Imagine you could increase your hotel revenue without spending a dime on marketing.
Sounds too good to be true, right? Well, it’s not. It’s called hotel upselling, and it’s one of the most effective and profitable strategies for hoteliers.
In this comprehensive guide, you’ll learn:
- What hotel upselling is and why it matters for your bottom line
- The top 7 upsells you must offer your guests
- How hotel tech can help you upsell with confidence and skill
Without further ado.
What Is Hotel Upselling?
At its heart, hotel upselling is simple. Just offer higher room categories, additional services, and alluring add-ons that your guests can’t resist.
Upselling also has a knock-on effect – the happier your guests are, the more loyal they become, and the more they spend. All in all? Hotel upselling is a must.
Learn More: Mid-Range Hotel Marketing With Practical Examples
The Simple Truth Behind Upselling
Not upselling? You’re missing out. There are a slew of reasons every (and we mean every) hotelier needs to incorporate upselling into their hotel business. Let’s zoom in on some of them:
- Upselling Improves Guest Experience. Upselling isn’t just about making more money. It’s about showing your guests you understand their needs and can match those with the upgrades they desire. Match the right guest with the right upsell at the right time and what’s the result? An improved guest experience.
- Upselling Shows Guests You Care. By offering a personalized experience through upsells, rather than just another cookie-cutter stay, you not only set your hotel apart but strengthen your brand’s reputation. That equals better reviews online, positive word of mouth, and repeat bookings.
- Upselling Increases Your Revenue. It’s always more cost-effective to nurture the guests you have than acquire new ones. Hotels that implement effective upselling can drastically increase average guest spend.
There are a slew of benefits to upselling. But you’ve got to go about it the right way — bothering your guests with upsells they don’t care about is a sure way to infuriate guests and make them feel uneasy.
Learn More: Your Fifteen Minute Guide To A Profitable Hotel Room Upgrade Strategy
Maximize Revenue with Smart Upsells Now!
7 Upselling Ideas Your Guests Can’t Resist
What should you upsell your guests on? In our experience, the following upsells are effective and easy to implement into your hotel business right now. Without further ado:
- Room Upgrades. It’s never too late to offer guests the chance to improve their experience. Offering guests a higher room category for an additional charge is a classic upsell.
- Food and Beverage Deals. The best way to your guest’s wallets? It’s through their stomach. Start with basics like promoting standard breakfast, lunch, and dinner options. A coupon can go a long way here.
- Spa and Wellness Services. Encourage your guest to take it easy. Spa services are ideal for upselling because they add value to a guest’s stay. If you don’t have a spa in your hotel, consider partnering with a local health center.
- In-room Extras. It’s the small things that make a big difference. This could be a fruit platter, a minibar set-up, or even a birthday cake. Good use of guest data helps inform your choices here.
- Activities. Offering activities means extra effort, but it’s a great way to engage guests and make their stay memorable. Lean into your guest profiles and suggest activities likely to resonate with your customers. Think wine-tasting, local market tours, or even guided stargazing.
- Parking. A new study by CBRE Hotels shows that parking POR (Per occupied room) was 20.7% in 2022 when compared to 2019. But if you are going to upsell your guests on parking, make it worth their money. Think security cameras, a gate, fencing, etc. If you can’t provide enough value here — skip this.
- Luggage Storage. We’ve all been there. You’re checking out at noon but have several hours spare before your flight. If only there was somewhere to store your luggage! If this is something you’re not comfortable charging for, consider offering free storage in return for them signing up for your loyalty program. Loyal customers spend more which equals more revenue further down the line.
These are some of the most effective ways to upsell your hotel services and products. Next up: we’re going to look at an upselling script for your staff.
Learn More: Top Ideas for Upselling
Don’t Stick To The (Upselling) Script
We reached out to our network of hospitality industry veterans and asked them how exactly they’d go about upselling, word-for-word. The result? This script.
“Welcome to our hotel, Mr./Ms. [Guest’s Name].
We’re delighted to have you with us. I see that you’ve booked our standard room. I wanted to let you know that we have a special offer right now where you can upgrade to our deluxe suite for just an additional $50 per night.
The suite offers a stunning city view, a larger living space, and comes with complimentary breakfast.
Would you be interested in enhancing your stay with this upgrade?”
Remember, the key to a successful upsell is to highlight the benefits and value the upgrade or add-on provides to the guest. Always ensure that your tone is friendly and helpful, not pushy.
Upselling is a win-win strategy where guests receive an enhanced stay with added value, and hotels increase their revenue and build long-lasting customer loyalty through personalized offerings.
But don’t just stick to the script.
Empower your staff to upsell without overwhelming guests. The secret? Make it seem like you’re doing them a favor. Which, if your upsells truly offer value, you actually are. For example:
“So, I see you’re booked for a stay in one of our standard rooms. Is that correct?
Oh, I couldn’t help but wonder what brings you to our city. Is it business?
Ah, I thought so! Well, here are the keys to your room.
By the way, I noticed there’s no member number listed for you.
Would you be interested in signing up to enjoy some exclusive perks and start earning reward points?
Especially since it’s on the company’s dime, you’d essentially be earning points for free.”
It’s essential to gauge the guest’s mood. If you’re talking to an exhausted business traveler checking in late at 8 pm? The best thing you can do is check them in quickly and wish them a pleasant night’s sleep.
Always adjust your approach accordingly. Strike a balance between engaging guests, offering valuable options, and respecting their individual needs and preferences.
Delight Your Guests With No-Touch Upsell Tech
Hold up – we know what you’re going to say. This is all well and good, but you don’t have the staff. The employees you do have are busy and often forget to upsell – or just aren’t good at it. Which is to be expected, they’re hospitality experts, not salespeople.
That’s where we come in. We’re proud of how our technology can help automate the upselling process, making it easier to offer personalized upsells at the right time. Our software lets your guests upgrade their rooms, add amenities like breakfast, choose their preferred check-in time, and more–all before they arrive.
Successful upselling is an art that requires understanding your guests' preferences and anticipating their desires, allowing you to exceed their expectations and create unforgettable experiences
But that’s not all. Duve also helps you upsell during your guests’ stay by using smart data to understand their needs and preferences. Whether they’re looking for a family-friendly activity, a relaxing spa treatment, or a romantic dinner, Duve will suggest the best options for them and make it easy for them to book. You can also offer them late check-out, in-room dining, transportation, and other services that will make their stay unforgettable.
And the best part?
You can do all this without adding extra staff or spending hours on training. Duve’s no-touch technology uses advanced algorithms to analyze guest data and recommend personalized and automated upsells, upgrades, and services. This way, you can optimize your revenue per room, streamline your operations, and maximize your efficiency.
Learn More: Hotel Personalized Upsell Platform
Boost Profits with Tailored Guest Offers!
Frequently Asked Questions
Q1. What are upselling techniques in the hotel industry?
Upselling techniques in the hotel industry are methods of offering guests additional features or services to enhance their stay for an extra cost. They can help hotels increase their revenue, guest satisfaction, and loyalty.
Q2. What’s the best way of upselling a hotel room?
The best way of upselling a hotel room is to offer guests a higher room category that adds value to their stay and matches their needs and preferences. This can be done at different stages of the guest journey, such as during the booking process, pre-arrival, check-in, or in-app
Q3. What’s an example of upselling in the hotel industry?
An example of upselling in the hotel industry is when a hotel staff offers a guest a higher-priced room or service than what they originally booked. For instance, a staff member may suggest a room with a better view, a larger bed, or a faster internet connection for an extra fee.
Automate Your Upsells, Boost Your Revenue
You know your guests and what they want. But how do you offer them the precise upsell that will take their stay from great to excellent.
That’s where hotel technology comes in.
With Duve, you can use smart data to understand your guests’ needs and preferences and offer them personalized and automated upsells at exactly the right moment.
Hotels using Duve experience an $180 uplift per room. Contact us today and see the difference for yourself.