Increase Hotel RevPAR by Targeting Today’s Consumers
Every hotel wants to fill their rooms, but knowing who is actively shopping and what they want is the only way get the optimal rate for each hotel stay. Often hotels have unique guest trends on weekdays versus weekends, requiring them to adjust their product and their rate.
Make sure you are not just lowering rate to fill your need period. Look at consumer demographics and how they change during the week to guide your marketing and rate strategy for maximum ADR and revenue performance.
So how can you target the right people to ensure you optimize room revenue and ADR for varying weekday/weekend need periods?
nSight’s forward-looking Demand Forecast Calendar allows you to see demographic and geographic trends by stay patterns, enabling laser focused targeting that increases revenue.
- At the beginning of the month, check your Demand Forecast Calendar of the nSight Rate Intelligence Module.
- Look for trends in the calendar identified by patterns in the color-coding assignments
- Clicking on the Target Markets button on the right side of the calendar, you can choose between US and non-US source market and weekend or weekday stay patterns.
- Note that for the subscriber hotel, New York is the top US source market for guests who want weekend stays during the next 60 days. And the top demographic personas are “Frugal Boomers” (a budget-focused profile) and “Experience Seekers” (a high income, travel experience-oriented profile).
View details on all nSight personas here.
So what does insight tell you?
- On weekends, your rate is lower than usual compared to your compset and you are generating strong booking performance on the third parties.
- Consumer demand is strong as arrows are pointing up in your Demand Forecast – letting you know that travelers are actively looking at you.
- Your target market reporting says your most likely to book consumer profiles are Experience Seekers and Frugal Boomers
Looking at future consumer demand, there’s opportunity to increase ADR by targeting the high-end Experience Seekers with a value-added offering
- Promote a higher bundled rate that includes key items that fit the Experience Seekers, such as wifi, spas, “me” time, and late check-out
- Leverage the demographic in PPC, display and web targeting for both content and images
- Focus on specific geographic sources in PPC and email marketing for higher ROI
Targeting today’s active travelers will help hotels improve digital marketing performance, increase conversion, and elevate rate/revenue by engaging the higher value hotel consumer.