How to optimize ancillary sales at all-inclusive resorts [Insights from an expert]
Pedro Barranco and Oaky
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All-inclusive resorts promise indulgence, relaxation, and seamless holiday experiences. But the model of “everything included” often makes revenue managers wonder: “Where does ancillary revenue fit in?” or “Are ancillary sales even possible at all-inclusive properties?”
We sat down with Pedro Barranco, Revenue Management Director at Sani/Ikos Resorts, a true expert who elevated an ancillary revenue strategy at the Sani/Ikos properties, to share his tactics and insights on identifying ancillary revenue opportunities and transforming them into an incremental revenue driver.
1. Challenge the Myth: "All-Inclusive Means No Extra Revenue"
The first step is to recognize that even all-inclusive resorts can offer plenty of additional services and experiences, creating ancillary revenue opportunities. Many hotels believe guests are unlikely to spend extra because everything has been prepaid already. The reality is that guests are still willing to pay for more convenience and value, or indulge in exclusive experiences, once they are aware of what else the resort can offer.
Pedro notes,
“Guests always want more. Yes, they’ve prepaid a full experience, but that doesn’t mean they won’t indulge in exclusive, premium extras once they’re aware you offer them directly at the resort.”
Whether it’s a private sunset yacht cruise, luxury spa package, or off-site cultural experience, the demand exists. The key lies in how and when these opportunities are presented.
2. Make Use of the Time Between Booking and Arrival
For many guests, a stay at an all-inclusive resort is the main highlight of their year. They usually book these vacations well ahead of time, enabling you to benefit from longer lead times (time between booking and arrival) that can range from 3 to 7 months before arrival. This creates an opportunity to build excitement and promote additional offers:
“Between booking and arrival, guests’ anticipation is growing, and they feel more eager to use their ‘travel wallet’ for upgrades and extras, spending beyond their initial booking.”
Use this period to send targeted emails and personalized offers, long before they arrive on the property.
3. Create Irresistible Experiences, Not Just Add-Ons
The most successful ancillaries aren't simply “extras”. They're thoughtfully designed experiences that surprise and delight:
Exclusive activities like sailing trips, guided local tours, and kids’ academies.
Wellness experiences with premium spa rituals and serene retreats.
Romantic deals for honeymooners, like candlelit beachfront dinners or couples' massages.
Pedro notes that even budget-conscious families often open their wallets once they’re on site:
4. Focus on High-Impact, Low-Effort Segments
Not all guests are equally likely to spend on extras. Pedro recommends prioritizing:
Couples & honeymooners (high emotional investment, low price sensitivity)
Families (seeking activities for kids, convenience-focused)
Wellness seekers (motivated by calm, rejuvenating experiences)
Loyal guests & direct bookers (more open to new services each visit).
Tailoring offerings to these segments and delivering the right message at the right time can significantly increase conversion rates.
5. Prioritize Visibility and Communication On-Site
Even with pre-arrival offers, communicating experiences and offers on-site is key. Front office and guest-facing teams play a crucial role:
“Guests often book thinking they won’t spend extra. But when they see other guests enjoying unique activities, or hear suggestions from well-trained staff, they change their mind.”
Therefore, equip your front desk teams with the tools, training, and scripts to subtly but confidently highlight options and tie them to the guest’s journey.
6. Don’t Underestimate the Power of Local Partnerships
Sani/Ikos creates value by connecting guests with the local community. For example, their Dine Out program lets guests enjoy partner restaurants off-site at no extra cost.
While not directly revenue-generating, these experiences build goodwill and often lead to paid activities such as excursions, wine tastings, or cultural tours.
7. Technology Is the Game Changer
The key to scaling all of this? Smart tech. Pedro emphasizes the role of systems that allow for:
Pre-arrival targeting and upsell campaigns
Dynamic pricing of room upgrades, spa, dining, and activity services
Clear availability and booking interfaces
Hyper-personalized communications based on guest data.
Hotels must move beyond legacy systems to a modular tech stack integrating CRM, RMS, and guest engagement platforms. As Pedro puts it:
Final thoughts
For hotels just beginning their ancillary journey, Pedro’s advice is clear:
“Don’t try to boil the ocean. Start with what you know—maybe a spa upsell, a dinner upgrade, or a kids' activity. Prove it works, then expand.”
Launching with 15 unproven offers overwhelms your team and confuses your guests. Focus on one or two offers you believe in, and build from there.
For all-inclusive resorts, optimizing ancillaries isn’t just a nice-to-have. It’s essential for profitability, guest satisfaction, and long-term sustainability. By crafting irresistible experiences, leveraging technology, and empowering staff, all-inclusive properties make their ancillary revenue an integral part of their revenue strategy. As Pablo concludes it:
“Ancillary revenue shouldn’t be just the cherry on the cake. It’s part of the cake.”
