Barceló Hotel Group gains predictable upsell revenue with Oracle Nor1
The resort management company uses Oracle Hospitality Nor1 CheckIn Merchandising to generate personalized offers tailored to guests' interests.
“Oracle Nor1 allows us to evaluate how much each guest is willing to pay for a better stay and to refine the offers available, generating profitable opportunities throughout their trips. Nor1 enables us to easily measure results and maximize room turnover.”
Business challenges
Personalized services are a hallmark of the resort vacation experience. Guests are willing to pay more for the perfect holiday, and luxury hotels, such as those in the Barceló Hotel Group, strive to meet their expectations. “Our goal is to continue to be one of the best hotel management chains in the world, and our strategic plan includes increasing extra revenue by improving our guests’ experiences,” says CMO Sara Ramis.
This requires offering services that appeal to guests’ individual interests. However, staffing shortages and churn in the hotel industry mean it's harder than ever to deliver the personal touch guests expect. The company recognized that automation could help its staff present customized upsell offers that would create happier, more memorable vacations.
We train our teams about relational techniques so that they can spot business opportunities and adapt what they offer to guests’ needs and desires.
Why Barceló chose Oracle
Barceló chose Oracle Hospitality Nor1 Cloud Services to help build, automate, and fine-tune guest engagement efforts. Nor1 CheckIn Merchandising front-desk upsell service helps Barceló's staff provide personalized offers tailored to guests' unique interests.
Company leaders recognized that Nor1’s PRiME machine learning engine would evaluate guest data, then select a small set of appropriate offers, optimize pricing, and present that information to guest services agents in a specific order. Agents could relay the recommendations to guests using Barceló's vocabulary and service culture, making guests feel more understood and valued.
Barceló's upsell revenue is now predictable and forecastable, so the company has added ancillary revenue as a line item in their budget and financial control systems.
Results
Automating upsells with Oracle Nor1 CheckIn Merchandising helped Barceló deliver attentive, personalized service. Nor1 gave front-desk staff real-time data about available upgrades that aligned with each guest's interests. This level of customization increased the likelihood that a guest would purchase an upgrade, boosting revenue for Barceló.
While artificial intelligence powers Barceló's upsell platform, human intelligence is critical to making the personal connections required to complete each sale. With that in mind, Barceló worked with Oracle to develop a staff training program that gave agents the knowledge and confidence to use CheckIn Merchandising to its full potential.
Behind the scenes, Nor1 supplied Barceló management with the data it needed to measure results and maximize sales opportunities. Management used business intelligence dashboards to view upsell revenue data, as well as performance by agent and by offer. The company's upsell revenue is now predictable and forecastable, so Barceló added ancillary revenue as a line item in its budget and financial control systems.
“We have implemented this program in almost the entire Europe, Middle East, and Asia region with highly satisfactory results, both with regard to room turnover and guest satisfaction,” says Ramis. “Our upselling strategy—which is a world leader with presence in 25 countries—is further proof of the Barceló Hotel Group’s firm commitment to innovation. Most importantly, it allows us to keep offering our guests the very best experiences, now custom designed and highly personalized.”
About the customer
Barceló Hotel Group, with more than 270 four- and five-star hotels and over 60,000 hotel rooms in 25 countries, is the second largest hotel chain in Spain and among the top 30 in the world by number of rooms.