20 years of Global Hotel Alliance
Celebrating its 20th anniversary, Global Hotel Alliance (GHA) manages the complex task of satisfying the 40 independent and unique hotel brands that it represents, with its 800 hotels – not to mention 26 million loyalty program members who have generated $2.3 billion in revenue and 10 million room nights in 2023.
The challenge that all loyalty programs are facing is when to choose to revamp. Jelena Kezika, Senior Director Strategy of GHA, says this decision was made in 2019, and because GHA hotel brands are spread all over the world, those in the GHA team managing the loyalty program “literally went on a road trip”. The purpose of the trip was not just to inform members of what was going to happen with its multi-brand loyalty program, GHA DISCOVERY, but to get their feedback and ensure that what was being changed reflected the needs and preferences of the extensive membership.
Because the program re-launch was planned just as the Covid pandemic was gathering force, it wasn’t until December 2021 that the final stage of the revamp could happen, which came with the introduction of the first digital rewards currency, DISCOVERY Dollars (D$). This is a huge benefit because members earn D$ at any property in the GHA DISCOVERY collection for use on future stays. At check-out, D$ earned on previous stays can be used towards the hotel room, room upgrades, dining, spa treatments, or other extras. The percentage earned on eligible spend increases with membership tier status, starting at 4% and rising to 7%, less tax. In calculations, D$1 is worth one US dollar.
The GHA DISCOVERY loyalty program is quite traditional in that it is free to join the entry tier, and DISCOVERY Dollars can be transferred to friends and family or given to charity. They expire in 12 or 24 months, depending on the tier.
But the revamp was not the end of the story for GHA DISCOVERY. Quite recently GHA conducted another survey of its membership in order to “give the program a ‘health check’, exploring how members value its offering versus competitor programs and asking what further enhancements they would like to see, with variances by membership tier and across markets also identified”.
What this year’s survey found was revealing.
- Loyalty program is the third most important factor when choosing a hotel, after hotel quality and location.
- Hotel benefits are valued more than discounts or points.
- Room upgrades are considered most important hotel benefit.
- DISCOVERY Dollars (D$) as a rewards currency deemed more transparent and generous than traditional points.
- GHA DISCOVERY is perceived as a luxury program in the hotel loyalty space.
The survey, which is a regular undertaking, showed that 60% cared the most about perks and benefits of the program, 57% thought of the program portfolio scale, and 50% believed that ease of earning and spending loyalty currency was important.
The success of GHA is because it enables hotel brands to compete successfully with major global hotel brands, while maintaining their individuality. She explained: “GHA gives its hotel brands all the tools, including technology and marketing reach through GHA DISCOVERY – something what is difficult for mid-size hotel brands to achieve on their own”.
GHA DISCOVERY was launched in 2010, and with GHA and the hotels doing the promotion of the program to customers, it wasn’t long before the numbers started to look impressive. “It is in the interest of the hotels themselves to bring customers into the program, and they understand that,” Jelena said. “It is all about co-operation. The benefits are the same for every hotel.”
More recently GHA launched Green Collection, a carefully curated portfolio of over 220 hotels, resorts and palaces in the GHA DISCOVERY loyalty program that demonstrate commitment to protecting the planet and people. Green Collection is designed to help consumers to make sustainable choices when travelling but also to help hotels start or continue their sustainable journey by working together, sharing success stories and best practices, to expand the collective impact. Each Green Collection property is committed to creating a more sustainable future by attaining at least one certification from 18 globally recognised organisations such as EarthCheck, Green Growth 2050, Green Globe, Green Key, FuturePlus, and more.
In terms of growth, GHA is still looking for additions to its hotel portfolio, but they have to be the right kind of brands. “They have to fit in and have the right philosophy. We are strong in Asia, the Middle East and Europe. Now we would like some more brands in the Americas and Japan particularly.”
Another focus that is becoming increasingly essential to GHA is the importance of partners. Among the roster so far are recently launched partnerships with Regent Seven Seas Cruises and Plum Guide vacation homes, offering GHA DISCOVERY members 38,000 additional properties for stays around the globe.
“We are very careful about the partners we select, but there is no question they are very important to the GHA DISCOVERY program. It is about giving even more choice to members”.
