Let’s consider the crucial data first. Harvard School of Business stated that if the customer retention rate is increased by 5%, you can see up to 25% to 90% of an increase in profits.
Every industry must acknowledge the above data when they plan on crafting their customer loyalty strategies. In order to retain existing customers, you need to go above and beyond with your marketing tactics.
As the hospitality business is considered the major customer service chamber, you may come across some fascinating marketing strategies running. But, they are extremely hard to carry out.
Guest expectations are higher than ever. One of the reasons is they have become aware.
But, what does it require at your end?
Connecting and communicating with your customers is the initial step. Your customer loyalty is directly proportional to meeting customers’ expectations. Satisfy your customer with the best services to excel. Your one step in meeting their needs will also help you earn customer referrals, hence, accelerating the growth.
We have crafted 15 proven strategies to help you comprehend your ongoing tactics, thereby increasing customer retention.
The First Impression
The check-in is the first step that sets the tone of your business. So, ensure to make this a smooth and tranquil process for your new and regular guests. The hospitality business is slightly different from others, which means you are always on the front end (especially the communication base) attending the guests.
You have to go the extra mile to exceed customer expectations by offering them with pleasant services. The right step initiated in the beginning (to build the relation) will result in regular visits.
The Personal Touch
In the hospitality business, the database is your biggest asset. Creating a customized program by storing the necessary information about your guests will help you create tailored services. Most people make online bookings.
Thus, you need to mention all the necessary amenities like the type of suite, complimentary breakfast service, WiFi facility, parking, pick-up and drop service, and many more.
The Role of Incentives
Incentives serve as a small token of appreciation for guests. It shows you value them connecting with you. Think above the welcome drinks. Create a new and innovative guest incentive or rewards that will help in building long-term relations. Start with analyzing the likes and dislikes of your audience.
A website survey is a perfect step in the run, or you can also go by sending email surveys to recent visitors to understand and build an effective marketing strategy. Increasing customer loyalty in the hospitality industry is the bed of roses; all you need is to understand and meet your guests’ expectations.
The Loyalty Program
You cannot satisfy the customers with one approach. The sooner you learn this, the better strategies you can create for customer retention. For this, customer loyalty programs play a vital role, helping you to smoothen the path.
You can start with loyalty rewards like one extra day on-the-house, spa cards, discounts on shopping stores, etc. Basically, you need to see what the customer wants and plan a personalized loyalty program.
The Guest Experience
Most hotels mess up in this context. They start with the impeccable services to keep the guests happy but miss out that the experience should begin before the check-in process. Once you book an appointment, you can connect with your guests through emails or messages.
Send them personalized brochures about the latest activities, hangout places, discount prices, and so on. Depending on the type of guest visiting, you can prioritize their experience. Remember to establish the trust, so asking them about their needs will result in loyalty from both ends.
The Relationship & Bond
Make your customers feel at home; this is one thing that most hospitality businesses begin with. But, doing this might or might not help you. Your guests are visiting your place to be far away from their home; if they wanted to feel the same, why would they stay at your place?
Welcome them by offering the best service in the industry, and this can be done when you host them in a friendly yet formal manner. This will make them feel special that they are well taken care of, which will help in strengthening your bond. Hence, an increase in customer retention rate.
The Diverse Technology
From inception to end, make technology your best friend to entertain your guests. With a smooth booking process to easy departure, make the guests feel confident that you can be trusted.
Based on the requirements (particular), like when a guest check-in for a business venture, you have to provide him/her with WiFi access. Technology is created to make lives easy, so ensure to make it easy for your guests as well.
The VIP Members
Once you identify your VIP guests, you need to take extra efforts. These are your loyal customers who generate higher revenue. So, to let them stay that way, you have to be more creative and approachable with your services.
When the guests feel more welcomed and are treated as part of your business family, they are most likely to visit again. Thus, they become happy customers, offering you more value and increasing the retention rate.
The Positive Obsession
Positive obsession can lead you to accomplish your business ventures. As they say, “in order to receive love, you have to love,” the same goes with obsession. When you obsess to provide your customers with certainly the best, they will be obsessed to stay with you.
Make your services personalized and impeccable that your guests will love everything that you present them with.
The Power of Consistent Messaging
Appeasing your customers based on the online branding strategy is excellent. But you know what is more efficient? Following these strategies at the time of the arrival too. If you have mentioned your hotel as fun and cheerful on the website, you need to appear the same way when customers arrive.
Like a hotel, you greet different kinds of people daily, so based on that, you will have to tune in your presence. Setting false expectations will work in the opposite direction. Thus, to earn retention, and want them to stay loyal, provide what you display on the web.
The Process of Booking
To build long-lasting relations, hotels should be able to enchant the prospective visitors/guests with a direct booking portal on their website. With extensive tools and features, you can create a program in the form of a pop-up menu of a navigation menu that directs them to the booking page.
Furthermore, you can explain all the benefits they can achieve from their stay. You can set a competitive edge by ensuring that your booking portal is user-friendly, rapid, and intuitive.
The Old-Fashioned Way
Modern technology is intriguing, but there is nothing that can compete with the old-fashioned way of hospitality. Truth be told, this is still used by 70% of hotels worldwide, the best way of customer retention in the hospitality business.
If the customer service is performed in an accommodating and compassionate manner, even the unhappy guests at first are contented with the utmost satisfaction. All you need to do is understand and take care of their needs.
The Right Thing
Being in the hospitality business, this is not much to ask. In this field, customer retention takes time and additional efforts. This is just like forming a relationship with your other half. Constant struggle and ability to understand what they want, and provide them graciously.
Small gestures will help you earn their trust, like creating a welcome note on their arrival, bedroom chocolates, offering them with their favorite beverages, and a number of innovative ways. These small efforts will increase your business and make the guests feel enthralled with their stay, ensuring customer loyalty.
The Right Questions
You can also call it feedback, but revert anticipated with the right questions will help you reevaluate your service and gain customer’s trust in you. Be precise with your questions like – Are you satisfied with the services? Was the ambiance welcoming? And more.
If you plan to stick with how your experience was, you won’t be getting through the result. If you want to excel and retain customers, you have to ask the right questions. Look for the good guest feedback survey examples to accomplish the meaningful changes in your business.
The Reputation Management
With social media becoming the second home of every human being, it is essential to have a positive reputation on the web. You can do it by adding customer testimonials on your website.
With positive affirmation from your guests, you will attain the loyalty, which will help in new customer acquisition.
On the Whole
To nurture relations in the hospitality industry, you have to avoid engulfing your customers with frequent sales messages. Instead, use email marketing as a platform to construct a genuine relation, and for this, personalized message is the key.
Once you establish the trust, you can initiate with special offers and rewards to your loyal and VIP guests. This will cultivate your business, and with their reviews, you will acquire new guests. Customer retention is not a new thing in the hotel business. But, today, things have taken a further step. Presently, retention takes thorough strategies and consistent efforts.
Investing in technology and infrastructure will help you to achieve more. Thus, make your guests happy with your superior services to earn their loyalty. And to help you do that, NextBee is always at your service.
