Maximize your holiday revenue by offering memorable experiences and exclusive perks without burdening your operations.
The holiday season shouldn’t be just about filling rooms, but rather providing travelers with a complete, festive experience. During Christmas and New Year’s Eve, travelers are looking for more than just a place to sleep, they want a seamless solution for their celebrations, from themed dinners to exclusive experiences that create lasting memories.
Holiday upselling, when executed properly, focuses on offering convenience, value, and an enhanced guest experience that transforms a simple stay into a truly special occasion. By strategically planning your upsell offers, you can increase both guest satisfaction and revenue.
This article will guide you through how to assess whether holiday upselling makes sense for your hotel, and how to design offers that align with your operational capacity. By the end, you’ll be ready to plan and execute upselling strategies that fit your unique property and audience.
Before creating offers: Is holiday upselling right for your hotel?
Before jumping into creating upsell offers for the holiday season, it’s crucial to evaluate whether this strategy aligns with your hotel’s unique situation. While holiday upselling can boost revenue, not every hotel is equipped to capitalize on it effectively. Understanding your communication, your guest profile, and your hotel’s capacity will help ensure that any upsell offers you create are both viable and valuable for your property.
This section will help you evaluate whether upselling makes sense for your hotel by guiding you through the necessary evaluations, ensuring you don’t waste time or resources on strategies that may not work for you.
Guest profile analysis
Begin by analyzing the types of guests your hotel typically attracts during the holiday season. Is your property popular with families looking for festive activities? Are you catering to couples seeking a romantic holiday retreat, or perhaps groups of friends gathering for celebrations? Each type of guest has different expectations and desires for their holiday experience, so understanding your guest profile is essential in determining what upsell offers will resonate most.
- Families: Might enjoy themed holiday dinners, kids’ activities, or family-friendly packages (e.g., Christmas gift baskets or movie nights).
- Couples: Could be more interested in romantic offerings such as private dining experiences, couples’ spa treatments, or late check-out.
- Groups of Friends: May value festive events like New Year’s Eve parties, group tours, or shared experiences (e.g., group holiday packages or exclusive excursions).
If your hotel primarily caters to corporate guests who tend to close for the holidays, upselling might not be a priority. Similarly, if your hotel operates seasonally or is located in a business district with little demand for holiday celebrations, this strategy may not align with your hotel’s needs.
By aligning your upsell strategies with your guests’ profiles, you ensure that offers feel personalized and relevant. This makes the upsell more attractive and increases the likelihood that travelers will take advantage of the additional services or experiences, driving higher revenue and improving overall guest satisfaction.
Structure and communication analysis
Before planning your upsell offers, take a close look at your hotel’s ability to manage the heightened demand. For instance, if you’re considering selling a Christmas dinner, does your kitchen have the capacity to handle the extra orders without compromising quality? Can your Food & Beverage (F&B) team meet the heightened demand during peak holiday periods?
Next, evaluate whether your front desk and other operational teams can manage the volume of orders, special requests, and advance reservations that come with upselling. Are your staff members prepared to handle these additional tasks while maintaining a smooth guest experience?
Besides, if you plan to offer exclusive experiences such as tours, special events, or private activities, do you have reliable partners in place (e.g., local event planners, entertainers, transportation providers)? These partners should be able to seamlessly integrate with your hotel services and ensure a flawless experience for your guests.
Effective holiday upselling relies on your competence to deliver on the promises you make. If you oversell an experience your hotel cannot logistically support, you risk disappointing guests and damaging your reputation. Assessing your hotel’s structure, capacity, and resources ensures that the upsells you create are not only feasible but also provide exceptional value for both your guests and your operations.
Cost-benefit analysis
Before diving into any upsell offers, it’s essential to evaluate the financial feasibility of each idea. For example, a New Year’s Eve party might require a significant investment in external services, such as hiring a band, securing catering, and arranging security.
You need to calculate whether the profit margin from ticket sales, F&B purchases, and extra services will justify the operational effort and costs. Consider factors like:
- Staffing costs: Will you need to hire additional staff or temporary workers for the event?
- External vendors: How much will you pay for catering, entertainment, and security services?
- Supplies and equipment: Will you need extra decorations, lighting, or equipment for the event?
Once you have these costs outlined, calculate the break-even point to determine how much revenue you need to generate from the upsell to cover your expenses. This will give you a clear idea of whether the event is financially viable and how many tickets or bookings are needed to break even.
A cost-benefit analysis helps you make informed decisions about which upsell offers are truly worth pursuing. By calculating the break-even point and understanding the financial impact, you can ensure that the upsell will generate a positive ROI and not drain your resources.
5 Holiday upsell strategies (And how to evaluate each one)
The holiday season offers numerous upselling opportunities that can significantly increase your revenue. However, not all upsell strategies will be suitable for every hotel. Below, we explore five of the most effective holiday upsell strategies, outlining their benefits and providing a clear framework to help you determine whether they’re a good fit for your property.
1. Themed dinners (Christmas and NYE)
Offering a complete dining solution for festive nights, such as a Christmas or New Year’s Eve dinner, can be a major upsell opportunity. This could include a full feastserved in your restaurant, a “mini” version served in-room for those who prefer privacy, or even a special brunch the following day for post-celebration relaxation.
Themed dinners provide high convenience for guests who prefer not to leave the hotel during the holidays. These dinners create a hassle-free, festive dining experience without the need to search for external restaurants or wait in long lines. Guests can enjoy a comfortable, all-inclusive experience, and the hotel can generate substantial F&B revenue, especially when priced for premium holiday experiences.
Viability Checklist:
- Capacity: Does my kitchen have the necessary capacity to handle a holiday event of this magnitude without compromising quality or guest satisfaction?
- Space: Do I have adequate physical space—whether it’s a restaurant, ballroom, or another event area to accommodate additional guests comfortably during the busy holiday period?
- Reservations & Special Needs: Can I manage advance reservations efficiently? Am I able to accommodate special dietary needs and ensure that the event runs smoothly?
2. Festive kits and in-room amenities (Low-cost, high-impact)
For hotels with a leaner F&B structure or limited kitchen capacity, offering themed “Welcome Kits” or in-room amenities can be a perfect holiday upsell. These kits might include items like a bottle of sparkling wine, artisanal mini-panettone, or seasonal room decorations (e.g., a small Christmas tree or festive garlands). These additions enhance the guest experience by providing small but thoughtful touches that elevate their stay.
This upsell strategy carries low service costs while delivering high perceived value to the guest. Personalizing the guest experience with a festive touch can create a memorable stay without requiring heavy investment. It is also easy to scale, meaning it can be adapted for different room types and guest preferences. This option also increases guest satisfaction and loyalty by adding a special, personalized element to their holiday experience.
Viability Checklist:
- Local Suppliers: Do I have reliable local suppliers for items like artisanal food (e.g., bakeries, wineries) and decor (e.g., Christmas trees, garlands)?
- Logistics: Can my housekeeping team handle the logistics of organizing and delivering the kits to rooms at the right times during the busy holiday season?
3. The new year’s eve party (The main event)
Selling the main event for New Year’s Eve can be a highly profitable upsell strategy. This includes access to a festive party with cocktails, live music, a countdown to midnight, and maybe even a view of fireworks. Offering such an event allows your hotel to become the central holiday destination for travelers, creating an experience that goes beyond just a room stay.
This strategy positions your hotel as the ultimate holiday destination, attracting not just guests staying at your property, but also non-guests who are looking for a great place to celebrate. The high-profit margin per ticket makes this an excellent revenue-generating event, while also enhancing your hotel’s brand reputation. It’s an opportunity to create a memorable experience that could lead to repeat business or even direct bookings for future holidays.
Viability Checklist:
- Event Structure: Do I have the necessary event space, sound, lighting, and security to accommodate a large number of guests and ensure a smooth celebration?
- Ticketing System: Can I manage ticket sales separately from lodging reservations to avoid confusion and streamline the process?
- Staffing Capacity: Will the effort required to organize and execute an event of this scale overwhelm my core operational staff? Can I ensure quality service while managing a large event?
4. Exclusive experiences and convenience services
This upsell strategy focuses on offering “moments” or conveniences rather than physical products. Examples include late check-out on January 1st, a relaxing post-party massage, a private photographer for the family, or even a shuttle service to prime fireworks viewing spots. These services enhance the guest experience, providing added value and personalized touches that make the holiday stay even more special.
Unlike traditional product-based upsells, this strategy focuses on service, which often results in a more personalized and memorable experience for the guest. These offerings can increase customer satisfaction while reducing the hotel’s fixed costs by partnering with local providers. Whether it’s working with local spas, photographers, or transportation companies, outsourcing execution allows the hotel to supply premium services without significant investment in infrastructure or staffing.
Viability Checklist:
- Reliable Partners: Do I have trusted local partners (e.g., spas, photographers, drivers) who can carry out these services smoothly and at scale during the busy holiday period?
- Staff Training: Is my front desk staff properly trained to sell services (not just products) in a way that feels natural and aligns with the guest experience?
5. Upgrade packages (Focus on the stay)
This is the classic room upgrade upsell, but with a holiday twist. For example, offer a “Romantic New Year’s Eve Package” that includes an upgrade to a room with a view and a bottle of sparkling wine, or a “Family Christmas Package” with an upgrade to a suite as well as a kids’ dinner. These packages enhance the guest experience while allowing you to generate more revenue from your existing inventory by offering guests an elevated stay during the holidays.
Upgrade packages help increase the average daily rate (ADR) by selling higher-tier rooms or suites, especially during the high-demand holiday period. By offering upgrades with added value (like a bottle of wine or a family dinner), you create a premium experience that feels more exclusive and special to guests. This strategy capitalizes on the increased willingness of guests to pay more for a holiday experience that aligns with their festive needs.
Viability Checklist:
- Superior Category Rooms: Does your higher-priced rooms (e.g., suites or rooms with premium views) justify the extra costin terms of guest appeal and comfort?
- Value Clarity: Is the value difference between room categories clear to the guest, making it easy for them to understand why the upgrade is worth the added investment?
The best upsell is the one that makes sense for your operation
When it comes to holiday upselling, there’s no one-size-fits-all strategy. The key to success lies in identifying the offers that align with your hotel’s communication, guest profiles, and available resources. The best upsell is the one that makes sense for your specific situation, one that can be executed smoothly and brings value to both your guests and your business.
A well-planned holiday upsell benefits everyone: guests get added convenience and a more personalized experience, and your hotel enjoys increased revenue while building guest loyalty. When done thoughtfully, upselling during the holidays isn’t about pushing sales; it’s about enhancing the guest experience and creating memorable moments that make them want to return.
Start planning your upsell strategies now by evaluating your hotel’s internal structure and guest needs. Make sure your offerings align with what your guests want and what your hotel can deliver seamlessly.
To create lasting guest loyalty, it’s essential to focus on their overall experience, both during the holidays and throughout the year. Learn how the guest experience impacts loyalty and how to leverage it for successful upselling.