Back to the article Loyalty Module in HotelTime 


A Loyalty programme does not have to be complicated. Quite the opposite – the simpler it is for both your guests and your team, the easier it is to manage. 


Before you start configuring the programme, we recommend defining a few basic rules first. 


1. Less is often more

There is no need to create six different membership levels just because it looks good.

Guests should be able to easily understand:

  • which level they are currently in;
  • what they need to do to move to the next level;
  • which benefits they receive as a result.


At the same time, each level should have a clear purpose and offer something extra.


2. Decide what you want to achieve with the programme

Do you want to encourage:

  • repeat stays;
  • direct bookings;
  • higher guest spending;
  • or reward your most loyal and valuable guests?


Your membership levels, thresholds and benefits should then be configured accordingly.


3. Number of nights or revenue?

In HotelTime, Loyalty levels can be evaluated based on:

  • the number of nights,
  • the number of stays, or
  • revenue.


The number of nights and stays is simple and easy for guests to understand. It is particularly suitable when:

  • room rates are relatively similar;
  • the hotel wants to reward the frequency or length of stays;
  • the hotel has a significant segment of regularly returning guests;
  • simplicity and transparency of the programme are important.


Revenue, on the other hand, better reflects the actual value of a guest, particularly when room rates vary significantly. Consider this option if:

  • room rates vary significantly;
  • the hotel offers different room categories and packages;
  • the hotel primarily wants to reward the economic value of a guest;
  • relevant guest spending can be tracked reliably.


You should also decide exactly what counts towards the Loyalty programme – for example, OTA bookings, F&B, SPA, promotional rates or other services.


4. Don't set thresholds at random

Silver from 10 nights, Gold from 20 and Platinum from 30 may look nice, but those thresholds may not reflect the actual behaviour of your guests at all.


Ideally, review 12–24 months of historical data and determine how many guests would actually qualify for each level.


As a general guideline, the distribution could look something like this:

  • first higher level: 20–30% of active/repeat guests;
  • higher level: 5–10%;
  • highest/VIP level: 1–3%.


However, treat these figures only as a guideline – every hotel has a different guest mix, pricing structure and average length of stay.


If almost nobody reaches the higher levels, your thresholds are probably too high. On the other hand, if almost everyone becomes Gold, you may need to make them slightly more demanding.

The thresholds do not need to be perfectly evenly spaced – what matters more is that they reflect the actual behaviour of your guests.


5. The higher the level, the more attractive the benefit

More accessible levels can offer simpler and less costly benefits, such as a small discount or a welcome drink.


Higher levels can then offer benefits such as:

  • complimentary breakfast;
  • a higher discount;
  • free or significantly discounted parking;
  • room upgrades;
  • F&B or SPA benefits.


When configuring your benefits, also consider their overall cost and whether Loyalty benefits can be combined with other discounts and promotional offers.


6. Define the rules in advance

It is a good idea to clearly define, for example:

  • when a guest moves to a higher level;
  • whether a status can expire or be downgraded;
  • what happens in the event of a cancellation or refund;
  • whether OTA and discounted stays are included;
  • which benefits are applied automatically and which need to be provided manually by your staff.


The clearer your rules are from the beginning, the fewer questions and uncertainties your front desk team will need to deal with later.


7. Monitor the programme after launch

We recommend carrying out the first review approximately 6–12 months after launch.

In particular, check:

  • how many guests are in each level;
  • whether guests are progressing between levels;
  • whether the highest levels remain sufficiently exclusive;
  • how much the benefits actually cost you;
  • whether average room rates or guest spending have changed.


For a revenue-based programme, it is perfectly reasonable to adjust the thresholds over time.


A few simple rules to finish

  • Keep the programme simple.
  • Base your decisions on your own data, not assumptions.
  • Make the first higher level realistically achievable.
  • Keep the highest level genuinely exclusive.
  • Match the benefits to the value of the guest.
  • Test your thresholds before launch.
  • Recalibrate the programme from time to time.



And now there is nothing left to do but wish you plenty of happy guests who will keep coming back!