30 May 2023

Digital Performance | Boosting Conversion Rates in the Hospitality Industry

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Digital Performance | Boosting Conversion Rates in the Hospitality Industry
Megan KingWritten ByMegan King

Megan is the Head of Client Services at Propeller. Leading the Account Management team, Megan handles effective and timely communications with clients to ensure great outcomes.

In the competitive landscape of the hotel industry, improving hospitality conversion rates is crucial for driving bookings and revenue. 

Converting website visitors into actual guests requires careful planning, optimisation, and a deep understanding of your target audience’s needs and preferences. 

In this article, Propeller explores key factors that will boost your hotel’s conversion rate and maximise your online potential.

Why is conversion rate important? What benefits does it provide?

Conversion rate is a key metric for those in the hospitality industry. It measures the ratio of site visitors to online bookings. Understanding your conversion rate, your brand strategy’s weaknesses and areas for improvement will propel your brand beyond competitors.

Breaking down a customer’s journey into various steps helps us to understand what aspects of the customer experience require improvements. It’s important to determine ways to make your site’s booking engine more attractive. This, specifically, can be accomplished through UX (user experience) optimisations. If the conversion rate for the contact page is poor, specific fixes to improve the user experience must be given priority.

What’s a good website conversion rate?

Given the average conversion rate for hotels is 2.2%, Little Hotelier states a conversion rate of 3% or above is considered good. However, the higher the rate is, the better. It’s wrong to think that a conversion rate is only good if it is as high as possible, though.

Let’s take an example of a hotel investing in a marketing campaign to increase bookings. While traffic to the website increases, the conversion rate will likely dip down. This is not a negative result, as even though the conversion rate had dipped, there is likely an increase in bookings—which should be the ultimate goal.

Propeller’s top tips for improving conversion rate in hospitality

Examining hospitality conversion rates will provide specific information about which channels are doing well and which need to be monitored. Here are our top tips for improving conversion rates.

  • Streamline the booking experience: Simplify the process of getting from A to B. The user should be able to book a room with just a few clicks. If customers can’t book with ease, it’s more likely that they’ll abandon their booking and look elsewhere. Only ask for essential information and make the process as quick and straightforward as possible. Implement auto-fill options and progress indicators to guide users through each step.
  • Chatbots: You can also use chatbots to provide 24/7 assistance to guests with their bookings. Chatbots answer questions, recommend rooms and packages, provide information about the hotel and make further suggestions.
  • UX copy: When reviewing your website, reviewing the UX is vital to improving conversion rates. Providing clear calls to action and using text to guide customers to booking will boost conversion rate and customer experience all in one.
  • Image optimisation: Another quick and effective win for your brand is image optimization. Proud to be working with the Azzurri Group on their digital presence, Propeller recently assisted Azzurri across all of their brands: Zizzi, ASK and Coco di Mama. Image optimisation will improve website loading speed, and a faster website makes for a happier site visitor. See our work with Azzurri Group here.
  • Leverage social media and online reviews: Maintain an active presence on relevant social media platforms to engage with your audience. Achieve this through captivating visuals, promotions and responding to inquiries and comments.
  • Email marketing: If a customer abandons a transaction on your website, set up a reminder email to encourage them to complete their booking. You can do this using an email marketing tool or your CRM system.

Explore the results of our trusted partners or speak to us directly to discover the best solution for your hotel’s website. Let’s work together to elevate your digital presence.

What are some common mistakes hospitality brands are making?

Most hotels make common mistakes that damage their conversion rate and affect their revenue generation.

Here are some errors that our specialists have picked up on over the years on hospitality conversion rates:

  • A cluttered or confusing design can adversely affect user experience.
  • A lack of compelling content can deter visitors and fail to move them to the net stage of conversion. e.g. Faulty information, bad imagery, unstructured writing.
  • Lack of customer support for clarification and complaints.
  • Outdated information or incorrect information tends to destroy trust.
  • Not offering discounts or special deals may induce guests to look for cheaper options.
  • Making the booking process too complicated.
  • Failing to provide clear calls to action.

Summary

Your hotel’s booking conversion rate depends on many factors such as the design of your website, the quality of your content, the ease of use of your booking engine and the offers or discounts that you provide to guests. By improving your website and making it more user-friendly, you can increase your chances of converting visitors into paying guests.

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