Hotel Rewards Program: Executive Hotels: Bonus Points Campaign Encourages Occupancy in a Slowing Economy

The recent slowdown in the North American economy, and the lingering fear among travelers, has made it necessary for the travel, lodging and hospitality industries to rethink how they operate in order to attract customers.

One Canadian and US-based hotel chain, Executive Hotels & Resorts, headquartered in Vancouver, did not stand still. With the realization that they needed to institute more guest incentives in order to resume traveling, Executive Hotels took a proactive approach and opted to leverage their real-time customer reward program dubbed "Executive Rewards Club" for the months of October through December. Instead of waiting idly by for loyal business and leisure travelers to regain their confidence, Executive Hotel's management began offering their Executive Rewards Club members with 500 points per stay versus the standard 300 points that were typically offered.

Valid at 19 locations, including both Executive's branded hotels as well as some affiliate hotels, this accelerated offer provided their guests with the opportunity to earn almost twice the normal bonus points during the promotional period. Moreover, the program alerted guests, immediately, as to how many points they've accumulated toward specific bonus incentives. As a result, for the months of October and November, overnight stays for Executive Rewards Club members increased 25% over the same time period in 2000. In addition, spending by these members increased by 8% over the same period last year.

"The program gave us the flexibility of offering greater and more instant rewards, so we could grab a bigger mind share of our customers," said Executive's chief financial officer Hanif Mawji.

Kris Oser from Direct Magazine covers this story in more detail in the May 15th article, entitled, "Loyalty Effort Boosts Hotel Stays"