loyalty program in hospitality industry
Introduction
In recent years, the hospitality industry in China has experienced tremendous changes with the ups and downs of the real estate industry, which also includes the expansion campaign in full swing in a field set off by the series of the world's leading high-end hotel group. For most of the world's top hotel group, the rapid growth of the Chinese market profits undoubtedly like a straw to help them flee out of financial crisis. With this background, hotels in China will face the enormous challenges with huge competition, especially the star hotels. Many hotels have to consider that how to increase the market share and attract the customers from competitors. More solution is that five stars hotels become regards as the development symbol of the cities, so many cities’ governments ignore the reality about if the environment can support the hotel with enough customer source and if there is an everlasting marketing demands about the hospitality. To win the competition, more and more hotels focus on how to attract the customers to be loyal. With the big pressure of running, the loyalty program becomes the attractive role in the operation of hotels.
What is customer loyalty program? It is the practice of finding, attracting and retaining customers who regularly purchase from you and refer new clients to you, which is the definition from Lisa M. Star. (ISPA Austin 2009). Loyalty program is just an appropriate tool to attract and keep the customers to become the returned customers. In this way, customers could get more specially experience form service and the hotels could get more loyalty customers to increase the sales revenue.
Great customer loyalty is the inexhaustible motive force of the hotel’s development which could bring the unexpected revenue and benefits, reduce the risk of business, enhance the reputation of brand and moreover it could bring a good benefit for employee. Otherwise, the hotels will be break down in the competition with other
In recent years, the hospitality industry in China has experienced tremendous changes with the ups and downs of the real estate industry, which also includes the expansion campaign in full swing in a field set off by the series of the world's leading high-end hotel group. For most of the world's top hotel group, the rapid growth of the Chinese market profits undoubtedly like a straw to help them flee out of financial crisis. With this background, hotels in China will face the enormous challenges with huge competition, especially the star hotels. Many hotels have to consider that how to increase the market share and attract the customers from competitors. More solution is that five stars hotels become regards as the development symbol of the cities, so many cities’ governments ignore the reality about if the environment can support the hotel with enough customer source and if there is an everlasting marketing demands about the hospitality. To win the competition, more and more hotels focus on how to attract the customers to be loyal. With the big pressure of running, the loyalty program becomes the attractive role in the operation of hotels.
What is customer loyalty program? It is the practice of finding, attracting and retaining customers who regularly purchase from you and refer new clients to you, which is the definition from Lisa M. Star. (ISPA Austin 2009). Loyalty program is just an appropriate tool to attract and keep the customers to become the returned customers. In this way, customers could get more specially experience form service and the hotels could get more loyalty customers to increase the sales revenue.
Great customer loyalty is the inexhaustible motive force of the hotel’s development which could bring the unexpected revenue and benefits, reduce the risk of business, enhance the reputation of brand and moreover it could bring a good benefit for employee. Otherwise, the hotels will be break down in the competition with other