How Much Should Hotels Really Spend on Marketing?
- HeartLogicTeam
- Aug 21
- 2 min read
The Big Question Every Season
Every year, as budget season approaches, hoteliers face the same dilemma:
How much should I invest in marketing?
Where should the money go? Is it just another expense, or is it actually the smartest investment for the year ahead?
The truth is simple: marketing isn’t a “nice to have.” It’s the bridge between your hotel and your guest, long before they ever step into the lobby. And in today’s hyper competitive market, that bridge is more important than ever.
Why Hotels Are Falling Behind
Compared to other players in the travel industry, hotels typically invest a much smaller share of their revenue into marketing. Meanwhile, online platforms spend billions every year making sure they own the traveler’s attention from the very first search.
The result? Hotels risk becoming overly dependent on intermediaries paying hefty commissions instead of owning the relationship with their guests.
Marketing as an Investment, Not an Expense
One of the biggest mistakes is viewing marketing as a “cost center” rather than a growth engine. Done right, every dollar invested can bring multiple dollars back.
A targeted Google Ads campaign can deliver bookings at a fraction of the cost of third-party commissions.
A creative Instagram reel can go viral and fill rooms during off-season.
A well-designed email campaign can bring back loyal guests at virtually no additional cost.
It’s not about spending more; it’s about spending smarter.
Today’s Traveler Wants the Experience Before Check-In
Modern travelers are not just looking for a bed they’re looking for a story. They want to feel the vibe of your destination before they even hit “book now.”
They want photos that tell stories, not stock images.
They crave authentic experiences local food, hidden gems, unique activities.
They expect seamless booking, without endless steps and hidden fees.
If your hotel isn’t offering this online, someone else is and chances are, it’s through an intermediary.
What This Means for Your Budget
There’s no universal formula like “spend X% of revenue on marketing.” Every hotel is different. But a few guiding principles can help shape the right approach:
Diversify channels: Don’t put all your budget into one platform. Spread it across social, Google, email marketing, and strategic partnerships.
Push direct bookings: Allocate a portion of the budget exclusively to initiatives that drive guests to book direct.
Invest in content: High-quality photos, videos, and storytelling are the most cost-effective way to sell experiences.
Measure relentlessly: Track ROI on every campaign. Double down on what works, adjust what doesn’t.
Final Thoughts
Maybe the real question isn’t “How much should I spend on marketing?” but rather:
“How much can I afford not to spend?”
In a world where travelers have endless choices at their fingertips, cutting back on marketing means giving competitors the upper hand. Marketing is not an expense it’s your ticket to owning the guest relationship and securing long term success.
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