or Hilton. The key is to focus on what sets you apart. Tailor incentives that align with your hotel's unique offerings – perhaps it's a curated local experience, a partnership with nearby attractions, or exclusive access to events.

Laasie's approach involves working closely with your team to identify and implement incentives that enhance the overall guest experience. Our platform allows for real-time adjustments, ensuring that your loyalty program remains dynamic and responsive to changing guest preferences.

The Future is Instant Rewards: In a world where speed and simplicity reign supreme, instant rewards steal the show. Point-based programs, while effective for larger brands, may not translate as seamlessly for independent hotels. Laasie recognizes this shift towards instant rewards and advocates for a more personalized approach. The emotional connection forged through experience rewards resonates more deeply and contributes to sustained loyalty.

Leveraging data insights, Laasie helps you understand your guests' preferences, enabling you to tailor instant rewards that leave a lasting impact. This personalized touch sets your hotel apart in a crowded market, fostering a sense of belonging among your guests.

Loyalty Asprin: Ready to turn these ideas into reality? Laasie is here to help you operationalize loyalty seamlessly. Our tight-knit integration framework and easy-to-implement product suite take away 99% of the headache associated with loyalty program implementation. With Laasie, you can focus on delivering exceptional guest experiences, confident that your loyalty program is running smoothly in the background.

Whether you're a single boutique hotel or managing a group of properties, Laasie adapts to your unique needs. Our user-friendly platform empowers your team to manage, analyze, and optimize the loyalty program effortlessly.

Ready to take the next step into a world of enhanced guest loyalty? Let's chat!

Ellis Connolly
Chief Revenue Officer
Laasie

Hear from industry experts on the hospitality loyalty segment in October 2023 and beyond

Over the past few years, the hospitality industry experienced an undeniable boom of technology. After a period of stagnant travel, hoteliers were forced to quickly become tech savvy, utilizing a variety of tools to “wow” their guests. The pressure to enhance the guest journey and ensure an excellent experience has never been more intense. Hotels have no other choice but to embrace technology and utilize it to enhance and simplify the guest experience and drive loyalty to ensure future bookings. 

Therefore, short-term rental (STR) operators and hoteliers are constantly seeking ways to eliminate friction during booking, while on-site, and with the loyalty experience. Personalized guest experiences are also becoming increasingly vital in establishing connections, building trust, and establishing loyalty. Customers are paying close attention and looking for an exceptional experience when traveling.

Hotel chains are using emerging technologies across various touchpoints to create meaningful experiences for guests, both at the front lines and behind the scenes. By leveraging technology, hotels can offer specific rewards and benefits based on guest preferences and behavior, free upgrades, instant rewards, or experiential benefits. In the United States alone, a study from last year showed that on average, consumers belong to 16.6 loyalty programs (Statista). These incentives not only increase the value guests perceive in the loyalty program but also encourage them to share their data and information, enabling hotels to obtain useful information that can help them create enticing offers for future visits. 

Many are left to wonder, what are the best practices for personalization and loyalty, and what new technologies are emerging to make this possible? 

To dive deeper into this topic, we went straight to the experts who are constantly striving to achieve exactly this - a personal, memorable experience that keeps guests coming back time and time again.

Download Navigating Guest Loyalty: Insights on Recognition and Reward Strategies.

Ellis Connolly
Chief Revenue Officer
Laasie

Enhancing Hotel CRM Engagement: The Power of Instant Rewards

In the ever-evolving landscape of the hospitality industry, maintaining a strong and loyal customer base is crucial for the success of any hotel. Hoteliers are constantly seeking innovative strategies to engage customers effectively and build lasting relationships. One such strategy that has gained prominence is the integration of instant rewards within a hotel's loyalty program. This approach not only appeals to customers' desire for immediate gratification but also presents an opportunity to leverage these rewards to boost customer relationship management (CRM) engagement. In this article, we will delve into how the selection and deployment of instant rewards within a hotel loyalty strategy can significantly enhance CRM engagement.

Self-Selected Reward Content and Audience Building within CRM

Instant rewards empower guests by allowing them to choose rewards that align with their preferences and needs. By incorporating self-selected reward content, hotels can tap into the psychology of personalized satisfaction. When guests feel that they are receiving relevant rewards, their sense of appreciation and connection to the brand deepens. This personalization extends to CRM engagement, where hotels can leverage the data from instant reward selections to gain insights into individual preferences, enabling more targeted marketing efforts. This level of personalization fosters a sense of exclusivity, encouraging guests to engage more actively with the hotel's communication channels.

Leveraging Instant Rewards in First and Zero-Party Data Collection

First-party data, collected directly from guests, is invaluable for crafting effective marketing strategies. Instant rewards act as catalysts for data collection, encouraging guests to willingly share information in exchange for the immediate gratification offered by these rewards. With the rise of data privacy concerns, zero-party data (explicitly shared data) has gained significance. Through well-designed instant rewards, hotels can encourage guests to provide deeper insights, preferences, and feedback. This not only aids in refining the CRM strategy but also enhances guest profiling, making future interactions more meaningful and personalized.

Support for Segmentation

Instant rewards not only enrich CRM data but also contribute to more nuanced segmentation strategies. By analyzing the reward preferences and behaviors of different segments, hotels can tailor their messaging and offerings to resonate better with each group. This level of segmentation greatly impacts CRM Key Performance Indicators (KPIs). Open rates and click-through rates soar when recipients perceive the content as highly relevant. Moreover, the data collected through instant rewards can lead to more direct and repeat bookings. Guests who feel their preferences are understood are more likely to return and make reservations confidently. This strategy also contributes to an increased share of wallet, as guests are more inclined to engage with ancillary services that cater to their specific interests and preferences.

Multiplied Benefits Across KPIs:

The combined effect of instant rewards and CRM engagement strategies creates a virtuous cycle. Engaged customers are more likely to respond to offers, increasing open rates and click-through rates. Enhanced customer profiling from instant reward data translates into better-targeted campaigns, resulting in higher conversion rates and more direct bookings. Repeat bookings are encouraged due to the personalized experience, leading to improved customer retention rates. The ripple effect continues to influence ancillary sales, boosting the hotel's share of wallet. In this way, instant rewards amplify the effectiveness of CRM efforts, resulting in a holistic improvement of various KPIs and overall business success.

Incorporating instant rewards within a hotel loyalty strategy is more than just a transactional gesture; it's a pathway to enriched customer relationships and enhanced CRM engagement. By allowing guests to choose rewards that resonate with their desires, hotels foster a sense of personal connection and exclusivity. This, in turn, fuels data collection, segmentation, and personalized marketing efforts. The culmination of these benefits leads to improved CRM KPIs, more direct bookings, and increased share of wallet across ancillaries. In a world where personalized experiences reign supreme, the marriage of instant rewards and CRM engagement is a strategy that holds the key to sustained success in the competitive hospitality landscape.

Laasie’s customers can now benefit from a turnkey loyalty and rewards solution that delivers real-time guest personalization and audience building capabilities

New York, May 6, 2023 – Laasie today announced it has launched Laasie for Marketing Cloud on Salesforce AppExchange, empowering hoteliers and vacation rental operators to connect their Laasie rewards programs to Salesforce Marketing Cloud in real-time. This will empower customers with enhanced audience building capabilities and streamline guest communication strategies that increase emotional loyalty and grow customer lifetime value. 

Laasie for Marketing Cloud is currently available on AppExchange here.

Laasie for Marketing Cloud makes it possible to connect both Laasie Convert and Laasie Retain to Salesforce Marketing Cloud with minimal technical expertise. This connection enables hoteliers and short term rental operators to unify Laasie data with Marketing Cloud, create personalized guest journeys and utilize reward data in the content builder.

Comments on the News

“Laasie is changing the narrative for the lodging industry on loyalty rewards and perks programs, as we believe that instant gratification will play a massive role in all programs in the future.”

— Ellis Connolly, Chief Revenue Officer at Laasie

“Laasie for Marketing Cloud is a welcome addition to AppExchange, as it accelerates business transformation for customers by powering hospitality rewards and perk programs through Laasie’s extensive merchant network. AppExchange is constantly evolving to enable our partners to build cutting-edge solutions to drive customer success.”

— David Lee, Vice President of Product Management, AppExchange

“We are excited to discover more opportunities to deliver even more paradise to our guests by introducing Laasie for Salesforce Marketing Cloud. The Margaritaville Perks program is innovative and fun and we leverage best in breed technology to enhance loyalty, revenues and advocacy. Laasie for Marketing Cloud will help us optimize the customer journey even further.”

— Claudia Infante, SVP Revenue at Margaritaville Resorts

About Salesforce AppExchange 

Salesforce AppExchange, the world’s leading enterprise cloud marketplace, empowers companies, developers and entrepreneurs to build, market and grow in entirely new ways. With more than 7,000 listings, 11 million customer installs and 117,000 peer reviews, AppExchange connects customers of all sizes and across industries to ready-to-install or customizable apps and Salesforce-certified consultants to solve any business challenge. 

Additional Resources

• Like Salesforce on Facebook: http://www.facebook.com/salesforce 

• Follow Salesforce on Twitter: https://twitter.com/salesforce

• Follow Laasie on LinkedIn: https://www.linkedin.com/company/laasie-ai

Salesforce, AppExchange, Marketing Cloud and others are among the trademarks of salesforce.com, inc.

About Laasie

Laasie powers a new kind of loyalty for over 2,000 lodging partners through AI and a network of 1,000+ instant gratification partners. No points, no tiers, no waiting for qualification. Laasie incentivizes conversion and retention, driving over $700 million in direct bookings and repeat transactions.

Today’s savvy customers are uninspired by yesterday’s rigid loyalty programs, often leaving with unused points and limited brand affinity. Laasie uses artificial intelligence and big data to dynamically create loyalty with personalized, instant rewards that motivate customer actions like booking directly, making a return visit, joining a marketing program for offers, and more. The result? Customers enjoy enriched experiences with each brand interaction and partners benefit with increased net revenue, actionable data insights, strengthened customer relationships, and a scalable loyalty program that increases the lifetime value of every customer.

If you were working for a hotel group during the pandemic that ran a points-based loyalty program, you probably saw first hand the issues it created. While plenty of hotel companies had immense struggles to deal with during the pandemic, redeemable loyalty points had longer lasting effects for the years that followed. You see, with less people traveling, and therefore redeeming their points, hotel companies incurred liabilities that would be difficult to pay-out, even once travel opened back up again.

And that’s exactly what occurred. As COVID restrictions lessened, travelers were ready to use every discount and point at their disposal with immediate effect. But while hotels geared up for their busiest booking season yet, the revenue numbers didn’t quite work in their favor.

In this article, we’ll explore the painful side of points-based programs, and reveal if maybe there’s a better way to handle these types of programs that would provide less liability, while maintaining, or often even improving, loyalty.

What is loyalty points liability?

Loyalty points liability refers to the amount of money that a company owes to its customers for the loyalty points they have earned through their purchases or other activities with the company.

When a customer earns loyalty points, they are essentially earning a discount on future purchases or other benefits, such as free hotel room nights or upgraded services. However, from a hotel company’s perspective, these loyalty points represent a liability on their balance sheet because they will need to be redeemed at some point in the future.

The hotel group must estimate the total liability for all outstanding loyalty points and record it as a liability on their balance sheet. The amount of the liability is based on the number of outstanding loyalty points and the estimated cost of fulfilling the rewards associated with those points.

The liability for loyalty points is an important financial metric for companies, as it represents a potential future cost that must be accounted for in their financial planning. Companies must carefully manage their loyalty points liability to ensure that they have the resources to fulfill the promises to their customers.

How can hotel groups limit this liability?

To help reduce liability, companies across hospitality and other industries have relied on several practices. Many of which will probably sound familiar to you as you have likely experienced the negative side-effects of them as a points earner. Expert Brian Almeida explains very well in this article that in order to thwart liability, companies will often refer back to 1 of 3 practices:

1. Reduce the value of the points.

Clearly, reducing the value of loyalty points will also result in a decrease in the liability associated with the loyalty program on the company's balance sheet. However, simply reducing the value of loyalty points leaves your company with the highest risk. Customers may view this as a breach of trust and may become less loyal to the company. This produces long-term, negative effects on the company's reputation and profitability.

2. Cap the earnings of points.

Capping the earnings on loyalty points means that customers can only earn a certain amount of loyalty points, regardless of how much they spend or how many activities they engage in with the company. On the positive side, this can help to control the liability associated with the loyalty program due to the fact that the estimated cost of fulfilling the rewards associated with the loyalty points will be more predictable and easier to manage. However, capping the earnings on loyalty points may make customers feel that they are being unfairly limited in their ability to earn rewards, leading to decreased loyalty and revenue for the company.

3. Reduce the earnings value of points.

When a company reduces the value of loyalty points, it means that customers will need to accumulate more points to redeem the same rewards or benefits they were previously eligible for. While this may seem like the best of both worlds scenario, it still brings some complications from the company’s standpoint if changes do need to be made, it's important to communicate them transparently and clearly to customers, and to provide alternative benefits or rewards to maintain their loyalty. This process alone can require time and resources your company may not have right away.

Reverse your liability with a rewards-based loyalty program

If now you’re thinking “there’s got to be a better way!”...don’t worry, there is. In a limited-liability program, rewards can be used to incentivise now, instead of later. This way, your hotel group pays up front to reward customers, and those discounts or purchases are redeemed in the moment, and not as a steady marker on your balance sheet.

Additionally, unlike maneuvering through a complicated points-based loyalty program, a turn-key rewards program, provided by the right solution, could not be easier to stand-up and manage. This is important not just for the hotel-side, but for the guest-side as well. Going forward, the hotel companies who create a seamless way for guests to be incentivized will increase customer engagement and sales, for years to come.

Are you struggling with complicated points-based loyalty programs that are difficult to manage, and even harder to measure? Try it a different way. With the Laasie platform, you’ll receive a rewards-based, AI-powered platform that will bring your loyalty program into the future, and keep your liabilities at bay.