“ consUmers are mUch more demanding . today they are interested in how do i get things yesterday .”
Special RepoRt : LoyaLt y , next
“ consUmers are mUch more demanding . today they are interested in how do i get things yesterday .”
– BoB Behrens , The riTz- CarlTon hoTel Co .
top of mind , most experts agree rewards programs — and their points — are as important as ever . “ At the end of the day , there is nothing more powerful than … these direct relationships ,” says Mark Weinstein , global head of loyalty at Hilton . “ It goes way beyond rewards . It ’ s about making their stay experience relevant .”
The complexities From Chicago ’ s Preferred Hotel Group to Spain ’ s NH Hotels , the U . S . Pacific Northwest ’ s Red Lion and newcomer Virgin , nearly every hotel company large and small now has a loyalty program , which enables them to collect all-important personal data for digital marketing initiatives . “ It ’ s what ’ s driving the whole narrative on digital ,” Weinstein says .
But like technology , the programs are evolving fast , and in many cases , becoming much more complex as hotel companies seek to attract the loyalty of both the traditional road warriors trying to amass enough points for a family vacation in Maui and Millennials and less frequent travelers who want recognition and immediate paybacks with things like mobile and flexible check-in options , free Wi-Fi and the ability to cash in just a few points for a glass of wine or a spa treatment .
Many companies are also offering members opportunities to redeem their rewards for special experiences , like behind the scenes access to special events , or events that might not always be open to the general public . “ More than ever , people have more cards in their wallet ,” Weinstein adds . “ The
UniqUe experiences new centerpiece of loyalty
Companies are also experimenting with easier redemptions and push technology to take rewards programs to the next level .
Unique experiences : It ’ s the mantra that is driving all things travel these days , from the proliferation of lifestyle hotel brands to the definition of luxury . So , not surprisingly , it has fast become a centerpiece of hotel loyalty programs .
The concept goes back a few years to when Starwood created a stealth program ( now part of its Ambassador level ) targeting top-tier travelers of all hotel companies with a membership that offered things like backstage passes to popular concerts . Ritz-Carlton built on the concept when it launched its first-ever loyalty program , offering members-only trips and partnerships with luxury retail brands .
Today , the idea is becoming a mainstay around the globe . Kempinksi , for instance , offers a “ local experiences ” program that Riko van Santen , vice president of digital strategy , loyalty and distribution , says is a more personal and unique offering related to the destination . “ This can include behind-the-scenes access to special events , cultural experiences that may not always be accessible to the general public ,” he says . “ This way we offer a service that our loyal guest can redeem that is more engaging and entertaining than simply a free room night .”
At Hilton , global head of loyalty Mark Weinstein says the company is about to launch an auction platform that will let Hilton HHonors members use their points to bid on things like exclusive concerts at their hotels , artist workshops and meet-and-greets with celebrities . “ They are experiences that go way beyond what money can buy ,” he explains .
Flexibility is key Hotel companies are also increasingly allowing members to spend their points like cash , whether to offset the full cost of their room or to pay their bar or restaurant tab . At the same
26 HOTELS March 2015 www . hotelsmag . com