Loyalty schemes have been front and centre in advertising campaigns from the large hotel chains this year, as they look to increase their proportion of direct bookings.
One notable aspect of this is how a behind-the-scenes contractual obligation between suppliers (that cheaper rates can only be offered through CUGs) has shaped the primary marketing message shown to consumers.
A Closed User Group (CUG) is a group of people whose membership of the group is not automatic; they have to have:
1. Actively opted in
2. Accessed the group by means of a password-protected login
3. A member profile
4. Made at least one prior booking as a member of the CUG
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