Why Every Hotel Needs a Social Media Budget

Facebook Advertising: Precision Targeting and High ROI

Why Every Hotel Needs a Social Media Budget

In a world where booking a hotel room is as simple as ordering takeout, your property’s digital footprint matters more than ever. Travelers are researching and reserving stays across dozens of platforms; scrolling through Instagram reels, reading reviews, watching Facebook videos, and comparing rates on metasearch engines. If your hotel isn’t active on social media, you’re leaving bookings on the table.

Recent industry research shows that 61 % of travelers booked a hotel after seeing it on Instagram. More broadly, 75 % of visitors are influenced by social media when deciding on a destination. These numbers tell an undeniable story: to drive bookings and inspire trust, you need to be where guests are spending their time. That’s why Meta’s advertising platforms, Facebook and Instagram, have become essential tools for hoteliers.

Social Media Is the New Travel Agent

Travel planning has gone social. Platforms like Facebook and Instagram aren’t just for keeping up with friends; they’re integral to trip planning. Instagram boasts over 2 billion users worldwide, and Facebook has about 2.93 billion monthly active users. These numbers represent massive potential audiences for hotels to reach.

What’s more, users are no longer passive consumers. They’re actively seeking travel inspiration. In 2025, 80 % of travel marketers use Facebook for paid advertising campaigns, and 80 % of Instagram users follow at least one travel brand account. Social media has evolved from a nice‑to‑have to a critical sales channel for hospitality businesses.

Paid social also delivers tangible results. Studies show that targeted paid social ads can increase room nights booked by 22 %. That means geo‑targeted campaigns can almost immediately fill last‑minute vacancies or boost shoulder‑season occupancy. Additionally, retargeted ads, those shown to users who have already visited your website or engaged with your content, convert two to four times better than cold ads. When someone browses your rooms but doesn’t book, a retargeting campaign can bring them back with a special offer or reminder and significantly increase conversions.

Facebook Advertising: Precision Targeting and High ROI

Facebook remains one of the most effective advertising channels for hotels, largely because of its sophisticated targeting capabilities. Through Meta’s Ads Manager, you can segment audiences by location, interests, behaviors, and demographic traits. Geo‑targeting lets you focus on travelers currently in your city, domestic visitors planning weekend getaways, or international guests researching future trips. This precision ensures that your ads reach high‑intent travelers rather than a generic audience.

What about returns? A well‑structured Facebook campaign can deliver cost‑per‑click as low as $0.15–$0.60 and click‑through rates (CTR) of 3–6 %. The cost per booking can be as low as $15–$30, and return on ad spend (ROAS) ranges from 3× to 10×. In fact, industry benchmarks show that the median ROAS for hotels advertising on Facebook was 4.83 in April 2025. Even a modest budget can yield meaningful revenue: a $2,000 ad budget might generate $6,000–$20,000 in bookings. When you consider that online travel agencies (OTAs) often take 15–25 % commission on bookings, the value of owning your customer relationships through direct Facebook marketing becomes clear.

Instagram Advertising: Visual Storytelling and Community Building

Instagram is a natural fit for hotels because hospitality is inherently visual. Think of the last time you scrolled through travel photos—shimmering pools, sunset dinners, cozy rooms. These images don’t just inspire wanderlust; they drive bookings. A recent survey found that 72 % of Instagram users have been influenced to make a purchase after seeing a product on the platform. For hotels, that means your next guest could be just a swipe away.

Instagram allows hotels to build an online audience and engage followers through beautiful photos, videos and stories. According to SiteMinder, Instagram marketing can build an online audience and increase hotel profits. You can target audiences with granular demographics or interests, showcase exclusive amenities or behind‑the‑scenes staff moments, and generate leads at low cost. Moreover, Instagram provides valuable audience insights—such as age, location, or travel motivations—to refine your content and ad strategies.

Visual storytelling thrives on features like Reels, Stories and carousels. These formats let you share virtual tours, highlight local experiences and incorporate user‑generated content (UGC). In fact, UGC can boost bookings 2.5× compared to branded content alone. By encouraging guests to share their experiences and re‑posting their photos or testimonials, you cultivate authenticity and social proof. Instagram’s news‑feed algorithm prioritizes posts that users are likely to care about, so consistent, high‑quality content increases organic reach.

Instagram ads also convert. Facebook/Instagram hotel campaigns deliver 2–4 % click‑through rates, outpacing standard landing pages on Google (0.5–2 %). Local targeting can again boost room nights by 22 %. With action buttons such as “Book” or “Reserve” on your profile, guests can complete reservations without leaving the app, making conversion seamless.

The best Instagram strategies combine organic and paid efforts. By sharing compelling content, engaging with comments and running targeted ads to interested users, hotels can build community and drive revenue simultaneously.

The Synergy of Facebook and Instagram

While each platform has unique strengths, the real magic happens when Facebook and Instagram are used together. Meta’s unified ad interface lets you manage campaigns across both networks, reaching travelers wherever they browse. You can reuse creative assets, retarget website visitors across both feeds, and measure performance holistically.

Importantly, you don’t need a massive budget to get started. Because Meta’s system optimizes based on results, even modest spend can yield strong returns if campaigns are structured correctly. The key is strategic planning: identify goals (brand awareness, bookings, loyalty), tailor creative to each funnel stage, and let the algorithm do the heavy lifting.

Our Approach: Social Media Amplified + Plus Ads

At our agency, we’ve developed the Social Media Amplified+PLUS ADS program, designed specifically for hotels. We start with strategic planning, aligning your unique brand story and promotions with the right mix of Facebook and Instagram ads. Our team sets up advanced demographic and geo‑targeting to reach travelers most likely to book. We manage budgets proactively, leveraging Meta’s automation tools, ensuring every dollar is optimized. Throughout the campaign lifecycle, we provide transparent ROAS reporting so you can see exactly how your investment is performing and adjust tactics as needed.

We focus on high‑quality creative, photos, videos, and carousels that tell your property’s story, and we integrate user‑generated content to build trust and authenticity. Our data‑driven approach ensures we refine audiences and bids over time, keeping your campaigns efficient and profitable.

The hospitality industry is evolving fast. Guests are increasingly influenced by what they see on social media, and the lines between inspiration and booking are disappearing. Allocating a dedicated Meta advertising budget is no longer optional; it’s a smart investment that delivers measurable returns. Facebook offers precision targeting, dynamic pricing and strong ROI, while Instagram excels at visual storytelling and community building. Together, they form a powerful engine that can fill rooms, build loyalty, and reduce reliance on third‑party booking platforms.

If you’re ready to turn social media into your hotel’s most profitable channel, let us help. With thoughtful strategy, engaging creatives, and rigorous budget management, Meta advertising can transform your digital presence into a direct booking powerhouse.

Sources Cited for This Post

Statistics and insights referenced in this blog are drawn from industry research, including the following sources: Statista, SiteMinder, HotelMinder, and Influencer Marketing Hub.

About Lodging Interactive

Since its founding in 2001, Lodging Interactive has provided digital marketing services to hotels worldwide, including select service, full-service, and luxury properties.

The company's social media marketing and guest reviews response division, CoMMingle:Engage, serves a range of hospitality businesses, including hotels, restaurants, spas, and management companies.

The company continues to innovate by introducing supportive services that enhance its primary business lines. Recently, it launched Social Media Amplified, custom landing page services designed to drive direct bookings through social media content posts. Building on this commitment, the company has also unveiled GuestCONNECT—an all-inclusive service for modern hotels and resorts. GuestCONNECT includes a mobile-first responsive website with hosting and support, tailored social media strategy and marketing, guest review response services across 140 OTA sites, a real-time reporting and analytics dashboard, and a dedicated Client Success Manager.

Lodging Interactive has received numerous awards, including the HSMAI Adrian Award and accolades from the International Academy of Visual Arts, Interactive Media Awards, Horizon Interactive Awards, Web Marketing Association, Academy of Interactive & Visual Arts, and Travel Weekly's Magellan Awards.

For more information, email hello@lodginginteractive.com, call 877-291-4411 ext. 704, or visit the company's website.

Contact

DJ Vallauri
President & Founder
Phone: 877-291-4411 ext 704