Loyalty Programs Boost Frequent Guests’ Stays
Well designed hotel loyalty programs encourage frequent guests to become even more frequent, according to a new study from the Center for Hospitality Research at the Cornell School of Hotel Administration.
In the study,“Assessing the Benefits of Reward Programs: A Recommended Approach and Case Study from the Lodging Industry,” researchers found a substantial jump in revenues when gue guests joined the Stash frequent guest program at two grou groups of independent hotels.
“The interesting thing here is that the average daily rate paid by the loyalty-program guests increased only modestly, and it was the increase in the number of annual room-nights that caused the revenue increase that we noticed,” notes one of the re researchers, Michael McCall, who is a professor at Ithaca C College and a visiting scholar at the Cornell School of Hotel A Administration.
To lear learn more about the center and its projects, visit chr. cornell.ed cornell.edu.