Microsoft supremo Mr. Gates once said “Your most unhappy customers are your greatest source of learning”. What he meant with the statement is that no matter what your business is you can’t afford to have a single unhappy customers; because if you do, you’re losing your business. In the hospitality industry, the customer satisfaction is a marketing term that measures how products or services supplied by a hotel meet or surpass a customer’s expectation. Customer satisfaction is important in this niche because it provides a boost in the marketing efforts with a metric that they can use to manage and improve their businesses and also boost their bookings and revenue.
In a survey of nearly 200 senior marketing managers of hotels around the world, 71 percent responded that they found a customer satisfaction metric very useful in managing and monitoring their businesses, which is good! But the question pertains- how to satisfy your guests? How to exceed their expectations? How we can anticipate their demands and supply proper solutions to them? The answer is quite simple- utilize technology to the fullest. Implement Artificial Intelligence in your business, employ the latest IoT devices, Virtual Reality, bring voice and chat-based solutions into play; these are some suggestions that you can ponder upon.
The best part of a happy customer is that they are also loyal and they will always come back to you. Another way of creating more and more number of happy customers is to make your brand more relevant. Anyone can achieve better brand relevancy by- inspiration, innovation, customer obsession, and pragmatism. Also, better customer satisfaction is a point of differentiation for your business, it segregates you from your contemporaries. In a competitive marketplace where businesses compete for customers; customer satisfaction is seen as a key differentiator. Hotel businesses who succeed in these cut-throat environment are the ones that make customer satisfaction a key element of their business strategy. Companies who offer amazing customer experiences create environments where satisfaction is high and customer advocates are plenty.
Satisfied and happy guests of your hotel are walking advocates of your brand and that too on a pro bono basis. They refer your hotel amongst their friends and relatives; it’s a word of mouth marketing strategy which is free of cost! Returning customers spend on an average of $530 during their stay and a fresh guest will spend about $420. Also, acquiring new customers costs 5 to 10 times more than selling to a current customer -- and current customers spend 67% more on average than those who are new to your business.
Happy customers have a more lifetime value than the disengage guest and without any doubt, this is surely good for your business. A study by HelpScout found that a ‘totally satisfied customer’ contributes 2.6 times more revenue than a ‘somewhat satisfied customer’. Furthermore, a ‘totally satisfied customer’ contributes 14 times more revenue than a ‘disengaged customer’.
Satisfaction plays a significant role in how much revenue a customer generates for your hotel. Successful businesses understand the importance of customer lifetime value (CLV). If you increase CLV, you increase the returns on your marketing dollar. For example, you might have a cost per acquisition of $500 dollars and a CLV of $750. That’s a 50% ROI from the marketing efforts. Now imagine if CLV was $1,000. That’s a 100% ROI! Yippee!
Another way of increasing your count of happy customers is to anticipate their queries and it can be done by voice and chat-based solutions. Devices like Amazon Alexa can render hyper-personalized solutions and it can also act as your digital concierge service. The query will directly go to the concerned department without the involvement of hotel staff members. Amazon Alexa has the potential to upsell and cross-sell your other services like- spa or cafe.
Similarly, a chatbot or conversational bot can provide simplest solutions to the real-time queries of the guest. A chatbot does not wait for the guest to break the ice; it does the task on its own! It has the power to transform a simple ‘Hello’ into ‘Happy Customer’. Human agents are only available during the working hours but a issue can raise any time of the day! With chatbots, your guest can have a chat any time to solve their queries.
"A happy customer is a person who is willing to turn down a better product or price to continue doing business with you." - Simon Sinek. This strong statement clearly shows the importance of a happy customer and you can always do more with technology, because you can’t be too safe & sure on this one. It’s the high time to increase your happy customers and the best thing is by providing a great customer service will satisfy both you and your targets. They get a proper service, you get a proper revenue and everyone is happy, just like that!
Trilyo thrives to boost your brand relevance by redefining customer experience & boosting your brand advocacy. Go for a free trial to explore the magic of the voice and chat-based solutions for your business and know how can it make your brand more relevant!
Grab this exclusive eBook to turn your guests stay more engaging and make them say - WOW and always come back to you. Learn more about how Trilyo can help you to cover all the customer touchpoints.