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How Small Luxury Hotels of the World Tripled Average Booking Value with AI

  • Adelaide Macarez
  • 27 May 2025
  • 2 minute read
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This article was written by The Hotels Network. Click here to read the original article

In today’s competitive luxury hospitality market, a personalized online guest experience is key to driving direct bookings. Small Luxury Hotels of the World,  known for their unique boutique properties and bespoke approach, recognized that this journey starts the moment a guest lands on their website. To bring this vision to life, they partnered with The Hotels Network (THN) to optimize their direct channel—boosting conversion rates and revenue through a seamless, guest-centric experience.

Small Luxury Hotels of the World’s Tailored Website Messaging

Using Predictive Personalization, Small Luxury Hotels of the World leveraged machine learning to anticipate user behavior — from the likelihood of completing a reservation to budget preferences and travel date flexibility. THN’s platform enabled the brand to display targeted messages and tailor their website campaigns, increasing direct bookings and revenue while saving on promotional costs.

For example, users with flexible travel dates were shown the “One Night on Us” promotion, which rewarded them with a complimentary night when booking three nights or more. This targeted approach led to a significant uplift in long-stay bookings. By personalizing the user journey, the brand successfully increased the average length of stay.

SLH_1-1

CoStar: U.S. Hotel Industry Improves Monthly Performance
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CoStar: U.S. Hotel Industry Improves Monthly Performance

The Results Speak for Themselves

After 15 weeks of running these campaigns, Small Luxury Hotels of the World saw notable increases in conversion rates, bookings, ABV, and revenue.

  • Encouraging users to join their loyalty program was highly effective, with bookings from this initiative contributing 2.2% of total revenue.

  • Small Luxury Hotels of the World introduced a “Saved Search” feature for users not ready to book immediately, allowing them to save their search and receive it via email. Impressively, 21% of users who saved their search returned to complete their booking.

  • For users with less flexible booking dates, Small Luxury Hotels of the World offered 20% off the “Advance Purchase Rate,” leading to 11% of these users finalizing their bookings.

SLH_2

Additional campaign highlights include:

  • 3x higher ABV for “Spa” and “Gourmet” campaigns targeting high-intent, high-spend users.

  • 2x higher ABV for the “Suite Deal” promotion, which offered a 20% discount to high-spend, low-intent visitors.

By combining personalized messaging with predictive technology, Small Luxury Hotels of the World significantly increased direct bookings and boosted revenue. Curious how personalizing your hotel’s website and using Predictive Personalization can help grow your direct channel? Download the full case study to learn more.

Please click here to access the full original article.

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