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Hannah Brown, CHDM, CHBA; Associate Program Manager, Loyalty Marketing | BWH Hotels; HSMAI Rising Marketing Leaders Council
Hospitality loyalty programs have come a long way and with a new market of guests, where are hospitality loyalty programs headed next to remain relevant and engage rewards members? During an HSMAI Rising Leaders session, we explored what it takes to create loyalty programs that feel rewarding for today’s travelers.
From handwritten notes to Uber credits, this session revealed just how multifaceted loyalty has become and what hospitality can learn from brands inside and outside the industry.
From Points to Personal Touches
The session kicked off with a poll asking attendees to name their favorite loyalty programs. The answers were wide-ranging:
- Delta
- Starbucks
- Amtrak
- Chick-fil-A
- Sephora
- United
- 7 Brew
- Ulta
- Target
- Harkins Theatres
With third-party data becoming less accessible, loyalty programs now play a central role in customer engagement. The ability to connect through first-party data makes personalization more powerful than ever and more expected by today’s guests.
Real Rewards, Thoughtful Perks
Here’s what rising leaders said was keeping them loyal:
- Personalized gestures make a lasting impression. Something as small as a handwritten note or favorite beverage can create a deep sense of connection.
- Tangible benefits like monthly ride-share credits, discounted redemptions, and companion passes help travelers feel truly rewarded.
- Responsive service matters. Compensation for travel disruptions or access to exclusive lounges builds trust and repeat behavior.
- These benefits build emotional loyalty and a sense of value beyond simple transactions.
Barriers to Belonging
The conversation also highlighted a few areas where loyalty programs often fall short:
- High thresholds for rewards can discourage less frequent travelers who still want to feel valued.
- Unclear point systems make it hard for members to understand the real value of their loyalty.
- Limited redemption flexibility like caps on using points or restrictions on mixing cash and points can undermine the overall experience.
Life-Stage Loyalty and Experience-Driven Design
Looking ahead, rising leaders shared ideas on how hospitality loyalty programs could become more dynamic and inclusive:
- Track and support life transitions – graduating, starting families, shifting careers their travel habits and preferences change. Loyalty programs that recognize these milestones can grow with the customer.
- Deliver unique experiences. Surprise and delight moments like unexpected gestures or memorable service turn ordinary stays into unforgettable stories. Empowering teams to create these moments drives genuine loyalty.
- Simplify the system. Clear value, visible progress, and accessible rewards are key to keeping members engaged.
Even simple acts like personalized letters or milestone recognition go a long way in making members feel seen and appreciated. The next generation of hospitality loyalty programs is all about connection over currency. Guests want more than points, they want recognition, relevance, and rewarding experiences that match their lifestyle and values. By embracing personalization, reducing complexity, and integrating experiences into rewards, brands can design loyalty programs that resonate for the long term.