Upselling Strategies to Increase Ancillary Revenue

By combining staff empathy, smart tech, and well-timed offers to help your property boost ancillary revenue.

Maximizing every guest interaction is critical—not only for boosting revenue but also for enhancing the overall hotel guest experience. Upselling is one of the most effective techniques hotels can use to increase ancillary revenue while delivering added value to guests.

When implemented thoughtfully, hotel upselling strategies can feel like helpful suggestions rather than sales pitches. The key lies in timing, personalization, and the perceived value of the upgrade or service offered. Below are proven techniques your property can adopt to upsell hotel services successfully.

1. Train Staff to Upsell with Empathy

Frontline employees play a critical role in the success of upselling. Invest in staff training programs that focus on soft skills and guest-centric communication. Rather than emphasizing additional cost, teach your team to highlight the benefits of upgrades.

For instance, instead of saying, “Would you like to pay more for a suite?” a better approach is, “We have a spacious suite with skyline views available—perfect if you're planning a relaxing evening in.” When staff frame upsells around guest comfort or special occasions, guests are more likely to say yes.

2. Leverage PMS and CRM Technology for Smart Targeting

Modern Property Management Systems (PMS) and Customer Relationship Management (CRM) tools can help you identify ideal upselling moments based on guest profiles, behavior, and booking history.

Several platforms specialize in automated, data-driven upselling:

Oaky focuses on pre-arrival upselling with personalized emails offering room upgrades, early check-in, dining packages, and more.

Plusgrade enables hotels to monetize upgrades by letting guests bid for room enhancements or purchase add-ons at optimized price points.

Canary Technologies offers upsell functionality during digital check-in and throughout the stay, using mobile and contactless platforms.

These tools integrate with most major PMS systems and use guest data to surface relevant offers at exactly the right time—boosting both conversion rates and guest satisfaction.

3. Bundle Services into Irresistible Packages

Guests are more likely to purchase well-curated packages than individual add-ons. Design value-driven offers that combine accommodations with dining, spa treatments, airport transfers, or local experiences.

A “Weekend Escape” package might include a suite upgrade, breakfast in bed, late checkout, and a couples' massage—providing more perceived value than booking these items separately. These packages not only increase ancillary revenue but also help differentiate your hotel in the booking process.

4. Highlight Premium Food & Beverage Experiences

Upselling doesn’t stop at rooms. Hotels can boost F&B revenue by promoting premium dining experiences. Consider in-room wine pairings, chef's tasting menus, or seasonal cocktails at the rooftop bar.

Use visual menus, in-room tablets, and QR codes to highlight these options. Pair this with upsell platforms like Oaky or Canary to deliver personalized F&B recommendations in real time.

5. Use High-Quality Visuals to Inspire Upgrades

Never underestimate the power of visuals. Guests make emotional decisions based on what they see, so use compelling photography and videos to showcase room upgrades, spa environments, or scenic dining spots.

Incorporate these visuals into your booking engine, pre-arrival emails, check-in kiosks, and mobile apps. A picture of a beautifully lit suite with a private balcony can do more than words alone to upsell hotel services effectively.

6. Offer Upsells at the Right Time

Timing is crucial. The most successful upsells occur when the guest is already in a decision-making mindset—such as during online booking, check-in, or concierge interactions. Avoid overwhelming guests with too many options at once. Instead, provide one or two well-timed, relevant offers that feel tailored to the moment.

For example, offer a premium room at a discounted rate when occupancy is low, or extend a late checkout offer via SMS after a guest enjoys an evening at the bar.

7. Follow Up with In-Stay and Post-Arrival Offers

Don’t miss the opportunity to upsell during the guest’s stay. Use email or text to send real-time promotions such as spa discounts, wine and dessert pairings in the restaurant, or a suite upgrade for the second night.

Post-stay, use your CRM to follow up with personalized offers for their next visit—further driving loyalty and repeat business.

Conclusion

Upselling is more than a revenue tactic—it’s a way to elevate the hotel guest experience through curated, personalized enhancements. By combining thoughtful staff training with modern technology and data-driven insights, hotels can deploy upselling strategies that feel authentic and guest-centric.

Whether it's a room upgrade, dining experience, or bundled package, each upsell opportunity is a chance to impress the guest and improve your bottom line. As expectations evolve, the ability to upsell seamlessly and strategically is key to hotel revenue optimization and long-term success.