Hotel Operations

What is Hotel Upselling: A Complete Guide for Hoteliers in 2025

Hotel upselling is the process of offering guests more services or products during or after booking.

7/4/2025
In This Article:
Subscribe to our newsletter
Read about our privacy policy.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Hotel Operations

What is Hotel Upselling: A Complete Guide for Hoteliers in 2025

Hotel upselling is the process of offering guests more services or products during or after booking.

7/4/2025

Emma shows up at your hotel after a 12-hour flight. She reserved a standard room for her business visit. But at check-in, your front desk agent tells her about a quiet executive floor and also offers an upgrade to free WiFi for $35 more.

Emma says yes instantly. Why? The update answers her current call for work and relaxation.

Now, that one simple interaction has increased your income by 30% as well as making Emma’s day. That's hotel upselling working perfectly.

The bottom line: Hotel upselling is not about pushing extras – it’s about improving the guests experience while organically driving revenue. According to a study, upselling can increase revenue by 43%, which results in increased customer retention. A

What is hotel upselling? 

Hotel upselling is the strategy used in the hospitality industry to include better room grades or other updates by the hotel chain or brand than the hotel guest originally reserved; it is also the process of offering free or additional products or services to bring patrons to book directly with a hotel chain or brand, not with an online travel agency.

And the word here is “enhanced.” You're not selling random extras. You’re delivering real-value enhancements your guests want and appreciate.

“Hotel upselling is a technique to sell a higher quality of what the customer booked or additional complementary services that can enhance the guest experience.”

Example: Somebody staying in a standard room. You have an ocean-view room available for an additional $40. That's upselling.

“In the competitive hospitality industry, hotels must continuously explore innovative ways to generate additional income from their guests. By thinking outside the box and offering unique experiences and services, hotels can not only boost revenue but also enhance the overall guest experience,” said Barry Clemens. “Whether it's catering to remote workers, pet lovers, or art enthusiasts, hotels that embrace these unconventional opportunities will stand out and thrive in the ever-evolving market.”

The upselling process can be offered during the reservation process, before and at check-in, or throughout the guest's stay. This effective sales strategy benefits guests as well as the hotel. As per HubSpot, 88% of surveyed salespeople try to upsell their customers. About 49% of that group say that understanding customers’ needs and goals is a key strategy

Core components of hotel upselling

The upselling process in hotels is based on three essentials:

1. Room enhancements

  • Upgraded room categories
  • Better views or locations
  • Additional amenities or space

2. Service add-ons

  • Early check-in or late checkout
  • Spa treatments and wellness services
  • Dining experiences and packages

3. Convenience upgrades

  • Valet parking instead of self-parking
  • Airport transfers and transportation
  • Priority services and concierge access

Also read: Hotel upselling strategies that drive hotel revenue in 2025

Hotel marketing 101 - hotel upsell vs hotel cross sell vs hotel downsell

Knowing these distinctions allows us to choose the right toolbox:

1. Hotel upselling

Translation: Selling an enhanced version if the same thing Example: Regular room → Suite upgrade Result: Higher level within that category

2. Hotel cross-selling

Definition: Up-selling other services onto the initial product purchase Example: Room booking + spa package Goal: Many ways to make money

3. Hotel down-selling

See Definition Offering lesser upgrade when premium is not paid $100 suite decline → $30 balcony room Example: vs. noneGoal: Some increased revenue vs. None

Why hotel upselling matters more now than ever

“It is truly the end of the hospitality business as you know it. Here’s why upselling is more crucial than ever:

Financial reality check

Revenue impact:

  • Restaurants at hotels good at upselling see a 43% revenue lift
  • Upsell is 68% cheaper than acquisition
  • 88% of best-performing hotels upsell guests intentionally

Guest spending patterns:

  • 60% of can make purchases if the offers are matched to their preferences
  • Involved guests spend 46% more per year
  • Post-pandemic travelers prioritize enhanced experiences

Competitive advantage

  • Market differentiation: Upselling allows you to distinguish yourself by providing tailored experiences your competitors can’t replicate.
  • Winning guest loyalty: When executed properly, upselling improves satisfaction scores and return visitations.
  • Income predictability: Lower reliance on occupancy percentage leads to more predictable income.

Types of hotel upselling opportunities

Types of hotel upselling opportunities

Knowing what you can upsell is the key to finding revenue opportunities:

Room category upgrades

Most popular options:

  • Standard to deluxe rooms
  • City view to ocean view
  • Regular room to suite
  • Lower floor to higher floor

Success factors:

  • Clear value difference
  • Reasonable price increment
  • Immediate benefit to guest

Amenity and service upgrades

High-conversion services:

  • An early check-in (weary travelers will really appreciate this)
  • Late checkout (extends vacation feeling)
  • Room service and dining upgrades
  • Spa and wellness services

Package opportunities:

  • Romance packages for couples
  • Business packages for corporate travelers
  • Family packages for leisure guests

Location and view upgrades

Premium positioning:

  • Oceanfront vs. garden view
  • Higher floors vs. standard floors
  • Quiet areas vs. busy locations
  • Corner rooms vs. standard rooms

Value proposition: Emphasize the experience, not just the location.

The psychology of hotel upselling

Knowing how guests think makes upselling effective:

1. Emotional triggers

  • Travel excitement: Guests are already in travel mindset to spend on their trip experience.
  • Convenience factor: People pay premium for things that save time and eliminate hassle for them.
  • Special occasion mindset: Most trips are celebrations, or for a special occasion.

2. Decision-making patterns

  • The goldilocks effect: By providing three options, the middle guy seems the most reasonable.
  • Peer pressure factor: "90% of customers your age prefer..." reduces decision anxiety.
  • Sense of urgency with no pressure: “Tonight only” gets people moving without being a jerk about it.

3. Guest segmentation psychology

  • Business travelers: Prioritize efficiency, productivity, and convenience to luxury.
  • Leisure arrives yourself: Look for experiences, relaxation and memories.
  • Special occasion travelers: People want everything perfect and they pay for it.

What should you upsell at your hotel? 

Upselling is considered an effective approach in the hotel industry to boost revenue and enhance guest satisfaction. Hotels that aim to provide an exceptional guest experience implement proven hotel upselling techniques that are divided into three parts, i.e., pre-arrival, during stay, and post-stay. Upselling products and services differ based on guest preferences and property types. Popular examples of upselling in the hospitality industry can be categorized as per the following phases of the guest journey:

1. Pre-arrival

Pre arrival upselling

The excitement of guests is at its peak and they are eagerly looking forward to their upcoming stay. Hoteliers can make use of emails and messages to offer exciting upselling activities and other personalized services.

  • Early check-in and late check-out
  • Room upgrades
  • Pickup services
  • Pet fees
  • Spa and wellness services
  • Breakfast buffet 

2. During stay

In stay upselling

With effective upselling strategies, hotels can tempt guests with exclusive dining experiences or thrilling off-site excursions. The magic of upselling can be leveraged during the stay to offer products and services outside the property.

  • Attractions and event tickets
  • Club facilities
  • Private dining room
  • Extended stays
  • Renting a bike/ car
  • Spa and wellness services

3. Post stay

Post stay upselling

While checking out, hotels can go the extra mile to impress guests with quality feedback. By offering them a cab hiring service to the airport or a selection of unique souvenirs, hotels can not only ensure that guests leave with a smile on their faces but also earn high ratings.

  • Airport/city transport and transfers
  • Discount vouchers for local businesses
  • Luggage room

Common hotel upselling challenges

Viewing those challenges makes it possible to avoid them:

Guest resistance

Why guests say no:

  • Feels like pressure tactics
  • Don't see clear value
  • Budget concerns
  • Poor timing

Solutions:

  • Focus on guest benefits first
  • Explain value clearly
  • Offer multiple price points
  • Choose timing carefully

Staff discomfort

Why staff avoid upselling:

  • Fear of seeming pushy
  • Lack of product knowledge
  • No incentive structure
  • Poor training

Solutions:

  • Frame as guest service
  • Provide comprehensive training
  • Create incentive programs
  • Share success stories

Operational challenges

Common issues:

  • Inconsistent availability
  • Pricing confusion
  • System integration problems
  • Poor follow-through

Solutions:

  • Real-time inventory systems
  • Clear pricing guidelines
  • Technology integration
  • Service delivery standards

Industry trends shaping hotel upselling

Keep informed on the new trends with:

Experience-focused hotel upselling

New emergency button: New digital distress signals for safety threats including terrorism, stolen property and wrong hotel rooms. Shift from Products to Experiences: Modern travelers are seeking memorable experiences, not just larger rooms.

Examples:

  • Local cultural experiences
  • Wellness and mindfulness programs
  • Adventure and exploration packages
  • Learning and skill development opportunities

Sustainability upselling

Eco-conscious options:

  • Carbon offset programs
  • Local impact experiences
  • Sustainable luxury packages
  • Wellness and nature connections

Guest appeal: 47% of Gen Z travelers are concerned about their environmental impact.

Technology-enhanced experiences

Digital integration:

  • Voice-activated room controls
  • Virtual reality previews
  • Mobile app convenience
  • AI-powered recommendations

Convenience premium: Visitors are willing to pay a premium for seamless, high-tech experiences.

Wellness and health focus

Post-pandemic priorities:

  • Mental health and relaxation
  • Physical wellness programs
  • Healthy dining options
  • Safe and clean environments

Revenue opportunity: Demand for wellness services means premium pricing and satisfied guests.

Upselling across property types

upselling across property type

Statistics prove that more than 80% of senior executives consider upselling vital for their business. To extract the most out of the process, executives are suggested to follow a 4-step process for upselling.

Step 1: Facilitate the original purchase
  • The initial step in upselling additional services to guests is to ensure that they are satisfied with their first interaction ie booking experience. With exceptional customer service and satisfaction, hoteliers can gain customer loyalty. A strong foundation further helps to make higher sales and boost revenue.
Step 2: Explain the add-on
  • Once you are through with the initial purchase, guests will be more open to add-ons and upsell options. By now, they understand that the additional amenities will upgrade their stay and overall experience. Communicating the benefits and values of the add-on will help them understand how it will meet their needs. Guestara’s add-on feature will help you suggest common combinations to your guests. 
Step 3: Share the benefits
  • For effective results, it is necessary to emphasize the benefits of the add-on. Tools such as Guestara will help you understand guest preferences and requirements. On the basis of the suggestions, personalized add-ons can be offered for better conversation rates.
Step 4: Close and fulfill
  • The last and final step of the process is to close the sale. This involves resolving customer queries without any hesitation. Your reassurance will help them understand the value of the add-on. 
  • While the sales process for upselling in a hotel remains the same for every situation, the offerings can alter as per the property type. 

Boutique hotels

A boutique hotel might not be able to offer premium options but it can offer its guests many upselling options. Boutique hotel owners are advised to take help from local bakeries and stores to come up with delightful add-ons:

  • Room upgrades (a room with a view or balcony with a 30% extra fee), 
  • Breakfast buffets 
  • Meal options
  • Early check-in 
  • Late check-out
  • Pickups & Drops
  • Room decor with balloons, bouquets, roses, or rose petals 
  • Local experiences 

Hotels

While the classic example of upselling rooms in hotels remains a primary mode to increase sales, you may stand out from others in the industry with the following options:

  • Room upgrade packages
  • Early check-in
  • Late checkout
  • Parking (if on-site parking is available)
  • Discount vouchers for local businesses
  • Daily housekeeping services 
  • Food and beverage services (even without a restaurant)
  • Pet fees

Guest houses

A guest house should be ready with basic as well as travel-friendly upsell options. As you can expect travelers on a budget, below are some examples of guest house upselling activities:

  • Car hire
  • Early check-in
  • Late check-out
  • Breakfast buffet
  • Meal options
  • Group tours
  • Weekend events
  • Express laundry services

Resorts

On the other hand, resorts can consider selling unique experiences. A resort has ample space and resources to offer various services to guests such as the following:

  • Theme nights
  • Chef tastings
  • Special F&B packages
  • On-site and off-site activities 
  • Promoting local products 
  • Banquet deals
  • City tours

Best time to upsell to hotel guests

Hotels are always looking to offer their guests the best services in the most effective way. While it has been seen that social media marketing plays a significant role in promotional activities, many believe that hotel room upselling tactics and other sales strategies are best performed by the front office assistant

Why the Front Office Assistant?

Hotel front desk

Hotels have noticed that the front office assistant is the ideal person to promote upselling tactics. The reason is that he or she is the first point of contact for the guests. This gives the front desk team the benefit of understanding their interests and preferences and suggesting the best activities and services. Moreover, guests are more likely to sign up for basic amenities and inquire about cab or tourist activities during check-in. For a more detailed explanation, upselling is divided into three phases of the guest journey.

1. Pre-Arrival: 

The pre-arrival phase is the best opportunity to make the most of the upselling in hotels. With pre-arrival stays, WhatsApp messages, and other online platforms, hotels can upsell room upgrades, F&B packages, and event passes. The best window is 3-4 days prior to the check-in date.

2. Check-In:

This is the best time for the hotel staff to execute upselling techniques. The front desk assistant is encouraged to introduce the premium amenities offered by the hotel and explain their benefits to the guests. 

3. During the Stay:

If you haven’t sold any upsell yet, don’t be disappointed, as you still have a chance. During the stay, the housekeeping staff can drop in tempting offers or call the guests to understand how else they can help them have a satisfactory stay. 

Now, you must be wondering how to keep up with so many activities. You can consider installing an hotel upselling software tool to fulfill your requirements.

Building an upselling culture

Successful upselling requires organizational commitment:

Leadership support

Management role:

  • Set clear upselling goals
  • Provide necessary resources
  • Celebrate successes
  • Address obstacles

Culture integration: Integrate upselling into your overall service ethos, not just a profit play.

Staff training and development

Core training elements:

  • Product knowledge and benefits
  • Guest psychology and communication
  • Objection handling techniques
  • Service delivery excellence

Continuing progress: Refreshing courses and new technique seminars.

Incentive systems

Effective approaches:

  • Individual performance bonuses
  • Team achievement rewards
  • Recognition programs
  • Career advancement opportunities

Consider balance: Pay on both Revenue Generated as well as Guest Satisfaction KPIs.

Communication standards

  • Unified message: Staff should present upsells with a shared, guest-centric vocabulary.
  • Brand alignment: The language of upselling should reflect your hotel’s personality and values.

Common upselling mistakes to avoid

Learn from these frequent pitfalls:

Timing errors

Wrong moments:

  • At check-out when guests are in a hurry
  • Immediately upon arrival before greeting
  • When guests are troubleshooting
  • During busy or stressful situations

Correct solution: Opportunities should be used with appropriate guests.

One-size-fits-all offers

Generic problems:

  • Equal Promotion for all guest types
  • Ignoring trip purpose and demographics
  • Not considering previous stay history
  • Missing special occasion opportunities

Personalization solution: Personalize offers based on guest data and insights.

Overly aggressive tactics

Pushy behaviors:

  • Multiple offers after initial rejection
  • Pressure language and urgency manipulation
  • Concentration on benefits to the hotel vs. benefits to the guest
  • Ignoring guest budget signals

Guest-first strategy: Prioritize the solution of guest problems over meeting sales-volume goals.

Poor follow-through

Service failures:

  • Promised upgrades not delivered
  • Service quality below expectations
  • Billing errors and confusion
  • no credit for upsell purchases

Standard of excellence: Execute upsold services without a hitch to build trust.

Measuring upselling ROI

Here’s how to calculate your real return on your upselling investment:

Revenue calculation

Direct revenue:

  • Total upselling sales
  • Average transaction value
  • Conversion rate percentages
  • Revenue per guest increase

Indirect benefits:

  • Higher guest satisfaction scores
  • Increased repeat bookings
  • Better online reviews
  • Reduced acquisition costs

Cost considerations

Program expenses:

  • Technology and software costs
  • Staff training and development
  • Marketing and communication
  • Incentive and reward programs

ROI formula: (Upselling Revenue - Program Costs) ÷ Program Costs × 100 = ROI% 10 out of 10-min read What is ROI Upselling?

Performance benchmarks

Good performance:

  • 15-25% conversion rate
  • $30-60 average upsell value
  • 85%+ guest satisfaction with upsells

Excellent performance:

  • 30%+ conversion rate
  • $75+ average upsell value
  • 95%+ satisfaction with personalized offers

Getting started with hotel upselling

Ready to begin? Follow this action plan:

Week 1: assessment and planning

Current state analysis:

  • Review existing upselling efforts
  • Identify available inventory for upsells
  • Evaluate staff familiarity and comfort with use
  • Analyze guest data and preferences

Goal setting:

  • Define revenue targets
  • Set conversion rate goals
  • Establish guest satisfaction benchmarks
  • Create timeline for implementation

Week 2-3: training and preparation

Staff development:

  • Product knowledge training
  • Communication skills workshop
  • Role-playing practice sessions
  • System and process training

System setup:

  • Technology configuration
  • Pricing and package creation
  • Communication template development
  • Tracking and reporting setup

Week 4+: Implementation and optimization

Launch strategy:

  • Start with high-confidence offers
  • Monitor results closely
  • Gather guest feedback
  • Adjust based on performance

Continuous improvement:

  • Weekly performance reviews
  • Monthly strategy adjustments
  • Quarterly comprehensive analysis
  • Annual program overhaul

Conclusion: the future is experience-driven

Hotel upselling in 2025 doesn’t mean selling more stuff to your guests. It means creating extraordinary experiences your guests are eager to invest in. Luckily, the most successful hotels have already figured out this fundamental transformation. They use upselling to elevate guest journeys, solve actual issues, and craft beautiful memories. Here’s how to win the game

 Your winning formula: 

  1. Know your guests – learn their preferences and needs using data; 
  2. Train your team – enable them to serve, not sell;
  3. Use technology reasonably – let it automate what can be automated and personalize the rest; 
  4. Measure what matters – follow the revenue and your guests’ satisfaction;
  5. Improve continuously – adjust to the guests’ feedback and the market realities.

 Your next step: choose one high-value opportunity and master it; don’t focus on expanding but on building confidence with victories

 Remember: every upsell is your chance to outdo the guest’s expectations. Revenue will come when it’s not a goal but a side effect of creating dead value. The question isn’t: “Does hotel upselling work?” The question is whether you are prepared to totally switch from selling more to serving exceptional. Your guests have long been waiting. They expect you to offer something they won’t know they want but can’t imagine their stay without. Do you want not to let them down? Then it’s time to revamp your hotel’s upselling strategy radically. Guestara can change the odds. Contact us to learn, how!

Akshay Dekate
Chief of Experience @ Guestara
Looking for Guest Management guide in 2025?
Book a personalised demo now.
Book a demo ->
Subscribe to our newsletter
Read about our privacy policy.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Hotel Operations

What is Hotel Upselling: A Complete Guide for Hoteliers in 2025

Hotel upselling is the process of offering guests more services or products during or after booking.

7/4/2025

Emma shows up at your hotel after a 12-hour flight. She reserved a standard room for her business visit. But at check-in, your front desk agent tells her about a quiet executive floor and also offers an upgrade to free WiFi for $35 more.

Emma says yes instantly. Why? The update answers her current call for work and relaxation.

Now, that one simple interaction has increased your income by 30% as well as making Emma’s day. That's hotel upselling working perfectly.

The bottom line: Hotel upselling is not about pushing extras – it’s about improving the guests experience while organically driving revenue. According to a study, upselling can increase revenue by 43%, which results in increased customer retention. A

What is hotel upselling? 

Hotel upselling is the strategy used in the hospitality industry to include better room grades or other updates by the hotel chain or brand than the hotel guest originally reserved; it is also the process of offering free or additional products or services to bring patrons to book directly with a hotel chain or brand, not with an online travel agency.

And the word here is “enhanced.” You're not selling random extras. You’re delivering real-value enhancements your guests want and appreciate.

“Hotel upselling is a technique to sell a higher quality of what the customer booked or additional complementary services that can enhance the guest experience.”

Example: Somebody staying in a standard room. You have an ocean-view room available for an additional $40. That's upselling.

“In the competitive hospitality industry, hotels must continuously explore innovative ways to generate additional income from their guests. By thinking outside the box and offering unique experiences and services, hotels can not only boost revenue but also enhance the overall guest experience,” said Barry Clemens. “Whether it's catering to remote workers, pet lovers, or art enthusiasts, hotels that embrace these unconventional opportunities will stand out and thrive in the ever-evolving market.”

The upselling process can be offered during the reservation process, before and at check-in, or throughout the guest's stay. This effective sales strategy benefits guests as well as the hotel. As per HubSpot, 88% of surveyed salespeople try to upsell their customers. About 49% of that group say that understanding customers’ needs and goals is a key strategy

Core components of hotel upselling

The upselling process in hotels is based on three essentials:

1. Room enhancements

  • Upgraded room categories
  • Better views or locations
  • Additional amenities or space

2. Service add-ons

  • Early check-in or late checkout
  • Spa treatments and wellness services
  • Dining experiences and packages

3. Convenience upgrades

  • Valet parking instead of self-parking
  • Airport transfers and transportation
  • Priority services and concierge access

Also read: Hotel upselling strategies that drive hotel revenue in 2025

Hotel marketing 101 - hotel upsell vs hotel cross sell vs hotel downsell

Knowing these distinctions allows us to choose the right toolbox:

1. Hotel upselling

Translation: Selling an enhanced version if the same thing Example: Regular room → Suite upgrade Result: Higher level within that category

2. Hotel cross-selling

Definition: Up-selling other services onto the initial product purchase Example: Room booking + spa package Goal: Many ways to make money

3. Hotel down-selling

See Definition Offering lesser upgrade when premium is not paid $100 suite decline → $30 balcony room Example: vs. noneGoal: Some increased revenue vs. None

Why hotel upselling matters more now than ever

“It is truly the end of the hospitality business as you know it. Here’s why upselling is more crucial than ever:

Financial reality check

Revenue impact:

  • Restaurants at hotels good at upselling see a 43% revenue lift
  • Upsell is 68% cheaper than acquisition
  • 88% of best-performing hotels upsell guests intentionally

Guest spending patterns:

  • 60% of can make purchases if the offers are matched to their preferences
  • Involved guests spend 46% more per year
  • Post-pandemic travelers prioritize enhanced experiences

Competitive advantage

  • Market differentiation: Upselling allows you to distinguish yourself by providing tailored experiences your competitors can’t replicate.
  • Winning guest loyalty: When executed properly, upselling improves satisfaction scores and return visitations.
  • Income predictability: Lower reliance on occupancy percentage leads to more predictable income.

Types of hotel upselling opportunities

Types of hotel upselling opportunities

Knowing what you can upsell is the key to finding revenue opportunities:

Room category upgrades

Most popular options:

  • Standard to deluxe rooms
  • City view to ocean view
  • Regular room to suite
  • Lower floor to higher floor

Success factors:

  • Clear value difference
  • Reasonable price increment
  • Immediate benefit to guest

Amenity and service upgrades

High-conversion services:

  • An early check-in (weary travelers will really appreciate this)
  • Late checkout (extends vacation feeling)
  • Room service and dining upgrades
  • Spa and wellness services

Package opportunities:

  • Romance packages for couples
  • Business packages for corporate travelers
  • Family packages for leisure guests

Location and view upgrades

Premium positioning:

  • Oceanfront vs. garden view
  • Higher floors vs. standard floors
  • Quiet areas vs. busy locations
  • Corner rooms vs. standard rooms

Value proposition: Emphasize the experience, not just the location.

The psychology of hotel upselling

Knowing how guests think makes upselling effective:

1. Emotional triggers

  • Travel excitement: Guests are already in travel mindset to spend on their trip experience.
  • Convenience factor: People pay premium for things that save time and eliminate hassle for them.
  • Special occasion mindset: Most trips are celebrations, or for a special occasion.

2. Decision-making patterns

  • The goldilocks effect: By providing three options, the middle guy seems the most reasonable.
  • Peer pressure factor: "90% of customers your age prefer..." reduces decision anxiety.
  • Sense of urgency with no pressure: “Tonight only” gets people moving without being a jerk about it.

3. Guest segmentation psychology

  • Business travelers: Prioritize efficiency, productivity, and convenience to luxury.
  • Leisure arrives yourself: Look for experiences, relaxation and memories.
  • Special occasion travelers: People want everything perfect and they pay for it.

What should you upsell at your hotel? 

Upselling is considered an effective approach in the hotel industry to boost revenue and enhance guest satisfaction. Hotels that aim to provide an exceptional guest experience implement proven hotel upselling techniques that are divided into three parts, i.e., pre-arrival, during stay, and post-stay. Upselling products and services differ based on guest preferences and property types. Popular examples of upselling in the hospitality industry can be categorized as per the following phases of the guest journey:

1. Pre-arrival

Pre arrival upselling

The excitement of guests is at its peak and they are eagerly looking forward to their upcoming stay. Hoteliers can make use of emails and messages to offer exciting upselling activities and other personalized services.

  • Early check-in and late check-out
  • Room upgrades
  • Pickup services
  • Pet fees
  • Spa and wellness services
  • Breakfast buffet 

2. During stay

In stay upselling

With effective upselling strategies, hotels can tempt guests with exclusive dining experiences or thrilling off-site excursions. The magic of upselling can be leveraged during the stay to offer products and services outside the property.

  • Attractions and event tickets
  • Club facilities
  • Private dining room
  • Extended stays
  • Renting a bike/ car
  • Spa and wellness services

3. Post stay

Post stay upselling

While checking out, hotels can go the extra mile to impress guests with quality feedback. By offering them a cab hiring service to the airport or a selection of unique souvenirs, hotels can not only ensure that guests leave with a smile on their faces but also earn high ratings.

  • Airport/city transport and transfers
  • Discount vouchers for local businesses
  • Luggage room

Common hotel upselling challenges

Viewing those challenges makes it possible to avoid them:

Guest resistance

Why guests say no:

  • Feels like pressure tactics
  • Don't see clear value
  • Budget concerns
  • Poor timing

Solutions:

  • Focus on guest benefits first
  • Explain value clearly
  • Offer multiple price points
  • Choose timing carefully

Staff discomfort

Why staff avoid upselling:

  • Fear of seeming pushy
  • Lack of product knowledge
  • No incentive structure
  • Poor training

Solutions:

  • Frame as guest service
  • Provide comprehensive training
  • Create incentive programs
  • Share success stories

Operational challenges

Common issues:

  • Inconsistent availability
  • Pricing confusion
  • System integration problems
  • Poor follow-through

Solutions:

  • Real-time inventory systems
  • Clear pricing guidelines
  • Technology integration
  • Service delivery standards

Industry trends shaping hotel upselling

Keep informed on the new trends with:

Experience-focused hotel upselling

New emergency button: New digital distress signals for safety threats including terrorism, stolen property and wrong hotel rooms. Shift from Products to Experiences: Modern travelers are seeking memorable experiences, not just larger rooms.

Examples:

  • Local cultural experiences
  • Wellness and mindfulness programs
  • Adventure and exploration packages
  • Learning and skill development opportunities

Sustainability upselling

Eco-conscious options:

  • Carbon offset programs
  • Local impact experiences
  • Sustainable luxury packages
  • Wellness and nature connections

Guest appeal: 47% of Gen Z travelers are concerned about their environmental impact.

Technology-enhanced experiences

Digital integration:

  • Voice-activated room controls
  • Virtual reality previews
  • Mobile app convenience
  • AI-powered recommendations

Convenience premium: Visitors are willing to pay a premium for seamless, high-tech experiences.

Wellness and health focus

Post-pandemic priorities:

  • Mental health and relaxation
  • Physical wellness programs
  • Healthy dining options
  • Safe and clean environments

Revenue opportunity: Demand for wellness services means premium pricing and satisfied guests.

Upselling across property types

upselling across property type

Statistics prove that more than 80% of senior executives consider upselling vital for their business. To extract the most out of the process, executives are suggested to follow a 4-step process for upselling.

Step 1: Facilitate the original purchase
  • The initial step in upselling additional services to guests is to ensure that they are satisfied with their first interaction ie booking experience. With exceptional customer service and satisfaction, hoteliers can gain customer loyalty. A strong foundation further helps to make higher sales and boost revenue.
Step 2: Explain the add-on
  • Once you are through with the initial purchase, guests will be more open to add-ons and upsell options. By now, they understand that the additional amenities will upgrade their stay and overall experience. Communicating the benefits and values of the add-on will help them understand how it will meet their needs. Guestara’s add-on feature will help you suggest common combinations to your guests. 
Step 3: Share the benefits
  • For effective results, it is necessary to emphasize the benefits of the add-on. Tools such as Guestara will help you understand guest preferences and requirements. On the basis of the suggestions, personalized add-ons can be offered for better conversation rates.
Step 4: Close and fulfill
  • The last and final step of the process is to close the sale. This involves resolving customer queries without any hesitation. Your reassurance will help them understand the value of the add-on. 
  • While the sales process for upselling in a hotel remains the same for every situation, the offerings can alter as per the property type. 

Boutique hotels

A boutique hotel might not be able to offer premium options but it can offer its guests many upselling options. Boutique hotel owners are advised to take help from local bakeries and stores to come up with delightful add-ons:

  • Room upgrades (a room with a view or balcony with a 30% extra fee), 
  • Breakfast buffets 
  • Meal options
  • Early check-in 
  • Late check-out
  • Pickups & Drops
  • Room decor with balloons, bouquets, roses, or rose petals 
  • Local experiences 

Hotels

While the classic example of upselling rooms in hotels remains a primary mode to increase sales, you may stand out from others in the industry with the following options:

  • Room upgrade packages
  • Early check-in
  • Late checkout
  • Parking (if on-site parking is available)
  • Discount vouchers for local businesses
  • Daily housekeeping services 
  • Food and beverage services (even without a restaurant)
  • Pet fees

Guest houses

A guest house should be ready with basic as well as travel-friendly upsell options. As you can expect travelers on a budget, below are some examples of guest house upselling activities:

  • Car hire
  • Early check-in
  • Late check-out
  • Breakfast buffet
  • Meal options
  • Group tours
  • Weekend events
  • Express laundry services

Resorts

On the other hand, resorts can consider selling unique experiences. A resort has ample space and resources to offer various services to guests such as the following:

  • Theme nights
  • Chef tastings
  • Special F&B packages
  • On-site and off-site activities 
  • Promoting local products 
  • Banquet deals
  • City tours

Best time to upsell to hotel guests

Hotels are always looking to offer their guests the best services in the most effective way. While it has been seen that social media marketing plays a significant role in promotional activities, many believe that hotel room upselling tactics and other sales strategies are best performed by the front office assistant

Why the Front Office Assistant?

Hotel front desk

Hotels have noticed that the front office assistant is the ideal person to promote upselling tactics. The reason is that he or she is the first point of contact for the guests. This gives the front desk team the benefit of understanding their interests and preferences and suggesting the best activities and services. Moreover, guests are more likely to sign up for basic amenities and inquire about cab or tourist activities during check-in. For a more detailed explanation, upselling is divided into three phases of the guest journey.

1. Pre-Arrival: 

The pre-arrival phase is the best opportunity to make the most of the upselling in hotels. With pre-arrival stays, WhatsApp messages, and other online platforms, hotels can upsell room upgrades, F&B packages, and event passes. The best window is 3-4 days prior to the check-in date.

2. Check-In:

This is the best time for the hotel staff to execute upselling techniques. The front desk assistant is encouraged to introduce the premium amenities offered by the hotel and explain their benefits to the guests. 

3. During the Stay:

If you haven’t sold any upsell yet, don’t be disappointed, as you still have a chance. During the stay, the housekeeping staff can drop in tempting offers or call the guests to understand how else they can help them have a satisfactory stay. 

Now, you must be wondering how to keep up with so many activities. You can consider installing an hotel upselling software tool to fulfill your requirements.

Building an upselling culture

Successful upselling requires organizational commitment:

Leadership support

Management role:

  • Set clear upselling goals
  • Provide necessary resources
  • Celebrate successes
  • Address obstacles

Culture integration: Integrate upselling into your overall service ethos, not just a profit play.

Staff training and development

Core training elements:

  • Product knowledge and benefits
  • Guest psychology and communication
  • Objection handling techniques
  • Service delivery excellence

Continuing progress: Refreshing courses and new technique seminars.

Incentive systems

Effective approaches:

  • Individual performance bonuses
  • Team achievement rewards
  • Recognition programs
  • Career advancement opportunities

Consider balance: Pay on both Revenue Generated as well as Guest Satisfaction KPIs.

Communication standards

  • Unified message: Staff should present upsells with a shared, guest-centric vocabulary.
  • Brand alignment: The language of upselling should reflect your hotel’s personality and values.

Common upselling mistakes to avoid

Learn from these frequent pitfalls:

Timing errors

Wrong moments:

  • At check-out when guests are in a hurry
  • Immediately upon arrival before greeting
  • When guests are troubleshooting
  • During busy or stressful situations

Correct solution: Opportunities should be used with appropriate guests.

One-size-fits-all offers

Generic problems:

  • Equal Promotion for all guest types
  • Ignoring trip purpose and demographics
  • Not considering previous stay history
  • Missing special occasion opportunities

Personalization solution: Personalize offers based on guest data and insights.

Overly aggressive tactics

Pushy behaviors:

  • Multiple offers after initial rejection
  • Pressure language and urgency manipulation
  • Concentration on benefits to the hotel vs. benefits to the guest
  • Ignoring guest budget signals

Guest-first strategy: Prioritize the solution of guest problems over meeting sales-volume goals.

Poor follow-through

Service failures:

  • Promised upgrades not delivered
  • Service quality below expectations
  • Billing errors and confusion
  • no credit for upsell purchases

Standard of excellence: Execute upsold services without a hitch to build trust.

Measuring upselling ROI

Here’s how to calculate your real return on your upselling investment:

Revenue calculation

Direct revenue:

  • Total upselling sales
  • Average transaction value
  • Conversion rate percentages
  • Revenue per guest increase

Indirect benefits:

  • Higher guest satisfaction scores
  • Increased repeat bookings
  • Better online reviews
  • Reduced acquisition costs

Cost considerations

Program expenses:

  • Technology and software costs
  • Staff training and development
  • Marketing and communication
  • Incentive and reward programs

ROI formula: (Upselling Revenue - Program Costs) ÷ Program Costs × 100 = ROI% 10 out of 10-min read What is ROI Upselling?

Performance benchmarks

Good performance:

  • 15-25% conversion rate
  • $30-60 average upsell value
  • 85%+ guest satisfaction with upsells

Excellent performance:

  • 30%+ conversion rate
  • $75+ average upsell value
  • 95%+ satisfaction with personalized offers

Getting started with hotel upselling

Ready to begin? Follow this action plan:

Week 1: assessment and planning

Current state analysis:

  • Review existing upselling efforts
  • Identify available inventory for upsells
  • Evaluate staff familiarity and comfort with use
  • Analyze guest data and preferences

Goal setting:

  • Define revenue targets
  • Set conversion rate goals
  • Establish guest satisfaction benchmarks
  • Create timeline for implementation

Week 2-3: training and preparation

Staff development:

  • Product knowledge training
  • Communication skills workshop
  • Role-playing practice sessions
  • System and process training

System setup:

  • Technology configuration
  • Pricing and package creation
  • Communication template development
  • Tracking and reporting setup

Week 4+: Implementation and optimization

Launch strategy:

  • Start with high-confidence offers
  • Monitor results closely
  • Gather guest feedback
  • Adjust based on performance

Continuous improvement:

  • Weekly performance reviews
  • Monthly strategy adjustments
  • Quarterly comprehensive analysis
  • Annual program overhaul

Conclusion: the future is experience-driven

Hotel upselling in 2025 doesn’t mean selling more stuff to your guests. It means creating extraordinary experiences your guests are eager to invest in. Luckily, the most successful hotels have already figured out this fundamental transformation. They use upselling to elevate guest journeys, solve actual issues, and craft beautiful memories. Here’s how to win the game

 Your winning formula: 

  1. Know your guests – learn their preferences and needs using data; 
  2. Train your team – enable them to serve, not sell;
  3. Use technology reasonably – let it automate what can be automated and personalize the rest; 
  4. Measure what matters – follow the revenue and your guests’ satisfaction;
  5. Improve continuously – adjust to the guests’ feedback and the market realities.

 Your next step: choose one high-value opportunity and master it; don’t focus on expanding but on building confidence with victories

 Remember: every upsell is your chance to outdo the guest’s expectations. Revenue will come when it’s not a goal but a side effect of creating dead value. The question isn’t: “Does hotel upselling work?” The question is whether you are prepared to totally switch from selling more to serving exceptional. Your guests have long been waiting. They expect you to offer something they won’t know they want but can’t imagine their stay without. Do you want not to let them down? Then it’s time to revamp your hotel’s upselling strategy radically. Guestara can change the odds. Contact us to learn, how!

Akshay Dekate
Chief of Experience @ Guestara
Subscribe to our newsletter
Read about our privacy policy.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Your hospitality tech stack’s best friend

We work closely with the industry leaders to offer seamless solutions

Guestara is already easy to use.
But we’re still here for you

We’re here to help your whole team stay ahead of the curve as you grow.

heart handshake icon
Onboarding Services

Get up and running quickly with a personalized onboarding plan

customer support icon
24/7 Support

Connect with real people who really get it, 24/7

book icon
Guides and Templates

Checkout our vast library of fee resources, templates and more

See Guestara in action now.

There's only so much we can say — so let us show you! Schedule a demo today and reach your business goals.