Case Study
Bringing a new level of value to high-end resort stays
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Posadas
The Situation
Even as the largest hotel operator in Mexico, Posadas recognized that lower direct bookings at their individual properties were making a significant impact on the company’s revenue base. While competition for beach resort visitors had always been challenging, the increase in off-site (OTA) bookings was also affecting its urban properties. The company decided it was time to take a page from the global hotel chain playbook and offer its guests something more than the promise of a luxurious escape: a cash back rewards program.
The Results
33,500
$13.3M
$400
22.8X
183%
The Posadas team decided to give visitors to its most luxurious group of properties, “La Colección Cash Back Program” in 34 of the resorts as a way to complement their existing loyalty program “Fiesta Rewards” with a powerful cash back element. The program, which rewards discerning guests with 5% cash back or 15% cash forward towards a future stay at one of the La Coleccións’ unique resorts, was immediately impactful despite being launched during the global pandemic. The dramatic increase in direct bookings (nearly 34,000 room nights) resulted in a boost of over $13M in annual room revenue.
