Loyalty programs to soften impact of economic downturn in hospitality

Loyalty members redeemed a record number of points in 2022 that were earned and saved during the pandemic

Apr 18, 2023

A record number of loyalty program members should help hotel brands lower their customer acquisition costs, increase direct-to-consumer engagement and offset any occupancy shortfalls during an economic downturn.

Key takeaways

  • Publicly available loyalty program metrics of five major U.S. hotel brands suggest that it may take may take more points than in the past to book certain hotel rooms;
  • The number of loyalty program members has been growing faster than total room supply over the past 10 years;
  • The 35% growth in the average number of loyalty members and 22% increase in the number of members per room since 2019 means that the major brands now have the largest database of potential guests in their history.

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