Hotels are adopting the subscription model to entice hybrid travellers
To target the next generation of travellers and digital nomads, hotel corporations and other lodging companies are embracing the subscription model following the airline industry's lead.
To build relationships with 20- and 30-something travellers, who intend to blur the line between work and travel and are comfortable with monthly fees, hotels have now jumped on the subscription bandwagon, reports NBC News.
For example, new airline subscription programs target high-intent travellers, such as business travellers, digital nomads, and students studying abroad. As these travellers are likely already seeking deals by travelling during the low-mid season in non-peak times to reduce regular costs, they’re the ideal market for hotels looking to boost their occupancy rates outside of the high season.?
Remote workers and digital nomads are also a prime audience, not to mention those who travel frequently for business. It suggests suppliers in the industry can use the subscription model to appeal to the rising number of people working and travelling,?according to Deloitte's US 2022 Travel Outlook Report,
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The report’s findings show that travellers who intend to work while on vacation this summer season have twice as many trips (2-4) planned.?
Some hotels, like boutique chain Selina, have already taken the subscription model and digital nomad trend learnings into consideration and are offering perks such as unrestricted stays, priority room placement, discounts on food or amenities, free access to classes or co-working spaces, and rooms tailored for remote workers.?
“Typically with a subscription model, the primary barrier has been the ability of frequency of trips,” said Eileen Crowley, Deloitte’s vice-chair. “And with that whole play of remote workers, we see those folks taking more trips during the year, and there could be an opportunity for companies to look at the subscription model, as a way to attract those particular types of travellers.”
And according to NBC News, “airlines, rental car companies, and a growing number of hotels and resorts are introducing or expanding their subscription plans to attract the work-from-anywhere workforce and the growing number of leisure travellers who want to go to more places and stay longer.”