Maximizing revenue per guest is probably high on your priority list, but these days, it’s easier said than done. Yes, the hospitality industry grew at a healthy 6.8% compound annual growth rate between 2023 and 2024, but here’s the catch: the global average spend per paying hotel guest is projected to drop by 17.3% between now and 2029.

On top of that, hoteliers are juggling budget pressures, staffing shortages, tech hurdles, and guests whose expectations seem to rise by the day. So how do you grow revenue per guest when the odds feel stacked against you?

It starts with truly knowing your guests. What they want, what they value, and how to make every interaction memorable. And the secret to that? First-party data.

The real value of first-party data

Great guest experiences don’t happen by accident. They’re built on truly knowing your guests and what makes their stay unforgettable. Maybe it’s remembering a favorite breakfast order, offering the perfect room, or suggesting activities they’ll love.

First-party data is your most valuable resource. It comes from real interactions—website bookings, email engagement, social media activity, and on-property requests. Bringing this information together gives you a unified view of guest behavior across every touchpoint.

With that clarity, you can target more accurately, deliver offers that feel tailor-made, and communicate in ways that truly resonate. It also enables predictive marketing, like suggesting a late checkout to a business traveler with a late flight or offering a spa discount to a guest who booked a wellness package last time.

When you put your first-party data to work, every interaction feels personal, and that’s what keeps guests coming back.

What counts as first-party data?

Every interaction you have with a guest is a chance to learn about them and make their next experience even better. From the instant they log in to your website, you can start building that connection. For example, when a guest enters their email, a hashed email algorithm can securely transform it into a pseudonymized string of characters. This not only protects their privacy but also allows you to reconnect with them across other websites, without relying on third-party cookies.

Pair that hashed email with historical booking data, first-party cookies, CRM insights, and even offline interactions, like conversations at the front desk or notes from a concierge. Add in emerging data sources such as Wi-Fi logins and mobile messaging activity, and suddenly you have a rich, 360-degree view of each guest.

This complete profile becomes your guide to creating truly personalized moments, like recommending a favorite type of room, sending a timely upgrade offer, or suggesting local experiences they’ll love.

Proof that personalization works

Hotels that nail personalization don’t just see happier guests, they see stronger bottom lines. In fact, properties using advanced personalization enjoy, on average, a 25% lift in revenue per guest. The reason? It’s all about relevance in the moment.

Real-time data lets you move beyond broad segments and speak directly to your guest, the one browsing your website right now, booking a last-minute weekend getaway, or ordering room service from their suite. Instead of relying on stale or generic offers, you’re delivering the right message at the exact right time.

When that personalization follows them seamlessly across devices, whether they’re researching on a laptop, checking in on their phone, or browsing the in-room TV menu, it doesn’t feel like marketing at all. It feels like thoughtful service: anticipating their needs, remembering their preferences, and making their stay effortlessly enjoyable.

Activate first-party data across the guest journey

According to our report, Unlocking Revenue: How Hoteliers Build Profitable Guest Relationships, only 1 in 4 hoteliers use personalized offers to encourage repeat stays. That means there’s a huge opportunity to stand out from your competitors.

Here’s a simple framework with examples to help you get started:

Pre-stay

When guests are still in the dreaming stage, your goal is to spark excitement and guide them toward booking. Use first-party data to send targeted email campaigns, personalized offers, and tailored upsell opportunities. For example, if you know a past guest booked a weekend getaway in spring, invite them back with an exclusive seasonal package, or offer a discounted room upgrade to help them press “book” faster.

During stay

This is where personalization can truly shine. If your data shows a guest prefers a corner suite, offer it as an upgrade before or during check-in. If they’ve ordered room service in the past, share a tempting preview of your chef’s latest special. Even small touches, like greeting them by name or recommending amenities they’ve enjoyed before, can drive both guest satisfaction and revenue.

Post-stay

The guest experience doesn’t end at checkout. Use the insights you’ve gathered to create re-engagement campaigns that feel personal and relevant. Send a loyalty offer, share a thank-you message with a discount for their next visit, or ask for feedback to strengthen your relationship. The more connected your guests feel, the more likely they are to return and tell others about their stay.

When you activate your first-party data across every phase of the journey, you’re not just marketing, you’re building relationships that grow lifetime value.

Making personalization your competitive edge

Maximizing revenue per guest isn’t just about upselling; it’s about delivering experiences that matter. The more you understand your guests, the more value you can provide at every stage of their journey.

First-party data is the key. It powers smarter targeting, more relevant campaigns, and genuine connections that build loyalty over time. When your marketing speaks directly to each guest’s needs and preferences, you’re not just filling rooms, you’re creating memorable stays that keep them coming back.

In hospitality, every guest interaction is an opportunity. Make it count.