Paula: Welcome to Let’s Talk Loyalty, an industry podcast for loyalty marketing professionals. I’m your host, Paula Thomas, and if you work in loyalty marketing, join me every week to learn the latest ideas from loyalty specialists around the world.
Hello and welcome to today’s episode of Let’s Talk Loyalty and Loyalty TV. Today’s guest is another industry leader who has joined us here in studio in Dubai. Rob Singleton is Director of Loyalty Programs for IHG Hotels and Resorts for India, the Middle East and Africa region.
IHG Hotels and Resorts is a global hospitality company with a family of 19 hotel brands and IHG One Rewards is one of the world’s largest hotel programs. IHG has over 6,300 open hotels in more than 100 countries and a development pipeline of over 2,000 properties. Approximately 345,000 people work across IHG’s hotels and corporate offices globally. I hope you enjoy our conversation all about IHG One rewards with Rob Singleton.
So Rob Singleton, welcome to Let’s Talk Loyalty and Loyalty TV.
Rob: Thank you so much Paula.
Paula: Great. It feels long overdue, Rob. Obviously we met in person earlier this year for the first time. I was thrilled to be invited to speak on your panel for your internal conference just to add a bit of perspective about loyalty to the incredible work you’re doing with IHG One Rewards.
Rob: It was a pleasure to have you and I’ve got some raving feedback on this session. So thanks so much for participating.
Paula: Amazing. You did a great job as a host. So I don’t know whether you find it easier to be the host or the guest, but anyway, I’m delighted to have you.
Rob: We’re about to find out.
Paula: Indeed, we are. Great stuff, Rob. Well, listen, I know you listen to the show, so there’s no surprise with our opening questions. So let’s kick straight off. I want to ask you as a loyalty industry professional, please do tell our audience what is your favorite loyalty program?
Rob: Well, personally, I enjoy interacting with Skywards. On a day to day basis. It’s always top of mind with the credit card, the way to earn miles across your day to day activities and also the in flight benefits make it a really comfortable flight if you’re an engaged member. So Skywards personally.
But professionally one that I’m interested in is Lego Insiders. And that’s because yes, they give the rewards and the discounts on their packs and on their perks. But they also have a sense of community because they ask for their members’ feedback, they get their insights, they test products, they give them early access, and they let them vote on new functions. So that sense of community really shines through for me. And anything that’s designed with the members in mind is something that I can really relate to.
Paula: Incredible. Perfect answer, Rob. It’s something we’re thinking a lot about actually within our own business and funny we did an interview this morning as well and our guest was talking about Sephora as another brand that exactly has nailed the community piece.
So for anyone listening or watching who hasn’t yet started to think about community as a lever of loyalty, I do think that’s probably the next big wave just because as you said, there’s just so many ways you can actually engage, learn, connect, and I think that’s what people want is actually to connect to each other.
Rob: Yes, absolutely.
Paula: Great stuff. So a brilliant start then as Skywards, of course. Also, you know, both of us living here in Dubai, that’s always an obvious choice. I am currently chasing my status back to gold at the moment with Skywards. So actually, even I feel as a member, I’m learning more, looking for all of the kind of tricks of the trade to make sure I get back to my gold status. So just proof, I suppose, that loyalty programs do drive behavior change.
Rob: Yeah, they certainly do.
Paula: So they certainly do. So listen, I’d love to know just first of all, personally, you live in Dubai. I don’t think you’re an Emirati by, by nature. So tell us how did you end up in the country?
Rob: Yes, well, 17 years ago when I was out of university, I was actually looking for a job in Manchester in a PR or marketing agency, but competition was fierce and you needed experience to get your foot in the door.
So I started branching out overseas. I’d had an uncle that lived in Bahrain for 22 years. It said great things about the Middle East and with some desktop research, I could see that there was some fantastic, innovative things happening in Dubai. So I started sending out my CV to CEOs of all the marketing and PR agencies I could come across.
And one person came back to me and he said he didn’t have a job, but he’d circulate my details through MEPRA, the Middle East PR Association. And then I think it was just one hour later, I got an email from the person who was to become my future boss saying that she was opening three, five star hotels in Dubai. And would I be interested in trying out auditioning for the role? So, I sent across a press release template and she loved it and that was it. The rest was history. I moved two weeks later.
Paula: Oh my goodness. I mean, everyone’s got a story about how we ended up here, but I think that’s one of the best I’ve heard.
Rob: Yeah. It was a very exciting time. I think my mom was a bit taken aback, but she did get used to the idea when she realized that she could come over and get a tan and do some good shopping.
Paula: And I’m sure stay in beautiful hotels.
Rob: Exactly.
Paula: So brilliant stuff. So you know, you went straight in then obviously to IHG, as you said, 17 years ago. So pretty much all of your professional career has been with the company. So tell us a bit about the company and the various roles that you’ve had in it.
Rob: Yes, that’s right. So for the first four years I was working on property, like I said, in Dubai, and I joined as part of the PR team, but then moved into online marketing when we were looking at social media as a new way of driving awareness for the hotels.
And it was a great way of highlighting our brand hallmarks, which were at the time in the know and the concierge for the Intercontinental Hotel. And we used our chief concierge at the time. And we hid him in certain landmarks around the city and then announced on our Twitter profile where he was going to be and when. And the first person to find him got some amazing prizes. So, this built up our Twitter following, but it also built up a loyal base of followers who came to us offline as well as online.
And we had a few what’s called Tweet Ops, where we were getting people to come and meet and socialize. We got some local sponsorship from some key brands here who donated some goods that we auctioned off and raised some money for charity in the process. And it was a real way of building a community on property. And because of that, I joined the corporate office and started passing out best practices across the region.
Paula: Okay.
Rob: Before moving into other channels and then joining our loyalty team originally in 2014, then moving into marketing and a role called Omnichannel, which was where we talk to our loyalty members and we market to them. And then I sidestepped into commercial for a while. So I learned more around the revenue and the channel side of the distribution network, which really set me up for success.
Cause then as I moved back into loyalty, I had a greater understanding of how the engine works. And from a rate category perspective and a room type perspective, how the loyalty program flows through. So it was great to see what happens behind the curtain, but my passion has always been in front of it and working with our hotels to deliver the program to our members.
Paula: Indeed. Yeah. And I think that’s an important observation, Rob, because in my own days back in Emirates, which is 24 years ago, like literally way back when I was the marketing manager responsible for the launch of Emirates.com. But it was just incredible back then as well. I always really got the sense revenue management have to be happy with anything that loyalty do. There’s just no point otherwise.
Rob: Yes.
Paula: So if the perception internally is that you’re giving away free seats and I think most airlines have moved on from that now, obviously they do kind of realize the full value. But certainly back then, if revenue management weren’t happy, there was no way loyalty proposition was getting to market. So delighted to hear that you had a similar experience within your own career.
And just to pick up on your Tweet Ops, I haven’t heard that word down, I feel old now that you’ve said that. I’m sure some of our younger viewers probably never heard of a tweet up but you said you hit your chief concierge. Do you mean a person?
Rob: Yes.
Paula: Or the person was hiding?
Rob: Yes, he was called Adam Keast. He was a good friend and a sport. So we put him in a bright purple suit. So it was noticeable.
Paula: Okay.
Rob: Put him in these landmarks that were in the know for Dubai. So not the regular tourist hotspots, but things like the Abra Souk and places where people would really have to hunt. And it became an exciting treasure trail to find him and that ran for 10 weeks.
Paula: Wow. So it’s kind of like an early form of gamification almost.
Rob: It certainly was. Yes.
Paula: Yes. Yes.
Rob: It was a way of getting people involved. But like I say, not just online, but coming offline and meeting us in person and also enjoying the facilities of the hotel.
Paula: Yeah. It’s actually a very good example of using the power of online to close the loop and drive people offline. So he must’ve been a very good sport. I don’t know now, certainly in Dubai at the moment, the heat is off the charts. Absolutely. So not too many people comfortable hiding out behind various different landmarks and stuff. So, but very innovative. I like the creativity side of it for you.
Rob: Oh, well, thank you. It was a partnership with the team, but yeah, the idea really worked and it got us a lot of attention, like I said.
Paula: Amazing. So talk us through then the, the story of loyalty within the IHG group, if you don’t mind. I know obviously there’s a lot of different brands, but also you have a claim to fame as a loyalty program, which I think is incredible in terms of its origins. So if you’d share that and just the kind of journey you’ve been on over that whole time.
Rob: Yes, so Intercontinental Hotels Group, IHG, was actually the first loyalty program in the industry.
Paula: Okay.
Rob: So it launched originally just over 40 years ago as Priority Club Rewards, and then since then has gone through many evolutions to the recent relaunch in 2022 where we’ve become IHG One Rewards.
So now the program, which supports our 19 brands has under various research that has led us to this point, now relaunched with richer benefits and ways to earn points, but also more flexibility and choice.
It’s called IHG One Rewards because it’s made with each individual member in mind. And through three years of research, we discovered that A, no two members are alike. But there were some common themes that came out in terms of what the members were looking for, and their needs have changed beyond just points. They’re looking for upgrades, but also in state benefits like food and beverage, club lounge access, the ability to confirm your upgrade to a suite, along with a few other things like breakfast as being a must.
So when we relaunched the program, we got the industry leading gold elite tier included in our new tier structure so people could get to elite level faster, faster than they were before. And then also for diamond, our top tier members, we also brought in the new welcome amenity of the free daily breakfast, which has gone down a storm with our top elites who’ve been asking for something like that for some time. And we also introduced the most dynamic part of the program, which is milestone rewards.
Paula: Okay.
Rob: So that’s where you reach a certain night. Threshold and it starts at 20 nights and then for every 10 nights until 100 nights, you unlock more milestone rewards and it’s giving you a choice between bonus points or other perks like the club lounge access confirmed suite upgrade and F&B credits.
So you choose your milestone and then you’d also choose when you redeem it. So which stays matter most to you, whether it’s for business or leisure, because like I said, no two members are alike and neither are there are trouble needs.
Paula: Indeed. I think that principle is often missed actually, Rob and it’s not something even we’ve talked about as much on this show as I’d probably like now I must you know, make sure we do more of that, but it reminds me back on a program I worked on in Ireland where we had literally just a giveaway of bars of chocolate. It was a, you know, grocery partnership we had as an electricity company. So we were trying to make it a bit more fun and relevant to everyday life. But I remember from day one, I always had that sense that we have to at least let people choose because there’s no point assuming everybody wants the same chocolate even.
So even within that very narrow example of the reward, I think people got that moment of joy of going, Ooh, which one will I choose? Oh, I want the mint chocolate. I want the whatever chocolate. So that same principle is a very respectful way to let your members decide how they’re going to get the benefits that they’ve earned essentially.
Rob: That’s true. I think personalization is key. And I know people on your show are talking about personalization all the time. And no, I don’t think anyone has quite cracked the full extent that you can personalize an experience with a program, but this is a great first step. Cause like you said, no two people are alike. And also when they want to redeem the rewards is very important to them.
Paula: Yeah, exactly. I do think they want that sense of control and feel like they’re, they’re involved in the whole piece. So, lovely to see that that’s a foundational principle, as you said, based on three years, you said, of research.
Rob: Yes, that’s right.
Paula: Yeah. I mean, the job is never done, I guess, at the end of the day, so we’ve got to keep doing the research, huh?
Rob: Yeah. It’s constantly evolving.
Paula: Indeed. Okay. So, so that was the biggest obviously evolution. Congrats on being the first. I think that shouldn’t go unnoticed. I think I hadn’t realized IHG was the very first in the industry. I think we all know American Airlines was the very first kind of digital loyalty program as an airline. But obviously you guys are the first in the hotel sector, so very incredible to hear that.
And then 2022, obviously, as you said, that was the most recent evolution. So how’s it going, I guess, what kind of things are happening? How’s it gone since you relaunched it?
Rob: Yeah, well, it’s gone phenomenally well. So 2023 was the first full year of data that we had. And we could see that in across all of our key metrics, we were seeing the needle shift in the right direction.
So loyalty contribution, which is our biggest metric is growing continuously, the enrollments, the new members joining the program are growing month on month and also the member satisfaction, which is of course our key metric is going into. So for those three factors to all the growing positively shows that it has been well received in the business, but also externally the amount of rewards or awards, sorry, that we’ve received at the Freddy’s, for instance.
Paula: Yes.
Rob: Which is loyalty professionals voting for loyalty awards. There were seven Freddy’s Award did last year, to IHG One Rewards, as well as from several travel industry bloggers. So it was great to see that externally, the recognition was coming in as well as from our loyal member base.
Paula: Amazing. Amazing. Yeah. I think it has to be from every stakeholder of course. So, there’s no point anyone, I suppose, segment, whether it is the internal business or whether it’s the members themselves, or as you said, you know, influencers are great and we do want the awards, but as you said, you have to see the needle move in the right direction and you have to see, obviously, the feedback coming through.
I know when we talked off air as well, you talked about some of the training that you’ve been doing as well, Rob. That to me is still something that obviously, first of all, is a massive amount of work. I’ve been thinking a lot, actually, I was talking with a couple of brands off air about the idea of the importance of the mindset of loyalty.
So we’re starting to use this idea of lead with loyalty as I suppose an intention that brands really need to get their heads around. Sounds like you already have that like well under underway, but tell us how do you actually, given that I think I saw number 354,000 staff worldwide. So you know, updating all of those and everything that’s going on with your loyalty program must be a huge piece of work.
Rob: It certainly is. And you correct it when you said loyalty mindset because that’s exactly what we’re trying to drive internally. And in our region of Europe, Middle East, Africa, and Asia, last year, we had our first loyalty week in October where we were encouraging our hotel colleagues to have events in their own property, not just within the front desk who deliver the check in experience, but across all departments so that they can get that momentum and excitement to deliver the program, whether you’re in housekeeping, food and beverage, or sales and marketing. So that was a great success.
And this year it’s going global. So other regions like the Americas have seen the potential where we have most of our properties to do something as well. So they’re having their own loyalty weeks in each region now, and we’re excited for that to come in October.
But until then, as you mentioned in our region, we do have a series of loyalty workshops and we split them in two, we have one day promoting our core program, IHG One Rewards, which is our front desk teams delivery. And then we have our B2B program, IHG Business Rewards, which is delivered by our sales colleagues where we talk to them about B2B loyalty and how they can grow incremental revenue for groups, meetings, and corporate travel with their clients.
Paula: Interesting. Yes. And remind me there’s a third program as well as the ambassador program, if I’m not mistaken.
Rob: You’re correct. Yes. So Intercontinental Hotels specifically. Yeah. Yeah. We have a subscription program called Intercontinental Ambassador. Yes. That’s a paid for program where you get your benefits guaranteed and it works particularly well in this region where status is key and also getting those perks as a expectation relies.
So we see a lot of members, particularly in Saudi Arabia, joining the ambassador program and reaching our invitation only tier of Royal Ambassador, which is for our most loyal ambassador members.
Paula: Amazing. You’ve reminded me of a previous, previous episode ee did Rob with a big UK I suppose, travel blogger, Rob Burgess. I don’t know if you know him. He’s just brilliant. But we wanted to talk about subscription actually in the context of, of Skywards, would you believe. I have just subscribed actually for the first time for Skywards Plus, which I didn’t know if I would ever do, but I made the decision and I’ve done that.
And, but I just wanted to talk in general about subscription. It was about two years ago and Rob is somebody who I would think is one of the biggest brains in loyalty. He named the ambassador as his favorite subscription program in the world.
Rob: Well, I’m delighted to hear that. I’ll be searching for that episode.
Paula: I will make sure to, we’ll link to it actually in the show notes as well, Rob. So I think that’s important as well. So because I think he has, you know, I suppose very much the, the frequent traveler perspective. He was a trader in London basically. So he was one of, he was elite tier for everything. So again, somebody who knew exactly how all of the programs worked in total details. So there you go. So ambassador as well, doing amazing stuff.
So we’ve touched on gamification. We’ve touched on subscription two of the biggest, I suppose, trends that come about on this show in terms of topics. So I wanted to ask about any other things that you’re thinking about as a loyalty professional.
So again, you’re probably now, two years into the new program, but I’m sure you’re not sitting still. So, what are you thinking about or what are you looking to in terms of ideas for the future evolution of the program?
Rob: Yeah. So that gamification piece, like you mentioned is critical and it’s part and parcel of the milestone rewards and the digital experience that that’s delivered in our new imagined IHG One Rewards app.
So that’s the future for me, the digital innovation. It doesn’t sit still. So with the enhancements in the app where you can select your milestones and then select where you redeem them. You also use the app to redeem them during your stay for things like food and beverage credits that get directly transferred to the property management system.
But getting vacations also working for us internally. So we’ve touched on the fact that we’re growing the loyalty mindset and we’re training our colleagues who also using gamification platforms as a knowledge base to help them learn about the program, which helps with a lot of the transition of new colleagues coming on board. But it also allows us to drop in challenges to make sure that our key loyalty metrics are being met, met where we need them most. So gamification is a very important trend for us and that digital piece as well.
And in this region in particular, we’re looking at how we can do more with the points offline and to evolve that into more experiences. So there’s a platform called Access, which we just launched in this region for an event last year that I IHG One Rewards was partnership as partnering with, which was the sound storm festival in the middle and the Saudi Arabia region. And that was enabling our members to use their points to bid for tickets to attend the sound storm festival. And we saw a lot of engagement from members who really wanted to get involved.
So it’s a great way of showing them first of all, that we’re partnering with such a young and innovative event, but secondly, that we’re trying to open up more experiences to our members and we’re excited to do more in the region with Access this year and mirror the success that we’ve seen in the US with Major League Soccer and festivals in the UK and Germany region.
Paula: Okay. Yeah. And I’m sure some people actually end up with incredible deals because those kind of events when you are bidding, I mean, sometimes you can just lowball it and you just might end up getting lucky or, or does it get super competitive and people paying over? How does it all unfold?
Rob: There is a balance. So as we’ve got a multi night festival, Some people want to go more nights than others. So you can get a deal on one night or you can get competitive on others. So we saw a quite, quite a mix of engagement across the festival. And we’re excited to see where that goes this year with events to come.
Paula: Okay. My goodness. So it’s all about experiences. So, I’m going to ask you to tell us a little bit about your experiences, obviously, as you said, obviously, overall growth of the members training of the staff internally. Can I ask, are they, do they have KPIs specifically, Rob, within their, I suppose, their overall KPIs? Do they have something specifically for loyalty that they are measured on?
Rob: Yes. For our hotels, it comes down to two key areas, the growth of the program, which is measured through what’s called Enrollment Efficiency. So looking at how many new members are enrolled out of the total opportunity that they have. And we give the hotels the tools to make sure that they’re understanding how to sell the program and they personalize their approach so that the people who join are the ones that really want to get involved.
And then for those existing members, it’s what’s called Member Recognition. So making sure that the member feels valued, they’re receiving their benefits consistently, and it’s a memorable experience that they remember long after their stay when they’re completing their satisfaction surveys that makes them say, yes, my membership was recognized.
Paula: Absolutely. Absolutely. And I know you mentioned to me as well that NPS is something that you guys are, I suppose, increasingly measuring and looking for the net promoter scores as, as a key one for the business, I guess, as well.
Rob: Yeah, that’s an exciting one for us because we have internally what’s called Guest Love. So we’re looking at how we can measure those top promoters to make sure that we’re consistently delivering not just loyalty, but across the entire guest experience, resolving problems, but also giving a wow experience from arrival to breakfast for the duration of this day.
Paula: Okay. So Guest Love, is that what you said?
Rob: That’s Guest Love.
Paula: Okay. Interesting. I think I said to you actually at our panel discussion in Ras Al Khaimah that one of my favorite episodes was with the founder of NetPromoter Score, Fred Reichheld, and he used the word love constantly throughout the conversation to the point that I was like, this, this isn’t normal in a business conversation that we talk about love.
Like that’s something that we see on TV or we talk about with our friends and family, but he was like, really, you have to love everybody. All your members. like he wasn’t ashamed to say that. So I think it’s a very important trend that we need to be very open about that.
Rob: That’s true. Because with loyalty, you don’t just want your members to be loyal to your brand. You have to be loyal to them. So that’s part of our program as well. IHG One Rewards is to say that we know that everyone’s an individual and we want them to feel valued for their own individuality.
Paula: Yeah. Yeah. And I remember you said that to me actually when we were talking about it and I didn’t know if it came out of your research or just your own personal insights.
But for me, that’s something that I really learned as a loyalty professional, like when I started in my career, it was about how can I build a program so people are loyal to us as a business. It was in telecoms actually, so it was about reducing churn, but then over time and again, maybe seeing more loyalty industry research, I really kind of was blown away by this idea that actually you can only achieve that if you first, you know, literally demonstrate loyalty to them. So it sounds like you guys have, again, I guess, you know, to repeat it, the loyalty mindset where you’re happy to show up, demonstrate that loyalty, and then the circle continues.
Rob: That’s exactly it. And that’s the ambition that we have with our program is what we try to communicate to our hotels as well. So it’s not just a transaction, it’s a relationship because we want our program not just to be top of mind, but to be top of heart.
Paula: Yeah. Oh, lovely. Lovely. Yeah. And we started talking about community. Now that that’s something that you’re thinking about as well, because again, I think as loyalty professionals, we’re all looking for ways to properly connect.
Rob:Yes.
Paula: And again, for a brand at the scale of what you guys do with travel being so fundamentally aspirational, certainly on the leisure side, I know you’ve got the business side as well, but I’m guessing there’s opportunities in the hotel sector as well. Would that be fair to say in the community type propositions?
Rob: There certainly are, and it’s not just during the stay, it’s also offline and how you interact with your members in the digital space as well. So for instance, with IHG One Rewards, we have what’s known the White Glove service online through our social platforms, and we have an industry leading response time of four minutes where we’ll talk to our members and respond to their questions or concerns that they may have online.
Paula: Okay.
Rob: So we’re diligently nurturing these communities to make sure that our members feel heard and that any issues that they have are resolved to their satisfaction.
Paula: And that’s a brilliant actual response because I do remember when social media kicked off in our Tweetup era, there was so much fear around social media and how dare people criticize or comment or have challenges in a public forum. And I think every single brand was terrified as to how to actually respond. So a four minute response rate is absolutely incredible. And again, sometimes it’s not about the points. It’s exactly how you take care of them when they bring your attention to something.
Rob: Exactly. Yes. You have to respect your advocates and then they will advocate for you.
Paula: Exactly. There you go. Wonderful. Well, listen, I think there’s so much going on with IHG One Rewards. I know you have a huge territory to cover. I’ve asked all the questions I wanted to from my side, Rob. Is there anything else that that you wanted to mention before we wrap up?
Rob: Just that IHG has been on an evolution, obviously with the loyalty program, but also with the evolving brands and partnerships coming into our portfolio, we’ve raised to 19 brands now with the addition of six brands over the last five years.
And we’ve got the likes now of Iberostar partnership, which is helping guests and members that want to interact more with a luxury lifestyle, have new experiences that they can’t get anywhere else. Iberostar as a brand, mainly in the Mediterranean and the Caribbean of all exclusive properties. So that’s given us a new dimension to evolve our loyalty program and redemption experience.
And we’re also doubling down on our mainstream brands, which is our bread and butter for IHG with Holiday Inn and Holiday Inn Express being our key brands across the platform with the addition of new brands like Garnet that’s really going to help us in the mainstream space.
So there’s exciting things to come with our new brands and our existing portfolio, but most importantly and closest to my heart with our loyalty program.
Paula: Of course, Rob. Well, you’re doing amazing work with it. And because we started with community, it would be remiss of me if I didn’t ask if our community can connect with you through LinkedIn if that’s okay. Cause I know that’s one of the huge benefits of being on the show. People get to hear what you’re saying, but sometimes they have questions or clarification. So I hope it’s okay if we can include your LinkedIn in our show notes.
Rob: With pleasure. Yes. Thank you, Paula. I’d be delighted.
Paula: Amazing. Great stuff. Well, listen, on that note, Rob Singleton, Director of Loyalty Programs for India, Middle East and Africa for IHG Hotels and Resorts. Thank you so much from Let’s Talk Loyalty and Loyalty TV.
Rob: Thank you.
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