June 11, 2014
Boo the dog at Trump Hotel Las Vegas
Millennials are more likely than other age groups to seek out hotels with luxury services, according to a survey by Chase Card Services.
Thirty-two percent of millennials said that dry cleaning is a key consideration when searching for accommodation, 30 percent cited massage or spa services and 23 percent look for pet-friendliness. While luxury hotels provide or can easily arrange to meet these demands, knowing the hierarchy of preferences can allow for more tailored experiences.
"The survey findings illustrate how this new generation of travelers make decisions about where to stay," said Sisy Vicente, general manager, Chase Card Services, Marlton, NJ.
The United States phone survey commissioned by Chase Card Services reached 1,002 travelers between 18-67 years old who stay in a hotel at least five nights per year for business, pleasure or both.
Streamlined status
Millennials exhibit research patterns and travel preferences that diverge from older consumers, according to the report. The survey found that millennials are more image-conscious and more attuned to digital research.
Seventy-two percent of older travelers ages 50-67 responded that staying within a budget best describes their hotel preferences, while 48 percent of millennials said that indulging in luxuries best describes their preferences.
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Younger travelers are also more likely to seek out advice on social media than older travelers, with 44 percent of millennials doing so versus 11 percent of respondents ages 50-67. Fifty-seven percent of millennials responded that they want to meet other people staying at their hotels.
Elite status appeals to millennials at a higher rate than the older age groups surveyed. Eighteen percent of millennials preferred elite status, compared to 6 percent of respondents ages 35-49 and 4 percent of respondents ages 50-67.
Keeping up
Other reports have shed light on the diverging consumption patterns of millennials.
For example, the Luxury Institute found that millennials scrutinize investment value and heritage of purchases more than Generation X’ers and Baby Boomers.
The study also found that millennials regularly search for one-of-a-kind items as a way to signal status. While brands often treat “showrooming” as a threat to brand integrity, the research that accompanies the trend indicates that improved customer service and responsive multichannel efforts can turn the phenomenon into a benefit and a source for more revenue (see story).
Meanwhile, luxury hotel brands are feeding the insatiable consumer desire for travel research with a number of digital tactics.
While consumer reviews on travel Web sites and word of mouth still hold sway over many travel decisions, hotels are becoming increasingly transparent to reel in the consumers busily browsing for their next trip. Microsites, mobile applications, social media feeds and content hubs are employing enhanced research tools to convince consumers to book (see story).
As hotels reshape their digital presence, they also have to learn how to customize for demographics and individuals. Combing past behaviors will help brands pinpoint patterns.
"[The report shows the] specific amenities and benefits [millennials] value," Mr. Vicente said.
Final Take
Joe McCarthy, editorial assistant on Luxury Daily, New York
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