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Old Apr 30, 2024 | 2:55 am
  #132  
Akoz
All eyes on you!
5 Years on Site
 
Join Date: Feb 2018
Programs: Mucci, BAC Bronze, IHG Platinum Elite
Posts: 1,160
Personally I have only ever seen 1 full lounge in the last 6 years, and don't see that as too much of an issue. Additionally, qualifying nights are booked directly and so more money is generated than a TA booking.

IMO - Clearly there is 4 arguments here.

1. How much draw does getting to 40 nights create? I imagine that the vast majority of members don't get anywhere near 40 nights. But this milestone which if it looks achievable, presumably benefits the whole IHG portfolio with increased sales.

2. Once a lounge pass is issued. How many additional nights are purchased and how many of them are at properties with lounges? I would again assume that this then increases sales specifically to properties with lounges, sales which may have otherwise gone elsewhere.

3. How many people that buy lounge access as part of a stay, actively stop buying higher level rooms once a lounge pass is achieved? Is this not a bit like airlines business class travellers who achieve high status which grant lounge access but continue to buy business class which gives them access anyway? I would have thought that most high value/ corporate clients would continue to buy better rooms/suites even after statue is achieved.

4. How much does it really cost a property to service a lounge pass or is it just sour grapes about a reduction in a revenue stream and/or helping to drive wider IHG sales? (How much do IHG, if at all, provide to cover the cost of use of a lounge pass to the property?)

This then gets balanced and the pros/cons are weight up, that what IHG are there for and it is their responsibility to persuade the properties how and why. But I would imagine that pushing the 40 night so far that in may seem unachievable would disenfranchise many lower member which would have a detrimental effect on sales over all, yet have little to no effect on the majority of high value members that generally achieve access and so change very little in terms of number in/cost of a lounge.

Last edited by Akoz; Apr 30, 2024 at 5:12 am
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