Upselling in the hospitality industry is an art. It involves strategizing and planning to give the best offers to the customers while creating more revenue for the hotel. Mastering the art of upselling requires a certain amount of knowledge, and we are here to help you with that.
Purpose of the Article: Providing Tips and Examples for Effective Upselling
We understand that upselling is very important for the survival of a hotel. That is why this article will take you through all the necessary details of hotel room upselling techniques.
We will take you through the following:
- Understand your guest needs and make the most of your customer data.
- How to offer room upgrades.
- How to market add-ons or amenities.
- How to make the best use of technology.
- How you can use chatlyn to enhance your upselling process.
This article will provide you with all the tips and hotel upselling ideas to make your process simple and hassle-free.
Understanding the Concept of Upselling in Hotels: Best Ways and Techniques
Upselling is a common process in the hotel or hospitality industry. It is a process that benefits the hotel and the customers when executed properly. To simplify, upselling a hotel means offering guests extra services, higher or upgraded rooms, and special features or add-ons. A hotel upsell program is a sales technique that:
- Helps a hotel generate extra revenue through increased guest spending.
- Better utilization of the property and services.
- Increases customer loyalty towards the hotel.
As mentioned earlier, it is beneficial to the customers as well. You might wonder how? What you must keep in mind when you are in the hospitality industry is that guests will always be open to buying or spending more than their initial budget as long as it is convenient, adds significant value, and if they feel like it is worth the price.
If the upselling scheme hits the mark, it will increase customer satisfaction because they get personalized offers and more value.
Now, how to implement upselling in your hotel is the main question. There are different upselling techniques and ways to do it, but first, you must analyze your hotel and list all the important details. Analyzing will help you realize that there are endless opportunities to upsell your hotel.
Here are a few best hotel upselling ideas:
- Room upgrades.
- Including upselling offers on the hotel website.
- Creating packages with various services and amenities for different audiences.
- Making use of technology and training staff to use electronic devices efficiently.
- Deals for food and beverages.
- Using a hotel upsell software.
These are just a few techniques and hotel upselling ideas. When you analyze all your services, you will open more opportunities. Also, we are here to help you through the process with all the knowledge you need, also keep the following article on how to increase hotel ADR in your queue .
Importance of Upselling in Today’s Competitive Hotel Market
Before we jump into examples of upselling in hotels, ideas, or techniques, it is essential to know that this process or initiative must not be taken lightly.
Many years back, there were only a limited number of hotels available for people, but the present scenario is different. Multiple hotels are available, and the industry is expanding as the years go by. Along with the expansion, customers have greater expectations from hotels and the hospitality they offer. If you want to survive in the hotel industry, upselling is essential.
Let us see why upselling in the hospitality industry is important in today’s competitive hotel market.
Upselling will increase your customer satisfaction:
The main reason for a hotel to run or survive is because of its guests. Customers will only return or stay loyal to the hotel when they are fully satisfied with its services and hospitality. They will also suggest your hotel to their near and dear ones.
You can show your property’s various services and amenities when you upsell your hotel. This gives guests more personalized options to choose from.
Remember, customers always love more options or services, especially when they are unaware of upgrading options. With more services and offers, customer satisfaction and ADR will increase, and your hotel will run successfully in the market.
Upselling in the hotel industry will teach you more about your visitors:
You can build a better connection with your customer. You will be able to learn about their experience, needs, and interests. You will also understand what they are willing to pay extra for.
For example, you might learn that your guests are willing to pay extra for a room if the room comes with a shower and a bathtub. Through this, you can generate more ideas for new upsells. You will know how to keep your customers happy while generating more revenue.
Another advantage of knowing your customers is realizing what is not working out and revamping those offers into more attractive ones.
Upselling techniques in your hotel will boost revenue:
More customers and better services will increase revenue. For example, if your visitor likes the upgraded room and services you provide, you will get more revenue when they pay for it.
Also, a boost in revenue means the hotel can expand and provide more services, providing an enhanced experience for guests.
Upselling will help you stand out from your competitors:
As mentioned before, upselling increases customer satisfaction because of personalized services. You should note that personalization will make your hotel stand out from the rest.
Also, first-time guests will turn into loyal customers. They will become regulars and share positive feedback on public websites, boosting your rankings and attracting more visitors to your hotel.
Upselling in the hospitality industry will increase your hotel reputation:
Upselling gives you a chance to express the values and vision of your hotel or brand. For example, you can let your visitors know that a certain percentage of the additional revenue goes towards a good cause.
You can also offer deals that focus on sustainability, such as planting a tree for every stay.
When a customer knows that their investment in the hotel for a certain amount of time is going towards a good cause will increase your brand reputation. They will also leave a good review which can bring more stars to your hotel.
Personalizing the Upsell Experience: Identifying Guest Needs and Utilizing Customer Data
Upselling is all about personalization. In this segment, we will help you understand the guest’s needs and how to make the best use of customer data.
Understanding Guest Needs and Preferences
Understanding what your guest needs and prefers is a very important step.
During upselling in a hotel, you must remember that not every guest is perfect for an upsell. It is very important to be observant and not push upsell offers or additional products on guests who do not require them.
Pushing, upselling offers or hotel upsell programs will not be worth it if you are not able to explain how it will benefit them. That is the reason being observant while communicating with the guest is essential.
For example, when the guest arrives at the front desk, start a small conversation and observe how many members are there in the family or group. You or your staff will be able to understand their needs accordingly.
You can understand your guest’s needs and preferences on arrival or pre-arrival.
Understanding the needs pre-arrival will be more beneficial as you will be able to plan out what to offer them beforehand and give them a good experience.
The pre-arrival process is simple. You can create a straightforward questionnaire and send the link to your guests. You can send the link through email, text message or even better WhatsApp Newsletters for hotels which have an open rate of 98% .
In the survey or questionnaire, emphasize the part about why this form is important and how this survey can enhance their experience.
You can ask questions such as:
- Purpose of visit.
- Tour guide preferences.
- Baby bed requirement.
- Additional service requirements or preferences.
You can ask questions that will help you create a personalized hotel room selling technique. Remember to keep the survey short. The guests should be able to answer the question by ticking a box or in one word.
Using Customer Data and Feedback to Improve Upselling Efforts
Customer data is essential to provide upgraded packages, additional services, or to upsell hotels.
Customer data is the information a hotel collects regarding its guests. The information can include their names, ages, locations, and contact information. Other than these, a hotel can collect information regarding their spending habits and preferences.
You can collect customer data either by using online forms on the hotel website or by providing a form when they arrive at the hotel. Collecting data through online forms will simplify the process, and you can keep all the data in one particular place. It’s also important to understand that to have all the data and info of your guests you should definitely use a hotel communications platform, where you will have all your conversations and channels in one place.
Now, the main question is how to use customer data to improve upselling efforts. When collecting information, you can create room upgrade packages, add-ons, or other services. You will have an idea of what your customers are looking for, and if they become regulars, you can easily create upselling offers for them.
You can even use customer feedback to improve your upselling efforts. For example, if your guest mentions that they did not prefer or make the most of the dinner buffer service in their package, in the future, you can create an offer that does not have dinner service. Instead of dinner, you can add another service. Customer feedback will help you understand what guests prefer to pay extra for and what they are not enjoying.
Utilizing chatlyn’s Communication Platform to Personalize Upselling
We have seen how important communication is to understand customer needs and how to make the most of customer feedback. To make the process easy, you can utilize chatlyn’s communication platform.
chatlyn is a powerful customer communication and message platform that is specifically curated for the hospitality industry. This platform will allow you to efficiently and efficiently communicate with guests through various communication channels such as WhatsApp, Telegram, Instagram, Facebook, Email, and many more. It has the capability to increase guest reach and revenue by sending automated messages on different channels with the same inbox.
You can send pre-arrival surveys or feedback forms through this platform, even do hotel email marketing.
Mastering Upselling Techniques for Hotels: Room Upgrades, Additional Services, and Package Deals
Customers love upgraded stays, package deals, and additional services if they feel like the price is worth it and are convinced. We will tell you how to effectively convince your guests to agree to an exclusive offer.
Effective Ways to Offer and Present Room Upgrades
You must be able to convince your guests of room upgrades. You must be able to sell it in the right manner.
You must highlight the differences when you or your staff are offering upgraded rooms. You must be specific on how and why the room is better than the previous one.
Make the explanation more personalized
For example, you can say, “We have got you booked into our standard rooms, which we are sure you will find comfortable. However, I have noticed that you are traveling with your kids today, and you might prefer our premium room with a sea view. It is more spacious, making it easier for your kids to play around while enjoying the view”.
Here is an example of upselling in the hotel industry. Park Regis Business Bay Hotel Dubai has various upgrades for the same room type. They have deluxe rooms with different views, such as the canal view and the Burj Khalifa view.
For example, if you notice a couple checking in and your hotel has various views for the same room, you can highlight the differences and offer them a room with a different view.
- Mention the advantages.
- Explain how it is a great deal.
- Discuss the room’s amenities and the feel or vibe the room provides.
Use tablets or iPads
When you are explaining the features of the upgraded stay or room, using images will be beneficial. You can explain the features using ipads or tablets with good lighting images. Ensure the angles are perfect and all the facilities are seen in the pictures. Doing this will attract guests to the room.
Marketing Additional Services and Amenities to Increase Revenue
Another part of effectively upselling hotels is marketing additional services and amenities. When marketed in the right manner, you can increase your daily revenue.
Your marketing skills must be on point. You must be able to convince your guests of the great amenities and additional services you are providing them.
For example, on your hotel’s website, you can provide important and eye-catching information regarding all the amenities your hotel has. You can mention the parking space, room service, or free wifi facilities your hotel has. You can mention all the additional services, like your tie-ups with local businesses for booking reservations or purchasing tickets at discounted prices.
Ensure that the website is attractive and highlights all the amenities. Doing this will convert potential guests into paying guests. An important point that you must remember is that your website must be accessible on PC and mobiles.
You can even use social media platforms to provide information regarding all the amenities. Post well-curated content in the form of carousel images on Facebook or Instagram, and you can even post reels showcasing all the services. Having a social media presence will increase revenue.
Overall, when you market your additional services and amenities in an engaging manner, customers will be interested in your hotel. They will want to experience it, and marketing will help you stand out from your competitors. Customers like to know the extra benefits of booking at your hotel, and marketing will help you achieve that.
Creating Value-Added Package Deals for Guests
Guests love packages that add more value to their stay at your hotel. If it adds great value, they will not hesitate to pay extra.
Value-added package deals generate more revenue and showcase the hotel’s features and strengths.
Creating value-added deals means enhancing the customer experience and giving them more than they anticipated.
For example, you can provide bed and breakfast deals or private dinner services if a couple checks in. If a family with kids is checking into your hotel, you can provide them with a package that has a movie night as an option. You can set up an exclusive movie night for the family at your hotel.
If your hotel has services like a spa, you can make a value-added package incorporating dining and spa services. Or seasonal packages where you can combine local events or activities with accommodation at your hotel.
These deals will highlight the property and will excite the guests. The key point is to get creative with these deals during upselling hotel rooms.
Using chatlyn’s Automation and Analytics for Upselling Room Upgrades and Services
chatlyn aims to improve the guest experience. It makes the journey of your guests at your property smooth and at ease. Implementing chatlyn, you can send automated messages to your guests that mention the features and amenities of the hotel along with the complementary and additional services the guests can enjoy. Doing this will increase the average daily rate.
Implementing and Measuring the Success of Upselling Strategies in Hotels
Knowing how to implement hotel room selling techniques through your staff and knowing the success rate is essential. We will give you a few tips on how to train your staff for upselling and how you can measure your success.
Training Staff and Utilizing Technology for Upselling Techniques
Staff training is very important for upselling hotels. You can train your staff in the following ways:
- You can train them to ask open-ended questions. This will help your staff understand your guest’s needs and preferences. Accordingly, they can suggest upgraded stays or exclusive offers.
- Teach them how to understand the guest profile. This way, they will understand who will likely take the upsell. For example, if they notice the guest staying for more nights, they could be interested in taking a bigger room like a suite. When your staff reads the guest profile, they will be able to suggest to them the room upgrade.
- Train them to learn the upsell’s features, benefits, and price differences. Teach them to express it in a positive and convincing tone.
- Your staff must be able to use electronic devices efficiently to speed up the process.
Technology is a great advantage to the upselling process. Look for innovative options or hotel upselling ideas with technology for upselling your hotel. Make use of tablets and computers at the front desk. For example, when you discuss upgraded rooms or services with guests, you can show them pictures on the devices.
You can offer virtual tours of the rooms for the customer to have an enhanced experience.
You can even provide feedback forms on electronic devices at the front desk. This will save all your data in one place.
Measuring and Analyzing the Effectiveness of Upselling Efforts
You can measure the effectiveness of upselling through the feedback your guests provide. You will be able to understand your weaknesses and strengths.
Integrating CRM systems is beneficial for measuring and analyzing the effectiveness of your upselling efforts. CRM will help provide guest data and the history of your guest’s interactions with your property. CRM systems will help you review your guest’s purchase history. This will help you learn the most selling package and areas you must improve.
Analyzing and measuring are very important steps. You should not ignore it. It will help you make better room upsell strategies and enhance your guests’ experience.
chatlyn’s Integration with Hotel Management Software and Analytics for Measuring Upselling Success
chatlyn has the ability to integrate with existing hotel management software such as CRM. This will help your hotel streamline all guest communication and messaging processes. Having everything streamlined makes analyzing the effectiveness of upselling efforts easy and simpler.
Conclusion: Recap of Upselling Importance and Encouragement to Implement Strategies
Now, we know what upselling is all about and the different techniques you can use to upsell your hotel. Let us have a small recap of all the important points.
The Importance and Benefits of Upselling in the Hotel Industry
Upselling is very important in the hotel industry. For you to survive in the industry, you must upsell.
Here are the benefits of upselling:
- You will be able to increase your daily (ADR) and overall revenue.
- Build a strong brand reputation and stand out from your competitors.
- Build strong customer relationships and enhance customer satisfaction
Being unique and giving more services makes a hotel stand out and be loved by guests. Upselling your hotel will help you achieve better revenue and more positive reviews.
Encouragement to Implement Discussed Upselling Techniques and Strategies
The right techniques are required to get the upselling process right. You will lose revenue and customers if you go wrong during the implementation or use incorrect techniques.
We have mentioned all the hotel upsell program techniques and tips that will help upsell hotel rooms. Other than upselling rooms, these techniques will enhance your customer experience and improve your hotel.
Implementing the upselling strategies and techniques mentioned above will be an added advantage because you will know where to begin and what to do. You will not be lost in the process and will not go down the wrong path.
Using chatlyn to Enhance Upselling Efforts and Increase Revenue
chatlyn is a great platform to use and integrate. chatlyn will help in increasing your hotel’s revenue through more effective upselling.
chatlyn can integrate with existing software such as CRM. This helps streamline all the activities without missing out on any vital information. As a result, chatlyn will provide you with an enhanced experience during upselling.
Here is how using chatlyn will help:
- chatlyn will help you effectively communicate with your guests on various messaging channels like Instagram, WhatsApp, Telegram, Facebook Messenger, Email, etc. No message will be lost, and every inquiry will be handled promptly when you use chatlyn. Take also a look on how to improve your hotel email marketing strategies.
- You can easily assign messages to the correct team members in a ticketing system.
- You can send automated messages on various messaging platforms. The tool helps promote events, offers, and other important information to guests effectively. This will increase guest reach and help increase revenue.
- chatlyn can also handle repetitive questions from guests efficiently. This will help your staff perform important tasks and save up time.
- The platform is available on both iOS and Android. Your team members can respond to guests from anywhere efficiently.
- The platform is 100% GDPR compliant. In addition, the platform ensures the server location and storage of customer data meet the latest standards.
Experience the Benefits of chatlyn for Yourself: Request a Demo Today
You can experience the benefits of chatlyn by requesting a demo with our sales team.
chatlyn will bring your more benefits and will enhance your upselling hotel process.