time , some hotel companies are making their points redemption process easier and more transparent .
At NH Hotels , one point equals one Euro , and there is no special redemption process . “ They just make the redemption on checkout ,” says Ignacio Hoyos , vice president of business intelligence and analytics for NH . “ We Casey Ueberroth says Preferred Hotel ’ s also allow customers to redeem any iPrefer program is like “ a amount of points . There is no minimum . Even if you have just five dol-
Kimpton-meets-Marriott . Kimpton is heavy on
lars , you can use them .” instant gratification .
Many are also moving to more
Marriott is about points .” instant benefits , like Kimpton ’ s Karma program , which offers free Wi-Fi to anyone who signs up , then sends things like bar and spa credits as members spend at their properties .
Casey Ueberroth , senior vice president of marketing at Preferred Hotel Group , says his company is working toward making Preferred ’ s iPrefer program a hybrid of sorts , “ a Kimpton-meets-Marriott . Kimpton is heavy on instant gratification . Marriott is about points .”
Continual enagement Another key component of all loyalty programs is rewarding a company ’ s most frequent travelers with upgrades , special services and perks . For example Starwood now has a 24-hour-based check-in and check-out cycle .
But as hotel companies increasingly reach out to Millennials and less frequent travelers , they are also looking at new technology to keep members engaged — from special apps that let them manage every aspect of their trip to virtual concierge services and targeted promotions .
Marriott , for example , has launched a LocalPerks program at 14 hotels that uses beacon technology to send special offers as members pass through the property . So if a guest is sitting by the pool , they might get a push notification about openings at the spa .
Marriott has also tested a program for rewarding loyalty program members for talking about the program and their properties on social media . From May to November 2104 , it gave members 25 points every time they followed or shared content about Marriott Rewards or participating hotels on Twitter or Instagram using the hashtag # MRPoints .
challenge is to make sure you are in the front of their wallet .”
Making sure the perks appeal to all travelers of all generations is key , says Mark Vondrasek , senior vice president , distribution , loyalty and partnership marketing at Starwood Hotels & Resorts , the first company to introduce keyless entry to its loyalty program members .
For example , Vondrasek says , “ Keyless entry is not for everyone . My father is not going to check into his hotel room using his mobile device .” But for Millennials , he says , “ that ’ s an enormous win .”
Getting personalization right , however , is the challenge , particularly for the big brands that have tens of millions of members . “ They might know everything about you , but most don ’ t have the technology to effectively translate it into the surprise ‘ wows ,’” says Adam Weissenberg , a partner with Deloitte & Touche ’ s hospitality practice .
“ To get that done probably requires more technology and investment ,” Weissenberg adds . “ In general , the industry has always been at the low end of the struggle because of the conflict over whether the brand or the owner has to pay for that ,” he says .
Building trust Hotels also must be careful to make sure their personal data collection doesn ’ t backfire . For instance , asking about personal preferences , then getting it wrong on delivery is worse than doing nothing at all , says rewards program guru Randy Petersen , editor and founder of InsideFlyer magazine and several websites devoted to rewards programs . “ The problem with personalization is when perfect , it ’ s the best
www . hotelsmag . com March 2015 HOTELS 27