Hotel Upsell Solution Impacts Hotel’s Bottom Line
Let’s get one thing straight — Hotel Upsell Solution is not your Property Management System (PMS). Hotel Upsell Solution is an add-on for PMS. Hotel Upsell Solution allows hotels to increase their revenue per guest by promoting offers on top of their initial booking. Offers can generally fall into three different categories:
⦁ Room upgrades (standard to deluxe)
⦁ Internal services (room service, SPA)
⦁ External services (rentals, tours)
Typically, upselling happens during the pre-arrival stage of a guest’s visit. But good solutions enable hotels to promote offers to their guests even before they arrive. Major hotels are already using such solutions to upsell their services and rooms.
How Hotel Upsell Software Impacts Your Hotel?
There are plenty of good reasons why your hotel should consider implementing the hotel upsell program, but today I am going to focus on two major ones.
Increase Ancillary Revenue
Hotel Upsell Solution enables you to send relevant ancillary products and services to the right customers at the right time of their visit. This means that guests will only see things that are relevant to them. It means that the hotels will get more direct revenue from room upgrades, selling spa treatments, or tours. As a result, the RevPAR increases from 2% to 7%. This has a significant effect on hotel annual revenue.
Ancillary Hotel Offerings Ideas
Food and drink
⦁ Meals (i.e., breakfast)
⦁ Beverages (i.e., wine/champagne)
⦁ Fruit basket
⦁ Airport transfer (It is very popular among business travelers)
⦁ Limousine service
⦁ Bike renter
⦁ Mass transit ticket
Business & Entertainment
⦁ Use of business center
⦁ Meeting equipment (projector, microphone, etc.)
⦁ On-demand films and games
Spa & Wellness
⦁ Access to in-house sports facilities (tennis court, golf course, etc.)
⦁ Personal training session
Increase Guest Satisfaction
Hotel business today is all about guest personalization. The majority of travelers would like to see greater automation of hotel services, with over half wanting to use their mobile device to receive a relevant offer (57%), chat with the hotel (52%), book for hotel services (65%), and send a special request (51%). Remember the key to Increase Hotel Revenue = Hotel Upsell Solution + Excellent Customer Experience.
According to the Harvard Review, customers who had the ‘best experience’ spend 140% more compared to those who had poor experiences. Hotel upsell programs have shown to have a strong positive impact on guest satisfaction. From the study, the guests who purchased additional services via their mobile phone are more likely to leave a better score for the hotel.
By using Hotel Upsell Solution, hoteliers can provide greater automation and one-click-order options to guests. Appealing to their convenience and flexible needs increase overall customer satisfaction.
How Hotel Upsell Solution Works?
The software requires integration with the Property Management System (i.e., Fidelio, Hoist, Little Hoteliers, Guestline, Mews, etc.) for guests’ data. This data contains guest’s name, email, language, and date of arrival or departure. This is required for creating personalized deals and sending emails to specific guests at the right time.
What are the key concepts of a good Hotel Upsell Solution?
1. Performance metrics
Ability to measure specific results (i.e., which is the most popular service; who it’s sold to, and how).
2. Relevant data
Ability to provide accurate revenue directly to the management.
3. PMS integration
Ability to connect with your hotel Property Management System (PMS).
Return on Investment (ROI) in Three Months
With countless systems for multiple departments, managing a hotel today can become very expensive. However, Hotel Upsell Solution is different because it brings more revenue to hotels. A recent study found that 95% of hotel owners would like to invest in upselling solution that are integrated with their Property Management Systems (PMS) because it is easier for the hotels to promote and optimize the profitability.
Typical price for upselling solution on the market starts at 250€ to 500€ for 100 rooms/month. The price depends on the size of the hotel.
If you are new to this, we would recommend using the easiest solution on the market from GuestJoy because it offers 30 days freemium package and best pricing levels, with a flat rate of 150€/month. This price is applied to small hotels with 1-100 rooms.
Hotel Upsell Solution generates extra revenue, and it has become a core hotel software for hotels that want to improve their operational efficiency via automated data exchange.
There is no doubt that Hotel Upsell Solution helps your hotel increase its revenue; and if used correctly to its full potential, it can have a significant impact on your hotel’s bottom line. Remember that hotels that don’t see any need for improvement are being left behind, and It is better to keep moving forward.