Stop Chasing Bargain-Hunters: Build Offers That Breed Loyalty
Discounting is the panic button of hospitality.
Bookings dip? Smash it.
Competitor cuts? Smash it harder.
Now, let’s be fair: targeted discounts do have a place. Used sparingly, like rewarding loyalty members or filling off-season gaps, they can help. But when discounting becomes the default, it drains margins and trains guests to see you as a coupon code instead of a memorable stay.
Meanwhile, the operators and destinations who are thriving are not chasing. They are curating. They know the real money is not in heads-in-beds. It is the offers that make the right guests feel like insiders and keep them coming back.
Loyalty Pays. Discounts Don’t.
Arizona: In 2023, Arizona welcomed 45.7 million visitors who spent $29.3 billion. That equals about $80 million per day, a 4.3 percent increase over 2022 (Arizona Office of Tourism, 2023).
Mallorca: The island turned away from mass-market packages and leaned into sustainable, experience-first tourism. Result? Fewer visitors overall, but each one spending €1,403.9 per trip in July 2025, with daily spend of about €219.48 per person (STO Mallorca, 2025; Travel & Tour World, 2025).
Hayling Island, UK: Once known for bargain beach breaks, the island has shifted to promoting premium coastal experiences, drawing stronger visitor engagement and more local support (Visit Hampshire, 2024).
These are not lucky breaks. They are deliberate choices.
Why It Works
Discounts attract guests who book with their wallet, not their heart.
Premium offers attract guests who stay longer, spend more, and actually appreciate what you deliver.
And the global authorities agree:
WTTC: Destinations that focus on value per visitor see more sustainable growth.
UNWTO: It is time to move from high volume and low yield to fewer guests and higher-value travelers.
Skift Research: Heavy discounting can boost occupancy in the short term but erodes long-term revenue and brand perception.
The math is simple: a sale fills your rooms today and empties your brand tomorrow.
Your Playbook: Quick Wins for Property Owners
Start shifting from discounts to loyalty-building offers with these moves:
Audit your offerings: What unique experiences does your property provide?
Review your pricing strategy: Are you competing on price or on value?
Know your ideal guest: Who spends more and appreciates quality?
Create premium packages: Bundle experiences rather than just rooms.
Train your staff: Quality service is what justifies premium pricing.
🍍 Quick Win: A Loyalty Gift That Sticks
Instead of shaving 10 percent off, surprise guests with a $10 local welcome gift—like a jar of honey from a nearby farm, a handmade soap, or a local snack.
It costs less than a discount but creates a story they’ll share. Guests remember the thoughtful gesture, not the coupon code.
Big Picture Moves for Hospitality Leaders
For those shaping destinations, campaigns, or groups of properties, here’s how to create a market that thrives on loyalty:
Invest in experience design: Build packages that highlight local culture, wellness, or adventure rather than defaulting to discounts.
Leverage data: Track guest profiles and spending behavior to spot your highest-value visitors.
Collaborate locally: Partner with restaurants, tour operators, and artisans to add value while strengthening your community’s economy.
Hospitality Prompt of the Week: Premium Package Reframe
Here’s an AI exercise to turn discount-driven offers into premium loyalty-builders. Copy and paste into your favorite AI tool (ChatGPT, Claude, Gemini, etc.):
Act as a hospitality marketing strategist and copywriter. I manage a [property type: boutique hotel / vacation rental / inn].
Here is an existing package I offer: [paste details].
Rewrite the package description to highlight exclusivity, authentic local experiences, and added value instead of discounts.
Suggest 3 creative, guest-facing titles that would appeal to high-spending travelers.
Write 2 promotional blurbs (under 50 words each) that I can use on social media or my website.
Recommend 1–2 local partnerships or add-ons I could include to increase perceived value without lowering my rates.
Example 1: Romantic Package
Before: “Romantic Weekend Special — 10% Off. Two nights in a deluxe room, breakfast, late checkout.”
After: “Escape to a weekend designed for romance. Two nights in a suite, handcrafted breakfasts, a candlelit welcome, and a curated wine and chocolate pairing.”
Example 2: Family Adventure Package
Before: “Family Fun Getaway — Kids Stay Free. Includes two nights in a standard room, breakfast, and pool access.”
After: “Family Adventure Weekend. Two nights in a spacious suite, daily breakfast, and a self-guided treasure hunt with a prize for the kids. Includes s’mores by the firepit and a local guide’s map for family-friendly trails.”
Where I Stand
I’ve spent a lifetime chasing horizons, from running dive boats in Mexico to helping small lodgings take on Big Travel. And here’s the pattern I can’t unsee: nobody brags to their friends about the 10% discount code they used.
They brag about the midnight turtle hatchling release, the surprise bottle of local wine, or the lazy late checkout that let them actually breathe before heading home.
Discounts bring guests chasing the deal. Loyalty is built by guests chasing the memories. One is forgettable. The other lasts long after checkout. And if you’re in this game for the long run, for bookings, not just beds, you already know which one pays off.
Cheers,
Kay 🍍