Traditional market segments, based on factors such as purpose of travel or demographics, are only part of the puzzle when it comes to understanding your guests' needs. In today’s competitive landscape, where guest expectations are rapidly evolving, hotels must think outside the box. Behavioral segmentation—focusing on how guests act rather than who they are—can be the key to better guest experiences and higher revenue.
By analyzing actual behaviors, such as booking patterns, travel habits, and interests during their stay, you can create offers that feel personal and relevant. This means going beyond superficial data like age and gender and instead digging deeper into questions such as:
- How do guests book their stays?
- What do they value most during their visit?
- How price-sensitive are they?
Examples of Behavior-Based Segments
Depending on your property, your guests’ behaviors can be divided into segments such as these:
- Spontaneous Travelers: Book at short notice and are receptive to discounts and last-minute deals.
- Experience Seekers: Look for activities like spa treatments, adventures, or cultural events.
- Business Travelers: Value flexibility, seamless processes, and work-friendly spaces.
- Weekend Travelers: Often part of the "spontaneous traveler" category but also overlap with "experience seekers." They seek relaxation and can be drawn to wellness packages or cultural experiences during short stays.
Personas: Bringing Segments to Life
To truly understand and work with your segments, you can create personas—fictional but realistic representations of different guest types. Each persona is based on behavioral patterns and preferences, helping your team visualize who they are designing offers for.
Examples:
- “Lisa, the Weekend Traveler”: She travels to unwind, appreciates wellness packages, and prioritizes simplicity, such as fast check-in and check-out. Lisa’s behaviors often overlap with other segments, like experience seekers.
- “Anders, the Business Traveler”: He values streamlined booking and cancellation processes as well as work-friendly environments during his stay.
Using personas not only provides insights into how different segments behave but also helps your team understand that some guests may fit into multiple categories depending on their circumstances and needs.
How to Get Started – Practical Steps
- Collect Data: Start by using your PMS system, guest feedback, and loyalty programs to identify patterns in booking windows, popular amenities, and price sensitivity.
- Analyze and Segment: Divide guests based on their actual behaviors, such as booking timing or interest in specific activities.
- Create Personas: Develop detailed profiles for your key segments, such as “Lisa, the Weekend Traveler” or “Anders, the Business Traveler.”
- Tailor Offers: Build targeted campaigns based on these insights. For example:
- Send last-minute deals to spontaneous travelers via email or SMS.
- Package wellness and cultural experiences for weekend travelers.
- Highlight flexible cancellation policies for business travelers.
- Test and Adjust: Implement your strategies, monitor the results, and be ready to adapt to changing behavior patterns.
A Continuous Process
Segmentation is not a “set it and forget it” strategy. Guest behaviors evolve over time, and it’s essential to continuously evaluate and refine your segments and strategies.
Shifting to behavior-based segmentation may feel like a big step, but the rewards are worth the effort. Not only will you provide a better experience for your guests, but you’ll also build long-term profitability and loyalty.
So, what are you waiting for? Identify new segments and start creating offers that hit the mark today!
