Do you feel trapped in an endless cycle of Google ads and OTA commissions that eat away at your profits? Do you see your margins being squeezed, forcing you to compete on price rather than the quality of your accommodation? If this sounds familiar, you're not alone. The good news is that there is a more profitable and sustainable alternative: Invest in your guests' experience.

Think for a moment about all the money you're losing on commissions and advertising - money that you could be investing in improving your property and your guests' experience. Every month that goes by without optimizing your strategy represents thousands of wasted pesos/dollars that you'll never recover. This is a clear example of the loss aversion principle in action the pain of losing money on commissions is stronger than the pleasure of gaining new bookings through these platforms.

Turn your guests into your best marketing team

Imagine every satisfied guest becoming an ambassador for your brand, recommending your accommodation to friends, family and colleagues. This type of referral marketing is much more effective than any paid advertising. Why?Because people trust recommendations from people they know.

Using the anchoring principle, think about this: While major hotel chains spend millions on advertising, you can achieve similar or better results by investing a fraction of that budget in memorable experiences. In fact, according to a Nielsen study, 92% of consumers trust recommendations from friends and family more than traditional advertising..

An exceptional experience generates positive word of mouth that attracts new guests without you having to spend a dime on advertising. Plus, referred guests are typically more loyal and spend more than those who come through ads. This creates a snowball effect where each satisfied guest can bring in multiple additional bookings.

The ROI of Experience vs. Advertising Spending

Have you ever wondered how much it really costs you to acquire a new customer through advertising? Add up the cost of Google ads, OTA fees, and the time you spend managing campaigns (or even paying to have them managed for you). Now, compare that cost to the cost of delivering a WOW experience to your guests.

Applying the reframing principle, we can view advertising spend not as an investment, but as an ongoing drain on resources that could be spent on improving the guest experience. Every dollar spent on commissions is a dollar that isn’t working to build long-term value at your property.

The truth is that investing in guest experience is much more profitable in the long term. Why? Because satisfied guests not only return, but also recommend you to other travelers. This increases customer lifetime value and reduces your dependence on paid advertising. A delighted guest can generate multiple additional bookings through their referrals, creating a multiplier effect that no advertising campaign can match.

Turn your accommodation into a WOW destination

What does it take to create an experience that leaves an indelible mark on your guests?

• Customization: Anticipate your guests' needs and offer them a tailored service. Do you know it's their anniversary? Leave them a bottle of sparkling wine and a personalized note.

• Unexpected Details: Surprise your guests with small details that make a difference. Fresh flowers in the room, high-quality amenities or a welcome gift.

• Impeccable service: Train your staff to provide attentive, friendly and efficient service. The key is to exceed your guests' expectations.

• Technological Integration: Simplify guest communication and tasks. Not only with high-speed connectivity but also with home automation for lighting, temperature and sound control. All without having to get out of bed.

Using the scarcity principle, remember that every guest who leaves without an extraordinary experience is a lost opportunity that will never return. Not only do you lose that specific booking, but all the potential referrals and future bookings that could have been generated.

The real magic happens when these elements come together cohesively to create a holistic experience that exceeds all expectations. It’s not just about implementing a checklist, it’s about creating memorable moments that your guests will want to share with others.

"People will forget what you said, people will forget what you did, but people will never forget how you made them feel."

In conclusion...

In an increasingly competitive market, guest experience has become the key differentiating factor.
Stop competing on price and start competing on quality.
Invest in creating a WOW experience that will make your guests come back and recommend you to others.

Every day you don't optimize your guest experience means lost revenue you'll never get back. The question isn't whether you should improve your guests' experience, but how much are you missing out on by not doing so already?

Remember, this is the same strategy that 5-star hotels use to retain their customers. Why not apply it to your accommodation? In WOWGuests.com, We can help you transform your property and attract more bookings without spending a fortune on advertising. We offer customized guest experience improvement strategies, tailored to your budget and needs.