Skift Take
We're calling 2017 as the year when loyalty becomes an even bigger focus for hotels, if it isn't already. Why? Because there's no better time than now to try to capture a consumer's loyalty, or to engage with them, even if the landscape is becoming a lot more competitive, and consumers, overall, aren't quite as "loyal" as they used to be.
For hotel companies, loyalty isn't just about repeat business or just about getting more direct bookings. It's a unifying strategy that, for many, is absolutely crucial to the short- and long-term success of their businesses.
This year, in particular, we're seeing an intense focus on loyalty from the hospitality space. Now that Marriott is 30 brands strong, and in the process of integrating Starwood Preferred Guest (SPG), Ritz-Carlton Rewards, and Marriott Rewards all together, there's no better time than now, both for Marriott and its peers to focus on revamping their programs, and making them even more appealing to consumers.
Hilton just announced four new features to its Hilton Honors program. Hyatt is launching the new World of Hyatt program next month. Shortly after Marriott completed its acquisition of Starwood, Wyndham Rewards made an unsuccessful play for SPG members, following a year during which the program garnered plenty of praise for its more straightforward approach to the loyalty space.
And as travel loyalty programs continue to evolve, the competition for consumers' pocketbooks (both in spend and credit cards), smartphone space (for those apps of course), and genuine brand loyalty (does it still exist?) is becoming more challenging day by day.
At the Americas Lodging Investment Summit in Los Angeles in late January, we asked hotel CEOs and executives for their thoughts on loyalty, and here's what they had to say.
Hilton: We Want to Make a Loyalty Program for Everyone
Prior to Hilton announcing new updates to the Hilton Honors program, Skift spoke to Christopher Nassetta, President and CEO, Hilton, who gave a broader interpretation of what he hopes the program will eventually become.
"We want to continue to drive more direct relationships with our customer," Nassetta said. "We want to do that for the simple reason that we want to make sure that our customers get the best value and get the best experience. Our belief is if we're fully engaged with them through our loyalty program, that it allows us to do that, give them the best value and give them the best experience."
He also elaborated on the ways in which he says Hilton has made its loyalty program valuable and useful for guests.
"We've done that in ways that you've seen in Hilton Honors by creating a much more flexible program of how people use their points of adding things like free Wi-Fi. [We're] giving them the opportunities on the digital side with digital chec
