Is a Loyalty Program Right for the Hotel Industry in Indonesia?

December 31, 2025
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read 5 MIN READ

Editor: Amelia Qusnina - Editorial Teams from Stamps

loyalty program

The hotel industry is becoming more competitive every year. Today, a loyalty program is no longer just about collecting points. Hotels now use loyalty programs as a core marketing and customer relationship strategy—especially to increase direct bookings and reduce dependence on online travel agents (OTAs).

A Financial Times report shows that global hotel groups such as Marriott, Hilton, and Hyatt actively strengthen their loyalty programs to drive direct reservations and lower OTA commission costs, which can reach 15–25% per transaction (Financial Times, 2024).

Why Loyalty Programs Matter More Than Ever for Hotels

Hotels increasingly rely on loyalty programs because these programs help them:

  • Encourage guests to book directly through official channels
  • Collect first-party customer data
  • Increase retention and long-term customer value

For example, Marriott Bonvoy achieved double-digit membership growth over the past year. This growth proves that guests prefer brands that offer added value beyond room rates.

This shift makes one thing clear: hotels gain a major competitive advantage when they build direct relationships with guests.

How Loyalty Programs Fit the Indonesian Hotel Market

Indonesia’s hotel market closely follows global trends. Domestic tourism continues to grow, staycations remain popular, and independent hotels are expanding rapidly. As a result, hotels must focus more on retention, not just acquisition.

However, many local hotels still struggle with:

  • Heavy reliance on OTAs
  • Disconnected and underutilized customer data
  • Mass promotions that feel generic and impersonal

Case studies across Southeast Asia show that hotels that implement structured loyalty programs successfully increase repeat bookings and extend guest stays (Lodging Magazine, Revinate).

How Loyalty Programs Support Hotel Marketing

1. Increase Direct Bookings

Loyalty programs motivate guests to book directly by offering points, exclusive rewards, and member-only benefits. Hotels reduce commission costs while gaining full control over the guest journey.

2. Improve Customer Retention

Research consistently shows that loyal guests deliver higher lifetime value than new ones. Loyalty programs help hotels nurture these relationships and keep guests coming back (Revinate).

3. Drive Additional Revenue

Loyal members spend more on food and beverage, spa services, and local experiences. Hotels increase total revenue per guest by encouraging this behavior.

4. Enable Data-Driven Campaigns

Loyalty data allows hotels to launch relevant campaigns such as:

  • Birthday offers
  • Low-season promotions
  • Personalized recommendations based on stay history

These targeted campaigns outperform generic promotions (Lodging Magazine).

Key Loyalty Program Trends for Hotels

Hotels worldwide—and in Indonesia—actively adopt these loyalty trends:

  • Data-driven personalization, not generic discounts
  • Digital and mobile integration for seamless access
  • Flexible rewards, including experiences instead of points alone
  • Relationship-focused strategies, not purely transactional ones
     

Industry analysis shows that experience-focused loyalty programs drive higher engagement and retention (Revinate, Hospitality Industry Reports).

Loyalty Programs as a Strategic Marketing Tool

When hotels integrate loyalty programs with CRM systems, they can:

  • Automate campaigns based on guest behavior
  • Reduce customer acquisition costs
  • Increase repeat bookings consistently

Loyalty programs now connect marketing, operations, and guest experience into one unified strategy.

Stamps: A Loyalty Program Solution for Hotels

For hotels in Indonesia that want a practical and integrated loyalty solution, Stamps provides a CRM and loyalty platform built for modern hotel marketing.

With Stamps.id, hotels can:

  • Manage customer data and loyalty programs in one system
  • Segment guests based on behavior
  • Automate marketing campaigns and rewards
  • Track loyalty and campaign performance in real time
     

Hotels use this approach to increase sales while building long-term guest relationships. 

Global trends and local market conditions show that loyalty programs play a critical role in sustainable hotel growth. Hotels that build direct relationships, manage data effectively, and deliver relevant campaigns gain a lasting competitive edge.

With CRM and loyalty solutions from Stamps, hotels in Indonesia can increase direct bookings, strengthen customer retention, and run more effective, measurable marketing strategies.


 

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