Use Canary’s upsell return on investment calculator to find out. Simply input key details about your hotel and receive a data-backed assessment in seconds.
A few helpful answers to common questions
The basic hotel upsell ROI formula compares the revenue generated from upsells against the cost associated with offering them. To get a more accurate view, use a hotel return on investment calculator for upsells like the one above. It’s based on data from real hotels so you get the most accurate picture possible.
An upsell ROI calculator offers several key advantages over basic formulas or manual estimates, especially for hotel operators looking to make data-driven decisions.
Unlike a one-size-fits-all equation, a good ROI calculator factors in property-specific details such as room count, occupancy rates, average length of stay and class of hotel. This personalized approach delivers a much more accurate projection of potential revenue, helping hoteliers set realistic expectations and build a stronger business case for investment.
Beyond accuracy, upsell ROI calculators are also easier and faster to use. Rather than crunching numbers manually or relying on generic benchmarks, hotel teams can input a few data points and instantly see their projected return. This helps GMs and revenue managers make faster, more confident decisions, especially when cost control and revenue growth are top priorities.
The time it takes to see ROI from upsells can vary, but many hotels begin generating returns within days or weeks. Key factors include speed of implementation, staff adoption and whether upsells are offered manually or automatically.
Hotels that embrace a tech-forward approach typically see a surge in upsell revenue shortly after launch, as they are able to offer add-ons throughout the journey instead of just at the front desk.
The average ROI for hotel upsells varies depending on the property's size, occupancy rate and add-on options, but most hotels see meaningful returns. For example, hotels leveraging an automated upsell tools like Canary’s Dynamic Upsells have reported revenue increases of up to 250%. To get an estimate specific to your property, a hotel ROI calculator is helpful.
Offering upsells improves the guest experience by increasing the personalization of each stay. When guests browse and select add-ons at their convenience, they get the perks that matter the most to them. This results in an experience that’s tailored for every guest, and using technology allows you to do this at scale.
The most accurate way to track the revenue your hotel makes from upsells is by offering add-ons through a solution with dedicated reporting features. This allows you to automatically track which upsells guests are buying and when. This gives you a clear understanding of how much revenue you’re generating, and which upsells are the most popular with your guests.
Improving your hotel’s upsell ROI goes beyond just offering add-ons. It’s about timing, strategy and execution. The most successful programs focus on high-margin services like early check-in, late checkout, room upgrades and parking, and present these options at key touchpoints in the guest journey.
Additionally, selecting the right upsells isn’t one-size-fits-all. You need to understand your guest demographics and tailor offers accordingly. For instance, a ski resort might see strong conversion on hot chocolate or gear storage, but wouldn’t benefit from offering beach towels. Seasonality, guest preferences and booking behavior should all shape what’s on offer.
Equally important is how you package and promote your upsells. Bundling popular services, adjusting language to match your brand tone and making offers visually appealing can dramatically increase uptake. When you combine the right products with thoughtful timing and internal alignment, upsell ROI becomes a consistent, scalable revenue stream.
Limited service hotels can absolutely benefit from upsells. Even if you don’t offer full-service dining or spa amenities, consider which low-overhead services guests will pay extra for. Things that may currently be offered for free, like early check-in, late checkout or preferred room location, can drive impactful revenue with minimal staff involvement.
For example, one Best Western found that they were losing out on pet revenue when the front desk would get overwhelmed. They implemented Canary’s Dynamic Upsells and have recovered thousands in revenue that would have otherwise been lost. Another made $15K in upsell revenue from new offerings that have been a breeze for their hotel to implement.
