Special RepoRt : LoyaLt y , next
according to a 2014 survey oF 3,000 high- Frequency travelers by deloitte & touche :
Wooing Millennials
They are the great unknown as hotel companies work to make their loyalty programs relevant to the next generation of travelers . But a 2014 survey of 3,000 high-frequency travelers by Deloitte & Touche offers some insight . ♦ Millennial travelers value cash and discounts as much as anyone else , but they value “ soft ” benefits like VIP treatments and authentic experiences more than other groups . ♦ 32 % of Millennials rate unique experiences as a very important factor in their hotel loyalty program selection , compared with 14 % of all older generations . ♦ Millennial travelers make quick buying decisions and expect quick gratification . More than three-quarters expect a loyalty program to pay some kind of reward within three months . ♦ Once they find a brand that works for them , Millennials are more likely to stay loyal than other generations and they will pay up to US $ 41 more per night and drive up to 15 minutes out of their way to stay with that brand .
Frequent travelers reported
MEMBErSHIP In an aVEragE Of 2.6 PrOgraMS anD acTIVE USE Of 1.8 PrOgraMS
thing in the world ,” he says . “ But it ’ s the easiest thing to screw up .” The screw-ups , most agree , are the most memorable . That ’ s why Kristin Intress , CEO of Worldhotels , says she had her company pull back a bit on their new loyalty program to make sure they get the technology right . “ With personalization , you have to deliver what you promise ,” she says . “ Don ’ t ask me what newspaper I want and then it never shows up . If you hadn ’ t asked me , I wouldn ’ t be upset about not getting it .”
Scott Fillian , director of IHG Rewards Club , says , “ Knowing how to appropriately personalize is critical for developing and growing trust with consumers .”
And it ’ s usually just a few very
More than halF belong to Multiple prograMs , anD 89 % Of MEMBErSHIPS arE rEPOrTED TO BE acTIVE aT any gIVEn TIME the average custoMer spends jUST OVEr HaLf Of STayS aT HIS Or HEr MOSTfrEqUEnTED BranD EacH yEar
important details , that matter , adds Vondrasek . “ I think points are critical ,” he says . “ But understanding my unique needs , trip to trip , allowing me to curate my trip , knowing that my voice is heard , those are almost as important .
“ Believe it or not , in the world of big data , it ’ s usually just a few critical things that matter to the guest , and hoteliers much capture those unique needs trip to trip ,” Vondrasek continues . “ If you are traveling on business , it could be as simple as getting in late , and them knowing you would like a cobb salad in your room when you arrive . The next week you might show up in a resort with your family and have very different needs .”
28 HOTELS March 2015 www . hotelsmag . com