Hotel Packages and Offers: How to Attract Guests and Increase Revenue

A lower room rate isn't the only way to attract more bookings. Sometimes guests are willing to pay more for a stay that includes services they would otherwise have to arrange separately.

A well-planned hotel packages strategy can help you make your offers more attractive, encourage bookings for quieter dates, and generate additional revenue from services beyond accommodation. The challenge is choosing services guests value and pricing the package so it remains profitable for the hotel.

What are hotel packages and offers?

A hotel package combines accommodation with additional services or benefits at a single price. These might include breakfast, spa treatments, parking, transfers, or activities. For example, instead of selling a room for €150 and breakfast for €20 separately, a hotel might offer a bed-and-breakfast package for €165.

Packages are different from other types of hotel offers:

• Promotion: A special offer that provides a discount or different booking conditions, such as 15% off selected stay dates.
• Add-on: An optional service guests can purchase separately, such as parking, airport transfer, or late checkout.

A package includes selected services in the booking price, while add-ons allow guests to choose and pay for individual extras.

Why offer hotel packages?

Packages can serve several commercial purposes. The right approach depends on what your hotel wants to achieve and what guests value.

Attract bookings during quieter periods

Packages can encourage guests to book dates with lower demand without relying on room discounts.

For example, a hotel with low weekend occupancy might offer a two-night package with breakfast and spa access. The included services can make the stay more attractive than a room-only offer.

Increase revenue beyond accommodation

Hotels often have opportunities to earn revenue from services guests purchase during their stay. Breakfast, dining, parking, spa treatments, transfers, and activities can all generate ancillary revenue.

Including these services in a package may encourage guests to purchase extras they wouldn't otherwise book. However, the additional revenue needs to cover the cost of providing them.

Give guests a reason to choose your hotel

Guests may value convenience and included services as much as a lower room rate. A package built around those preferences can make your hotel more attractive than a similar property offering accommodation alone.

Which hotel packages can you offer?

There is no single package that works for every property. The most suitable offers depend on your location, facilities, guest segments, and typical booking patterns.

Here are some common types of hotel package deals:

You don't need to offer every type of package. Start with a few that match your guests' needs and the services your hotel can provide. Review which offers attract bookings before adding more.

How to create a profitable hotel package

Creating a hotel package involves more than choosing a few additional services. You need to understand who the offer is for, what would encourage guests to book it, and whether the price makes commercial sense.

Identify the guest and booking need

Before choosing inclusions, decide who the package is intended for. A business traveler may value parking, breakfast, or late checkout. A couple booking a weekend away may prefer dinner, spa access, or a special welcome amenity.

Also consider the booking behavior you want to encourage. If your hotel has low occupancy on Sundays, a package could encourage guests to extend their weekend stay. If you want to attract more bookings during the shoulder season, an offer with activities or local experiences may make those dates more appealing.

A package should address a specific guest need or commercial objective. Otherwise, it may simply offer discounts on services guests would have purchased anyway.

Choose what to include

Once you know who the package is for, choose services that guests will value and that your hotel can provide reliably.

The most attractive inclusions aren't necessarily the most expensive. Late checkout, a welcome drink, or reserved parking may add value for guests without significantly increasing your costs, depending on availability.

If you plan to include services from external partners, such as transfers, excursions, or attraction tickets, agree on prices and booking arrangements in advance.

Consider how the package will work in practice. For example, a spa package needs available treatment slots, while a package with dinner requires arrangements with the restaurant. Guests should be able to use the services included in their booking without unnecessary complications.

Avoid including too many extras. A package with a few relevant benefits is usually easier to explain, price, and manage than one with a long list of unrelated services.

Set your package rate

The price should reflect both what guests are willing to pay and what the included services cost your hotel.

Suppose your standard room rate is €150 per night, and breakfast for one guest costs €20 when purchased separately. The hotel spends €8 to provide it.

A guest booking the package pays €165 instead of €170 for the room and breakfast.

For the hotel, the package generates €15 more revenue than a room-only booking. After the €8 breakfast cost, that leaves €7 in additional contribution, assuming the other costs remain unchanged.

However, if the guest would have purchased breakfast separately anyway, the package generates €5 less revenue and €5 less contribution, so the costs are the same.

This is why the number of packages sold isn't enough to judge whether an offer is successful. You also need to consider whether it attracts additional bookings or encourages guests to spend more than they otherwise would.

When setting a package rate, consider the cost of included services, distribution commissions, payment fees, and any other expenses that affect profitability.

Set booking conditions and availability

Before publishing the package, decide when guests can book it and what conditions will apply. A weekend package may require a minimum two-night stay. A spa package may only be available on dates when treatments can be provided. You may also want to limit certain offers to quieter periods or specific seasons.

Cancellation conditions, booking restrictions, and any limits on included services should be clear. If guests need to reserve a spa treatment, choose a dinner time, or arrange a transfer, explain how and when they should do so.

Also decide how the package price will change over time. You can keep it fixed or link it to your room rate so that the accommodation price changes with demand while the cost of included services is still taken into account.

How to sell and promote hotel packages

Even a well-designed package may attract few bookings if guests have trouble finding it or understanding what it includes.

Your hotel's website and booking engine allow guests to compare packages with regular room rates and choose the offer that best suits their needs.

Make the value clear

A package name should give guests a clear idea of what they're booking. "Weekend Spa Escape," for example, is more informative than "Special Package 2."

The description should explain what's included, the total price, cancellation conditions, and any restrictions. If a spa treatment or dinner reservation needs to be arranged in advance, guests should know this before booking.

For multi-night packages, make it clear whether the displayed price is per night or for the entire stay. Guests should also be able to see which services are included and whether any additional charges apply.

Photographs can help show the value of a package, especially when it includes dining, spa treatments, or local experiences.

If you're advertising a saving compared with purchasing services separately, make sure the comparison uses prices guests can actually book.

Choose the right channels

Not every package needs to be available through every booking channel. A simple bed-and-breakfast package may be suitable for your website and OTAs. A more complex offer that includes several services or requires special arrangements may be easier to sell and manage through your own website.

Before distributing a package, check whether each channel supports its booking conditions and included services.

Consider when and where to promote the offer as well. A family package may attract more interest ahead of school holidays, while a romantic weekend package may be particularly relevant around Valentine's Day or other special occasions.

Offer add-ons and upselling opportunities

Some guests prefer to book a room first and decide on additional services later. Offering add-ons during booking or before arrival gives them that flexibility. For example, a guest booking a room-only rate may choose to add breakfast, parking, or late checkout. This increases the booking value without requiring the guest to purchase a complete package.

You can also use upselling to offer room upgrades or packages with additional benefits when they are relevant to the guest.

Guests who prefer an offer with services already included can choose a package, while others can select individual extras.

How to measure package performance

The number of packages sold doesn't tell you whether an offer is successful. You also need to know how much revenue it generates, what the included services cost, and whether it attracts additional bookings.

Compare package bookings with regular room bookings, looking at average booking value and contribution after the cost of included services. A higher selling price doesn't necessarily mean a more profitable booking.

It's also worth checking how packages perform on the dates they were designed to support. If a weekend offer was introduced to attract bookings during quieter periods, compare occupancy and revenue for those dates with previous comparable periods.

Consider whether guests are booking because of the package or simply choosing it instead of an offer they would have purchased anyway. This can be difficult to measure precisely, but changes in booking patterns and average guest spending can provide useful clues.

Review the results regularly. If a package attracts few bookings, you may need to change its inclusions, price, or promotion. If it sells well but contributes little profit, review the cost of the included services or the discount offered.

FAQ about hotel packages and offers

1. Should a hotel package always offer a discount?
   No. Guests may be willing to pay for convenience, exclusive services, or benefits they can't book separately. What matters is whether the package offers enough value to justify its price.

2. Can guests customize a hotel package?
   That depends on how the offer is structured. Some packages have fixed inclusions, while others allow guests to choose options such as a spa treatment or dining time. Any choices should be clearly explained during booking.

3. Can hotel packages be offered to guests who have already booked?
   Yes. Hotels can offer package upgrades before arrival, provided the booking can be modified and the included services are available. This can be an opportunity to increase revenue from existing reservations.

4. Can guests book a package for only part of their stay?
   Sometimes. This depends on how the package is set up and whether the booking system supports applying it to selected nights. Check the conditions carefully, especially when the package includes services intended for the entire stay.