What Makes a Worthwhile Hotel Loyalty Program?

Abstract

Customer loyalty programs are becoming more and more prevalent across industries. The main goal of this paper is to discuss five key features loyalty programs in hotel industry should possess to be outstanding and analyse the case of Hilton HHonors program with the five features to evaluate their practical use. Overall, Hilton has been effective in increasing customer satisfaction, improving brand revenue and limiting the loss of customers by adopting the Hilton HHonors program. However, some flaws in Hilton's loyalty programs are also revealed under the in-depth case analysis. Therefore, suggestions indicating frequent evaluations and monitoring of the existing loyalty programs are then proposed.