New analysis into spending patterns reveals that hotels can boost in-house guest spending by 24 per cent during a summer Ramadan by personalising their communications to individual guests.
The data, released by hotel revenue experts SweetBeam, reveals that guest spending across Dubai’s luxury hotels drops by an average of 15 per cent when Ramadan falls within the summer months. When paired with the dip in occupancy typical of the period, total revenue from over-night guests can decline by as much as 35 per cent.This trend is prevalent across all guest demographics, with the spending of families dropping the most at almost 40 per cent. Nearly all in-hotel services are impacted by the decline, including spas where spending drops by almost a fifth (19 per cent). Room service remains the most stable, falling by only five per cent. The sole exception to the downward trend is in transportation services, where spending actually rises by 10 per cent, suggesting that guests are leaving their hotels in search of activities. However by targeting guests with individually relevant information through SweetBeam’s personalised in-room digital advertising, hoteliers can reverse the revenue decline typical of this season and actually increase in-house guest spending by up to 24 per cent per room night. Troy Simoni, CEO of SweetBeam, comments: “With much of the city closed in the day or inaccessible because of the summer heat, hotels have an important opportunity to capitalise on a captive audience and boost spending. However, during the holy month of Ramadan, it is essential that marketing is highly personalised and culturally appropriate to each individual guest. “To avoid drops in revenue during a summer Ramadan, hoteliers need to use guest intelligence to personalise experiences so each guest is aware of the services and offerings that are relevant to them. For example, many fasting parents will be keen to know about kids clubs to entertain young children in the afternoon, whilst international guests need to know which restaurants are open during the day. Utilising the right information to drive timely, personalised communications not only increases guest satisfaction but also dramatically boosts a hotel’s revenue during this time.”