Hotels missing out on £1.8bn in revenues, study finds

Hotels are missing out on £1.8bn of additional revenue as British hotel guests would pay on average £40 more per night for a hotel that makes their stay personalised, according to new data from Mews, the hospitality cloud platform. The research shows few hotels are seizing this opportunity, with over half (59%) of returning guests having been overlooked as a loyal customer. It also revealed the “lack of customer loyalty” in the hotel market, estimated to be worth £570bn, with 79% of UK travellers having stayed at a hotel or their sister hotel more than once. Yet, over half (59%) were overlooked as a returning guest. Mew states that “lack of recognition not only leaves guests feeling undervalued and unappreciated, but the impact is felt on the hoteliers' bottom line”, with almost one in five (19%) of guests saying they have taken business elsewhere due to this lack of recognition. Regarding long-term value, it found some 61% of UK travellers say they would keep returning to the same hotel or chain if their loyalty is rewarded. Almost half (49%) of UK travellers said they look for personalised local activities based on their past booking history. For 39% of guests, remembering their dietary preferences is key to them rebooking. Richard Valtr, founder of Mews said: “In a world where our television, meal delivery and even banking subscriptions are personalised, it’s time for the hotel industry to seize the opportunity. “Post-pandemic, despite inflation surging and a recession loom, people are still keen to spend on travel, having been starved of the experience for over two years. But they also want to feel like they are getting the premium services the excess prices dictate.” He added: “Guests want to be remembered by the hotels they choose to stay with, and their personal preferences not just noted but acted upon to surprise and delight them. This is now possible with the help of technology. In 2022, hotels should truly know their guests, especially their loyal ones, inside out.”