By now, hoteliers aren’t just talking about personalization—they’re actively rolling out new strategies to make it happen. In 2025, personalization is the baseline. Guests expect experiences tailored to them—and the hotels that deliver are already seeing the payoff.
Personalization isn’t just about making guests happy—it’s already driving real revenue for hotels. Today’s guests expect experiences tailored specifically to them, not just as a nice-to-have, but as standard practice. Smart hoteliers understand this shift and are using data-driven personalization to boost conversions, loyalty, and business performance. Here’s what’s coming next—and how to make sure your hotel is ready to stay ahead.
1. Personalization = Revenue
Today’s guests expect experiences that reflect their unique preferences. If an offer doesn’t feel relevant, they’ll ignore it.
71% of consumers expect companies to deliver personalized interactions, and 76% get frustrated when this doesn’t happen.(McKinsey, Next in Personalization Report, 2021)
We live in an era where everything feels customized—whether it’s a new Netflix show you may like or a Spotify playlist tailored with all your favourite artists, and recommendations of similar tunes. Hotels need to apply the same logic. Guests expect offers that fit their travel style, without extra effort on their part.
How to take action:
Use guest data to create tailored offers—early check-ins for business travelers, spa perks for leisure guests, and family-friendly discounts for vacationers.
Move beyond basic segmentation—AI can analyze behavior and past bookings to make smarter recommendations.
Equip front desk teams with real-time guest insights so they can offer upgrades that feel personal and well-timed.
Why It Matters: Personalization isn’t just about guest satisfaction—it’s a proven revenue driver. Hotels that anticipate guest needs and deliver value-driven offers will stand out in a competitive market.
2. The Right Offer, at the Right Time, Drives More Revenue
Even the best offer will flop if it’s presented at the wrong time. Guests expect personalized recommendations at key moments in their journey.
The biggest shift hoteliers are seeing is that timing matters as much as relevance. Offers presented at the right moment—whether before arrival, at check-in, or mid-stay—are driving significantly higher conversion rates.
To stay competitive, hotels should:
Pre-arrival: Use email or SMS to offer premium upgrades, experiences, or early check-in before arrival.
At check-in: Empower front desk teams with guest data to make personalized upgrade offers.
Mid-stay: Use SMS and app notifications to promote spa treatments, dining offers, or late checkouts.
Why It Matters: Hotels that align upsells with guest behavior and booking patterns are already outperforming those relying on static promotions.
3. AI and Automation Are Now Essential
AI-driven personalization—using algorithms and automation tools to analyze guest behavior and automatically deliver tailored offers—is no longer a “nice-to-have.” It’s the new standard. Hotels still relying solely on manual upselling or simple, rule-based promotions risk falling behind.
Today, successful hotels use AI-powered recommendation engines and automation to deliver highly relevant, real-time offers throughout the guest journey. Hotels that don’t embrace these tools leave significant revenue opportunities on the table.
Smart hoteliers are already:
Automate upselling across the entire guest journey for efficiency and scale.
Use AI-powered recommendation engines to serve real-time, highly relevant offers.
Equip front desk staff with intelligent tools that suggest upgrades based on pre-stay engagement.
Why It Matters: Hotels that embrace AI and automation will personalize at scale, driving higher revenue and guest satisfaction. Those that don’t risk falling behind.
4. Mobile-First Upselling Will Dominate
Younger travelers expect mobile-first interactions. Hotels that still rely heavily on email are missing opportunities. Today’s guests expect seamless, multi-channel interactions that let them engage how and when they prefer.
Mobile-first upselling is gaining traction, driven by younger travelers who expect on-the-go interactions. As this demographic grows in spending power, mobile will play an even bigger role—but it works best alongside email and front desk engagement.
What Hoteliers Need to Do:
Prioritize mobile-first communication—SMS offers are essential for younger guests.
Align email, mobile, and front desk upselling strategies to create a cohesive experience.
Why It Matters: Hotels with strong mobile strategies are capturing incremental revenue that others are missing. If ordering a car or dinner takes seconds, why should upgrading a hotel stay be any harder?
The Bottom Line
Personalization has moved from ‘nice-to-have’ to business-critical. Hotels that adapt quickly will build stronger guest relationships—and a stronger bottom line. Learn more at plusgrade.com
About Plusgrade
Plusgrade powers the global travel industry with its portfolio of leading ancillary revenue solutions. Over 200 airline, hospitality, cruise, passenger rail, and financial services companies trust Plusgrade to create new, meaningful revenue streams through incredible customer experiences. As the ancillary revenue powerhouse, Plusgrade has generated billions of dollars in new revenue opportunities across its platform for its partners, while creating enhanced travel experiences for millions of their passengers and guests. Plusgrade was founded in 2009 with headquarters in Montreal and has offices around the world. For more information, visit Plusgrade.com.
