How Hotel Room Upgrades Work: Insight From a Retired Hotel Manager

Have you ever wondered why some travelers get free hotel room upgrades and others don’t? Have you ever wondered how to get a free hotel room upgrade for yourself? Well, I can answer both of those questions for you. I started working as a hotel front desk clerk as a teenager, and I worked my way through the ranks until I reached the position of regional director of sales and marketing. I have, however, since retired from the industry. During my time in the industry, I issued many free room upgrades. I can also tell you that there is a method used to determine when free room upgrades are given as well as who gets them. Here’s the inside secret:

Why Do Free Room Upgrades Occur?

During the course of my hospitality career, room upgrades were primarily issued at two distinct times. The first was when the hotel’s occupancy was expected to be low and the higher-priced room would have gone unsold. The second time was when the hotel was overbooked and it would have been cheaper in the short term to upgrade the person than to walk them. For those who have never worked in the hospitality industry, a “walk” is what happens when the hotel overbooks and needs to reserve a room for the displaced guest at another nearby hotel.

When a guest is “walked,” the hotel that committed the booking error typically pays the other hotel a specific rate, and the inconvenienced guest is off the hook when it comes to paying room and tax for the night. Depending on the relationship that the area hotels have with one another, the “walk rate” could exceed or be below the initial hotel’s rack rates. For example, let’s pretend that my hotel is overbooked on $50-per-night doubles, but I have a $150 suite left that I know I can sell for full rate to a walk-in because there is a NASCAR race going on in town. The hotel down the street has a contract with my hotel that guarantees me a “walk rate” of $40 a night. That means that if I upgrade the guest, the hotel will lose $100 in room revenue. If I “walk” the guest, the hotel stands to make $110 in room revenue. I can tell you from experience that unless that booking error is connected to a steady customer or someone who is planning on staying multiple nights, there is a good chance that he or she is going to get “walked” to the other hotel. Sometimes the “walked” guest is also issued a voucher for a free night’s stay that can be redeemed during the hotel’s off-peak season. In most instances, those coupons are rarely redeemed.

A Word About Celebration Upgrades

Most hotels that have a banquet division automatically include a complimentary hospitality suite and a honeymoon room for the bride and groom based on the wedding package the couple booked. I know, because I used to handle those bookings. They are not considered upgrades. They are considered “comps.” The more the wedding cost, the better chance the bridal couple had of getting a “comp” or two. Those who did not book their wedding at the hotel did not automatically get a free upgrade. In those instances, I would look at how many rooms they booked for their wedding guests. If they booked 20 rooms, I’d typically give them a free Jacuzzi room or a free suite. They didn’t get both. Those that didn’t book a block of rooms paid full price unless the higher-priced room would have gone unsold.

Which Travelers Get Free Room Upgrades Most Often?

The people whom I upgraded the most during the hotel’s slack periods were good, hard-working people who frequented the hotel often. They were the folks who remembered my name, treated me like a human being, and were just all-around pleasant to deal with. The other folks whom I upgraded were business people whose companies were part of my target market. For instance, if I was trying to close a deal with the XYZ Company and a sales rep for the XYZ Company happened to wander into the hotel, he or she would get a free upgrade. If no one fell into those two categories, I would typically give the free upgrades to those who were nice and happened to mention that they were having a bad day or celebrating a special occasion.

Which Travelers Rarely Get Free Room Upgrades?

I can tell you from first-hand experience, both as a former front desk clerk and a manager, don’t call and ask management for a free upgrade. It is a surefire way to get flagged instead of upgraded, and getting flagged is not a good thing. Trust me on that one. Most hotel clerks and managers that I know personally abhor such a tactless maneuver. If you are a good customer, it will show in your record with the hotel. You don’t need to call ahead and announce yourself. Asking the hotel clerk at check-in about any discounts available is not rude, it is common-place. So don’t feel odd about asking for the best deal available. Front desk clerks expect that, and it may get you a free upgrade. However, asking the manager for a free upgrade because you feel that you deserve one will most likely prove quite unsuccessful.

Another group of folks who rarely received free upgrades were guests who complained. During the course of my hospitality career, it was rare that I upgraded a guest for complaining. The only times such incidents occurred were when I did not have a room of equal value available to switch them to or their complaint was valid, reasonable, and expressed in a calm manner. Guests who screamed, cursed, and made a big scene did not get upgrades. They most often got to have a conversation with hotel security for their efforts.

Killeen Gonzalez has a degree in hotel and restaurant management. She has since retired from the hospitality industry.

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