How Can your Hotel Boosts Impulse Bookings to Maximize Profit?

Are you a result-oriented hotelier always willing to drive more revenues to your property? Then, you should think about strategies you could implement to foster impulse buying on your hotel website. This could be done through ensuring seamless booking experiences. It is important to learn about the psychology driving impulse purchasing to facilitate your sales funnel. In this way, your potential hotel guests will not have time for second guess when deciding to book a stay at your property. Impulse booking has seen an important surge as people are more and more looking for last minute deals for hotels. According to the organization HospitalityNet (Links to an external site.), “the hospitality industry has seen a 150% surge in travel-related searches for “today” and “tonight” in the past two years”. Another study mentioned by the organization Condor Ferries (Links to an external site.) suggests that over 60% of millennials would consider an impulse unplanned trip based on an interesting deal and appealing buying process. These are promising statistics showing there is a real opportunity through triggering impulse buying. As you will revamp your marketing strategies to drive this behavior, you will be able to significantly maximize your conversions and revenues.

What does Impulse Shopping Stand For?

Impulse buying can be defined by a shopping activity that is spontaneous in nature to satisfy an immediate desire. In the hotel industry, it can be defined by an unplanned buying decision made right before booking a hotel stay to achieve an instant personal fulfillment. The guest who proceeded in an impulsive room reservation is then called a “compulsive traveler” who was triggered by sudden intense emotions and feelings. It is a behavior that the most successful hotel marketers try to stimulate to boost their property’s key performance indicators: room occupancy, average daily rate (ADR) and revenue per available room (RevPAR) and compete in a dense market.

Best Practices to Encourage Impulse Bookings

In order to entice impulse buying, it is important to ensure a fast and seamless booking process whether online and through your reservation department. As the booking activity will be a harmonious moment of gratification, guests will be enticed to proceed and take instantaneous action. Amazon is the best example of company applying the best strategy triggering impulse purchase through allowing a transaction in one single click. As a hotel marketer, you could get inspired by Amazon’s strategy and allow the fastest booking process so prospect guests do not think twice before deciding to stay at your property. Besides, the more you will provide personalized experience and offer unique value to your potential guests, the more they will be enticed to proceed with an impulse booking. Furthermore, in this new era, it is crucial to implement the latest mobile-centric and operational automation technologies that enables an efficient and seamless sales customer’s journey. For instance, virtual tours and customer service online chats have foster this buying behavior as it highly engages a tech-savy generation. Artificial Intelligence, machine learning, property management systems and customer relationships management systems are also data insight-driven technologies that can streamline the pre-stay experience and generate impulse sales.

Impulse shopping touches every business realms including the hotel industry in which so many people book last minute trips to escape their world. In sum, it is time for you to study the buyer psychology related to impulse purchasing so you will be able to trigger this profitable behavior for your hotel. Consider investing in the newest technologies suggested previously to appeal potential guests at every touchpoints.  As you will be ensuring a frictionless and individualized booking experience fostering impulse bookings, you will reach the highest conversion. Through implementing technologies and techniques meeting impulse-driven consumer needs, your revenue management team will reach the highest performance ever recorded.