What is hotel upselling?
Hotel upselling is the practice of encouraging guests to purchase additional services or upgrades during their stay, beyond their initial booking. This can include offering room upgrades, additional amenities such as spa treatments or dining packages, early check-in or late check-out options, and other premium services.
In this blog, you’ll learn all the tips you need to make upselling a success at your business.
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Why is hotel upselling important?
Hotel upselling is important because it helps both your hotel and your guest get more out of their stay. For your hotel, it’s a way to boost revenue by offering guests extra services or upgrades they might enjoy – for example, a room with a better view, a relaxing spa treatment, or a special dining experience.
For guests, upselling can make their stay more enjoyable by adding those little touches that make a trip feel special. When done correctly, “upselling” is really about enhancing the overall guest experience, making sure they leave happy and eager to return. Plus, satisfied guests are more likely to leave positive reviews and come back in the future, which is great for business in the long run.
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Learn moreWhat’s the primary goal of upselling in hotels?
If you think the primary goal of upselling is simply to increase your hotel’s revenue, you’re missing the bigger picture. The true aim of upselling should be to enhance the guest experience. By focusing on what will genuinely benefit your guests—whether that’s a room with a stunning view, a relaxing spa treatment, or a special dining package—you’ll naturally see an increase in positive reviews, guest satisfaction, and ultimately, loyalty.
When guests feel that you’re putting their needs first, they’re more likely to return and recommend your hotel, leading to sustainable, long-term revenue growth.
How to upsell a hotel room
Upselling needs to be done with care, focusing on the guest’s experience rather than pushing for a sale. Timing, tone, and subtlety are key. Instead of making it a hard sell, think of it as making guests aware of opportunities to enhance their stay. For instance, rather than saying, “Upgrade to a room with a view for $100,” you might suggest, “For just $30 more, you could enjoy a room with a breathtaking view.”
Tailor your upselling efforts by understanding your guests’ preferences. More than 60% of consumers are willing to spend more when an additional service complements their main purchase. A good approach is to send an email before their arrival, asking about their preferences or any special requests. This not only helps in personalising their stay but also sets the stage for a well-received upsell.
Hotel upselling examples and ideas
There won’t be a shortage of options to offer guests at your hotel. Consider the following key areas where you should be upselling:
1. Food and beverage
Encourage guests to begin their stay on a relaxed footing with a drink at the bar, celebrate any special occasions with banquet deals, add fruit and chocolate or other extras to their room, or order dessert after a main meal. Always present as many options as possible so guests are making their own choice rather than just following your recommendation.
2. Spa services
If guests have taken a long flight or arrived late, invite them to add a spa package to their stay, with a massage on their first day and the opportunity to book more treatments throughout their time at your hotel.
3. Room upgrades
This shapes as the obvious tactic and it can often work when executed well. When travellers book a trip they’re saving money for the occasion. If a guest has booked a standard room, you can contact them in the days prior to their arrival and offer an upgrade. They may be surprised by the offer and the extra price will seem smaller, especially since they will have their finances in good order by this stage.
4. Special features in the room
Pay attention to who is coming to stay at your hotel. If a family has booked, it will be important for them to have a bathtub for the children. This presents a good opportunity to upsell or cross-sell a room that has this facility. Other examples might include upselling couples to rooms with a balcony or a larger bed.
5. Exclusive guest offers
Anything that helps create a more memorable experience for your guests will receive a favourable response, such as breakfast in bed, fresh flower bouquets, champagne etc. Even though the guest has to pay extra, it will be a worthwhile expense from their perspective.
6. Leisure activities
Renting and selling things to do like riding bicycles, use of the tennis courts, gym, sauna, cinema tickets, and city tours is usually a no-brainer and not hard to get guests excited about.
How to do upselling in the hotel industry: Techniques and strategies
When it comes to upselling there are a few things you definitely should do and some you definitely shouldn’t. Keep these three tips in mind when developing your strategy:
1. Upsell throughout the guest cycle
Upselling doesn’t have to occur prior or during arrival. During the stay guests will become immersed in their experience and may be more likely to accept your offers. Even when they’re checking out you can ask them to join your loyalty program or purchase an option for their next stay.
2. Use the right hotel upselling software
By allowing you access to rich guest data and the ability to automate selling processes, your property management system (PMS) and booking engine can make effective upselling easy.
3. Educate your property’s staff
Let your staff experience everything you want them to sell so they can adequately explain it to the guest. It’s also important that they be prepared for objections or rejections. Awkward or difficult questions need to be responded to in a calm manner. If a customer rejects an offer, don’t chase the sale. Offer an alternative or raise it again at another time.
Good upselling will increase guest satisfaction and by extension provide your hotel with higher revenue and profitability.