Segmenting Hotel Guests

Hotel segmentation divides a hotel's target market into smaller, more specific groups based on certain characteristics or shared traits. This helps hoteliers better understand their customers and tailor their marketing and service strategies to meet the needs and preferences of each segment.

There are many different ways to segment a hotel's market, and the method chosen will depend on the specific goals and needs of the hotel. Some common characteristics that hotels may use for segmentation include:

• Demographic factors, such as age, gender, income, and occupation

• Geographical factors, such as location or distance from the hotel

• Psychological factors, such as attitudes, values, and lifestyles

• Behavioural factors, such as travel frequency, booking habits, and loyalty status

By segmenting their market, hotels can create targeted marketing campaigns and personalised experiences for each segment, leading to increased customer satisfaction and loyalty. For example, hotels targeting business travellers may offer meeting rooms and high-speed internet. On the other hand, a hotel targeting families may offer kid-friendly activities and spacious rooms.

There are several approaches to segmenting a hotel's market, including:

• Mass marketing: Involves targeting a wide range of customers with a single marketing message. This approach may be appropriate for hotels with a broad target market, such as budget hotels or resorts.
  

• Niche marketing: Involves targeting a specific, narrow market segment, such as luxury or eco-conscious travellers. Niche marketing can help hotels differentiate themselves from competitors and attract a loyal customer base.
  

• Customised marketing: Involves tailoring marketing efforts to individual customers' specific needs and preferences. This approach can be practical for hotels with many repeat guests, as it allows the hotel to build relationships with these customers and create personalised experiences for them.

Hotel segmentation is vital for hoteliers to understand better and serve their target market. By dividing their market into smaller, more specific segments, hotels can create targeted marketing campaigns and personalised experiences that increase customer satisfaction and loyalty.