Introducing limited-time offers and applying dynamic pricing across seasonal products and services helps increase hotel revenue and provide guests with tailored, memorable experiences.
In the hospitality industry, optimizing ancillary revenue is key to increasing profitability beyond room rates. Yield management offers a powerful way to maximize income from various hotel services, especially during seasonal peaks, holidays, and special events. By introducing limited-time offers and applying dynamic pricing across a range of hotel services, including spas, wellness programs, amenities, and guest activities – hotels can capture more revenue and provide guests with tailored, memorable experiences.
Seasonal spa treatments
Seasonal spa treatments are a cornerstone of ancillary revenue and hotels can expand on this by incorporating yield management tactics. For example, during the winter season, spas can introduce special packages that bundle treatments with skincare products designed for cold weather, promoting both in-spa services and retail sales. Ski resorts might promote skincare for windburned skin and apres-ski massages and treatments.
Offering subscription-based wellness products that rotate with the season can also provide consistent income while moving overstock inventory and making room for next season’s products.
Limited-time activities and experiences
Beyond the spa, hotels can get creative with seasonal or themed activities that appeal to guests during specific times of the year. For instance, during the summer, offer exclusive outdoor experiences, like guided nature walks, water sports, or packages around beachside cabana rentals. Guided meditation sessions in unusual locations (e.g., rooftop or garden settings) or exclusive nighttime wellness experiences like stargazing yoga can also enhance ancillary wellness offerings.
During the holidays, hotels can introduce special workshops (make your own Christmas candles, for example), winter hikes, guided astronomy sessions, Hallowe’en pumpkin carving, and cold water plunges.
Dynamic pricing to optimize demand
By applying dynamic pricing across all ancillary services, hotels can adjust rates based on real-time demand and availability, maximizing revenue potential. Whether it’s premium pricing for exclusive seasonal spa treatments or adjusting the cost of treatments and activities during peak periods, yield management ensures that pricing reflects both the value and demand of these limited-time offerings. For slower periods, hotels can create value-added packages or offer exclusive, personalized experiences to encourage bookings and fill capacity that might otherwise go unused. By not lowering prices or discounting, hotels can maintain their brand image and preserve premium positioning while still optimizing revenue during less busy times.
Introducing seasonal treatments and activities across multiple hotel services, while utilizing dynamic pricing, provides an effective way to boost ancillary revenue. Hotels can create unique guest experiences that not only align with specific times of the year but also drive higher spending through limited-time offerings. Yield management ensures that seasonal services offerings are optimally priced to balance demand and profitability, helping hotels capture additional revenue streams throughout the year.
