Did you know? You can offer on-property rewards to your guests through LaaSie’s reward engine. What better way is there to thank your guests for booking direct while increasing your own ancillary revenue?
Stay tuned for the launch of LaaSie’s on-property reward management portal. This exciting new system is expected to be available in early 2020 and will allow you to view and manage on-property rewards directly.
By Sara O’Brien
Traditional points-based loyalty programs have been around since 1983, emerging as a unique way for major brands to build stronger relationships with their most valued customers. At the time consumers found them appealing and interesting, allowing hotel brands to generate buzz and additional revenue.
But much has changed in the last 40 years. Technology and A.I. (Artificial Intelligence) have evolved to be able to deliver things people want when they want them. Netflix recommends which movie you’d like to watch next and Amazon can tell you what you should buy for your child’s birthday this year. Yet, so many hospitality loyalty programs offer a generic, transactional “loyalty” experience that is no longer relevant for today’s consumer.
More and more, consumers are telling us that what has worked in the 80s just won’t work for them today. The average U.S. household belongs to 21 different loyalty programs, 78 percent of Americans abandon them, and 44 percent complain about the lack of reward relevance, flexibility, and value. In short, loyalty programs are failing to effectively reward today’s consumers.
Imagine a loyalty program in which a guest receives immediate benefits rather than waiting weeks, months, years, and sometimes never accumulating enough points for a reward or reaching the next tier. Instead, imagine a program that gives the guest an instant, desired and personalized reward. That is loyalty done right! These types of rewards make the customer feel valued, appreciated, and recognized.
Below are 3 ways to award loyalty the right way for today’s consumers.
1. Get personal
It may be a simple concept, but we feel it bears repeating: What works for one customer will not work for all. Only 22 percent of guests believe today’s hotel offers are relevant, even though the majority (54 percent) of hotels believe they are. The disconnect is real, but there is a way to close the gap.
Hotel brands can continue pushing rewards that they believe will appeal to their customers, or they can actually learn what each individual wants through A.I. The way brands like Amazon, Netflix, and Spotify offer personalized experiences and recommendations has forever changed how consumers expect to be treated by brands, and it’s time for the hospitality industry to catch up.
A.I. allows brands to elevate relationships with their customers by personalizing the rewards based on their preferences and transactions, by learning and predicting what they want in real time. Let’s say a guest chooses a flight credit from Delta Airlines and a VIP shopping pass at Bloomingdales as their rewards, a next-generation loyalty program will remember that selection and offer similar rewards in the future, improving their experience and satisfaction with the brand.
2. Give choices and immediate benefits
New data confirms that consumers are dissatisfied with waiting to accumulate points and unattainable tiers. Seventy-eight percent of guests prefer immediate benefits and 61 percent want to choose their own rewards.
Loyalty programs in which you earn points to redeem something in the unforeseeable future will not move the needle for your brand. Consumers will either be frustrated that they need to wait or they will forget about and even abandon the program altogether.
Next-generation loyalty feels more like a relationship and less like a sales tactic by making guests feel valued immediately and frequently with personalized and instant rewards.
3. Offer experiences
With over 65 percent of U.S. travelers looking to experience something new while traveling, travel brands have an opportunity to enrich their guests’ travel journeys beyond the hotel property by offering unique and relevant rewards they can use before, during, and after their stay.
One way to elevate loyalty with experiences is to incorporate 3rd-party products and services. A concept that is coined as the “Amazonification” of travel, hotel brands can extend their offers beyond generic on-property perks, giving the guest control to select the incentives that will enhance their stay or provide additional opportunities to explore.
For example, with geo-targeting, we would know that a guest located in New York is looking to travel to Miami. In that case, her reward offering may include a complimentary 1-hour paddleboarding session in Miami as well as New York Yankees tickets to enjoy after her trip when she’s back in New York.
Wrapping it up
The brands that are truly disrupting loyalty understand the need to shift from a transactional experience to a personal and dynamic relationship with the customer. It’s up to hospitality leaders to see the writing on the wall, take note from other brands paving the way, and listen to their customers who are more vocal than ever about what they truly want.
About Us
LaaSie AI rewards direct bookings and loyalty the right way for hotels through instant gratification and A.I. We drive guests to book direct by offering relevant, immediate, and personalized rewards. Our Smart Engine delivers the right incentive to the right user at the right moment. A traveler can receive a flight credit from their preferred airline while enjoying VIP access and complimentary cocktails at their favorite restaurant in town. To date, we have incentivized over $300 million in direct bookings.
In addition, our technology enables us to power loyalty in a more relevant way for today’s consumers. Loyalty as a Service redefines how to engage and retain guests: No points. Just instantly gratifying rewards and a personal relationship with your guests.
Current hotel partners include Aqua-Aston Hospitality, Highgate Hotels, and Menin Hospitality. LaaSie was recently awarded the #1 Direct Booking Engine for 2019 by HotelTechAwards and won the Most Innovative - Judge's Choice Award at HITEC 2017.
Sources:
https://www.cnbc.com/2015/04/07/loyalty-members-hate-these-five-things.html
https://www.adweek.com/brand-marketing/challenger-brands-are-winning-at-instilling-loyalty-among-consumers/
https://www.revinate.com/loyalty-guide/
https://lodgingmagazine.com/oracle-study-reveals-travelers-perceptions-of-hotel-loyalty-programs/
https://research.skift.com/wp-content/uploads/2017/10/ExperientialTravelerTrends2018_Report.pdf
LaaSie is featured in Travel Tripper’s article, “How can we get Millennials to book direct?”
Millennials travel more than any other demographic. On average, they take 35 days of vacation each year, and they’re also bucking the trend by increasing their annual travel spend as other generations intend to be more conservative with their cash.
As it turns out, OTAs are the ones benefiting the most from this lucrative market segment: studies show that over half of Millennials book through OTAs. That means hotels are losing out on a big chunk of potential direct booking revenue.
Adding to the challenge, Millennials are also generally averse to traditional loyalty programs, making it harder to retain their business once won.
But it’s important to bear in mind that 31% of them still book through a hotel website. It’s not that Millennials are particularly loyal to OTAs, rather they are most driven by convenience. So how can your hotel website work harder to ensure you capture a piece of this direct business?
In the post, Travel Tripper dives into this topic by outlining the specific ways Millennials research, browse and book their trips. They also offer a series of strategies you can use to implement this knowledge and get ahead of the competition.
One of their points is to make deals easy to see (and compare). They recommend that if a hotel’s rates are in parity with OTAs, to try to sweeten the deal by offering rewards for booking direct. Companies like LaaSie allow hotels to add instant rewards to their booking engine, which can dramatically improve conversion rates and booking revenue.
Read the full article here.
LaaSie, the company that rewards direct bookings and loyalty the right way for hotels through instant gratification and A.I., is honored to be named the #1 Direct Booking Platform under the Top Rated Marketing Technologies categories by the Hotel Tech Report.
The HotelTechAwards (produced by Hotel Tech Report) announced the year’s top rated hotel technology companies and products based on more than 20,000 hotelier ratings and data-points. During the HotelTechAwards thousands of hoteliers leave honest reviews of vendor partners across the hotel tech stack. This data is used to identify the best companies based on the judges that matter most – the customers.
“We believe in the power of A.I. x Instant Gratification, and that customers are more likely to book direct when offered relevant, immediate, and personalized rewards,” said Jen Wong, Founder & CEO of LaaSie. “We are proud to be named among the top technology products around the world that are truly making an impact on their hotel partner’s bottom lines.”
The HotelTechAwards are often referred to as “the Oscars of Hotel Tech” and are the industry’s only data driven awards platform with winners determined not by a handful of judges but by a global community comprised of thousands of verified hotel technology users across more than 120 countries.
Read the full release here.
About LaaSie
LaaSie rewards direct bookings and loyalty the right way for hotels through instant gratification and A.I. We drive guests to book direct by offering relevant, immediate, and personalized rewards. Our Smart Engine delivers the right incentive to the right user at the right moment. A traveler can receive a flight credit from their preferred airline while enjoying VIP access and complimentary cocktails at their favorite restaurant in town. To date, we have incentivized over $300 million in direct bookings.
In addition, our technology enables us to power loyalty in a more relevant way for today’s consumers. Loyalty as a Service redefines how to engage and retain guests: No points. Just instantly gratifying rewards and a personal relationship with your guests.
Current hotel partners include Aqua-Aston Hospitality, Highgate Hotels, and Menin Hospitality. LaaSie was recently awarded the #1 Direct Booking Engine for 2019 by HotelTechAwards and won the Most Innovative - Judge's Choice Award at HITEC 2017.
LaaSie, the company that rewards direct bookings and loyalty the right way for hotels through instant gratification and A.I., is proud to be selected as the Most Innovative Startup at HITEC Pitch Competition - Insights
Hospitality Financial and Technology Professionals (HFTP¨) held its third Entrepreneur 20X pitch competition during its 2017 Hospitality Industry Technology Exposition and Conference (HITEC) in Toronto, Canada on June 26.
Thirteen companies pitched their products. After deliberating, the five-member panel of judges selected LaaSie as the most innovative startup. The three hour pitch competition took place on Monday, June 26, 2017. After the competition, LaaSie was awarded with a US$5,000 check and the Judge’s Choice trophy.
“Participating in a pitch among such talented companies was a thrilling experience in and of itself, and being awarded the Judge’s Choice is such an honor,” said Jen Wong, Founder & CEO of LaaSie. “It confirms that our mission is meaningful for our clients and their business goals. We look forward to continuing to invest in our tech and delivering even more value for our hotel partners.”
LaaSie’s mission is to rewards direct bookings and loyalty the right way for hotels through instant gratification and A.I. LaaSie drives guests to book direct by offering relevant, immediate, and personalized rewards. The Smart Engine delivers the right incentive to the right user at the right moment. A traveler can receive a flight credit from their preferred airline while enjoying VIP access and complimentary cocktails at their favorite restaurant in town. To date, LaaSie has incentivized over $300 million in direct bookings.
In addition, LaaSie’s technology powers loyalty in a more relevant way for today’s consumers. Loyalty as a Service redefines how to engage and retain guests: No points. Just instantly gratifying rewards and a personal relationship with your guests.
Current hotel partners include Aqua-Aston Hospitality, Highgate Hotels, and Menin Hospitality. LaaSie was recently awarded the #1 Direct Booking Engine for 2019 by HotelTechAwards and won the Most Innovative - Judge's Choice Award at HITEC 2017.
