While most hotel loyalty programs — and indeed loyalty programs in general — rely on a system of point collection, Warwick Hotels & Resorts' 'Warwick Journeys' program gets rid of those cumbersome, tough-to-track points altogether. Rather than collecting points, frequent guests at select Warwick hotels collect benefits, making the actual rewards embedded in the rewards program more immediately tangible for those participating.
Warwick Journeys is divided into 3 tiers: Purple, Gold, and Black. Guests need to collect a certain amount of stays within a 12-month period in order to qualify for each tier. Rather than these stays translating into points, each tier simply comes with a set amount of benefits (Purple members get three benefits, Gold members eight, and Black members 13.) Benefits include things like premium internet, welcome drinks, garment steaming, and early check-in and late check-out.
Luxury Hotel Loyalty Programs
'Warwick Journeys' Eschews Points in Favor of Benefits-Based Rewards
Trend Themes
1. Benefits-based Rewards - Disruptive innovation opportunity: Develop loyalty programs that offer benefits instead of points to create a more tangible and immediate reward system.
2. Tiered Loyalty Programs - Disruptive innovation opportunity: Implement loyalty programs with multiple tiers based on customer activities to incentivize higher engagement and loyalty.
3. Simplified Tracking Systems - Disruptive innovation opportunity: Create loyalty programs that eliminate the need for complicated points tracking systems, enhancing user experience and convenience.
Industry Implications
1. Hospitality - Disruptive innovation opportunity: Introduce benefits-based loyalty programs to enhance guest experiences and loyalty in the hospitality industry.
2. Travel - Disruptive innovation opportunity: Develop tiered loyalty programs for frequent travelers to incentivize repeat bookings and customer loyalty in the travel industry.
3. E-commerce - Disruptive innovation opportunity: Simplify points tracking systems in e-commerce loyalty programs to provide a seamless and user-friendly experience for customers.