DataToBiz
paper datatobiz

Hospitality

The hotel chain wanted to market its timeshare properties more effectively. For this, identifying loyalty program members having a high propensity to purchase timeshare properties after purchasing mini vacation packages, was key.

DataToBiz developed a two-stage analytics model which enabled the client to segment its customers, improve targeting and optimize communication programs. This facilitated the client to save 30 percent of its marketing outlay.

How We Made Difference?

One of the leading hotel chains with a host of hotels operating under separate brands. A majority of the company’s hotels operate under franchise agreements.

The hotel chain wanted to market its timeshare properties more effectively. Back then, it was running a marketing campaign for selling ‘mini vacation’ packages to its loyalty program members. The hotel wanted to identify its loyalty program members who would have a high propensity to buy timeshare properties after purchasing the mini vacation package.

DataToBiz team of analysts and travel domain experts developed a two-stage analytics model, and used more than 700 key variables to identify the potential timeshare purchasers. The stages were:

  • Identifying members with high propensity to purchase a mini vacation.
  • Identifying members with high propensity to purchase a timeshare property after having purchased a mini vacation.

The model yielded valuable data and insights related to:

  • Regional demographics with higher propensity to purchase both mini vacations and timeshares.
  • Time-series and instance-based analysis of potential timeshare purchases.
  • Profitability index to indicate propensity of members to purchase timeshares.
  1. Identified potential purchasers of timeshare properties.
  2. The hotel chain was able to identify 70 percent of timeshare purchasers in the top 4 deciles. The client could thus capture 70 percent of timeshare buyers by targeting only 40 percent of their customers. This significantly reduced the cost of targeting members by driving focus to the top 3 to 4 member deciles.
  3. Implemented customer segmentation to run different marketing campaigns  The hotel chain was able to segment its customers based on several key factors, including number of transactions, most valued customers, growable customers, marginal customers, and least profitable customers. This aided the client in developing new and impactful marketing campaigns. Optimized marketing communication programs  The hotel chain was able to optimize its communication programs and target only those members who most likely would be influenced by the marketing communication.