Guest segmentation refers to dividing guests into groups based on shared characteristics. Examples include age, booking channel, purpose of stay, and spending patterns. This process helps hotels better understand different guest types and adapt their services, marketing, and pricing strategies accordingly.
Hotels analyze guest data from their PMS, CRM, and booking channels to create meaningful segments. The most common categories include business travelers, leisure guests, families, and groups. Segmentation enables hotels to tailor offers, personalize communication, and increase sales opportunities. For instance, a business traveler might receive weekday rate packages, while leisure guests might be offered weekend deals.
Revenue and marketing teams review data from past and current guests, such as length of stay, booking patterns, and room preferences. This information is used to refine customer groups and enhance both personalization and operational efficiency.

Effective guest segmentation improves RevPAR and guest satisfaction by matching the right offer to the right audience at the right time.