Hotel & Motel Management - November 3, 2008 - (Page 27)

www.HotelMotel.com/digital_edition HotelMotel.com | H&MM November 3, 2008 Satisfaction Trends often customers visit and how much they spend. Harrah’s determines each customer’s potential value and distributes beneﬁts based on that value. We also compared elite members to non-elite members and to non-members. The results showed elite guests are different and important to hotels. They are, on average, older, male business travelers with higher incomes. This privileged group of guests is more satisﬁed, reports fewer problems and is more likely to recommend the hotel brand to others. Elite guests perceive a higher value for their experience and would be willing to pay signiﬁcantly more (17 percent) before switching hotels. hmm@questex.com 27 Elite rewards programs score high with hotel guests IN THE details Value of elite programs Evaluating effectiveness Harrah’s tops the group Elite vs. non-elite By Jonathan Barsky H&MM Columnist they visit and play. Accumulated credits are traded for rewards, cash, coupons or complimentary services, and tallied to determine customer loyalty levels of gold, platinum or diamond. According to Gary Loveman, Harrah’s president and CEO, “Total Rewards is much more than a loyalty program. It is a key element of one of the most advanced customer-relationship management systems found in any industry today.” Using information gathered mostly from card use, Harrah’s data warehouse and analytic tools allow it to offer customers individually tailored incentives to visit and play at different properties. Most loyalty programs simply use historical data, which shows how ith the woes of air travel and higher room rates, the value of hotel loyalty programs seems to be the only good news for frequent travelers these days. Unlike airline frequent-ﬂier programs, which have been cutting rewards, hotel loyalty programs are adding perks and often offer them just for signing up. The extras, which range from points for free stays and airlines tickets to room upgrades and free coffee, get sweeter as you move up to the elite tiers of a membership program by staying more nights. Due to their increasing popularity, we took a closer look at hotel elite programs and asked members of these top tier programs to evaluate their experiences. Obviously, guest satisfaction with elite membership is linked to the beneﬁts delivered by the programs. But other elements, such as program image and execution, also have an impact on overall satisfaction with these premium programs. To compare the programs, we evaluated their effectiveness. This critical measure identiﬁes the amount of inﬂuence a loyalty program has on hotel selection. Harrah’s Total Rewards was the clear winner for program effectiveness. Through Harrah’s Total Rewards program, customers earn credits each time W Jonathan Barsky is a principal with Market Metrix LLC (MarketMetrix.com), a ﬁrm that provides multi-channel survey, analysis and service improvement tools and benchmarking data for the hospitality industry. For more information, call (800) 239-7515. Smell the rubber burn. Dodge the debris. SPEED HD brings your customers closer to the action than ever before. The best racing and automotive lifestyle shows in native HD, including 100% of NASCAR at-track and on-track programming. The biggest events like the NASCAR Sprint AllStar Race and the NASCAR Gatorade Duel, and NASCAR Truck Series. Plus, original fan favorites like Super Bikes! and PINKS All Out. To add SPEED HD to your line-up visit foxcable.com. CIRCLE NO. 122 http://www.HotelMotel.com http://www.HotelMotel.com/digital_edition http://www.foxcable.com http://www.foxcable.com http://www.MarketMetrix.com

Table of Contents Feed for the Digital Edition of Hotel & Motel Management - November 3, 2008

Hotel & Motel Management - November 3, 2008 Contents The Rate Debate Accor Defines Motel 6 Prototype Rollout Holiday Inn Eyes Upscale, Timeshare Perspective Economy Sets Tone at The Lodging Conference Mellow Vibe Meets Bold Design at HD Boutique Expo IH/M&RS to Focus on Going Green Legally Speaking Sales Clinic On Finance Travel Trends Cornell Insights Franchise Law HotelWorld Update Trends & Stats Energy Star Update Energy Star Update An Industry Connected People on The Move Annual GM Survey Point-of-Sale Systems IH/M&RS Product Preview Outdoor Lighting Refrigeration Marketplace Ad/Editorial Index Classifieds Checking Out

Hotel & Motel Management - November 3, 2008

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