What is hotel data analytics?

Hotel data analytics is the process of using digital information to make better decisions for your hotel.

Even small, independent hotels now have access to almost limitless data. With the help of hotel analytics software you can crunch all this information and answer many of your most pressing business questions, identifying optimal room rates, directing marketing spend, streamlining operations, predicting future trends and more.

Benefits of using hotel data analytics

  • Identify areas of improvement: Quality data gives you a clear picture of your hotel business, highlighting inefficiencies and other areas of improvement.
  • Make informed decisions: Replacing gut feel with facts means that hotel data analysis generates insights that can lead to better decision making.
  • Better guest experiences: Hotel customer data analytics can tell you the experience your guests are looking for, and how to deliver it.
  • Increased revenue: Hotel data analytics can boost revenue by helping you optimise room rates, find new guests and increase guest loyalty and spend.

Common challenges of hotel analytics for small hotels

The potential of hotel data analytics is incredible… but realising this potential can be challenging, particularly for small, independent hotels.

  • Lack of expertise: While smart tools are making data analytics more accessible than ever, it still demands a certain level of technical ability.
  • Data quality issues: Garbage in, garbage out. Without strong systems to ensure the quality of your data, you won’t be able to trust the insights you generate.
  • Technology constraints: Independent hoteliers tend to have limited budgets, which can make it difficult to compete against well-resourced chains in terms of data. Thankfully tools like Little Hotelier can offer up the insights you need at the right price.
  • Time constraints: Independent hoteliers may feel they are too busy to spend much time on data crunching.

Key hotel data to increase direct bookings 

Email addresses

Obtaining your guests’ email address means you will be able to include them in your marketing campaigns and advertise specials and deals encouraging them to book with you again.

Name and age

Using a front desk system will allow you to check guest details like age and name prior to arrival, which facilitates loyalty. Knowing how old your guest is will ensure you deliver an appropriate customer experience: providing Millennial guests with the WiFi password at check-in, for example.

Guest preferences and reason for visit

Collect pre-stay preferences and requests to cater more holistically to customer needs. You could even check the social media content they are interacting with: if they like photos of your speciality coffee, for example, give them a free coffee voucher on arrival.

Positive or negative feedback

Collect feedback from your guests after they check out. Find out what matters to them and any issues you need to avoid next time. If they raise an issue, work to solve it, then send them an email inviting them to stay again.

How small hoteliers use hotel data analytics to improve revenue

Much of the data that a hotelier needs can be found in your Google Analytics hotel website account. Here are the metrics you need to take a look at when you are checking your account; the ones that will help you increase your bookings and improve your presence online.

Traffic per channel

‘Traffic per channel’ allows you to better understand where you need to direct your marketing efforts and advertising dollars. Channels describe how people navigate to your site, whether direct or via Google (organic or paid), referral, ads, email or social media.

If most people are finding your hotel website through Google, for example, you might focus on improving your search engine rankings to drive more traffic.

Conversion rates per device

This metric tells you what devices your customers are using to book. If your mobile bookings have grown over the years, you should ensure your hotel website is optimised for mobile use.

Conversion rate per country

This metric shows where your customers originate, and if a large percentage of your customers are from, say, Germany, you can focus your marketing spend there. One of the best ways to target customers from a specific area is through advertisements on social networking sites, such as Facebook.

Leverage the power of hotel data analytics

With the help of a hotel booking engine and hotel data analytics, small hotels can leverage data, compete with larger chains, and grow their business in a challenging market.

Little Hotelier’s property and data management system helps hoteliers gain insights into their business performance, including occupancy rates, booking patterns and revenue management. This information helps you to make informed decisions, which can drive up to 46% more bookings and 43% more revenue. 

  • Real-time competitor rates: Little Hotelier’s Insights feature lets you check what your competitors are charging at any given moment, and adjust your rates to suit.
  • Gather guest data: Get to know your guests better by using our Front Desk tool to gather and organise customer data, then use it to customise the experience you offer.
  • All the info in a single portal: Our direct booking engine is an all-in-one direct booking management system that serves up all the data you need in one place with one login.

By Dean Elphick

Dean is the Senior Content Marketing Specialist of Little Hotelier, the all-in-one software solution purpose-built to make the lives of small accommodation providers easier. Dean has made writing and creating content his passion for the entirety of his professional life, which includes more than six years at Little Hotelier. Through content, Dean aims to provide education, inspiration, assistance, and, ultimately, value for small accommodation businesses looking to improve the way they run their operations (and live their life).