For hotel operators, tracking data analytics in the form of key performance indicators (KPIs) reveals pathways to optimizing your marketing, customizing guest experiences, and business growth. From understanding how guests discover your property to fine-tuning your email communication, hotel marketing KPIs are the linchpin of your hotel’s success story.
NB: This is an article from Revinate
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Key Performance Indicators (KPIs) are measurements that help you gauge how well your hotel is doing in certain areas, like operations and marketing. They’re designed to match your goals, so they give you valuable information about your performance. This information helps you see what’s going well and what needs to be improved.
By leveraging KPIs effectively, you make data-driven decisions that improve operational efficiency and enhance customer experiences — all while maximizing revenue streams.
To help you get started, here are 10 important performance indicators your hotel should be measuring.
1. Website metrics
Tracking web metrics is very important to help you understand how people use your website. This knowledge helps you improve your website and make it more effective at attracting new customers. Most importantly, it can help you get more direct bookings, which gives you an edge over your competitors.
Website sessions
This KPI measures the total number of interactions users have with your hotel website within a specific timeframe. It helps you understand overall website engagement, including the amount of traffic your website generates, and its popularity.
Website conversion rate
Your website conversion rate calculates the percentage of visitors who take a desired action, such as booking a room or signing up for your newsletter. It shows how effective your website is at turning casual browsers and visitors into customers.
The average conversion rate for a hotel website is 2%.
Time on page
The longer a visitor stays on your website, the more likely they are to book with you directly. This hotel marketing KPI tracks the average duration an online visitor spends on specific pages of your hotel website. It indicates user engagement and interest, and it guides improvements in your content, layout, and user experience.
Website search engine rankings
This metric evaluates your hotel’s position in search engine results for specific keywords. Your hotel’s visibility hinges on securing top spots in online searches. Mastering your hotel’s SEO and targeting location-specific searches ensures that you’re visible to the right audience, driving bookings and revenue. It’s particularly important to appear at the top of searches like “hotel in [location]”.
2. Email performance
Email performance metrics are vital for hotels to track because they provide insights into the effectiveness of communication strategies. By tracking appropriate email-related KPIs, you can better target marketing campaigns, enhance guest communication, and customize content for maximum impact, driving higher conversion rates and bookings.
This year Revinate analyzed 1.8 billion emails from our customer data to help hoteliers benchmark their email performance in the 2024 Hospitality Benchmark Report. Use this report to dig deeper on email performance KPIs based on region, campaign type, and more.