Key Points
  • A leading hotel chain was looking to increase member participation in its loyalty program offers and track revenue generated from them

  • WNS’ analytics solutions helped the client identify two key profitable customer segments that responded positively to its promotions and who can be targeted for loyalty program offers

  • These insights enabled the client to optimize marketing efforts and strengthen its loyalty program


The Client

One of the world's leading multi-brand hotel chains.

The Challenge

The client was looking for solutions to increase member participation in the special offers run by its loyalty program and track revenue generated from them.

The WNS Solution

WNS' team of analysts and travel domain experts deployed two critical solution elements to address the client's challenge:

  • 1) Evaluated the performance of the client's existing loyalty program through:

    • Identifying 'delta nights' - the difference in revenue generated from nights driven by loyalty program offers and the nights without similar offers

    • Determining the positive and negative drivers of delta nights

    • Calculating the increase in revenue from delta nights

  • 2) Identified the client's customers who responded positively to the loyalty program offers through:

    • Segmenting the client's customers into homogenous groups using transactional parameters such as booking channel, length of stay and spends per visit

    • Rationalizing customer and marketing data to assess the existing state of loyalty program offers sold through targeted promotional campaigns

Using analytics, WNS identified two key customer segments that responded positively to the client's loyalty program offers:

  • Promotion Heavy Players (customers most likely to register and respond to loyalty program offers) and

  • High Share of Wallet (SOW) customers (customers most likely to increase their spending on loyalty program offers)

The Outcome

WNS' solution enabled the client to determine drivers of delta nights and identify the client's most profitable customers. The client leveraged these insights to optimize its marketing efforts and strengthen its loyalty program.

 

 


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