Case Study 1: TrevPAR Upsell - Maximizing Revenue Through Targeted Upselling

Summary

In a competitive hospitality landscape, hotels often struggle to capture untapped revenue potential from existing bookings. This case study explores how a leading multi-national hotel chain leveraged TrevPAR Upsell, to transform unsold room inventory and ancillary services, into a substantial profit. During the one-month trial at the hotel chain’s property in Sandton, Johannesburg, the initiative generated R76 275 in additional revenue brought to the table, demonstrating the platform's immediate impact on the property.

The Challenge

At the 400-key property, it was identified approximately 80% of guest reservations were for entry-level room types. Higher-tier rooms frequently went unsold or were only booked after entry-level inventory sold out. This left significant revenue "on the table," as guests who might have upgraded were never prompted during the booking process.

Additional services such as airport transfers and spa treatments saw low uptake, despite strong guest interest. Traditional upselling methods - reliant on front-desk interactions - proved inefficient, resulting in missed opportunities for extra revenue.

The Solution: Implementing TrevPAR Upsell

To address these challenges and potential revenue being “left on the table”, TrevPAR Upsell was implemented, and after only one-month into the trial period, saw significant ROI through room upgrades and high-margin extras being sold, ensuring a win-win for revenue and guest value.

The rollout was straightforward: TrevPAR Upsell was configured within 48 hours, targeting all new and in-house bookings. Offers focused on room upgrades and bundled extras, with dynamic pricing to encourage conversions.

Implementation and Execution:

Staff received brief training on monitoring dashboard analytics, but the platform's automatisation minimises operational overhead, due to the automation of the upselling process. Guests received upsell prompts pre-arrival, highlighting benefits such as "upgrade to a suite for only R500 more”.

In addition, specific extras were promoted that included:

· Airport Transfers: Convenient shuttle services to and from O.R. Tambo International Airport, appealing to business travellers.

· Various Spa Treatments: A curated selection of luxury options, such as relaxing massages, rejuvenating facials, and invigorating tissue scrubs, all were made bookable as add-ons to enhance the stay and increase guest satisfaction.

This targeted approach ensured complete relevance, with all offers aligned to guests who were had already booked into the hotel – ensuring no wasted budget on this marketing activity vs. a traditional approach of mailing an entire database, and hoping to hit those who may upgrade or buy the add-ons.

Results and Impact:

The trial exceeded expectations, breaking revenue records for the property in terms of upselling. The following is a breakdown of the success and ROI achieved:

·       Room Upgrades = R62 155

·       Extras Revenue = R14 120

·       Total Additional Revenue = R76275

·       The ROI on this single month equates to over 1400%

Beyond these numbers, the initiative boosted guest satisfaction scores in post-stay surveys, as well as operationally seeing a decrease in front-desk queries and shorter waiting/queueing times for check in.

Key Success Factors:

· Data-Driven Targeting: By focusing on the 80% entry-level booking segment, TrevPAR Upsell captured the "low-hanging fruit" without disrupting core occupancy.

·       Simple Guest Experience: Digital delivery ensured upsells felt like value-adds, not sales pitches.

· High-Margin Focus: Prioritising unsold premium inventory and bundled extras turned fixed costs into pure profit.

Conclusion and Future Outlook:

While this initial one-month trial of TrevPAR Upsell, not only unlocked R76 275 in revenue that would otherwise have simply been “left on the table”, it also validated a scalable model for revenue optimisation and upselling throughout the nationwide hotel chain. This case study highlights how intelligent upselling can redefine hospitality profitability, by converting untapped potential into tangible banked profits.