Best Rate Guarantee Explained for Hotels: Attract Guests and Boost Revenue
In the competitive world of hospitality, attracting guests and maximizing revenue are top priorities for hotels. A key strategy to achieve this is by offering a best rate guarantee (BRG). Also sometimes referred to as a low rate guarantee or price match, a BRG is a promise made by a hotel to guests that they will receive the lowest available rate for their stay. This can be a powerful tool for hotels to build trust with potential guests and encourage direct bookings.
Why is Offering a Best Rate Guarantee Important?
A recent study by Hospitality Net [invalid URL removed] found that 62% of travelers actively search for the best available rate before booking a hotel. By offering a BRG, hotels can:
Increase direct bookings: When travelers know they're getting the best possible rate by booking directly with the hotel, they're more likely to bypass online travel agencies (OTAs) and book on the hotel website. This translates to higher revenue for the hotel as they avoid OTA commission fees.
Enhance guest trust: A BRG demonstrates transparency and builds trust with potential guests, making them feel confident that they're getting the best value for their money.
Stand out from competitors: In a crowded marketplace, a BRG can be a clear differentiator, attracting price-conscious travelers who prioritize value.
How Does Best Rate Guarantee Work in Hotels?
The specifics of a BRG program can vary between hotels, but the general principle is the same:
The Hotel Makes the Guarantee: The hotel publicly states that they will offer the lowest available rate for a specific room type and date.
Guest Books Directly: The guest books their stay directly through the hotel website or by phone.
Guest Finds a Lower Rate: After booking, if the guest finds a lower publicly available rate on another reputable booking platform for the same room type and date, they can submit a claim to the hotel.
Hotel Verifies and Adjusts: The hotel verifies the lower rate and, if legitimate, will typically match the rate and may even offer an additional incentive, such as a discount or room upgrade.
Here are some key things to consider when implementing a BRG program:
Clearly define the terms and conditions: Outline what constitutes a valid lower rate and how guests can submit claims. Be transparent and easy to understand.
Set reasonable exclusions: Some hotels may exclude non-refundable rates or special promotions from the BRG program.
Promote your BRG program: Make sure guests are aware of your BRG by prominently displaying it on your website and marketing materials.
Best Rate Guarantee Best Practices
Automate the Process: Consider using hotel revenue management software Canary Technologies to automate the BRG claims process. This can save time and ensure a smooth guest experience.
Monitor Competitor Rates: Regularly monitor competitor rates to ensure you're offering the best possible price. Canary Technologies' solutions provide real-time competitor rate intelligence, allowing you to stay ahead of the curve.
Leverage Guest Reviews: Positive guest reviews about your BRG program can build trust and encourage more bookings. Canary Technologies helps turn satisfied direct booking guests into loyal fans through targeted marketing efforts Canary Technologies.
What Else is it Called Other Than a Best Rate Guarantee?
While "best rate guarantee" is the most common term, you may also see it referred to as:
Low Rate Guarantee
Price Match
Examples of Hotels with Best Rate Guarantee
Many major hotel chains and independent properties offer BRG programs. Here are a few examples:
By implementing a well-structured BRG program and utilizing the right technology solutions like Canary Technologies, hotels can attract more guests, increase revenue, and build stronger customer relationships.
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