HeBS boosts Phoenix Inn Suites internet sales

October 25, 2004 |

Hospitality eBusiness Strategies will develop a direct online distribution strategy for Phoenix Inn Suites to increase direct internet bookings.

Hospitality eBusiness Strategies entered a strategic consulting services agreement with Phoenix Inn Suites, Wilsonville, Oregon. Phoenix Inn Suites, a hotel group with premier all-suite hotels located in important business and leisure destinations in Oregon, Washington and Arizona, will work with HeBS to develop a comprehensive direct online distribution strategy to substantially increase direct Internet bookings, and decrease dependence on online intermediaries.

HeBS services will consist of several components: Direct online distribution strategy, Website optimization services, and comprehensive eMarketing services that include online brand building, Pay-Per-Click and email marketing, link popularity and link creation, and a destination Web strategy to leverage the popularity and the exceptional features of the destinations in which Phoenix Inn Suites are located. Implementation of this comprehensive strategy can deliver a more profitable booking mix, higher revenue per available room (RevPAR), and substantially lower distribution costs attributed to third party vendors.

According to Max Starkov, HeBS President and CEO, “Many hoteliers appreciate how critical an effective direct-to-consumer online distribution strategy is to the very existence of their hotels. Phoenix Inn Suites clearly understands the competitive advantages of lessening dependence on online intermediaries and discounters and avoiding price and brand erosion for enhanced long term economic health, combined with an aggressive direct distribution strategy and creative Web initiatives.”

The hotel website has become the “first point of contact” with the overwhelming majority of hotel customers in North America. This year 75% of North Americans will research travel online and 44 million will book travel online (TIA). Unfortunately for some hoteliers, on many occasions a visit to the hotel website turns out to be the “last point of contact” with the customer.

Hoteliers are now committing more resources to strengthen their presence in the Direct Online Channel, including the hotel website, because they understand the substantial benefits of reinforcing direct communication with their customers. Increasingly, hoteliers are recognizing the importance of direct-to-consumer online distribution and marketing, the long-term competitive advantages of creating direct interactive relationships with their clients, and the opportunities of leveraging the appeal of the hotel destination to create a center of attention for customers.

HeBS has pioneered some of the “best practices” in direct online distribution and marketing in hospitality. HeBS has extensive experience managing and consulting on the eMarketing activities for more than 200 hospitality companies, from large brand hotels to small boutique properties. This expertise translates into saving precious marketing dollars for its clients.

Developing a direct online distribution strategy that strengthens direct channels can avoid price and brand erosion, control distribution costs, and enable hotels to maximize revenues by better managing their inventory. This is accomplished by creating a pro-active strategy that combines evolving best Internet practices with a comprehensive destination web strategy and an aggressive direct web presence.

“We have long understood the cost challenges with third party intermediaries and recognize the importance of enhancing our direct distribution strategy and increasing direct bookings by communicating directly with customers.” noted Greg V. McManus, V.P. Operations, Phoenix Inn Suites. “Adopting a direct online distribution strategy coupled with a destination- based approach will help us more effectively manage the distribution of our product because we realize that direct online distribution cuts costs, preserves brand and price integrity, attracts affluent customers and lessens dependence on intermediaries.”