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Why is the travel advisor commission wasting his time booking a hotel for $150 a night? In many consultancies, the answer is to serve the customer, maximize customer loyalty program points, and maintain comprehensive and potentially profitable relationships with mega-hotel operators.
This is the era of the multi-brand operator, with Marriott and Accor each offering more than 30 brands, while Hilton, IHG and Hyatt all have nearly as many. And all these suppliers operate luxury brands that are very attractive to consultants – Hilton Conrad and Waldorf-Astoria, IHG Six Senses and InterContinental, Hyatt Park Hyatt and Andaz, Accor Fairmont and Raffles and Marriott Ritz-Carlton and Stats.
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And of course they operate mid-range and economy properties – Fairfield Inn & Suites by Marriott, Hilton Garden Inn, Accor ibis, Hyatt House and IHG Holiday Inn Express are just a few – in addition to the recent addition of the Hilton Premium Economy entry Spark.
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Advisors asked about booking low-cost options say they do so for certain occasions — sometimes in markets where luxury isn’t available, or for business trips when clients pay for themselves. However, hotel companies interviewed by TravelPulse are eager to see incentives and even consultants write all the branding for their customers’ needs, maximizing loyalty program revenue and creating mutually beneficial relationships.
Monica Maslia, a consultant at SmartFlyer, says her network is the preferred partner of all mega-operators. As a result, her clients benefit from upgrades and benefits such as extra breakfast and resort credits and loyalty points when they book through her.
Most travelers, at one point or another, need room nights when a luxury property isn’t what they need for that vacation, or isn’t even available on the market. For example, when clients go to a college town for football games or a family weekend visit, she says, they may not have luxury accommodations.
When it comes time to choose a mid-range hotel, loyalty programs play an important role, Maslia said. “If you stay at Andaz often on vacation, you’ll look to Hyatt for this stay to keep it in the family and earn points,” she said.
Darryl Jenkins, a partner at Intel Travel, which owns Boxley Enterprise Travel, said it sells mid-range and economy properties as well as luxury properties after being properly qualified to help clients gain more insight into their travel specifications.
For example, Jenkins said, if a customer is traveling a long distance, he might suggest a property down the road that’s suitable for short stays, such as the Courtyard by Marriott or the Hampton by Hilton. If you are traveling for a short business trip and are looking for comfortable accommodations at an affordable price, consider Hilton Garden Inn or similar properties.
For families traveling on vacation and looking for a place to stay, Staybridge Suites (IHG) or Embassy Suites (Hilton) offer them, and breakfast is always a good selling point. The decision on where to stay depends largely on the type of trip desired, Jenkins said.
Kali Stein, a consultant at Beyond Embark, said she does a lot of business with luxury brands from multiple brand operators and is a preferred partner with Marriott’s StarS and Luminous consulting programs, which offer special benefits to customers who book luxury brands like the Ritz. – Carlton and top brands like W Hotels. Sometimes, Stein said, she sells non-luxury hotels, but that’s typically when a customer wants an overnight stay at an airport. If it’s a quick business trip and the client prefers not to stay in an expensive hotel, Stein says, she’ll book a room at a mid-range property.
About 55% of the company’s business goes to luxury brands run by mega-operators, according to Jack Ezon, managing partner of Embark Beyond. The rest goes to unbranded luxury hotels. Consultants may book a mid-level brand as a “fill-in” when necessary – for example, for staff, back-up security or pilots accompanying a client.
Michele Schrader, InteleTravel consultant and owner of Adventures Tours and Travel, says it’s fortunate that low-cost brands offer alternatives to luxury options. Amenities like free breakfast can make these choices crucial.
Turning to loyalty
Most advisors encourage customers to provide a loyalty program membership number to collect as many points as possible. Some try to help clients achieve higher standards in their programs.
If a customer can get a free night through the loyalty program, Stein said, they can spend more on a cruise or private transfer. Plus, she says, “It makes me look like a rockstar to help them travel whenever possible and save money.”
Jenkins said he “absolutely” works with customers on their loyalty programs. He said he loves seeing clients grow to a higher level. Jenkins said when you get those high levels, you’ll get a lot of perks like discounts at your favorite stores, free nights, convenient coupons and special events just for loyal members.
Loyalty points are often not included in the options she offers her customers, Schrader said. Once the best one is found, she says, she can advise on whether or not to score. Even though her clients may not be earning points because the booking is with a tour operator, she always makes sure loyalty numbers are added to bookings, so the client’s level with the brand is likely to be recognized during their stay. Upgrades, extra breakfast and so on.
David Orisman, founder of Virtuoso agency Ourisman Travel, says that when clients want to use points to book a room, the advisor is out of the transaction. However, if you want to stay in a luxury home and have enough points for one night but want to book an additional three paid nights, the agency will do so. “This is a service advisors can provide,” says Orisman.
As with every case, advisors have different measures of trustworthiness. There is a big difference between collecting and redeeming points in the hotel and air rooms. Customers are less likely to decide to stay at a hotel because they can take points or earn more points, he said. The exact opposite is true with air, he said. It says 88% of customers use their frequent flyer points to redeem business or first class.
Hotel operators: Consultants can find satisfied customers by booking luxury and luxury brands
Betty Wilson, vice president of global accounts, IHG Hotels & Resorts, said the company encourages consultants to sell any of the company’s 18 brands that best meet customer needs. If a consultant primarily sells luxury brands to a client, there may be travel types that suit other IHG brands for business travel to the secondary or upmarket, for example.
Many advisors, Wilson says, work with IHG’s Essentials brands (Holiday Inn, etc.) and Suites brands (Staybridge Suites, etc.), and these reservations are an important part of overall business with Travel Advisors.
Advisors, Wilson said, should be personally involved with IHG One Rewards to advise customers about its benefits and structure. A new tier recently added for guests staying more than 70 nights a year is a “game changer,” Wilson says, especially for those who want to earn while on business travel and are passionate about entertainment.
At Hilton, Jody Mathis, director of global travel industry relations, said the frequency with which a luxury travel consultant sells mid-range or economy services varies by region. A few conditions that require them to do so, Mattis said, are if there is no luxury hotel option on the market, the convenience of an alternative hotel location; Limited hotel options (or luxury property if sold); Group budget constraints (ie, those accompanying the client are looking for lower cost options or the trip is for business and paid for by the client).
Advisors should definitely work with clients on raising scores, Mathis said. According to Hilton’s 2023 Trends Report, 42% of global travelers say that loyalty benefits – such as earning and redeeming points and loyalty benefits – will be important to them when they travel in 2023.
Mattis said that Trip Advisor can help customers maximize their benefits by clearly listing and explaining the opportunities the customer has for participating in the program — including how to earn and redeem points, the benefits of using the Hilton Honors app at properties, and how to earn Elite (Gold or Diamond) status.
Consultants specializing in high-end corporate travel, Marc Hawley, Vice President of Global Sales, Travel Industry – Accor North and South America, said mid-range and economy properties – as well as luxury – are primarily driving the purchasing decision. In office spaces in primary, secondary or higher urban areas.
Tammy Root, Marriott International’s senior vice president of global sales, said the company’s hotel excellence! A training program helps consultants navigate the ever-changing landscape of the hotel industry. Eligible graduates of the program, she said, have access to Marriott’s lowest industry rates — all Marriott brands — while earning Marriott Bonvoy points.
Booking mid-range and economy hotels, Ruth said, varies by agency and consultant. Most of the business for what they identify as luxury travel consultants is in luxury brands, she said. However, she added that there are some consultants who have clients who may carry different brands based on the purpose of the trip. For example, Ruth said, many parents follow their children’s sports teams and that often takes them to Marriott’s select service hotels.
Advisors, Ruth said, play a key role in helping customers understand the benefits of loyalty programs. The excellence of the hotel! program, she said, provides a robust micro-learning module for advisors to learn more about Marriott Rewards.
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