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Should You Get a Hotel Discount Just for Being a Fan on Facebook?

July 14, 2010 at 3:18 PM | by | Comments (12)

For hotels, it's no longer a question whether or not they should be on Facebook. The answer is: Of course you should be on Facebook and Twitter too. If you're a hotel that has yet to understand Facebook or Twitter, then you should probably just give up now. (Ok, we don't mean to be that harsh--but seriously, hurry up and get your social media strategies together!)

Now with all these hotels Facebooking and Tweeting more frequently than teenagers and out of work reality TV stars, the lines of communication between hotels and guests--past, future, present--are always open and always flowing, particularly when it comes to deals and specials.

Most hotels are wise to offer their Facebook fans and Twitter followers deals that cannot be found on the hotels' website. These deals are not deep discounts (unless it's a contest or promotion that involves a free stay) and are usually limited time offers but they do skim a little of the room rate, which typically keeps guests happy. But not this guy.

We noticed on the Facebook page for Encore Las Vegas that this fan, Sammy, was asking for a Facebook Fan discount of 25 percent. Meaning that just for "liking" a page and becoming a fan, he deserves a discount. Encore responded that they do not offer such deals but you can get 25 percent off the room rate if you book 45 days in advance.

We're not so sure how we feel about this automatic Facebook fan discount. But we have seen other hotels do it, such as Provenance Hotels, who at one point auto-replied new followers with a 10 percent room rate discount. And every so often, hotels will release exclusive Facebook/Twitter only deals for their fans. So there are certainly hotels out there that do offer discounts just for being a fan or follower.

But asking for a discount just because you followed a hotel or liked them on Facebook sort of reeks of entitlement. And hotels could find these discounts tricky to manage, especially if they are for 25 percent or higher.

We think that hotels should definitely offer their fans and followers exclusive discounts and deals from time to time--there is a need to reward your followers for their loyalty--but something about demanding a discount just for being a fan, doesn't seem right to us. And besides, you can probably get that room cheaper on Hotwire anyways.

What do you think--should you get a discount just for being a fan of a hotel's Facebook or Twitter page or are you content with the limited time offers? Let us know in comments below.

Comments (12)

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*SMH*

Sammy sounds rediculous demanding a discount. I like when buisnesses give their fb fans special offers/ discounts but I would NEVER have the audacity to just demand it.

No to FB Discounts

"Sammy Lightning" sounds like a tool.  Just a guess, but he's probably the type of guy that takes 15 items in the Express lane at the market and then gets angry when he discovers the person in front of him did the same.  

Personally, I'm against any non-membership (aka AAA) discounts unless they appear on the hotel's website.  I believe that the hotel site should always offer the best deal.  The only exception I could understand is if hotels offered discounts to FB folks that promoted their hotel through wall posts.


Facebook discounts

Sammy does sound like a beggar. I agree that the 25% is a little step, 10-15% is far if your a hotel.. you have to remember, what percentage are you going to give the OTA's if Sammy books there? 25% ++ so wouldn't it be smart to only loose 15% on your Social Media sites?

The NEW BAR

10-15% off is the new BAR anyways. Most Hotels will offer 10-15% off right of the bat with early booking packages or tying in other cost saving necessities such breakfast, parking, etc.

Offering anymore than a 10% discount if anything through facebook would be a waste of profit and really dilute the other discounts you offer.

I do think the GPS-tracking social media websites like FourSquare and GoWalla offer more profitable opportunities to hotels for offering discounts because the consumer is directly onsite when "Checking-in" and receiving the discount for Hotel or F&B outlets; it helps to capture last minute revenue for the biz.


Provenance Hotels Offers FB and Twitter Discounts

We offer a 15% off best available rate + FREE WIFI to our Facebook and Twitter followers. I believe it's a great practice to further encourage interaction and guest satisfcation through social media avenues. In addition, it's great for hotels since they can track how many reservations they receive through their social media accounts. I say yes!

Discounted Rate Rise

Agree with the above posters that discounted rates have become the norm.

We often see properties increase the standard rate first, then offer discounts on the new 'high' rate, where applicable. This way, they maintain profitability,  compete on price where appropriate but also position their property as higher quality to cheaper alternatives.

Troy
Central Coast Accommodation"


Facebook

Visitors should follow to Facebook for Flight Deals

A Discount is Appropriate

As others have commented, something in the neighborhood of a 10-15% discount is appropriate for guests that follow on facebook or twitter.  

When you consider the amount of people in your guests social network, a small discount equals lots of advertising......directly to your target market......for free.  At the end of the day, it's just smart business.


I don't want to sound like Morgan's CMO

But jeezus people.. seriously?  You will give your rate away to people that passively click "like" and don't really interact?

http://www.hrabaconsulting.com/blog/2010/09/01/facebook-brand-pages-community-interaction-what-do-we -know/

Check that out.

Whatever the case, people aren't on your page because they need a hotel room, and if they are they are branded clients that will book because they like you... not because they want a discount.

When you discount, you aren't branding lifelong guests, you are bringing in low rent and coupon clipping people.  That's not good.

Then you give up any control of your rate, then you take years getting your rate back because you gave it away in every possible arena?

This is dumbfounding.  The shiny new toy doesn't mean it's actually worthwhile....

Think of it this way...

If you think you are discounting to get new guests... you aren't.  How do they know to find your discount if they don't know you?

then who are you discounting to?  Guests that would already pay your rate?  Or greedy, non branded guests who are just looking for a deal.. the type signed up to 40 coupon sites?

You are destroying your brand on Facebook... endlessly.

What's more, the only thing it works for is incremental revenue like spa and F&B, because the only people who are on your FB page, most likely, are locals (unless you have a huge brand name).

Be careful, and short answer:

HELL NO they do not deserve a discount.  That's ignorant.  You are handing money back to a full paying guest, as well as losing your rate, and watering down your hotel's brand.  It's a lose, lose, lose.


well said

most thoughtful comment here.

I can't believe so many people are errantly giving away rates to people that a) aren't your guests or b) that would have paid full price.

But your thoughts on promotion are solid.


Facebook Fan Only Deals

For many, Facebook/ Twitter/ Foursquare have allowed a lot of independent hotels, that often struggle against larger brands and their frequent stay programs, an opportunity to offer special rates, rewards and recognition to "loyal" followers.

To speak to "giving rates away" for independent hotels, there is the consideration for trial to entice them to choose when compared to the known entity of the brand boxes.

I see no harm in giving out specials and deals. They just need to be managed and yielded like any other hotel promotion.  


Working the guest's folio with social networking

If you want to work better with social-media promotions, I would look at working with the whole "guest folio" - the full account that is created through the stay and encompassing room rate, meals / drinks (including in-room catering & minibar), communications / entertainment (PPV movies, phone, WiFi) amongst other things.

Examples of this could include promo codes which offer access to discounted food / drink or similar options for social-network guests who are staying at the time. In some cases, it could be a room upgrade or something similar.

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