In a competitive hotel market, a clear Unique Selling Proposition (USP) is key to standing out. This article will guide you through defining your hotel’s USP, with practical tips and inspiring examples to help your hotel to gain the competitive advantage, and generate more bookings.
USP vs Competitive Advantage
USP is what makes a hotel stand out from the competition, offering something that is marketable and appealing to guests. A well-defined USP should focus on what makes the hotel distinct, something that cannot be easily replicated by competitors.
The definition of unique is: “Being the only one of its kind; unlike anything else.”
In contrast, a Competitive Advantage refers to the factors that allow a hotel to outperform competitors. While a USP is about uniqueness, a competitive advantage is about superiority—offering better value, quality, or service compared to others in the market.
A competitive advantage may be temporary, as competitors can eventually catch up.
Hotel USP Example
Rather than listing dozens of hotel USPs, we thought it would be more insightful to focus on analysing the USP of one standout hotel.
One standout example is The Witchery by the Castle in Edinburgh. While its location near Edinburgh Castle is a draw, it’s the hotel’s gothic charm and immersive experience that truly set it apart.
The Witchery, with its history dating back to 1595, is named after the hundreds of witches executed at Castlehill. This deep historical connection adds authenticity to its offerings.
Blending Edinburgh’s history with fine dining and an award-winning wine list, The Witchery stands out for its unique link to dark tourism, which appeals to visitors seeking something different.
In addition to the hotel, The Witchery features a gothic-themed restaurant and shop, reinforcing its immersive experience.
With an estimated 41,800 organic visitors per month, The Witchery has successfully established its USP in the market.
Competitor Research
It can be tricky to conduct an effective competitor analysis if you’re still defining your USP and unsure if others are offering the same services.
The goal is to gather information on your competitors—such as the amenities and facilities they provide, whether they offer concierge services, and their pricing.
Once you’ve completed your research, look for gaps in the market. For example, you might discover that no hotel caters to pet owners or that there’s a lack of spa services in the area.
Research Current & Future Opportunities
If you’re defining your USP or just starting out, explore long-term opportunities or emerging needs in the market—such as new treatments, technologies, or services that could benefit your guests.
By staying ahead of the competition and being the first to cater to a specific need, you can establish a unique selling proposition that sets your hotel apart and builds credibility.
For example, with growing concerns over technology and mental well-being, could your hotel offer a technology-free wellness experience? Guests could lock away their devices and focus on wellness amenities, improving both mental and physical health. This could become a defining part of your USP.
Identifying Target Market
Identifying your target market depends on your hotel’s stage—whether you’re well-established or just starting out.
If you’re setting up and still defining your USP, you may not yet know who your target market is. Focus on researching gaps in the market, local trends, and the types of travellers visiting your area. This will help you shape your USP and appeal to the right audience.
Once your USP is clear, identifying your target market becomes easier. For example, a wellness-focused hotel will attract health-conscious travellers, while a luxury hotel with fine dining may appeal to couples or business guests.
Aligning your offerings with guest needs allows you to tailor marketing, pricing, and amenities effectively. Regularly review your market to stay relevant and competitive as preferences evolve.
Creating Guest Personas
Guest personas help you understand your ideal customers and tailor your hotel’s offerings. Include basic demographics (age, income, family status), interests (relaxation, adventure, culture), and preferences (luxury, budget, eco-friendly).
Consider their technology use (e.g., digital check-ins, smart devices) and social media habits (Instagram for younger guests, Facebook for families). Identify likes (personalised service, spas) and dislikes (noisy surroundings, long check-ins).
For example, a wellness traveller may value yoga and organic meals, while a family guest may prioritise child-friendly facilities and social media reviews. Personas guide your marketing and services to resonate with guests.
Establishing Your USP
We’ll cover the basics you should consider when defining your hotel’s Unique Selling Proposition (USP). Further down, we’ll provide some creative, “outside the box” ideas for USPs.
Consider these fundamentals across the following key areas:
Location
Your location can be a significant part of your USP. Are you in a prime tourist spot, near iconic landmarks, or in a secluded area perfect for relaxation? Highlight how your location offers something others don’t, such as exclusive access, breathtaking views, or proximity to unique attractions.
Amenities & Facilities
Examine the amenities and facilities you provide. Do you offer something distinctive, such as a rooftop pool, eco-friendly practices, or state-of-the-art fitness centers? Ensure these offerings align with guest needs and stand out from what competitors provide.
Services
Your services can define your USP by exceeding guest expectations. Examples include 24/7 concierge, personalized guest experiences, or unique in-room services such as spa treatments. Exceptional customer service can also set you apart, creating memorable stays for your guests.
Unique Offerings
Consider features or experiences that are entirely unique to your hotel. This might include themed rooms, local cultural immersion experiences, exclusive dining options, or partnerships with local businesses. A one-of-a-kind offering can help you carve out a niche in the market.
If none of these are inspiring any ideas for a genuine USP, check out our quirky ideas for a hotel USP below.
Inspirational Hotel USP Ideas
Digital Detox Escape
Offer a unique retreat where guests lock away their devices and immerse themselves in nature, wellness programs, or mindfulness activities like yoga and journaling. Ideal for busy professionals and wellness enthusiasts seeking a break from the digital world.
Instagram Room + Services
Create a visually stunning room with curated backdrops, perfect lighting, and props for Instagram-worthy moments. Offer a “social media concierge” or photography services. Very appealing to younger guests and social media enthusiasts who love capturing and sharing unique experiences.
Cinema With Daily Showings
Transform a part of your hotel into a cozy cinema that screens classics, themed films, or family-friendly favorites daily. Include popcorn and drinks for a nostalgic movie night. Perfect for families and film lovers looking for a relaxing evening indoors.
Retro Games Room
Design a vibrant games room with retro arcade machines, pinball, and classic board games, paired with themed snacks and drinks. Highly engaging for families, groups, and younger guests who love a fun, nostalgic experience.
Stone Oven Cooked Pizzas
Feature a stone oven for freshly made pizzas using local ingredients. Guests can customize their pizzas or enjoy themed pizza nights with live demonstrations. A hit with food lovers and families who enjoy authentic culinary experiences.
Discounts at Local Businesses
Partner with nearby shops, restaurants, and attractions to offer exclusive guest discounts. Provide a “local perks card” to encourage guests to explore the area and save money. Great for budget-conscious travelers and those keen on supporting local communities.
Conclusion
Defining a strong USP is essential for setting your hotel apart and attracting the right guests. By focusing on what makes your property unique, you can create a lasting impression and drive success.
If you need assistance with marketing your USP and growing your business, Smooth Rentals is here to help.
