Hotel discounts at vacations are all that we aspire and people always look for discounted hotels that can be really cheap during their stays. Directs hotel booking is the main purpose behind CUG (Closed User Group) consumer facilities. Consumers becoming members by their will opt for CUG programs, leading to receiving of the member profile accessed by a login ID and password. Hotels select to publish their preferred rates directly in the search results of their hotel website.
CUG members need to comply with some of the regulations to become part of the Closed Group Member. The guests should be having a minimum of one un-discounted booking prior to becoming a closed user group member. There has been a rise of hotel apps and deal sites that are based on ‘closed user groups’. It results in higher discount level for hotels and it also sends a clear message to hotels that direct booking is not the best way to book hotels.
Here is how hotels benefit from Closed User Group guests –
- CUG is not only for publicizing cheaper rates, but it is more focused on to encouraging benefits of customer loyalty to consumers. It ultimately results in saving of OTA commission by an increase in direct bookings.
- There is a healthy edge to CUG hotels membership rather than loyalty programs as they give instant gratification and benefits. Avail the smaller benefits waiting years down the line.
- There is a great improvement in customer retention to save money as OTA commissions by having direct room bookings.
- Hotels also add up contacts to their database with CUG hotel schemes as details of the consumers are required to avail the hotel discount benefits.
- The consumers also get personalized services with the details that consumers fill in the customer information form.
- The hotels are benefiting from the CUG plans as it increases the probability of up-selling and cross-selling other services of the hotel like Spa, restaurant, and club.
OTAs are approaching hotels to offer special rates to different ‘member groups’ with the condition that there might be certain percentage below prices that are offered to the public. These offers are given to a ‘fenced’ audience and the general consumers are unable to access the facilities. There is a shift in the online distribution landscape from being retail with pricing parity to a very opaque environment. The selling of CUG is a strategic inventory distribution decision and the whole profitability need to be calculated over a period of time.
There are many features and facilities provided to the CUG hotel consumers that it will make you go crazy. The bookings are made in few clicks by the CUG members if they are looking to actively use the CUG member program for the hotel bookings. Choose to be a CUG hotel member to get the best discounts and offers across hotels and other amusements. CUG hotels provide the facility to book instant hotel tickets with all the necessary amusements.