Loyalty. The mega US hotel group Starwood wants more of it from industry and business partners.
And to get it Starwood is embarking on the largest and most expensive B2B marketing program in company history, pumping USD30m into a campaign promoting its new loyalty scheme SPG Pro.
Starwood says SPG Pro targets “meetings and travel professionals to gain a greater share of of global B2B business”.
B2B – defined as sales through corporate travel, meetings and events, OTAs, retail and wholesale travel agents – already accounts for 70% of room revenue.
But Starwood wants an even larger slice of the pie.
In its announcement, Starwood also revealed that the top 1% of its 1200 global accounts drives 40% of Starwood’s B2B revenue, while each 1% increase B2B business adds $80m in revenue.
Starwood President and CEO Frits van Paasschen said SPG Pro is “designed to leverage the strength of Starwood Preferred Guest, which today drives more than 50% of the company’s occupancy.