Did you know that upselling can increase hotel revenue by up to 10-30%?
According to this research from Hotel Tech Report, ancillary services have been estimated to be a $28 billion opportunity for hotels. This significant impact on profitability cannot be overlooked.
This article will focus on hotel upselling—what it entails, its importance, and how it differs from cross-selling. The aim is to uncover the most profitable opportunities within a hotel and how to implement them effectively.
Property managers can expect to learn strategies to make upselling a seamless part of the booking process, enhance guest experiences, and significantly boost the hotel’s bottom line. This article addresses a common challenge: leaving revenue on the table. Actionable insights will be shared for those striving to tap into the full potential of their hotel offerings.
Take the friction out of upsells
Understanding the Concept: What is Hotel Upselling?
Hotel upselling is more than just a revenue-enhancement strategy; it presents an opportunity to elevate the customer experience. When executed with finesse, upselling unlocks new revenue streams and fosters guest satisfaction, nurturing loyalty that can pay dividends in the long term.
It ensures that you and your team are on the same page. It also allows you to focus on giving guests a great stay and warm welcome rather than fretting about cleaning logistics, cleaning materials, or whether you remembered to replace the toilet roll.
10 Hotel Upselling Techniques to Increase Revenue
If you want to generate more upsells, it’s not just about what you offer but how you offer it. You can check out our video below or implement the following techniques and ideas to boost your hotel upsells at your hotel.
1. Advertise upsells before pre-arrival
Pre-arrival communication isn’t just for asking your guests about the purpose of their trip and sharing arrival details. You can use this crucial time in the guest journey to share information and offer upsell opportunities that guests can take advantage of even before they arrive.
For example, design message templates for a pre-stay drip campaign, sharing information about room upgrade options, early check-in, and other add-on services that guests can book pre-arrival.
When you inform guests of the upgrades, services, and add-ons your hotel offers before check-in, you allow them to make purchases beforehand. You also engage them when they start the guest journey, which can help lower your cancellation rates.
2. Offer in-app purchases with hotel upsell software
Guests can easily purchase services and upgrades via mobile devices using a solution like Operto. This removes friction from the upselling process, making it easier for guests to book a dinner reservation or spa service from their phones.
But to make this process run smoothly (and ensure guests get exactly what they ask for when they ask for it), have a dedicated customer care team that can remotely manage your guests’ needs.
With the right hotel management tool, you can build a streamlined internal communication infrastructure that ensures guest requests reach the right team members. For example, if someone orders a drink by the pool via your guest app, your customer care team receives the request and relays it to the staff at your poolside bar, ensuring your guests get what they ordered promptly.
3. Partner with local businesses
While your hotel may have a spa, restaurant, and gym, it can’t have it all. That’s why you should partner with local businesses to offer guests unique services like guided tours and activities in the area.
For example, set up an agreement with a local guide service that brings you a commission every time a guest books a tour or experience via your guest app. This is possible via customizable bright buttons within your digital guidebooks that take guests directly to a partner’s website.
This technique helps you bring in more upsell revenue and enhances your guests’ experience. You provide all the information they need about local activities and offerings in a curated, in-depth digital guidebook, helping them make the most of their stay.
4. Leverage unique on-site amenities
Integrate your hotel’s amenities with your mobile solution to maximize their use. When guests access communal areas—like a gym, spa, or pool—using a mobile key and your guest app, ensure your related services are visible and accessible simultaneously.
That way, they’ll automatically see additional services and add-ons in their guest app, like personal training sessions at your gym or your spa’s offering of luxury facial treatments.
Having this information at their fingertips makes them aware of everything your amenities offer without listening to your front desk staff go through a scripted sales pitch upon check-in (which they’ll likely forget minutes later).
Pro tip:
To facilitate contactless access via mobile keys at your hotel facilities, upgrade your locks with Operto Boost. The innovative technology allows you to enjoy the benefits of smart lock functionality without the time and investment of replacing your locks and doors.
5. Create loyalty programs to bring repeat business
You don’t have to be a chain hotel with locations worldwide to enjoy the benefits of a loyalty program. By getting your guests involved in a loyalty program (and collecting their email addresses for remarketing), you can share rebooking incentives and advertise special offers with built-in upsells.
So, send out email campaigns based on each guest’s profile to share experiences and packages that go beyond a bare-bones stay. For example, for business travelers, offer a package that includes transportation from the airport, in-room breakfast, and a fitness class at your gym.
Or, for a couple who visited on their honeymoon, send out an offer for a special “First Anniversary” package about eight months after their stay. This package would include a couple’s massage, a discount on a dinner reservation at your restaurant, and a bottle of wine and a bouquet of flowers in their room to welcome them upon arrival.
With this tactic, you’re not only bringing in repeat guests (who will book directly via your website) but also offering them the chance to purchase personalized upsell offers the moment they make their reservation, boosting both RevPAR and guest satisfaction.
6. Add Room Upgrades
The ultimate goal of any hotel business is to transform every guest’s stay into a memorable experience. A room upgrade goes beyond merely providing more space or an enhanced view; it offers an opportunity to elevate the overall experience for your guests significantly. Think premium comfort, better views, and the ultimate VIP feeling.
To truly engage your guests, presenting these upgrades straightforwardly and transparently is essential. This way, they’ll feel confident in their choices, knowing they are making a wise investment in their comfort and enjoyment.
Highlight the unique features of each upgraded room—think plush bedding, elegant furnishings, and stunning vistas—that contribute to an atmosphere of indulgence.
7. Special Occasion Packages
Celebrating milestones like anniversaries, birthdays, or honeymoons is a memorable part of travel, and hotels can upsell special occasion packages to elevate these moments.
These packages often include romantic touches such as champagne, chocolates, flowers, or even a personalized note, and they allow guests to make their celebrations more meaningful without additional planning.
To encourage uptake, hotels should advertise these packages prominently on their website, within booking confirmations, and in pre-arrival emails. Highlight the emotional value—creating lifetime memories—and showcase real-life examples or testimonials to build trust.
By making booking these packages simple and personalized, hotels can demonstrate their commitment to creating unique guest experiences.
8. Dining Packages
Dining packages are a simple yet impactful upselling opportunity. Guests planning their trips often appreciate the convenience of pre-booked meals, especially if the hotel offers standout dining experiences.
Breakfast-inclusive rates, multi-course dining options, or themed dining nights (e.g., seafood night or chef’s specials) can significantly enhance the guest experience while boosting ancillary revenue.
Hotels can differentiate these offers by highlighting the quality and exclusivity of the dining options. Promoting the farm-to-table concept, signature dishes from the chef, or views from the restaurant can make dining packages more appealing.
Pre-selling these packages ensures guests have an enjoyable dining experience and streamlines kitchen operations with predictable demand.
9. Spa and Wellness Offers
Travel often leaves guests needing rest and rejuvenation, and upselling spa and wellness services perfectly meets this need. From massages and facials to yoga classes or full wellness retreats, these offers allow guests to unwind and enhance their stay.
Spa packages can be sold as stand-alone services or bundled with accommodations to create value-added experiences.
Promoting wellness packages can be done through visually enticing imagery and detailed descriptions that showcase therapists’ expertise or treatments’ uniqueness.
For example, emphasize locally inspired therapies or luxurious spa environments. Additionally, hotels can offer limited-time discounts or exclusivity, such as priority booking, to create a sense of urgency and appeal.
10. Transport Services
Transportation is a critical part of any trip, and hotels can turn this necessity into a revenue opportunity by upselling transport services. Providing hassle-free transportation solutions improves the guest experience while generating additional income.
Hotels should emphasize the convenience and safety of booking transportation directly with them. For instance, messaging like “Relax—we’ll take care of your ride” or “Arrive in style with our premium transfer service” reassures guests and encourages them to opt-in.
Additionally, bundling transportation with other packages, such as room upgrades or tours, can add greater perceived value.
Unique Hotel Upselling ideas you can implement at your hotel
Need some upsell inspiration? Check out these innovative hotel ideas that can help you bring in more revenue per stay and better engage your guests.
General crowd pleasers
- Some upsells work well for just about anyone, including:
- Room upgrades
- Sports and leisure facilities like gyms, pools, steam rooms, saunas, and spas
- Early check-in and late check-out
- Airport shuttle service
- On-site parking
Romantic getaways
A couple staying at your hotel for a special weekend getaway might be interested in:
- An in-room bottle of wine or champagne upon arrival
- Spa treatments like massages and thermal bath soaks
- Room service for breakfast-in-bed or late-night dining
Family vacations
Help parents make their trips more enjoyable with services like:- Room upgrade to a larger suite with additional space and installations for small children
- Childcare services
- Children-focused activities like craft nights, live performances, and playgroups
- Family-friendly tours and excursions
Business trips
People traveling on business appreciate practical upsells that’ll help make their lives easier, such as:
- A private car service they can hire and share with colleagues, partners, or clients
- In-room dry cleaning pickup
- Premium WiFi access for video calls and large file downloads and uploads
- Conference room reservation for meetings and networking functions
Unique packages
Get creative and offer your guests special packages they won’t find anywhere else, like:
- “R&R” package with a complimentary welcome drink, deluxe spa treatment, and late check-out time
- “Out on the town” package with bike rentals, a walking tour, and dining discounts with your local restaurant partners
- “Digital nomad” package with upgraded WiFi, unlimited free coffee, and access to your business center
Chef’s Table Experiences
Get creative and offer your guests special dining experiences, like:
- Offer interactive cooking classes in which guests cook alongside the chef and learn about the inspiration behind local dishes. The experience ends with a shared meal.
- Let guests co-create their dining experience by choosing their favorite ingredients or cuisine. The chef will then craft a custom menu for anniversaries or birthdays.
- Arrange private dining at a nearby farm or garden. Guests can tour the site before enjoying a meal prepared with freshly harvested ingredients.
The Bottom Line: Hotel Upsells
Upsells are a powerful tool for increasing the revenue you bring in with each reservation, as well as increasing your proportion of repeat bookings. But if you’ve always relied on front desk staff listing out extra services and amenities upon check-in to bring in upsells, there’s a better way.
When you use a tool like Operto Guest, upsells don’t have to create more work for your staff or friction for your guests. By asking pre-stay questions and making personalized suggestions, you can increase upsell opportunities and build a lasting relationship with guests.
Frequently asked questions about hotel upsells
Aside from the obvious benefit of increased revenue per stay, upselling can also help hotels provide guests an overall better experience.
That’s because when you use the right upselling techniques, you’re able to give guests a unique, personalized experience, helping you build rapport and turn first-time guests into repeat visitors.
You can definitely upsell to a guest more than once. When you use a guest engagement tool, you can show guests all the available upsells throughout the duration of their stay, giving them the opportunity to book services at your hotel from before they arrive till after they check out.
While the terms upselling and cross-selling are often used interchangeably in the hotel industry, upselling refers to offering guests a better version of something they’ve already purchased, for example a room upgrade.
On the other hand, cross-selling refers to offering a product or service related to the one they have already purchased. So, examples of cross-selling at hotels include a spa treatment, restaurant reservation, or room service.
There are a few best practices you can implement at your hotel to increase upsells, including building rapport with your guests, anticipating their needs, and providing them with a frictionless buying experience.
These best practices are successful because they help your guests feel like they’re receiving a personalized experience while making it easy for them to purchase upsells at their convenience. Plus, be sure to use hotel operations management software to help your team smoothly deliver the extra services your guests request.
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