Perhaps one of the greatest marketing slogans, evoking exclusivity, privilege, and insider experiences.
In the hospitality industry, there’s a strong focus on loyalty and frequency as measures of success. Hoteliers often go to great lengths to build relationships with customers—offering incentives, rewards, and preferred treatment to encourage repeat business. This frequently includes special product offerings and discounted rates.
However, I’m not a fan of the term “loyalty.” It implies that the customer must be loyal to the provider, when in fact, it’s the provider that should demonstrate loyalty to the customer. After all, customers have numerous options. A better term would be recognition and appreciation, which reflects the true nature of the relationship.
A truly loyal customer is one who chooses your product every time, regardless of incentives. Anything less is just buying business.
The hospitality industry often follows the airline industry’s lead on product and service initiatives—make your own reservation, self-check-in, and now Attribute-Based Selling (ABS). Yet, airlines don’t offer price incentives to even their most loyal customers, relying on demand-based pricing. Meanwhile, hoteliers frequently use “Member Rates,” creating a direct but price-driven relationship.
Why, then, is it necessary to offer special member rates to hospitality’s most loyal customers?
Life is so tech! Particularly when you have the brand app.
Cheers, Mark Fancourt
