Travel and Leisure

A Top Global Hotel Chain Identifies Distinct Guest Segments with Actionable Analytics

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Key Points

A leading global hotel chain looked to develop targeted and customized campaigns for distinct guest segments, but the challenge lay in effectively identifying such segments
WNS developed an analytical solution that mined transactional data, segmented it based on guest engagement and behaviors, and comprehensively profiled each segment with niche clustering techniques to identify distinct guest segments
This helped the hotel chain develop targeted marketing campaigns customized to distinct segments, leading to better resource allocation and optimized marketing efforts

The Client

A leading global hotel chain which operates a broad portfolio of hotel brands through different business models.

The Challenge

The client wanted to develop targeted and customized campaigns for distinct guest segments. The challenge was in identifying these distinct guest segments.

The WNS Solution

WNS leveraged analytics and identified distinct targetable guest segments for which the hotel chain could run marketing campaigns.

Phase 1

WNS mined the client's transactional data and assessed the number of guests who had transacted with the client over the previous 12 months. As a result, WNS identified more than 4,000 variables across six guest behavior dimensions such as

Redemption of loyalty program points
Partnership with card issuers or airlines
Length of stay
Spend per visit
Booking channel
Response to promotions

Phase 2

WNS carried out data segmentation on the key variables using Statistical Analysis System based on the level of guest engagement with the hotel chain. This segmentation was measured in terms of both the number and frequency of transactions.

Phase 3

WNS then deployed clustering techniques such as K-Means clustering and two-step clustering to carry out comprehensive profiling of each identified segment, and measure trends within and between individual guest segments.

WNS' analytics solution provided the client insights into its distinct guest segments based on the type of hotel properties, guest wallet share and frequency of travel.

Insights Generated

Armed with clear insights from WNS' analytics solution, the hotel chain developed targeted marketing campaigns and customized them for the distinct guest segments, leading to better allocation of resources and optimized marketing efforts.

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