BalboaLP

Balboa Bay Resort 

Increasing direct conversions and revenue with AI

Results

Time Period: 1 month

Low-intent strategy

$77,571

Revenue from low-intent bookings

$30,750 

Savings in promotional spend 

High-intent strategy

$39,628

Revenue from high-intent bookings

$1,355

ABV of high-intent bookings

Balboa Bay Resort is a luxury waterfront retreat located in Newport Beach, California, offering guests an unparalleled blend of coastal elegance and California casual charm.

As the only Forbes Four-Star, AAA Four-Diamond resort in the area, Balboa Bay Resort provides a distinctive experience that captures the essence of Southern California’s iconic lifestyle.

With 159 guest rooms and suites, the resort features spacious accommodations, most with private balconies to take in stunning harbor views.

The Objective 

 

Balboa Bay Resort has been collaborating with The Hotels Network (THN) since 2020, leveraging THN’s Conversion and Personalization tools to enhance their online guest experience.

In June 2023, their team decided to explore new opportunities for growth by initiating a trial of THN’s Predictive Personalization platform.

Impressed by the successful trial results, the brand decided to fully implement Predictive Personalization on their direct channel in July 2023. This machine learning-powered strategy further solidified the brand’s commitment to optimizing the direct booking journey.

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Smart Note promoting a limited 10% offer for users detected to have low intent to book.

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Smart Note showcasing an exclusive 10% discount and valet parking to encourage high-intent users to complete their Suite bookings.

The Solution

By adopting a personalized, data-driven approach using Predictive Personalization, the hotel successfully achieved their goals.

  1. By running a targeted low-intent campaign, Balboa Bay Resort successfully boosted conversions, bookings, and overall revenue. Leveraging a hyper-targeted 10% discount tailored for users with a low probability of booking, the resort effectively transformed casual browsers into confirmed guests who might not have otherwise completed a reservation.

  2. Running the high-intent campaign showed that Balboa Bay Resort managed to increase their ABV (Average Booking Value). By offering a hyper-targeted 10% discount combined with valet parking, the hotel successfully motivated high-intent website visitors to finalize their bookings with Suite reservations

Over the course of one year, Balboa Bay Resort utilized Predictive Personalization with advanced machine learning algorithms, achieving a higher booking engine conversion rate than its local competitors.

The strategy effectively increased bookings and revenue while keeping promotional costs in check.

Recommended Readings

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