In a hospitality landscape where personalization and experience reign supreme, traditional point based loyalty programs are starting to show their age. Guests today especially younger, digitally native travelers expect more than just a free night after ten stays. They crave recognition, relevance and rewards that align with their preferences and lifestyle. That’s where loyalty programs 2.0 come in.
From points to personalization
The classic earn and burn model is no longer enough to secure guest loyalty. Modern travelers seek value in every interaction, and that value needs to be immediate and meaningful. Instead of accumulating generic points, guests now prefer:
- Experiential rewards: Think exclusive access to spa treatments, local tours or chef’s table dinners.
- Personalized perks: Customized welcome gifts, room upgrades based on previous stays, or early check-in privileges.
- Seamless integration: Loyalty programs integrated into the hotel’s app or digital ecosystem, enabling real-time reward redemption and instant benefits.
Leveraging data to build better loyalty
The evolution of loyalty programs is fueled by data. Hotels now have the ability to gather insights from multiple guest touchpoints: online behavior, booking patterns, F&B purchases, even mobile app interactions. This data empowers hotels to tailor offerings with precision:
- Recommend add-ons or upsells that match guest preferences.
- Trigger personalized promotions for birthdays, anniversaries or previous destinations.
- Reward behaviors that matter like social shares, reviews or app engagement, not just bookings.
Loyalty that lives beyond the stay
Forward thinking hotels are also expanding the scope of loyalty. Instead of only rewarding guests during their stay, the new model considers the full guest lifecycle:
- Pre-stay incentives: Discounts for early booking or engaging with hotel content online.
- Post-stay rewards: Points or perks for completing a feedback survey or sharing a referral link.
- Multi-property loyalty: Programs that span across a hotel group or network, offering benefits regardless of location.
Real world examples
While some major hotel chains are already adding app-based perks and exclusive experiences to their programs, smaller boutique properties are also innovating. Some use tiered loyalty schemes focused on emotions rather than transactions, while others partner with local businesses to create hyper-personalized reward catalogs.
The bottom line
Loyalty programs 2.0 aren’t about giving more, they’re about giving better. Better rewards, better timing, better alignment with what guests truly value. By rethinking your loyalty strategy through the lens of personalization and experience, your hotel isn’t just rewarding stays, it’s building lasting relationships that lead to more frequent bookings and brand advocacy.