The science (and art) of hotel upselling

Hotel upselling is a marketing strategy that elevates the guest experience while increasing your bottom line. Upselling is more than just pushing guests to purchase additional products and services.

Effective upselling involves showing guests that certain add-ons or packages can better meet their needs, increasing guest satisfaction. The goal is a win-win scenario where the customer

The right technologies and strategies can increase guest loyalty, enhance the guest experience, and drive growth. Richard Aday, CEO & Founder of ThinkReservations said it best, “We started ThinkReservations because we wanted to give your business a booking engine that would make it easy for customers to say ‘yes!”

What should you upsell?

Before a reservation is made, hotels need to know what their guests are looking to buy. You want to upsell products that match your guests’ preferences and needs. Get to know your guests. You can gather information through booking software, social media, or by simply speaking with your guests.

Here are some different opportunities to include in your upsell portal, and how you should provide them to your guests.

Onsite upsell opportunities

The easiest upsells are the ones you can offer onsite. Some onsite upsell opportunities include:

• Pet fees
• Room upgrades — rooms with special views, large suites, or unique in-room amenities like a large jetted tub or balcony.
• Late checkout
• Early check-in
• Food and beverage add-ons like bottles of wine, snack baskets, gourmet breakfasts, a stocked mini-bar, or picnic basket
• Parking
• Bike or e-bike rental
• Packages — including weekend getaways, romance, holidays, or special occasion packages like weddings, elopements, family reunions, etc.

When considering onsite upsell opportunities, think about your niche markets. Do guests usually visit your establishment for romantic getaways, or are most of your guests business travelers? What is the average age of your guests? Do more families come to stay? Are your guests foreigners, or locals? What are their personalities like?

Knowing your guests helps answer questions about their potential spending habits and preferences, meaning you can effectively cater any onsite products you upsell.

Excursions and off-site enhancements

The next place to look for upsell products is outside your front door. Collaborate with other businesses in your community to craft experiences that elevate the guest experience. Here are some examples to help you brainstorm:

• Excursions to local attractions
• Airport shuttle
• Spa treatments and packages
• Cooking class
• Wine-tasting class
• Walking tours
• Photography or catering packages for elopements and weddings
• Lessons — golf, horseback riding, surfing, tennis, etc.

These are just a few examples of what your hotel can offer. Why are guests visiting your area? Increase your knowledge through social media, online research, guest conversations, team members, or other tourist-driven businesses in the area. Be creative!

Upsell for your property types

Many hotel upsell strategies are relevant across the hotel industry, like breakfast, parking, or late checkouts, but some are more suited to specific properties.

Hotels

Room upgrades are a great upsell opportunity, depending on the size and type of your hotel. Larger rooms or rooms with superior views are a prime upsell opportunity. If your hotel is a beach or lakeside resort, upsell rooms with water views. For hotels that see more business travelers, upsell services like room service, Wi-fi, fitness packages, or continental breakfast.

Bed & Breakfasts

Guests staying at bed and breakfasts often look for unique or quaint accommodations and focus on local experiences. Upsell experiences like excursions, wine tours, or convenience options like a romance package or airport shuttle.

Vacation Rentals

Travelers lodging in vacation rentals often value autonomy during their visit. Offer items like parking, and pet fees, and focus on upselling self-guide activities like walking tours, bike rentals, or discounts to local attractions.

When to upsell

There is both a science (and an art) to upselling. A good rule of thumb is to upsell at every opportunity, but hoteliers should have a good understanding of their target audience and proper timing. Using touchpoints throughout the entire guest journey is the best strategy for reaching your guest in the right setting.

Guest research

Guests should be able to easily add extras to their reservations when they book online. Before a guest makes a reservation, you should promote your upsell options. Your website should act as a shopfront, displaying your available packages and add-ons. Use social media or newsletters to promote the add-ons your hotel offers. Options should be integrated into your booking engine.

Prior to arrival

Before their stay send your guests an automated text message (link to Wow Guests with ThinkMessenger here) or email. This is a perfect time to upsell, when your guests are excited about their upcoming trip. Include a link to your packages or enhancements section on your website, or an e-blast with information about some of your suggested upsells.

Arrival

When guests arrive, send a digital registration link before check-in. This saves you both time when they arrive, and gives you time to pitch any last-minute upsells.

During the stay

After guests are settled, send a text asking if their stay is satisfactory so far. Ask if they need any room service or recommend attractions that they may enjoy during their stay. Research shows that guests are likely to spend around 20% more when they order themselves.

On the last day of their stay, ask if they need anything on their last night, or if they need airport transportation.

After the guest leaves

Research shows that repeat customers can make up to 40% of a vendor’s revenue. One company found that their repeat customers spend an average of 3 times more per transaction than their other customers. Bottom line? Repeat customers spend more money, more often.

Follow up with previous guests periodically with exclusive loyalty texts and emails that include special offers on your packages and rooms.

Increase revenue and elevate the guest experience with upsells

Hotel upselling is more than just a smart strategy to increase revenue. A well-planned upsell portal drives higher rates of customer loyalty and revenue. The right technology can schedule and automate their upsell process throughout the lifetime of a guest’s stay. Don’t be afraid to be creative, and try new approaches. Track what packages and add-ons perform best, and use that data to improve.

To learn more about how ThinkReservations Upsell Portal works and how it can help grow your business, schedule a demo today!

If you want to see what the upsell portal can mean for your business, visit the Blue Tang Inn case study