According to Skift, 89% of luxury travelers are more likely to book a hotel they already know. Yet, most hotels still allocate their budgets to last-click performance marketing, which only captures travelers at the very end of their journey.
Here's the disconnect: While 81% of luxury travelers trust established travel media for recommendations and 75% use travel media to discover new experiences, nearly half of hotel executives still prioritize paid search as their most effective channel.
The math doesn't add up.
The Revenue Reality Check
Brand familiarity isn't just about awareness—it's about premium pricing. 86% of hotel executives acknowledge that brand perception directly correlates with higher average daily rates (ADR). When you build brand awareness, you're not just getting bookings. You're commanding higher prices for the same inventory.
The luxury booking cycle reveals the real story: 87% of hotel executives report a measurable time between their first brand interaction and booking, with over 75% stating that this timeframe is at least four weeks. Performance marketing that only targets ready-to-book travelers misses the majority of potential guests.
The Success Stories Speak Volumes
Hotels making the shift are seeing remarkable results. The Wall Street Hotel, a member of Preferred Hotels & Resorts, generated $3.65 million in verified revenue, achieving a 72:1 ROI, by investing in upper-funnel marketing through trusted travel media partnerships.
"Curacity continuously delivers results, month after month," says Harrison Lipner, the hotel's director of sales and marketing.
Are you ready to transform your marketing ROI?
Download our comprehensive guide "Budgeting for Upper-Funnel Marketing." Co-authored with Preferred Hotels & Resorts, we share insights and the exact budget allocation framework that's helping hotels capture high-value travelers and drive premium pricing.
