New Survey Reveals Travelers Think Grocery Stores Offer Better Loyalty Programs Than Hotels; Airline

Discussion in 'General Discussion | Miles/Points' started by sobore, Jan 23, 2013.  |  Print Topic

  1. sobore
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    sobore Gold Member

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    Loyalty has gone out the window, a new Deloitte survey finds. Only eight percent of survey respondents say that they always stay at the same hotel brand, while just 14% say they always fly the same airline.

    "With heightened competition and eroding customer loyalty, hotels and airlines, now, more than ever, need to focus on enhancing and personalizing the consumer experience," said Adam Weissenberg, vice chairman, Deloitte LLP and U.S. Travel, Hospitality and Leisure leader in a release.

    Despite most hotel brands touting that loyalty and reward programs drive travel, these programs ranked low on the list of consumer influences – value and past experience were much higher priority items. That said, more than half of survey respondents (55%) ranked loyalty programs "high importance" for airlines and just under half (45%) ranked loyalty programs high importance for hotels.

    Why? Perhaps it's because travelers find that loyalty programs just don't offer that much. Most consumers actually believe that grocery store loyalty programs offer more bang for their buck than their travel reward program of choice.

    Deloitte researchers also suppose that travelers have become more pragmatic in light of the economy, seeking value for money, comfort and location when choosing a hotel, while on-time arrivals and departures, safety and value for money are the most important factors for choosing an airline. One thing is for sure – value rules. In this vein, half of survey respondents (49%) said that they have used flash sale sites, although most admit to booking directly (61% for hotel; 59% for air travel).

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  2. RestlessLocationSyndrome
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    RestlessLocationSyndrome Silver Member

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    It also doesn't hurt that you can book stays at almost any hotel at and still get free nights from their Welcome Rewards. Not as lucrative as some hotel programs with promos and status benefits but all in all, a very easy way to get a good value on every stay and will still get you a free night after every ten.
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  3. SensFan
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    SensFan Gold Member

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    This survey is pretty pointless and looks like a giant waste of money in my eyes. How can these results not be obvious?

    Most people are not frequent flyers and do not stay at hotels frequently however most people do frequently shop for groceries. The reasons for staying loyal to a grocery store are also completely different than staying loyal to an airline or hotel chain.

    Most people shop at whichever grocery store is most convenient to them. Since it is somewhere you go to almost weekly you want to be able to go somewhere that you know sells quality goods at prices that you are willing to pay and know that you will be able to find what you want. If the quality goes down or the prices become too high you might switch but only if there is a convenient alternative.

    For most people, flying and hotel stays occur once or twice a year. People are looking for the lowest price possible that is reasonably convenient. There is no reason to be loyal at a particular airline or hotel chain unless they were to offer insanely good rewards for people who do not frequent their business very often. Like the previous poster said, for most people the Welcome Rewards at are the only real shot at getting a decent reward because they won't stay anywhere often enough to achieve status or decent rewards.

    This could have been a useful survey if they had differentiated between frequent travellers and infrequent travellers as well as frequent shoppers and infrequent shoppers. I would think that the numbers would have been a lot closer when comparing the similar groups if that was the case.

    I have a suggestion for Deloitte if they want to waste more money on surveys. Please find out whether people prefer to wear pants or shorts outdoors during the current cold snap that is gripping much of North America.
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