Over the twenty years that Revenue Management has been in practice in the hospitality industry, most of the principles have been learned in a sound economy, commented Dr. Sheryl E. Kimes, Singapore Tourism Board Distinguished Professor of Asian Hospitality Management, who recently led the Revenue Management Roundtable in Singapore, hosted by the Cornell-Nanyang Institute of Hospitality Management (CNI), along with iDeas, a SAS Company.
One of the participants, Mr. Patrick Andres, Managing Director Asia-Pacific of SynXis Asia-Pacific, rose to the bait, and asked the rest of the participants as to whether or not revenue managers had learned anything from the previous Asian economic downturn in 2000-2001.
In the ensuing discussion, there was a strong emphasis placed on the fact that this is the first significant downturn where Revenue Management exists as a discipline in hotels in Asia.
It was agreed that there has been a much greater investment in tools, technology and people.
In the past few months, the participants concurred, the industry has stuck to the basics, keeping a longer term perspective, striving to maintain rate integrity.
Furthermore, they agreed that dropping prices at all costs was not appropriate because not only does it take a long time to get prices to come up again, but it also undermines brand value. Hotel Revenue Managers need to overcome occupancy challenges with creativity, emphasising value, not price.
Some guidelines they laid down for in review of current revenue management practices were that to maintain rate integrity, some measures to be taken are:
- A strategic approach to Revenue Management
- Getting the basics right, making sure that all of the distribution channels are properly open and demand is not being turned away through a process. Otherwise, a system failure is inevitable.
- Revenue Managers should ideally analyse cost reductions and capacity reductions, for example, taking a floor out of operations to reduce overhead and other costs
- Revenue Managers should assist General Managers to take a holistic view, focused on cost reduction
- Revenue Managers should be responsible for demand generation and fencing; that is, look for new markets, analyse how to attract new markets, ascertain what deals should be offered to new markets
- Understand the customer; for example, like airlines, charge a premium for walk-in traffic, not best rate
- Do not let third parties control your inventory.
- Leadership and manpower were deemed the most critical elements of sound Revenue Management in a downturn.
As Mr. Frank Trampert, Executive Vice President of Revenue Generation for Carlson Hotels Worldwide – Asia Pacific put it, “these days Revenue Managers need to be ‘someone who can interpret strategically.’”
Dr. Kimes mentioned that, “This year, people are overreacting. Last year they were thinking about more of the issues that are strategic for the long term, such as people related issues. If you do not invest in people, the rest of it will not really matter. We need to focus on what we do and not panic.”
Mr. Jos Weejes, Vice President, Distribution Marketing and Revenue Management, Asia Pacific at The InterContinental Hotels Group summed it up with the comment, “It’s an amazing time to be observers. True leaders will survive. To optimise revenues in a downturn and make the decisions that have to be made, that is where the leaders will stand out”.
Related Link: Cornell-Nanyang Institute of Hospitality Management (CNI)
Article location: http://www.hotelmarketing.com/index.php/content/article/rate_integrity_in_a_down_market/
Arne Haak, AirTran’s CFO, captured the current mindset of the airline industry when he told analysts at this month’s Merrill Lynch investors conference in New York that “minus-4% is the new growth.”
While negative growth describes everything about the industry today, from routes to new plane orders, Haak was talking about capacity as carriers are now preparing to cut more deeply through the rest of this year than they had initially planned.
For example, Delta, which earlier had said it would cut capacity 6% to 8% this year, said in June that it planned to trim 10%. American, whose previous forecast had called for a 6.5% cut, is now saying it will be closer to 7.5%.
Get the full story at Travel Weekly (free registration)
Article location: http://www.hotelmarketing.com/index.php/content/article/the_incredible_shrinking_airline/
Amadeus announced on Tuesday the launch of a new series of mobile solutions aimed at corporate travel managers and business travelers. There are three solutions included in the new suite, namely Amadeus SMS Traveller Contact, Amadeus Mobile Travel Assistant with conTgo and Amadeus Mobile Partner.
“Safety, productivity and information are all ‘must-haves’ for any Road Warrior who frequently travels on business,” said Vic Pynn, executive vice president and head of the corporate travel group for Amadeus in the Americas region. “With these new solutions – combined with the know-how of corporate travel managers and the proliferation of mobile devices – we can increase the quality of all three, resulting in a better business travel experience all around.”
According to the company, the new tools will become available this summer and are meant to offer location and itinerary-based information to those who are on the go, while also enabling travel managers to track their personnel abroad so as to improve security. The new solutions are compatible with all major mobile OSes aimed at business customers, including Windows Mobile, Symbian and BlackBerry.
The first of the three, Amadeus SMS Traveller Contact, comes to the market as a tracking and security tool meant to ease communication with the employees on the go. Travel managers can contact the travelers at risk via SMS and alert other employees via email in case they have planned trips for a given location.
Mobile Travel Assistant with conTgo is a solution developed in collaboration with the mobile technology company conTgo. The new tool comes with the Follow-Me Itinerary, a feature that offers relevant information directly to the traveler’s mobile phone via SMS. The info is based on the itinerary and can be customized based on location-specific rules. In addition, MTA also comes with Travel Alert functionality, which enables managers to keep track of travelers and to take action when they need assistance.
The third new tool, Amadeus Mobile Partner, helps managers either confirm or reject requests of trips directly from their mobile phone. As such, the new solution can eliminate bottlenecks and increase efficiency. Moreover, the Amadeus Mobile Partner shows the entire list of pending trips and offers managers the possibility to decide on them.
At the same time, Amadeus Mobile Partner, coupled with Amadeus e-Travel Management, delivers to managers and travelers all the necessary travel information. Those on the go can store itineraries on their mobile devices and also have access to a variety of information, including flight schedules, hotel addresses, car-rental and check-in information.
Article location: http://www.hotelmarketing.com/index.php/content/article/amadeus_unveils_new_mobile_solutions/
From a very strategic level, the article defines the macro-level channels themselve, and sasks questions like “where is the company today and where does it want to get to?” then applying those answers to the selection of marketing opportunities.
Overall, Conversion Rate Optimisation appear at the top of marketing tactics and email still gets a strong report card. CRO/SEO/Email strategy is looking like the winner.
Get the full story at Seomoz.org (free content)
Article location: http://www.hotelmarketing.com/index.php/content/article/formulas_for_choosing_the_right_online_marketing_channel/
Improving a brand’s image in multiple countries while simultaneously avoiding duplicate content issues incurs a wide array of obstacles including foreign link building, successful management of top level domains (TLDs), choosing the right web hosts, and a significant amount of content translation into foreign languages.
While your business goals will assuredly play an important role in the scale of your international effort, it’s important to note that without creating individual microsites for each region you intend to target, your global SEO efforts are facing an uphill battle from the start. What follows are SEO best practices for overcoming the obstacles inherent to managing multiple international microsites.
Get the full story at iMedia Connection
Article location: http://www.hotelmarketing.com/index.php/content/article/5_steps_to_seo_success_abroad/
Most business communication is dry, writes David Meerman Scott in his new book, World Wide Rave. “People love to share stories. When someone says: ‘Let me tell you a story...’ you’re interested, right? When someone says: ‘Let me tell you about my company’s product&’ is your reaction the same? It doesn’t sound like a way you want to spend your valuable time, does it? Stories are exciting.” Tell more stories to create excitement. Consider employing the following tips in your next business presentation.
Get the full story at BusinessWeek
Article location: http://www.hotelmarketing.com/index.php/content/article/marketing_is_storytelling/
by Melanie Methven
The goal of improving distribution and raising the profile of individual hotels and chains within the Global Distribution Systems (GDS) is not as complicated as it may appear. Hoteliers can take control of their distribution within the GDS by gaining a better understanding of the opportunities available and by proactively marketing their properties.
Opportunities can range from specific targeted advertising to ensuring hotels obtain top placements on a hotel list. Through a few simple steps it is possible to ensure the maximisation of bookings and revenue using such features as “Best Available Rate” and “Hotel UpSell”. There are a wealth of advertising opportunities within the GDS, which opportunities are appropriate depends on the end result the hotel is looking to achieve. Hotels may be trying to promote their brand, a specific property, and or specific destinations, while others may be looking to push a special promotion or perhaps pursuing a new target market.
Several of the advertising and marketing opportunities are similar across all four GDS and textual targeted options are available by working directly with TravelCLICK, a provider of interactive distribution solutions and marketing services to independent and chain hotels worldwide. Many of the GDS can also provide a customised program, which includes a variety of advertising tools available through their system. These can reach a specific audience or even advise travel agents on new promotions and benefits.
GDS Specific Advertising
Each GDS provides specific and targeted advertising products. Hotel companies can use these to help promote their brand, a specific hotel property or a promotion to a targeted trade audience. Other advertising tools such as online itineraries, travel agent portals and online brochures are either maintained by the hotel chain itself, booked through the GDS directly or depending on the individual GDS, handled by Travel CLICK. Textual only or combined textual/image advertising tools found in the major GDS comprise of:
- Sign in Advertising: Direct and customised advertising messages at time of signing in to the GDS by the travel agent. In the major GDS these are called: Sabre Sign-In, Galileo Front Page News, Worldspan PrimeSine and Amadeus Sine in message.
- Targeted Textual Advertising: This tool enables hotels to reach their targeted audience with relevant promotions at the time of decision-making. In the major GDS these are called: Sabre PromoSpots, Galileo Headlines, Worldspan Accents and Amadeus Display messages.
- Travel Agency Portals and Graphical User Interfaces (GUI): These allow hotels to target travel agents with a combination of graphical images and text such as badge or banner advertisements during the booking process or at the time of decision-making. This is particularly beneficial in promoting brand awareness or a specific property with images.
- Online Itineraries: Hotels can promote their brand and hotels with a more visual context and this time directly to the targeted travel consumer allowing them to promote a specific destination, hotel or brand with strong images. In the major GDS these are called: Sabre TripAdvisor, Travelport ViewTrip, Amadeus Checkmytrip.com
- Reference Systems (online brochures): This electronic brochure is an effective communication and advertising tool provided free of charge by the GDS for the dissemination of information about the hotel chain and its properties. Some GDS have the ability to transfer this information into a web format in order to provide images. In the major GDS these are called: Sabre Direct Reference System, Galileo Brochure Line and Chain Keywords, Worldspan Global Reference System and Amadeus Information System.
- Vapor Text Messages: This is an interactive confirmation response message managed by the hotel chain through their GDS and displayed to travel agents on screen at time of confirmed booking. This is used mainly to highlight benefits and features of the rate and/or room booked. Sabre, Galileo, Worldspan and Amadeus all offer Vapor Text Messages.
- Broadcast Messages: Advertising messages are displayed in the Travel Agents “queue” where they usually retrieve messages from suppliers regarding their bookings. For example, Amadeus Broadcast messages.
GDS Marketing Opportunities
There are a number of other marketing strategies available through the GDS. These are not specifically advertising tools but opportunities to promote a hotel brand, a specific hotel property or a promotion using such features as UpSell and Best Available Rate. These marketing tools are highly effective and are usually provided for a fee by the GDS directly or in some cases by TravelCLICK. They provide the hotel chain with the ability to promote itself and increase revenue at time of decision making without using direct advertising.
- Hotel UpSell: such as Sabre’s UpSell enables hotels to increase their revenue by providing the ability to “upsell” the room selected by displaying the price difference for an upgrade or to purchase additional features.
- Best Available Rates (BAR): This feature allows hotels to guarantee the rates in the GDS are the same as those offered on their direct website or by calling the hotel. This ensures total confidence to the travel agent and enables them to provide better service to their customer knowing they will not get a better rate elsewhere. In return for providing parity with their website, hotels participating in BAR are highlighted to the travel agent. In the major GDS these are called: Galileo Best Available Rate, Amadeus Best Available Rate and Sabre Rate Assured.
- Priority Placement for Hotels: A highly competitive tool and an opportunity for the hotel to highlight and position a property at the top of the hotel search list for the destination and dates requested. In the major GDS these are called: Sabre Spotlight, Galileo Feature Property, and Amadeus Instant Preference.
- E- Newsletters: These are periodic electronic publications distributed to Galileo and Worldspan travel agencies. They can be used for special promotions or to advise travel agents on a new promotion, rate or destination.
Even in these economically challenging times, marketing a hotel in the GDS needn’t be difficult and can be extremely cost effective. There are advertising and marketing tools available for all scenarios and can be tailor made for each individual situation. So why not give it a go and see how the GDS can support increased hotel distribution.
Melanie Methven is an associate of GDSDEALS Ltd.
Article location: http://www.hotelmarketing.com/index.php/content/article/how_to_maximize_your_hotels_gds_distribution/
Microsoft heralded its travel search as one of the key ways that its revamped search engine Bing bested Google by helping users make decisions, rather than just finding information.
Its search results for an itinerary presents users with sliders and check boxes on the left that let searchers change times and specify airlines. Search results reload instantly as boxes are clicked and sliders slid.
There’s no question Bing feels like Kayak. When Microsoft showed us the search engine under embargo, this reporter’s first comment upon seeing the travel page demo’d was “This looks like Kayak.” Our Bing review described its interface as “uncomfortably close to Kayak’s,” an observation that others made as well.
Kayak noticed too.
Get the full story at Wired
Article location: http://www.hotelmarketing.com/index.php/content/article/kayak_to_bing_stop_copying_us/
Tripware’s primary product, OutBook, allows business travelers to plan, book and manage all their business trip needs using Microsoft Outlook 2007. Travelers can also use OutBook to book flights on well over 20 airlines including American, Delta, United and US Airways. Tripware will continue adding low-cost and regional carriers in coming months.
Based on an unscientific comparison with other online travel services, Tripware holds up well. Prices are comparable to those on Travelocity and Expedia, at least for the trips this writer checked.
What really makes Tripware unique is Behavioral Travel Management, which is the big name given to Tripware’s ability to learn from your trips and the preferences you submit. Tripware then uses that knowledge of how you have chosen to travel in the past to suggest options for your upcoming trips.
Get the full story at the Phoenix Examiner
Article location: http://www.hotelmarketing.com/index.php/content/article/booking_business_trips_directly_from_microsoft_outlook/
The Aloft brand’s new online experience includes:
- An Insider’s Virtual Tour: Explore the look and feel of each area of the hotel and its unique design features with the click of a mouse.
- Destination Map and City Guides: Browse a map of Aloft’s global a-list locations and check out local hot spots, restaurants, cultural and off-the-beaten-path destinations, as well as staff picks and special city guide content provided by Travel + Leisure magazine.
- Gaming and Trivia: Immerse yourself in the Aloft experience by spinning tunes as the Aloft DJ, trying your hand at bartending, enjoying a game of online billiards or challenging yourself by playing travel trivia games on the site.
- Aloft Radio: Preview a sampling of the hotel’s carefully curated and eclectic music with the special Aloft playlist.
“Since Aloft’s groundbreaking virtual launch in cyberspace in partnership with Second Life, the brand has been leading the way in providing the most dynamic, high-tech experience for our guests,” said Brian McGuinness, Starwood’s Senior Vice President, Specialty Select Brands. “With the new site we wanted to extend the same energy and vibrancy one finds at each Aloft property to our virtual home and provide a truly unique and memorable experience that resonates with the savvy, Gen Y traveler.”
To celebrate the launch of the new site starting May 5 visitors can enter “Aloft Explore, Amuse + Win” for the chance to win a grand prize of one million Starwood Preferred Guest® Starpoints®, enough for over 25 roundtrip airline tickets, more than 140 free nights at Aloft hotels or other surprise rewards. Playing “Click-to-Win” offers a chance at winning cool daily prizes, including the very latest tech and travel gadgets such as laptops, digital cameras, GPS systems, MP3 players, Aloft hotel getaways and more.
Technology has been a vital component of the Aloft brand since its debut in summer 2008. Every Aloft hotel features the brand’s signature self-serve aloha kiosk, a touch-screen power house located in the lobby that makes check-in and check-out intuitive and effortless, and complimentary, hotel-wide, high-speed wired and wireless Internet access. Once inside their room, guests enter a calm oasis that is combination high-tech office and entertainment center, thanks to the plug & play system, a one-stop connectivity solution for multiple electronic gadgetry such as PDAs, cell phones, MP3 players and laptops – all linked to a large, 42” flat-panel HDTV-ready television for optimal sound and viewing.
Related Link: Explore Aloft Hotels
Article location: http://www.hotelmarketing.com/index.php/content/article/aloft_incorporates_gaming_into_its_web_experience/
In a defensive move, AMR Corp.’s American Airlines in April “registered every possible Twitter name that could be associated with us,” a spokesman says. The move came after airline employees last summer found a rogue profile in the name AmericanAir, which was shut down four weeks later.
Twitter co-founder Biz Stone says the company hopes to introduce a verification service later this summer to confirm profiles of public officials, public agencies and other well-known individuals. But he says there are currently no plans to offer an authentication service for businesses because of the costs and time that would be required.
Twitter policy prohibits unauthorized use of trademarks, but Mr. Stone says the company has no system for identifying violators. He says the service is working to respond to complaints within 24 hours, instead of the current average of five days.
Get the full story at The Wall Street Journal (free content)
Article location: http://www.hotelmarketing.com/index.php/content/article/companies_cope_with_twitter_imposters/
The funnel concept fails to capture all the touch points and key buying factors resulting from the explosion of product choices and digital channels, coupled with the emergence of an increasingly discerning, well-informed consumer. A more sophisticated approach is required to help marketers navigate this environment, which is less linear and more complicated than the funnel suggests. We call this approach the consumer decision journey.
Because of the shift away from one-way communication - from marketers to consumers - toward a two-way conversation, marketers need a more systematic way to satisfy customer demands and manage word-of-mouth.
Get the full story at we are social
Article location: http://www.hotelmarketing.com/index.php/content/article/the_purchase_funnel_is_no_more/
The research, recently published in the Information Technology & Tourism Journal, also identified Social-Psychological and Hedonic (enjoyment) benefits as key influencers in the participation and attitude towards sites such as Tripadvisor.com, VirtualTourist.com and LonelyPlanet.com.
eTourism expert Professor Dimitrios Buhalis, from BU’s International Centre for Tourism & Hospitality Research, and Jin Young Chung from the Texas A&M University, USA, examined the perceived benefits and participation in online travel communities to help tourism-related organisations utilise online communities for their marketing strategies.
Results showed that Information Acquisition – obtaining up-to date information – was found to be the most influential factor for users of tourist social networks, followed by Social-Psychological factors such as seeking identity, forming relationships and seeking a sense of belonging, and Hedonic benefits including having fun with content, entertainment and being amused.
The research was carried out on internet users in South Korea, which has one of the largest populations of internet users in the world. A questionnaire, posted on the Korean online survey website World Survey Inc, was divided into five sections: benefits from online community activities; level of participation in an online travel community; attitude toward an online travel community; frequently used information sources and demographic information.
Out of 419 internet users who completed the survey, 217 were found to be online travel community users. The majority of these users were students or full-time employed groups in their 20s to 30s.
The authors write: “Tourism is one of the highest involvement industries, which means potential tourists want to get as much knowledge as they can to reduce risk. Sufficient information and up-to-date content might help the online travel community to attract Internet users, including potential tourists, and allow community users to make a repeat visit.
“This study provides marketing organisations with useful information on how to utilise an online social network as a marketing channel, and inspires tourism marketers to understand an online community. “
BU’s Professor Dimitrios Buhalis, who oversaw the study, said: “Increasingly organisations should be able to interact dynamically with their stakeholders in public and they should be able to understand the impact of Consumer Generated Public to their online presence, brand, competitiveness and profitability.
“This study helps organisations towards understanding the information requirements of their clientele and building their skills towards a better future. “
Article location: http://www.hotelmarketing.com/index.php/content/article/information_key_feature_for_tourism_social_networking/
These were key takeaways offered by Peter Yesawich, chairman and CEO of Ypartnership, during his keynote address to some 500 travel agents at the 27th Annual Travel Trade Show. Yesawich gave an overview of the National Travel Monitor, the yearly survey conducted by the Ypartnership that tracks the travel habits, preferences and intentions of Americans.
Technology and social values are the biggest influencers of American travelers, said Yesawich. Technology is especially influential with 61% of active travelers saying they use the Internet exclusively for travel research. In the 2009 Monitor, 56% of travelers said they book their travel online as well.
The ability to check the lowest prices is the most important feature on a travel Web site for 87% of Monitor respondents, as it has been for the past 12 years. An easy to use booking feature (74%) is another important feature of a travel Web site. Features like the ability to look at photographs, or share content with others are significantly less important to active American travelers.
Get the full story at TravelTrade.com
Article location: http://www.hotelmarketing.com/index.php/content/article/tech_price_family_drive_us_vacationers/
From the perspective of turning a profit, Oyster’s business model is enough to induce apoplexy: Send a full-time reporter on a two-week trip to sample seven or eight hotels and foot the bill—which can reach $35,000—in exchange for unbiased coverage of the properties. “We’re going to spend about $40 million on this before we break even,” says co-founder and CEO Elie Seidman. He and a partner have invested some of their own funds, along with Accelerator Ventures, and recently got $6.5 million from Bain Capital Ventures. Additional fundraising is expected later this year or next.
Desperate hotels are shoveling money into marketing and advertising. The sites also sell advertising and can boast impressive claims for how long users spend clicking around reviews and hotel photos. The Expedia unit that holds Trip Advisor is now producing 11% of the entire company’s $636 million revenue. “If you can get users, it hasn’t been that difficult to monetize,” Seidman says.
Get the full story at BusinessWeek
Article location: http://www.hotelmarketing.com/index.php/content/article/hotel_reviews_and_objectivity/
Frank Trampert, executive vice president, revenue generation of Carlson Hotels Worldwide-Asia, sees the challenge to rate parity as coming from the wholesale distribution channel, which accounts for about 35% of Carlson’s business in Asia Pacific.
“Many online wholesalers distribute rates through their own channels without the hotels’ knowledge. Those rates undercut the pricing structure and cause issues. Some good examples for well-known violators are AWD and Asiarooms. Everyone knows – only a few talk about it.
“In addition OTAs that are not connected to a CRS cause another opportunity for “leakage” once the hotel amends rates that are not automatically updated on those sites.”
Conceding therefore that “there may never have been rate parity”, Trampert said, “A lot of efforts were made over the past years to reduce the occurrences of non-parity. It would help if wholesalers would finally join the “technology” train and improve their backend systems to integrate with suppliers.”
Get the full story at webintravel
Article location: http://www.hotelmarketing.com/index.php/content/article/asia_rate_parity_the_elusive_dream_which_just_got_more_elusive/
Carlson Hotels Worldwide has selected QL2 for the Carlson Hotels Stay Night Automated Pricing (SNAP) initiative. QL2 will provide on-demand data on competitive and market dynamics for 700 of the Carlson Hotel properties in the United States and Asia Pacific.
While traditional revenue management focuses on restricting the availability of discount products, the SNAP process optimizes pricing in order to maximize revenue through demand forecasting. This is a completely different strategy than typically used by hotels. The SNAP initiative allows Carlson to innovate its revenue management processes and address this business challenge head-on.
Although there is a wealth of competitive and market information available on the Web, much of it exists in silos and is difficult to gather and integrate with existing revenue management processes. Many optimization specialists spend valuable time collecting and aggregating information instead of strategizing. The data that hotels need to consider in their revenue optimization initiatives is incredibly dynamic so regular access to the exact data they need, when they need it, is vital for the actionable analysis that will transform vacancies into booked properties.
As one of the key technologies powering the SNAP initiative, the QL2 Data Services provides Carlson Hotels Worldwide with specific, manageable data on properties, rates, amenities and other factors that matter when making strategic pricing decisions. As a result, Carlson has the ability to move rapidly and strategically to attract, convert and keep customers while continuing to meet internal operational goals.
“Together with JDA, QL2 data takes traditional revenue management to new heights,” said Jim Rozell, senior director of revenue optimization at Carlson Hotels Worldwide. “SNAP is allowing us to push revenue management from a centralized function out to the operational levels of our properties where we can now empower hotel employees that are busy providing guest services to also make data-driven revenue optimization decisions with the click of a mouse.”
“We are honored to be selected by Carlson Hotels Worldwide to provide the high-quality, on-demand data for its SNAP initiative,” said Russ Aldrich, chief executive officer at QL2. “Carlson continues to innovate internal processes in one of the most competitive industries in the world. Their vision for SNAP of combining current competitive and market data with historical insights is an industry first.”
Related Link: QL2
Article location: http://www.hotelmarketing.com/index.php/content/article/carlson_hotels_empowers_employees_to_make_revenue_optimization_decisions/
The word “empower” gets bandied about so much that one could be forgiven for overlooking what it actually means: to imbue someone with power, to instill in the individual a sense of his own strength and efficacy. “When the boss asks for a subordinate’s ideas, he sends the message that they are good — perhaps better than his. The individual gains confidence and becomes more competent,” says Michael J. Marquardt, a professor of human resources and international affairs at George Washington University (Washington, D.C.) and author of Leading with Questions: How Leaders Find the Right Solutions by Knowing What to Ask (John Wiley & Sons, 2005).
But an empowering question does more than convey respect for the person to whom it’s posed. It actually encourages that person’s development as a thinker and problem solver, thereby delivering both short-term and long-term value: the short-term value of generating a solution to the issue at hand and the long-term value of giving subordinates the tools to handle similar issues in the future independently.
A disempowering question, on the other hand, undercuts the confidence of the person to whom it’s asked and sabotages her performance. Often, these types of questions focus on failure or betray that the questioner has an agenda.
Get the full story at Harvard Business Publishing
Article location: http://www.hotelmarketing.com/index.php/content/article/how_to_ask_better_questions/
It’s an idea that’s been bandied about for more than a decade amongst IT professionals, but has been met with limited success through so-called application service providers (ASPs). But now that high speed internet connectivity is seemingly universal amongst businesses in the United States, it looks as if the stars are finally aligning just right to make the cloud a viable solution for the lodging business.
Here at the Hospitality Industry Technology Exposition and Conference (HITEC) in Anaheim, the first full day of the event was met with speculation about the adoption this and other technologies as well as how IT professionals are changing the ways they do business as the economy has scared off significant business at many hotels.
“We are a very large company and in November will start offering storage of utilities. We suck at storage and managing a ton of all this data,” joked Scott Campbell, senior vice president and CIO of MGM Mirage, a casino resort company. “We are putting tier 1 storage in a cloud. If we can put as much data on it and get a bill every month with no long term agreement I can back it up on tape and lower my bills, just like any other utility, if I need to. We want to put as much in the cloud as possible. I think that is where we are going.”
Get the full story at Hotel Interactive
Article location: http://www.hotelmarketing.com/index.php/content/article/hotel_technology_moving_into_the_cloud/
Oyster Hotel Reviews maintains hundreds of original reviews, and more than 50,000 undoctored, original photos of the hotels of New York, Miami, Aruba, Jamaica, and the Dominican Republic. Many more locations will be added to the site in the months ahead, including Las Vegas in July 2009.
The Internet is overloaded with thousands of hotels and resorts who misrepresent themselves, via exaggeration and even outright misrepresentation on the Web. The leading travel booking sites simply recycle photos and property descriptions they receive from the hotels themselves. And to this cacophony of untrustworthy claims, anonymous user reviews can add sometimes biased reviews leading even great hotels to receive one star ratings and vice versa.
“Quite simply, travelers today have no reliable source to rely on for hotel information, and hotel reviews. Reading hotel websites, and anonymous reviews, people can’t discover the truth. There are tremendous differences between what our reporters bring back and the marketing distortions of the hotel industry,” said Elie Seidman, founder and CEO of Oyster Hotel Reviews. “The vast majority of hotel descriptions and photos circulating on the Internet originates in the hotel’s own marketing departments and gets reproduced over and over as legitimate truth--but it’s often highly misleading. By pulling back the sheets and revealing what you’re really going to get, Oyster Hotel Reviews will fundamentally change the way people make hotel decisions.”
“We understand that hotel stays are one of the few things you can’t try before you buy--and usually the most expensive part of travel expenses. And in these times, with dollars and time ever more precious, who wants to get duped? Because of this, Oyster Hotel Reviews is determined to act as an unbiased consumer advocate and create the most detailed, accurate, and comprehensive hotel review anywhere - online or off,” added Seidman.
Oyster Hotel Reviews Hotel investigators experience every hotel they review. They visit and stay in the hotel anonymously. They sleep in the beds, swim in the pools, eat the food, interview the guests, and shoot hundreds of photos. Every review looks at service, design, dining, cleanliness, nearby nightlife, and even the thread count of the sheets on the beds. In addition, the site considers the specific needs of different types of travelers, including families with children, honeymooners, business travelers, golfers, pet owners, and those on limited budgets. To assure that
consumers get apples-to-apples comparisons, Oyster Hotel Reviews reporters evaluate hotels on 70 different quantitative and qualitative dimensions.
Related Link: Oyster Hotel Reviews
Read also an interview with Oyster.com’s CEO at Travel Weekly
Article location: http://www.hotelmarketing.com/index.php/content/article/new_hotel_review_site_launches_with_independent_expert_hotel_reviews/
Pegasus Solutions and VFM Leonardo have formed a strategic partnership to provide hotels industry-leading end-to-end visual and descriptive content management and distribution. The agreement will allow Pegasus, which maintains the largest collection of electronically bookable hotels in the world, to leverage VFM Leonardo’s VScape Digital Asset Management System and visual content library for more than 90,000 hotels in the Pegasus online distribution database (ODD).
Optimizing the dominant positions of Pegasus as the industry leader for distribution of descriptive content and inventory, and VFM Leonardo for distribution of visual content such as photos, virtual tours and video, this strategic partnership brings hotels an unrivaled offering for content distribution, according to Mike Kistner, president, CEO and chairman of Pegasus Solutions.
“Hotels need an arsenal of tools, including visual content, to compete in a market where converting online travel shoppers has become more complex,” said Kistner. “VFM Leonardo has already taken the top spot in the industry for visual content management and distribution, which is why we’ve selected them to further improve the content distribution options for our hotels and for Pegasus-powered travel sites.”
Pegasus will integrate VFM Leonardo’s VScape Digital Asset Management System with the ODD, which will allow hotels to easily update and manage their visual content directly in the ODD. Additionally, Pegasus and VFM Leonardo will offer ContentHub™, a tool that enables hotels to seamlessly access, update and manage their images and text through a single interface. Both the VScape integration and ContentHub will allow visuals and text to be presented consistently to the global distribution systems (GDSs), and Pegasus alternative distribution system (ADS) customers, which include major travel websites, search engines, tour operators and travel consortia.
Delivering a visual story accurately and efficiently to thousands of online channels and websites utilized by travel shoppers during their hotel selection process translates into increased bookings, according to Paolo Boni, President and CEO of VFM Leonardo.
“Better merchandised hotels get more bookings,” said Boni. “Research actually shows online travel shoppers are 67 percent more likely to book a hotel that displays virtual tours and a staggering 89 percent more likely when a hotel displays video. Pegasus is the ‘best of breed’, and we are very proud of our partnership with them and their selection of VScape to manage and distribute hotel visual content. We firmly believe we can now better deliver hotel visual content through Pegasus with a complete solution that helps hotels better merchandise online and increase their bookings.”
Article location: http://www.hotelmarketing.com/index.php/content/article/pegasus_taps_vfm_leonardo_for_odd_and_content_hub/
Sabre Hospitality Solutions executives are showcasing the new service at Booth #850 at HITEC, the world’s largest hospitality technology event, taking place this week at the Anaheim Convention Center in California.
Building off the innovative foundation of its Bidstork acquisition in the summer of 2008, Sabre’s Rate Assured raises the bar for hotel rate auditing. With an easy-to-read dashboard, the Negotiated Rate Auditing service allows corporations and agencies to:
- Ensure that negotiated rates at individual properties are loaded and bookable;
- Compare negotiated rates with BAR (best available rate) on a hotel-by-hotel basis;
- Automatically send notification emails to suppliers when correct negotiated rates are not available in the GDS;
- Provide interested parties with a copy of the actual hotel availability display, showing the status of rates present or not;
- Calculate estimated losses from rate differences, which can then be used in future negotiations; and
- Build compliance reports.
The Rate Assured negotiated rate audit service enables users to maximize the value of their corporate hotel programs, thereby reducing overall corporate travel spend and improving agency efficiencies.
“The recessionary economy has virtually all buyers and suppliers closely examining their preferred agreements, with an increasing number of corporations looking to their travel agency to help ensure they are maximizing the value of each preferred deal,” said Stephen Fitzgerald, chief operating officer of Sabre Hospitality Solutions. “Rate Assured represents yet another service in the Sabre portfolio that delivers savings and efficiency for all parties on the travel transaction circle, giving corporations, hoteliers and the travel agencies that serve them a solution that drives value in any economic climate.”
The Rate Auditing service builds upon Sabre’s already existing Rate Assured Hotel Certification program, which provides agencies with assurance that they have access to the lowest publicly available unrestricted rates through the Sabre global distribution system. Sabre is the only GDS that actively monitors third party and brand.com web sites to ensure that hotels provide Sabre with their lowest publicly available rates, and is the only GDS that de-preferences non-compliant hotels. Rates are monitored by Rubicon, a leading provider of market intelligence services to the travel industry.
An online demonstration of the Negotiated Rate Auditing service is available at http://www.sabretravelnetwork.com
Article location: http://www.hotelmarketing.com/index.php/content/article/sabre_launches_new_hotel_negotiated_rate_audit_tools/
Microsoft Corp. signed a deal with Global Hyatt Corp. to put hotel ads on Verizon Wireless phones, part of a bid to turn around its shrinking advertising business by expanding beyond personal computers.
The Hyatt ads will encourage people to sign up for a frequent-guest program, as well as letting them book rooms and check in using their phones, said Charles Johnson, Microsoft’s general manager for mobile media.
Get the full story at Bloomberg
Article location: http://www.hotelmarketing.com/index.php/content/article/hyatt_advertising_goes_mobile/
Over the years, Goole identified some performance best practices that the company would like to share with the web community on a new site for web developers, with tutorials, tips and performance tools.
Google’s ultimate goal is to make browsing the web as fast as turning the pages of a magazine.
Get the full story at The Official Google Blog
Article location: http://www.hotelmarketing.com/index.php/content/article/lets_make_the_web_faster/
With summer officially here, many Americans will plan to pack up, fill up and head out of town in pursuit of some relaxing time away from home. How are travelers vacationing this summer, and what’s on their minds as they prepare for their trips? A recent hotels.com survey of U.S. adults revealed the following:
Their home away from home - Among those polled who are planning a summer vacation, nearly two-thirds (63 percent) will be staying at a hotel or other kind of rental property, like a condo or resort. Despite tough economic times, only 33 percent plan to stay with friends and family.
Extras are king - Fifty-two percent of those polled note they’re looking for added perks and benefits more often than they did 12 months ago. Breakfast is a favorite complimentary offering with 87 percent surveyed taking advantage of this added perk when they travel.
The cost of getting away - Sixty percent of those polled think it will be more expensive to travel this summer than last, while 18 percent feel it will be less expensive. Twenty-two percent feel costs will be about the same.
Are travelers headed for a more expensive travel season compared to last year? Not so, according to Carl Sparks, general manager of hotels.com. “Properties continue to offer incredible rates and other incentives to add substantial value to the stay; this is the season of the great deal. In addition, with gas prices lower now compared to this time last year, travelers can incur a lower overall cost of getting to and from their destination.”
While many Americans continue to watch their spending habits more carefully in all areas - including travel - there are many options to keep a vacation budget in check. Sparks added that planning carefully and choosing the right property can play a large role in keeping a lid on expenses. He offers the following four tips:
1. If you like it, book it. Waiting to book in hopes that you’ll get a better rate can easily backfire - rates may rise and the property could fill up, leaving you disappointed and without a place to stay. After booking on hotels.com, if you happen to find a lower rate anytime up until the time of your stay, our Price Match Guarantee will honor it.
2. Stack up the value. Lots of incentives are available for summer travelers. Look beyond a great rate to find options like free nights on a multiple night stay, gift cards, spa credits, complimentary dining, and more. A family of four can save around $40 a day if the hotel provides free breakfast, a favorite added perk as our survey shows.
3. Take the load off family and friends. While staying with loved ones can be an economical choice, the lack of privacy and tight quarters can add unexpected stress to what should be a relaxing vacation time. Consider booking multi-room suites or vacation rentals, which are great options for family travelers. You’ll have the comforts of home, more space and conveniences, and a lower cost versus booking several separate hotel rooms.
4. Plan it carefully. Read recent reviews to get other travelers’ perspectives on the property you’re considering. Make sure you know what’s included in the stay, and what’s not, to avoid any surprise fees. Also, if you don’t belong to any rewards programs, now is the time to sign up so your summer getaway can begin building credits for you.
Article location: http://www.hotelmarketing.com/index.php/content/article/summer_travel_trends_according_to_hotelscom/
According to an order, Judge Carolyn Kuhl told Expedia that only after paying what the San Francisco’s tax man has assessed can it appeal the tax and seek a refund. That’s been the city’s position all along.
Likely this is not the last chapter of a legal battle begun when Expedia and Hotwire sued the city, claiming it had no legal right to impose the tax and should get off its back. But it’s a boost for the city, and will be noted by online travel companies and municipalities engaged in similar conflicts across the country.
Source: San Francisco Chronicle
Article location: http://www.hotelmarketing.com/index.php/content/article/sf_1_expedia_0/
The technology provided by HBSi increases revenue potential for both Travelocity and its suppliers by enabling last room availability, same day bookings, and eliminating the need to manually enter bookings.
“The benefit of HBSi’s connectivity to our hotel suppliers is to provide them with a multifaceted solution, and the benefit to us and our customers is access to enhanced rates and hotel inventory, up to the day of arrival,” said Noreen Henry, vice president hotels and packaging, Travelocity.
Through HBSi’s Demand ManagementSM technologies and services, Travelocity will more rapidly achieve robust electronic connections to supply channels around the world, which will aid its customers in making their travel plans through Travelocity.
“We’re thrilled to broaden our relationship with an industry leader like Travelocity in enhancing the electronic connectivity options they recommend to their hotel suppliers,” said Greg Berman, HBSi’s Chief Operating Officer. “Online distribution in the travel industry remains complex and dynamic, and we’re confident that HBSi’s technology will continue to help Travelocity and its customers reach their travel goals.”
Related Link: HBSi
Article location: http://www.hotelmarketing.com/index.php/content/article/travelocity_teams_up_with_hbsi_on_hotel_connectivity/
While the majority of IHG’s preferred accounts currently enjoy contracted rates, its publicly available rates are based on a best flexible model – meaning its rates of the day are scaled according to demand. In providing an alternative to annually-negotiated rate platforms, IHG is addressing growing demand among corporate travel managers for more flexible and market-sensitive hotel rates.
“Corporate travel managers should feel confident they have access to the best possible rates in our hotels. This model guarantees they will pay less than any other unrestricted rates in our hotels, every day of the year,” said Gary Rosen, vice president, sales & marketing, IHG Asia Pacific.
Annualised rates may account for high and low seasonality, but cannot respond to unexpected market conditions. As hotel pricing has become more fluid industry-wide over the last few years, and the number of booking channels has increased, the appeal of dynamic pricing to corporate travellers has grown as well. We’re inviting our preferred accounts to consider this model as amore equitable way to determine the rates they pay on any given day at our hotels.
Get the full story at Travel Daily News
Article location: http://www.hotelmarketing.com/index.php/content/article/asia_ihg_invites_corporate_accounts_to_embrace_dynamic_pricing/
The recognition engine automatically pinpointed unique landmarks by sifting through 42 million images from photo-sharing websites Picasa and Panoramio, as well as online travel guides. Visual algorithms compared and filtered landmark images taken from different angles and under many lighting conditions.
GPS tags in many of the images also allowed the engine to identify landmarks through geographical clusters of photos. For instance, a bunch of uploaded images from many different sources regarding a certain iron tower in Paris, France would become flagged as a prime landmark candidate.
Google’s team continues to try and improve on the engine’s 80-percent accuracy. Visual images which pose no problem for humans can still easily baffle computers—in one case, the engine has been known to accidentally identify an image of the American flag as the New York Stock Exchange and its flag-draped walls.
Get the full story at Popular Science
Article location: http://www.hotelmarketing.com/index.php/content/article/googles_image_recognition_technology_spots_landmarks/
Online stores often offer too many choices on their front page. Lists of dozens of new arrivals, top sellers, sale items, and categories.
Artists showcasing their art (music, essays, photos) often present a giant list of everything they’ve done.
But all of us could come to these conclusions:
- Only present 3 to 6 choices at a time. (No less than 3. No more than 6.)
- Only show your deep selection when people are searching for something specific.
Get the full story at Derek Sivers
Article location: http://www.hotelmarketing.com/index.php/content/article/when_choice_is_demotivating/
The agency’s quarterly snapshot on tourism and travel said inflation-adjusted spending on passenger air transportation continued to contract — 5.8% in the first quarter of 2009. That’s the sixth consecutive quarterly declines. But spending on international flights rose 10.5% as it did in the previous quarter. Spending on accommodations posted a larger decrease — 18.6% in the first quarter — than in the fourth quarter, when it fell 10.4%. “The hotel industry continued to experience declining demand” and “reduced room rates,” the bureau said. Retail shopping by travelers showed smaller decrease of 1.3% in the first quarter, much milder than the 11.6% decline in the last quarter of 2008.
Weak demand is depressing travel and tourism prices, the agency added. They fell 10.9% in the first quarter on top of a 16.5% decrease in the fourth.
Get the full story at The Wall Street Journal (free content)
Article location: http://www.hotelmarketing.com/index.php/content/article/us_spending_on_travel_tourism_dropped_59_in_first_quarter/
The company also released proprietary meetings booking and reporting technology that can be integrated with Egencia’s online corporate travel booking platform and Reward’s third-party technologies.
The Web-based meetings management technology integrates Egencia’s corporate travel booking applications for attendee travel and provides planners with visibility into all meetings planned through the tool in terms of attendees, expenditure and policy.
Egencia Meetings & Incentives is available in Europe and North America, where it has a 17-person staff for meetings and events and three employees dedicated to incentive travel management, said director of Egencia Meetings & Incentives North America Debbie Grossi.
Get the full story at BTNonline
Article location: http://www.hotelmarketing.com/index.php/content/article/egencia_unveils_meetings_and_incentives_division/
Matt Gross, The New York Times Frugal Traveler columnist, had a closer look at travel search engines Mobissimo, Vayama, Sidestep, Kayak.com, ITAsoftware.com, Dohop, cFares.com, and Microsoft’s new travel search engine Bing, when researching fares for his upcoming trip to from New York to Seattle.
While his winners are Dohop and Bing, he is going to stick with Kayak as his first choice, supplement it with cFares and Dohop and follow the advice of an acquaintance who’s a former travel agent: search on Wednesdays and Thursdays, when flights in the United States and Canada tend to be cheaper.
Get the full story at The New York Times
Article location: http://www.hotelmarketing.com/index.php/content/article/travel_websites_a_click_on_showdown/
PhoCusWright’s top three ways to plan smart during the recession:
Plan for each phase of the business cycle.
All business cycles have the same pattern: recession followed by recovery followed by rebound. Manage each phase in anticipation of the next.
- Manage discretionary costs during recession that do not overly inhibit the ability to exploit recovery when it comes.
- Manage the labor force in ways that support human capital pruning, development, cultivation and preparation for needed expansion when it occurs.
- Manage owner expectations for the near term, and position patience and loyalty for the long term.
If you discount, do so carefully so you can preserve brand value and price opportunities when recovery comes.
With falling volumes and competitive environments, lowering prices is more likely to reduce revenue than increase it unless there is substantial uncontested volume increase offset.
- Reduce price in circumstances only where the percentage increase in volume will offset the percentage decrease in price. Even then, be conscious of covering variable costs, precipitating an unwanted price war, or thwarting future opportunities to raise prices.
- Use opacity, value-add and packaging to obfuscate the actual dollar value of discounting and highlight unique service value.
- When discounting, reward the loyal customer rather than all customers.
- Negotiate shorter deals. Don’t lock in low prices you’ll regret later.
Do not over-allocate marketing budgets to promotion versus image advertising.
It is tempting in a recession, particularly a long one, to focus too much on promotional marketing with a measurable ROI, and financial managers can be persuaded more easily with measurable ROIs. Investment in image advertising is still needed, even if it’s at a temporarily lower level of spend. Shift to more measurable and tactical advertising in the short run, but not so much that your image and awareness take a hit in the long run.
Get the full story at PhoCusWright
Article location: http://www.hotelmarketing.com/index.php/content/article/if_you_discount_do_so_carefully/
“This is at its early stages for sure, but there are some companies that are already connecting customer service centers to networks, and I expect that these efforts will quickly reach a larger scale,” said Ian Jacobs, senior analyst for customer interaction technologies at Datamonitor. “The way to do that will be to link formal contact centers with those networks.”
Jacobs, who is author of the report “The Rise of Social Networking and Emerging Channels in Customer Service,” says the current state of linking customer service with social networks is rudimentary at best. Social media monitoring tools such as Factiva, Nielsen Buzz Metrics, BoardReader, and dozens of others help automate social media conversation tracking.
The second wave of this connection is about to break. Salesforce.com has introduced a tool that lets its users monitor, search and respond directly to comments on Twitter, Facebook, Google, LinkedIn and other social media, directly from the Salesforce.com system.
Get the full story at ClickZ
Article location: http://www.hotelmarketing.com/index.php/content/article/social_marketings_likely_end_game_customer_service/
For the first time, it seems, even brands that have succeeded by pursuing strategies of “great product plus major investments in image advertising” are forced to re-think this approach and many are exploring tactics more like the American packaged goods approach.
“Aspirational” or “symbolic” buyers, with household incomes of $250,000 to $500,000, are gone. And, the definition of luxury is radically changing. True luxury will continue to be distinguished by its inherent value, or by what Stanley Marcus called, “the impact of the hand” (the best the mind of man can imagine and the hand of man create).
Also, more than ever, great experiences will rate high on the value scale: rare experiences, sensually orchestrated, producing memories so precious they are actually luxury products. These include ‘time out’ vacations, exotic travel, sensual comforts, etc.
Get the full story at the ChiefMarketer
Article location: http://www.hotelmarketing.com/index.php/content/article/luxury_brands_waking_to_a_new_reality/
PKF expects rates to drop 10.2 percent for 2009 and by another 3.3 percent in 2010. The biggest discounting will happen this summer, when travel buyers traditionally negotiate the rates in their programs for the following year, said Mark Woodworth, president of PKF Hospitality Research.
Woodworth said in the report that 2009 would go down as the weakest year ever recorded for the U.S. lodging industry, and hoteliers should not expect to see a rebound in 2010. The decline escalations in revenue per available room, however, are nearing an end, he said.
“If you are wondering when we’ll start to see actual growth in room rates and revenues, then you’ll have to wait until 2011,” Woodward said in a statement. “However, if you want to know when the operating environment is going to get a little less painful, that’s happening right now.”
Get the full story at BTNonline
Article location: http://www.hotelmarketing.com/index.php/content/article/pkf_sees_hotel_rates_continuing_to_fall/
Travelocity’s most recent data report shows average domestic airfare is $299, down 17 percent from last summer, and the average price of hotels is $142 per night, a decrease of 14 percent. For a family of four, that represents a combined savings of $374 on accommodations and airfare for an average six-night domestic summer vacation.
Similarly, with both average international hotel rates ($197) and airfare ($690) down 14 percent compared to last year, a family of four can save an average of $847 on airfare and hotel for the typical 13-night international vacation. Because it’s such a tremendous value this summer, most international travelers are deviating from the norm and heading to Western Europe, which has managed to take share from the Caribbean.
“Travelers have been spoiled by cheap travel options this year, and we’re seeing that trend continue into the summer season,” Genevieve Shaw Brown, senior editor for Travelocity, said. “However, travelers should not expect these prices to last forever. With capacity cuts planned for the fall, now is the time to jump on current travel deals.”
Article location: http://www.hotelmarketing.com/index.php/content/article/travelocity_says_book_now/
Hotels.com has launched a new local language site in China. The site, accessible via hotels.com or hotels.cn, offers local currency pricing and payment methods.
The new Hotels.com China site is part of the company’s continued roll-out across the Asia Pacific region, following the launch of local sites in Japan, Korea, Hong Kong, and Taiwan in 2008. The site is also supported by Chinese speaking call centre specialists, catering specifically to Chinese travellers.
The new Hotels.com site will offer Chinese customers more than 6,000 domestic hotels in nearly 400 cities across China and a total of over 100,000 hotels around the world.
Nigel Pocklington, the VP of Global Marketing, comments: “The launch of the new site is part of Hotels.com’s continued roll out across the Asia Pacific region. The region is an emerging market for online travel and we are aware that local language sites are the key to unlocking these countries’ full potential. Chinese travellers will be able to search an extensive range of hotels all over the world with many deals and promotions always on display.”
Over time, there will be an increasing amount of localised hotel content on the site and travellers will be able to post and read user reviews in their local language.
Hotels.com, part of the Expedia group, currently operates 53 global sites including 32 sites in 25 languages across EMEA.
Related Link: Hotels.com China
Article location: http://www.hotelmarketing.com/index.php/content/article/hotelscom_launches_chinese_website/
Who cannot visualise the times when the boss asked their secretary to book a hotel room for a forthcoming business trip?
Even today this situation certainly arises in offices but much less often than before as has been shown by an online survey conducted by hotel.info amongst its more than 1.1 million business travellers.
The increasing use of so called self-booker tools such as hotel.info has led to more and more business travellers booking their flights, hire cars and hotel rooms themselves quite independently of any central booking service. The advantages to the traveller in using decentralised reservation services are immediately obvious. The booking can be made efficiently and quickly thus saving both time and money.
The hotel.info study showed that the majority of users of business travel websites are male. About three quarters of all hotel bookings made through hotel.info are made by men either for their own business trip (the majority) or for female colleagues. The remaining bookings are made by women which divide into two almost equal parts: where the reservation is made for another female colleague; or for their own trip. Altogether female travellers only make up a small proportion of the total bookings - 18% - demonstrating that less than every fifth business traveller is a woman.
Warini Munshi - Managing Director at hotel.info hotel booking Ltd UK : “The result is actually rather surprising. We certainly knew that there are generally more male than female business travellers but the actual percentage is something new. We believe that in consideration of the huge customer base of more than a million business travel bookers at hotel.info that the end result presents an accurate picture of the actual situation”.
Article location: http://www.hotelmarketing.com/index.php/content/article/hotel_bookings_made_by_secretaries_belong_to_the_past/
By Brenda Fields
After almost fifteen years of “feast”, the depressed economy, worldwide, has contributed to a dramatic drop in demand and many hotels are operating at significant losses. To respond to the changed conditions, most hoteliers lowered rates and reduced expenses. Although that is a necessary short-term strategy, on its own, it is not enough to generate profits and to compete with large chains and brands that have the greater financial resources and staying power. The shared costs, bulk purchasing, and centralized functions contribute to greater profitability opportunities. In addition, marketing costs associated with promoting the chain can be spread out over all the properties, driving down the costs per property while at the same time, ensuring maximum exposure.
So how can an independent hotel with limited resources, successfully compete? The key is to play your strengths as an independent that the large chains do not have i.e. greater flexibility, faster turn-around time, and more direct contact with guests. This, in turn, will drive revenues, increase market share, and foster customer loyalty. It’s never too late to set the stage to increase business.
Local Presence
Sometimes, the most obvious ways to get business are over-looked. Being a good neighbor and a good community member is what an independent hotel can do most naturally and cost effectively, with a distinct advantage over the chain hotels based outside of the community. Developing good will in the local community can pay off in dividends. Who is better at recommending where to shop, where to eat, and where to stay than the people who live there?
Obviously, in a crisis, the independent hotel should be first to help in any way, as they are an integral part of the community. In New York City on September 1, 2001, a downtown luxury hotel opened its doors and organized a program to offer rescue workers meals from New York City’s top restaurants, 24 hours a day. And recently an independent luxury hotel in the Bahamas opened it doors to workers and community members who had lost their homes in a hurricane and made a cash donation to assist in rebuilding homes. These gestures did not make the national news, but local residents certainly took note.
But, outside of a crisis, there are many opportunities to establish good will in the local community. Supporting fund raising for schools, police and fire departments; offering training programs or language programs to its employees; and organizing community events are just a few ideas. Many of these initiatives can be supported with “sweat equity” and little cash outlay, and will help the independent hotel establish itself as an integral part of the community.
The independent hotel certainly has a vested interest in creating and participating in a community that is sound economically, socially, and culturally. The chains are not so dependent on the strength of the community, as they can pull out and move on in tough times.
Therefore, by integrating itself in all aspects of the community and by being a good neighbor, the independent hotel will have a strong competitive advantage over its national competitors in all market segments i.e. weddings, social functions, business meetings, and corporate and leisure business.
Web Site
The internet is without doubt the most cost effective means to reach potential customers and is the great equalizer. High profile hotels, large, small, independent, or chain-affiliated hotels, all have the same opportunity on the internet when done with expert planning and implementation. The independent hotel, when its web site is expertly optimized, will receive as much “air time” as the chain hotels. And independent hotels, with limited resources, do not have to rely on anything other than the internet to have potential customers find them. It is important to design a program that can easily be upgraded to stay current with trends and technology. Properly developed, executed, and maintained, your web site will effectively reach local, domestic, and international markets.
Great Service
Another cost effective means to compete, drive market share, and maintain customer loyalty is to consistently offer great service. Great service, not average service, can overcome product deficiencies and rate resistance, and is one of the strongest competitive advantages of independent hotels. Without some restraints imposed by the bigger hotels companies, the independents can empower their staff and encourage their employees to truly go above and beyond which ensures guest satisfaction and guest loyalty.
Hiring warm and service-oriented people is the number one ingredient. Without that, no amount of training or service standards will result in the desired result i.e. offering guests great experience. No one is fooled by unsympathetic and uncaring staff, even if all the right notes are hit. It’s really the spirit of the employees that will transcend product deficiencies, competitive disadvantages, and marketing exposure. The same amount of money is spent on a caring employee as an uncaring employee, so why settle for less?
Clean up. Fix up. Paint up
You knew spring had arrived when your parents handed you a broom, a rake, and a paint brush to get the ‘ol homestead in tip top shape. Now is the time, when business is down, to bring your property to exceptional levels of cleanliness and maintenance. Continuous periods of high occupancy create lots of wear and tear on a property and taking rooms out of inventory for maintenance and deep cleaning is most likely not an option to most owners or managers when demand is high. During the feast periods, guests will pay the going rates just to have a room and will accept it in almost any condition rather than forgo the business trip or family holiday. But, as we know, once occupancies start to fall the tide will turn and hotels will experience a “Buyer’s Market”. Those properties that had noisy air conditioners, stained carpets, or slow shower drains, will find themselves eventually making the investment to be competitive. Therefore, set up a program to clean up, fix up, and paint up. Keeping your property in exceptional working order it is not only more cost effective in the short term, but also ensures guest loyalty which translates into revenues.
Technology
Technology advancements have allowed a property greater ease and efficiency in dealing with customers in areas. We know, too, that maintaining the latest equipment is a major expense. The days of telephone as a line item on the P & L Statement are long gone, as now, free domestic phone calls in guest rooms are becoming the standard. As guests travel with iPods, cell phones, and lap tops, the demand for the latest technology in-room is great. So, it may be wise to evaluate your property and the needs of your customers to analyze the caliber of your technology; research what is available to you; and decide what, if any, areas should be upgraded for you to remain competitive in the marketplace.
Direct Sales
The cost of a direct sales effort can typically represent 50% of the marketing expense budget, with most of the expense in labor and benefits. When business declines, this is a key area that is evaluated to ensure that there is a return on investment. Many times, there is no direct sales plan in place. Sales people meet their targets because of the great demand and there is little, if any, proactive sales approach to ensure that there is a database of potential business that is well-qualified based for present and future business. So take the time to establish systems and procedures to foster good sales habits and work ethics to ensure that you’re getting the best ROI from your sales people.
It’s never too late to address key issues which will result in your property’s successfully competing with the large chains and brands. A realistic evaluation, good plan, and timely implementation will allow the owner or manager to achieve revenues regardless of market conditions.
Brenda Fields can be reached at fields&company
Article location: http://www.hotelmarketing.com/index.php/content/article/thriving_not_just_surviving_in_a_depressed_economy_tips_for_the_independent/
Real-time search helps Internet users find Web posts, including those from San Francisco’s Twitter Inc., seconds after publication. The field has grown in importance amid the exploding popularity of services like Twitter, which lets users blast short messages rapid fire from computers and mobile phones.
The growth of Twitter has fueled expectations that real-time search could drive Internet advertising to new heights by allowing marketers to target relevant ads at consumers interested in breaking events, hot topics or their favorite celebrities. Some proponents argue real-time data and search could develop into a billion-dollar market.
“Every conceivable advertiser will be interested,” said Ron Conway of SV Angel LLC, an early investor in Google and Twitter. “It will create a huge monetization opportunity.”
Get the full story at The Wall Street Journal (free content)
Article location: http://www.hotelmarketing.com/index.php/content/article/internet_giants_look_for_edge_in_real_time_search/
Destination marketers play a unique role in the leisure travel marketplace, positioned at the crossroads between travelers and travel suppliers. Thousands of national, state, regional and local level destination marketing organizations (DMOs), convention and visitor bureaus (CVBs) and national tourism organizations (NTOs) play a vital role in stimulating travel demand.
For these destination marketers, an explosion of online tools and technologies has provided unprecedented potential to connect with travelers and promote destinations in new and effective ways. At the same time, challenges ranging from funding constraints to difficulty navigating technical change are forcing many to take a close look at what they need to do to remain competitive and relevant among the multitude of online travel players.
More than half of U.S. travelers use the Internet to select a leisure destination, according to PhoCusWright’s Consumer Travel Report Part One: Behavioral Trends, but consumers use DMO Web sites for far more than just destination selection. “Consumers are as active on DMO Web sites after they book their travel as they are when planning and shopping for their trip,” said Lorraine Sileo, vice president, research at PhoCusWright. “Destination marketers are facilitators of travel at all points in the travel planning process and must orient their online services to facilitate pre- and post-booking needs of travelers.”
PhoCusWright’s Destination Marketing: Understanding the Role and Impact of Destination Marketers compares the travel search and booking behaviors of DMO users and non-users. The report provides insight into what travelers are looking for from DMO Web sites during the planning, shopping, booking and post-booking stages, and delivers recommendations for offering online booking or referral services and more.
“It is essential for DMOs to understand what visitors are looking for from their Web sites so that they can deliver the right content and services to increase the likelihood not only of destination selection, but also trip duration, in-destination spend and overall traveler satisfaction,” adds Ms. Sileo.
Article location: http://www.hotelmarketing.com/index.php/content/article/study_details_online_best_practices_for_dmos/
By Joe Buhler
In less than ten years since the first wave hit with the introduction of online travel agencies, the travel industry is again undergoing radical changes.
Online travel, in what ever form it was and still is defined, became the largest industry on the web in record time. Changes on a scale imagined only by few, have happened since then and there is not one segment of the travel industry that is not affected by that first shift to commerce transacted online.
By the end of last century, it was mostly in the United States where the initial start-up companies were concentrating their efforts and where the phenomenal growth first took place.
Today, the impact is felt around the globe and the fastest growing regions are now Asia/Pacific and Europe, and the original online travel agencies (OTA) are players on a global stage. In the past few years they have, at least in Europe, been joined by the traditional major tour operators who are now engaged in intense competition with these intruders on what many considered their turf, and after having been written off by many only a few years ago.
In a recent article, Travel Industry Wire coined the new expression of the “customer-to-customer” (C2C) marketplace. This is a very apt description of what is happening today. Enabled by blogs, pod casts and social networking sites as well as other web 2.0 technology introductions like mashups, the consumer today can be as informed about any subject as never before in history and even more importantly, has the easy means to communicate his or her knowledge and expertise to anyone else in the world. In the context of the travel industry, everyone can become a travel agent, tour operator, or even destination marketer at least in his or her own mind. The ingredients and the tools are certainly at their disposal.
Companies and organizations will in future increasingly have to try to interject themselves into all the conversations going on among customers in the marketplace about their product, service, or destination, rather than dominating what in the past was a one-way communication. This new C2C reality will have a significant impact on the role of marketing in any industry. As Seth Godin, the author of some of the most innovative bestsellers on marketing, including “The Purple Cow” has said: “Conversations among the people in your marketplace happen whether you like it or not. Good marketing encourages the right sort of conversations.”
The first signs of this world of Web 2.0, which lets the audience participate in the production and distribution of content and tag it with keywords, are a number of new types of sites sprouting up such as Del.icio.us, Rojo, and Digg.
In the travel space there are of course, TripAdvisor owned by Expedia and IgoUgo, owned by Travelocity, which have been around for a number of years with active communities of feedback providers. They, as well as, the traditional online travel agencies, face a new type of competition from the likes of Tagzania, Gusto, Wikia, and many more.
The most important feature these sites have in common, is the ability for users to collect information and articles from sites they find of interest, add their own comments and tag them with keywords. This makes it easy for sharing with, and viewing by, friends or the public at large. Google Map mashups are other new types of sites allowing travelers to get a detailed look of a property or attraction location. Combined with personal annotations and reviews by others travelers can get a feel for the place more real and up-to-date than previously possible.
Then there is TVTrip offering detailed videos of properties as a useful planning tool. In the small group and affinity travel market there is Groople, which includes tools for group planners. Of course there is also the “big daddy” of sites Yahoo! They have not only acquired the meta-search company FareChase but also with their Trip Planner made some significant improvements and added Web 2.0 features to its Yahoo! Travel section. Traditional companies, such as Starwood Hotels also have embraced this new trend. Sheraton now makes customer feedback and reviews the focus of their web presence right from the home page.
Blogs and pod casts are other developments with significant potential impact on both travel planning and the actual travel experience. Anyone with web access and some basic knowledge of computer software applications can in fact start a blog or publish a pod cast, making their experiences immediately available to the world at large. With a free RSS feed reader, this new user generated content is easily available for anyone with updates delivered automatically.
The specific impact of Travel 2.0 on the various sectors in the travel industry is yet to be determined. What seems clear already, however, is that the role of any intermediary is being challenged even more by all this user-generated content, combined with the free flowing consumer conversations going on 24/7 on all the sites and the transparency this creates. As these web based innovations further develop and become even more user friendly and widespread than they already are today, combined with improved and integrated booking functionality, the changes will be more dramatic than what we have experienced so far.
For destination marketing organizations (DMO) the dynamics of existing business relationships will no doubt undergo rapid and significant change. It will no longer be sufficient to maintain and develop an information rich destination website. To build a platform that taps into and feeds off the various sites mentioned earlier and to facilitate the dialog among past and potential future visitors is fast becoming a necessity to stay relevant.
The opportunities have never been better to truly achieve WOM (both the mouth and mouse kind) and stimulate the buzz around a destination. What no DMO should attempt is try to control the dialog or manage it.
The mirror has never been shinier but it also has never before been pointed as directly at the destination and its suppliers as it is today. Accept it, embrace change, innovate and start joining the conversation, today. The alternative is being left behind and risk being ignored.
Global experience in destination marketing, tour operations, retail travel and the airline industry and since the mid ’90s in the largest e-commerce vertical - online travel. Held senior executive positions in Japan, Canada, the United Kingdom and in the United States.
Joe Buhler can be reached at buhlerworks.com
Article location: http://www.hotelmarketing.com/index.php/content/article/destination_marketing_in_the_age_of_web_20_and_beyond/
Tourism Board, Convention Bureau and Tourist Office websites can be improved quite a lot, says European online marketing company Xotels. Most of them need a makeover to be able to compete with commercial travel and tourism websites.
A local or regional DMO website should help to promote not only the destination as a whole, but also hotels, tourist attractions, restaurants, theatre, sports, activities in the destination itself. Ideally it would be possible to buy or reserve this through the DMO website.
But how can a DMO or Destination Marketing Organization compete against commercial giants? Here are Xotels top 25 best practices for DMO websites and destination marketers.
Get the full story at Xotels
Article location: http://www.hotelmarketing.com/index.php/content/article/top_20_best_practices_for_dmo_websites/
In the case of Columbus v. Expedia Inc., the court ruled 4-3 that the online travel service should pay lodging taxes based on the higher costs they charge customers, not on the lower wholesale room rate the hotels charge Expedia.
The high court’s decisions are binding across Georgia, so the Columbus case could affect other suits filed by governments seeking to get as much revenue as they can from lodging taxes.
But the Expedia case is not the only one Columbus has before the state’s highest court. The city also has filed suit against Hotels.com over the same issue. Attorneys expect the Georgia Supreme Court to rule on that case soon.
Get the full story at the Ledger-Enquirer
Article location: http://www.hotelmarketing.com/index.php/content/article/city_wins_expedia_lawsuit/
Don’t be surprised if you get a phone call from a cheery-voiced, erudite lady or gent tipping you off that the genteel, 137-room Hotel Ritz in London, created by Cesar Ritz himself in 1906, has rooms for 30 percent off.
This is no scam, no boiler-room telemarketer reading from a script, no digital voice that sounds human. At the other end of the line is a reservationist with an organization called Leading Hotels of the World (http://www.lhw.com), which promotes and books rooms for 450 of the finer places to stay in 80 countries.
Well-heeled vacationers and top-level executives seeking more than a plush bed when they travel favor these often distinctive and distinguished hotels, many with spas. But in today’s hard times, even big spenders are watching their euros, rupees, pounds sterling and greenbacks. They’re scaling back travel or avoiding historical, palatial, pricey hotels to keep a low profile.
Get the full story at creators.com
Article location: http://www.hotelmarketing.com/index.php/content/article/lhw_courting_guests_discreetly_with_sweet_deals/
As SynXis continues to establish itself as a global leader, with new offices opening recently in Japan, Hong Kong, Dubai and Australia, the number of new customers based outside the United States exceeded new U.S.-based customers for the second straight year. The impressive list of new customers includes: Hong Kong’s Mandarin Oriental Hotel Group, France’s Relais & Chateaux, Japan’s Granvia Hotels, Singapore’s Meritus Hotels and Resorts, U.S.-based Woodfin Hotels and Kerzner, owners of Atlantis Bahamas, Dubai and The One & Only brand.
SynXis’ support team is specifically focused on ensuring all customers are gaining the full benefit of its breadth of merchandising products and services. In this troubled economic climate, SynXis offers its customers a community of experts who can customize a multi-channel approach to address their marketing needs including: Internet marketing to capture the fast-growing direct-to- property channel and revenue management consulting to ensure online and offline promotions are maximizing revenues. SynXis understands that one-size-fits-all tactics do not work for its diverse customer base and as a result of this consultative approach same store sales across the portfolio have been able to buck the trend in this economic downturn and are showing positive growth in the Internet and booking engine channels
“The SynXis team has been instrumental in helping us achieve our goals with bookings across all channels. We have increased booking revenue and made our properties more marketable in ways that have made a huge difference to us,” said Jane Waterworth, director of sales and marketing, for U.K.-based Shire Hotels and Spas. “Our account manager’s expertise helped us boost GDS bookings last year and same property sales increased by 38% year over year, contributing significant incremental revenue.”
“We continue to focus on the specific needs of our customers,” said David Meltzer, vice president of global sales and accounts for SynXis. “While the economic outlook remains questionable for the travel industry, we are encouraged by each success story we’ve been able to play a part in for our customers. And while new sales grow at a record pace, existing customers continue to renew their agreements which indicates a high level of satisfaction with the products and services they are receiving.”
Related Link: SynXis
Article location: http://www.hotelmarketing.com/index.php/content/article/synxis_surpasses_10000_properties_mark/
Priceline.com announced today the launch of its new, enhanced hotel reservation service that makes it easier than ever before to find the best hotels and the best deals. The service provides a streamlined yet powerful shopping experience that provides comprehensive hotel information, multiple search options and priceline.com’s unique hotel guest scorecard/review program for hotels.
Key features of priceline.com’s new hotel reservation service include:
- New, comprehensive guest scorecards for hotels. Most hotels now feature a detailed guest scorecard. The scorecard ranks the hotel’s popularity among Priceline hotel guests and shows when a hotel is ranked among the top-rated hotels for a specific city. Also, each hotel receives a guest satisfaction score in 5 different satisfaction categories - overall quality, cleanliness, staff, location and dining. Unlike other hotel review services that allow anyone to post a review, the priceline.com scorecards are based on surveys that priceline.com hotel guests receive after they’ve completed their stay.
- Enhanced guest hotel reviews and exclusive Zagat reviews and ratings. Now, guest hotel reviews can be sorted and grouped according to 7 different traveler types - solo travelers, groups, seniors, couples, families with teens, families with young children and business travelers. This gives potential hotel guests the ability to search their hotels through the eyes and experiences of like-minded travelers. Priceline.com also offers exclusive hotel and restaurant ratings and reviews from Zagat Survey, LLC.
- Similar hotels. We’ve made narrowing your hotel choices more convenient and quicker. Now, for each hotel, priceline.com also suggests similar popular hotels you might want to consider. This allows hotel shoppers to compare hotels and choose the one that’s right for them.
- Expanded Winning Bids feature. Priceline.com’s successful Winning Bids feature just got a lot bigger and has been expanded to include hundreds of cities around the world. As visitors are shopping hotels on priceline.com, they’ll see examples of recent winning bids from Name Your Own Price® hotel guests for specific star-levels across various neighborhoods in that city. Shoppers can find the best published price hotel, or they can bid up to half-off for a room through priceline.com’s Name Your Own Price hotel service.
- 3 different ways to sort and view hotel listings. 1. Map View. “Virtual pushpins” identify the location of hotels, along with road grids, landmarks and other geographic features. The scrollable, zoom-able map is powered by Microsoft’s Virtual Earth. 2. Matrix View. This popular snapshot view lets travelers quickly see what star levels are in different parts of a city and what the different price points are for each star level. One click lets travelers drill down to the full list of available hotels for an area. 3. List View. Travelers can sort hotels in a destination by most popular among priceline.com customers, lowest price and star rating. They also can find a hotel by specific name or find hotels that are close to various landmarks.
- More hotels. With the challenging economy, more and more hotels have decided to offer their rooms through priceline.com. Priceline.com also has given its hotel guests access to tens of thousands of international hotel offerings from its international hotel reservation service, Booking.com. When you add them all up, priceline.com now gives its hotel guests more than 75,000 hotels to choose from, including over 37,000 in Europe and Asia.
- Virtual hotel tours. Many priceline.com hotels now offer visual 360-degree “virtual tours” of their lobbies, public areas, rooms, spas, pool areas and more. In addition, listings feature amenities summaries and descriptions, photos, maps and guides to nearby restaurants and attractions.
- Faster checkout. Priceline.com’s hotel reservation process has been compressed. Type in your room choice and dates and you’ll be taken to a shortened checkout screen that completes your reservation in minutes.
- Name Your Own Price hotel reservation service. Priceline.com’s hotel reservation service wouldn’t be complete without its famous Name Your Own Price® hotel service that lets customers save up to 50% compared to published rates found online. With priceline.com’s Name Your Own Price hotel reservation service, customers receive their specific hotel information after their reservation is completed.
“Priceline.com’s new hotel reservation service enhances our ability to deliver the best hotels and the best deals to our customers,” said priceline.com’s Senior Vice President, Hotels, Tim Gordon. “We have more hotels than ever before. We have more information than ever before. We have a faster, easier reservation process than ever before. What hasn’t changed are the outstanding deals customers will find through our specially negotiated rates, reduced hotel booking fees, no change/cancel fees and, of course, our famous Name Your Own Price savings.”
Article location: http://www.hotelmarketing.com/index.php/content/article/pricelinecom_launches_new_enhanced_hotel_reservation_service/
The monthly report provides Hitwise data on:
- Top 20 websites for the past month based on visits
- Percentage of traffic to the Travel industry online
- Most popular search terms typed into a search engine that resulted in traffic to websites classified by Hitwise within the ‘Travel’ industry.
- Fast Movers - indicating websites which have witnessed substantial increases in rank in the online Travel industry
Download the full report “Hitwise Monthly Category Report - Travel, May, 2009” (PDF 216KB)
Article location: http://www.hotelmarketing.com/index.php/content/article/hitwise_us_travel_website_ranks_may_2009/
To qualify, travellers simply have to stay for two or more nights at one of the hundreds of hotels and resorts throughout Europe, Africa and the Middle East, belonging to the company’s portfolio of distinctive and compelling brands.
These travel deals on hotel rooms are available for stays up to September 30, 2009 and bookings must be made prior to July 31, 2009. Guests who book at one of Starwood’s city hotels can save 20% if they stay for two nights, or as much as 30% for visits lasting three or more nights. A three-night stay at one of Starwood’s resorts (be it for golf, beach or spa), meanwhile, qualifies for a 20% saving, rising to 30% for bookings of five nights or more. Eternal Summers bookings must be made online, where travellers can also find the terms & conditions of the promotion.
In addition, existing and new members of the Starwood Preferred Guest programme (SPG) qualify for an extra bonus. With every two Eternal Summer nights booked, they will also receive one free weekend night (Friday, Saturday or Sunday). The nights are redeemable without blackout dates through the end of September 2009. Travellers can to register for this hotel promotion and enroll in the programme.
Related Link: Starwood’s Eternal Summers Promotion
Article location: http://www.hotelmarketing.com/index.php/content/article/starwood_hotels_for_30_less/
by Paul Van Meerendonk
As the hospitality industry continues to develop, many hotels are finding it increasingly tough to gain a competitive advantage. Companies are now searching for new areas of business that will set them apart from the competition.
The application of successful revenue management tools and practices is now accepted by most in the industry as a key factor to obtaining a strong market position.
The increased use of internet sites by customers, especially third party booking programs, has dramatically changed the way in which hotels manage room rates and occupancy levels around the clock. In 2008, it is estimated that 40% of all hotel bookings will be generated by internet third party booking sites.
As new technology continues to change the face of the industry it is also dramatically increasing the complexity of implementing and maintaining sound revenue management and pricing strategies.
With the increase in choice of distribution channels for Hotels, it is no longer appropriate to expect a Reservation or Revenue Manager to handle a multitude of manual Extranets to ensure revenue management and pricing integrity. Hoteliers are faced with the choice of having key resources spending hours per day updating these channels manually or create an environment where the implementation of any pricing decisions is largely automated and thereby freeing up these resources to focus on strategically important issues to enhance a Hotels performance.
As the hotel industry continues to move towards a more dynamic and inter-connected environment it is vital that the correct technology infrastructure is in place to meet this need.
Technology must enable a seamless flow of revenue management and pricing decisions between the various systems, thereby reducing the need for human intervention at the tactical level. Revenue Management in a networked world means that revenue decisions are optimized by a Revenue Management System based on internal and external data as well as human input. - The decisions then flow from the Revenue Management System and are implemented across the various internal and external channels in real time.
With the advent of third party booking sites, customers throughout the world are able to book around the clock. The advent of this technology means that an automated and flexible system needs to be in place to meet the ongoing dynamics of demand.
While the option of signing up your hotel with as many third party booking sites as possible may be appealing, it needs to be carefully planned, considered and finally executed with the appropriate systems in place to support it. The appropriate in-house revenue management infrastructure needs to be in place before this is done, or else the time and money being spent will heavily outweigh any financial benefits.
Many hotels find themselves underprepared for the increased workload that comes with having to manually update rates according to information being received from multiple channels.
In light of an increasingly networked operating environment, hotels that still manually alter room rates and various revenue strategies can find themselves lagging behind the competition - both in terms of meeting their revenue potential but also in their ability to deal with different periods of patronage.
Through using a trusted revenue management partner like IDeaS, all the various hotel and third party booking systems and distribution channels are integrated and interfaced so that the information seamlessly flows between all systems in a timely and efficient manner. This provides hotel owners and managers with the confidence that they have the correct systems and strategies in place for whenever potential clients wish to book with them, no matter how they decide to do so.
Paul Van Meerendonk is Senior Consultant at IDeaS
Article location: http://www.hotelmarketing.com/index.php/content/article/revenue_management_in_a_networked_world/
Web analytics is critical to measuring the success of your website as you identify opportunities to improve your business and marketing initiatives. Most marketers are confused with business implications of analytics reports, so it ends up being simpler to track what you know.
Web analytics has made great strides in the past decade, from when hit counters were the most sophisticated metric trackers in use. But there is still a long way to go before analytics is used to its full marketing potential. In this article, I hope to articulate ways that marketers can maximize their analytics solutions. To do so, I will discuss the top 10 signs that the power of analytics is still eluding your company.
Get the full story at iMedia Connection
Article location: http://www.hotelmarketing.com/index.php/content/article/10_signs_you_dont_understand_web_analytics/
It is increasingly clear that the current downturn is fundamentally different from recessions of recent decades. We are experiencing not merely another turn of the business cycle, but a restructuring of the economic order.
For some organizations, near-term survival is the only agenda item. Others are peering through the fog of uncertainty, thinking about how to position themselves once the crisis has passed and things return to normal. The question is, “What will normal look like?” While no one can say how long the crisis will last, what we find on the other side will not look like the normal of recent years. The new normal will be shaped by a confluence of powerful forces—some arising directly from the financial crisis and some that were at work long before it began.
Obviously, there will be significantly less financial leverage in the system. But it is important to realize that the rise in leverage leading up to the crisis had two sources. The first was a legitimate increase in debt due to financial innovation—new instruments and ways of doing business that reduced risk and added value to the economy. The second was a credit bubble fueled by misaligned incentives, irresponsible risk taking, lax oversight, and fraud. Where the former ends and the latter begins is the multitrillion dollar question, but it is clear that the future will reveal significantly lower levels of leverage (and higher prices for risk) than we had come to expect. Business models that rely on high leverage will suffer reduced returns. Companies that boost returns to equity the old fashioned way - through real productivity gains - will be rewarded.
Get the full story at The McKinsey Quarterly
Article location: http://www.hotelmarketing.com/index.php/content/article/the_new_normal/
The worldwide travel and tourism industry was expected to grow by more than 4% in 2009, however the latest forecasts show the industry will in fact shrink with hotels and air travel particularly suffering.
Hotels were forecast to grow by 4.8% in 2009 but are now expected to shrink by -3.6%. Air travel was originally forecast to grow by 5.3% but will now decrease by -2.3%.
Travel and tourism arrivals, departures, hotel and air value sales are now predicted to contract by -1.1, -0.9, -3.6 and -2.3 respectively in 2009.
The latest forecast for 2010 reveal worldwide travel and tourism will return to growth, though the growth is way down on pre-recession forecasts.
Arrivals are now predicted to grow by 2.2% in 2010, compared to the June 2008 forecast of 5.9%. Departures are forecast to grow by 1.8% compared to the previous forecast of 5.4%. Hotels are predicted to grow by nearly one percent compared to the previously forecasted 5.2%, while air travel is forecast to grow by 1% compared to the June 2008 predict of 5.2%
Get the full story at Business 24/7
Article location: http://www.hotelmarketing.com/index.php/content/article/new_forecast_shows_impact_recession_is_having_on_the_travel_industry/
The Hotel Price Index, produced by hotels.com at the end of last year, showed global hotel prices were 12% down. “There is some fairly aggressive price cutting,” added Pocklington.
He maintained there continued to be a shift to booking on the web, with the online sector proving more resilient during the economic downturn.
He added: “From an industry point of view, people will continue to shop around but the shift to online is continuing. I suspect we will continue to see volume growth in the online sector. It’s been very robust this year in terms of transactions. In the UK market our transaction growth was higher than other markets.”
Get the full story at Travolution
Article location: http://www.hotelmarketing.com/index.php/content/article/online_hotel_bookings_more_resilient_during_economic_downturn/
“There’s a lot of talent out there,” says Henry Harteveldt, vice president at Forrester Research, “and an entrepreneur can say, ‘Gee, I’m frustrated with this or that aspect of planning my trip.’ Out of those frustrations can come some great business opportunities.”
Furthermore, says Lorraine Sileo, an analyst at PhoCusWright, the average online traveler looks at three or four sites, with many looking at far more: “You can’t just rely on one site to find everything you need.”
Put it all together - along with low start-up costs - and the plethora of new sites should come as no surprise. Whether they’re all viable is unclear, but in the meantime, here are some of the newest additions to the mix.
Get the full story at NBC
Article location: http://www.hotelmarketing.com/index.php/content/article/surfing_the_wave_of_new_travel_websites/
For some businesses, complexity raises costs. For example, because a pair of shoes sells for the same price regardless of size, it would be better for the footwear industry if we all had the same size feet and it didn’t have to create dozens of patterns of varying widths and lengths of the same style shoe.
But for the travel industry, differentiation and complexity almost always provide opportunity. The more that airlines unbundle, the greater the number of differentiated cabins on a ship, the more ways in which a “standard room” can be valued, the better for the carriers, cruise lines and hoteliers.
And when complexity spills over into consumer confusion, it is travel agents who are the ultimate winners.
Get the full story at Travel Weekly (free registration)
Article location: http://www.hotelmarketing.com/index.php/content/article/complexity_works_in_favor_of_travel_agents/
To give you a benchmark against which to compare this, consider the Shopping & Classifieds Appliances & Electronics category which received 7% of upstream visits from websites in the same category last week and 35% from Search Engines. Similarly, Insurance websites received 11.38% of upstream visits from other Insurance websites last week compared to 23.08% from Search Engines.
Insurance and Appliances and Electronics are highly competitive categories but Hitwise still sees a much higher level of competitive traffic moving within the Travel Agencies category.
Get the full story at Hitwise Intelligence
Article location: http://www.hotelmarketing.com/index.php/content/article/bargain_hunters_jump_from_one_ota_to_the_other/
Just 10% of Twitter users generate more than 90% of the content, a Harvard study of 300,000 users found. Estimates suggest it now has more than 10 million users and is growing faster than any other social network.
However, the Harvard team found that more than half of all people using Twitter updated their page less than once every 74 days. And most people only ever “tweet” once during their lifetime, the researchers found.
“Based on the numbers, Twitter is certainly not a service where everyone who has seen it has instantly loved it,” said Bill Heil, a graduate from Harvard Business School who carried out the work.
On a typical online social network, he said, the top 10% of users accounted for 30% of all production.
Get the full story at BBC News
Article location: http://www.hotelmarketing.com/index.php/content/article/twitter_remains_the_preserve_of_a_few_harvard_study_reveals/
In a survey of 11,000 Yahoo! users in Europe who had visited a travel website in the last three months, trustworthiness, once the preserve of the high street travel agent, has emerged as a key differentiator for successful online travel resources.
Some 60% of respondents across Europe selected trust as the most important consideration over other characteristics including simplicity, friendliness, informative and professionalism. In the UK, however, consumers are looking for simplicity and clarity, with 68% of respondents listing this as the most important factor.
UK users want special offers and deals, a price comparison tool, information on accommodation, travel guides, and photos and video footage.
To enhance the user experience, nearly half (45%) of all those surveyed noted an interest in the further use of multimedia such as video footage.
Yahoo! said people were using the internet more in the evenings rather than watching TV. As a result 56% of those surveyed preferred to look at travel websites on weekday evenings.
Britons are more inclined to travel abroad than other Europeans and more likely to book flights (66%) and airport parking (28%) online.
Article location: http://www.hotelmarketing.com/index.php/content/article/online_travelers_keen_on_user_generated_reviews/
Bing Travel is part of Bing, Microsoft’s new Decision Engine and consumer brand announced on May 28, designed to help people overcome search overload and make faster, more informed decisions when searching online. Bing Travel combines many of the airfare and hotel tools from Microsoft’s 2008 acquisition of Farecast with rich news and editorial content from MSN Travel.
According to a recent survey by Bing Travel, 52 percent of potential travelers search three or more sites before booking their airfare. Forty-two percent of travelers spend between one and four weeks weighing their travel options, and 17 percent spend more than one month. Bing Travel aims to dramatically reduce the amount of time consumers spend searching for travel information by presenting comprehensive results in one place, and to help consumers make more informed decisions with tools such as Price Predictor and Rate Indicator.
“Bing Travel has a simple goal: help people make smarter, more informed decisions regarding travel,” said Hugh Crean, general manager of Bing Travel. “Travelers face plenty of challenges—from airport security and luggage restrictions to finding their hotel in an unknown city or trying to speak a foreign language. Researching and booking travel should be simple and easy, and now Bing Travel is here to help.”
Microsoft research shows that 45 percent of people use a search engine to select a flight or hotel. Bing Travel provides new, innovative travel answers within the Bing search experience. Starting today, people searching on Bing for hotels in a given city with a search such as “Vegas hotels” will get Bing Travel Instant Answers included directly in search results, featuring the Rate Indicator, which helps people choose the right hotel.
Some of Bing Travel’s key features include the following:
- Price Predictor. Bing Travel uses Farecast technology to analyze more than 175 billion airfare observations and predict whether the price of a flight is going up or down. It offers people a recommendation of “Buy Now” or “Wait,” including a confidence level and expected price increase or decrease over the next seven days.
- Rate Indicator. How does someone know if the rate for a hotel is a deal or not? The Rate Indicator analyzes historical rate data from thousands of hotels to determine whether the current price is a good deal, or not a deal at all. People can view a city map with details for each hotel, color coded by Rate Indicator data.
- Travel Deals. Bing Travel features up-to-the-minute flight and hotel deals for nearly 40 cities around the world. When people choose their origin city, Bing Travel will show the best airfare and hotel deals it has and will even show them why particular flights are considered deals. For example, people will see that flights to certain destinations may be a record low, or more than $150 less than the average for a particular route. People can be sure that all Travel Deals are based strictly on science, not marketing.
- Comparison Flight & Hotel Search. Bing Travel makes it fast and easy for consumers to get flight and hotel results and pricing for thousands of destinations worldwide. Finding the right flight or hotel is made simple with tools that allow people to refine results: nonstop flights only, specific airlines, hotels within a mile of an address, and many more. After selecting the hotel or flight, Bing Travel makes booking directly with suppliers or agencies seamless.
- Fare Alerts. Most airfare price drops last less than 48 hours, so people need to be ready to jump when a fare falls. Fare Alerts will notify people if the fares for their trips drop, allowing them to catch lower fares.
- Original travel editorial content. The new Bing Travel combines editorial content from MSN Travel and Farecast to create an in-house team of experts who write daily articles, features, slide shows and blog posts to inspire and educate travelers on destinations, travel news, tips and tricks. Bing Travel also features exclusive editorial content from some of the world’s biggest names in travel, including Peter Greenberg and Pauline Frommer. Bing Travel also licenses content from leading publications such as Travel + Leisure, Budget Travel Inc. and The Wall Street Journal.
Bing Travel Summer Forecast Update
Bing Travel launches at a time when consumers can find significant deals on travel. The “Fareologists” at Bing Travel report that this summer—June through August—airfare is down 23 percent over this time last year, and similarly premium domestic U.S. hotel rates are down 16 percent on average, and as much as 33 percent in some cities. A recent survey by Bing Travel revealed that 55 percent of Americans plan to take a summer trip. Of those planning to skip a vacation this summer, 59 percent cited the recession or money woes as their chief reason.
“We know that a summer vacation isn’t an option for everyone this year, but for those with even a modest travel budget, it will go a long way this year,” said Joel Grus, Bing Travel Fareologist. “We also encourage people to shift how they think about a summer vacation. Instead of flying to Mexico or Hawaii, consider taking advantage of incredibly low hotel rates in a city nearby. Anyone who is creative, flexible and a little savvy can find a trip to fit almost any budget.”
Related Link: Bing Travel
Article location: http://www.hotelmarketing.com/index.php/content/article/microsoft_officially_unveils_bing_travel/
A recent study by Visa has shown that of Asia Pacific countries, Singapore’s (average US$4,018), Hong Kong’s (average US$3,791) and India’s (average US$3,442) shoppers spent most online in the 12 months to December 2008 – and the top three biggest online spend areas were travel related.
The survey said the highest areas of spending in the past 12 months were airline/airline tickets (US$970), online travel agents (US$647) and travel accommodation (US$527).
Mohamad Hafidz, regional head e-commerce Asia Pacific for Visa said: “Our survey shows that online shopping appears to be resilient in the uncertain economy. The ability to browse a wide range of retail offerings to compare prices and seek cheaper buys on the internet seems to be leading budget conscious consumers to shop online.”
Article location: http://www.hotelmarketing.com/index.php/content/article/asia_travel_tops_online_spending/
Sixty-one percent of meeting planners attending the 13th Annual Hospitality Sales & Marketing Association International’s (HSMAI) Affordable Meetings West Conference & Exposition at San Jose McEnery Convention Center in San Jose, Calif. on June 10-11, 2009, stated that they were engaged on Facebook, and 58 percent were members of LinkedIn. Networking and maintaining relationships were the top benefits cited. Just 13 percent said they were using Twitter.
“Technology is actively leveraged by event planners for a competitive edge, but professionals are consistently relying on tools that strategically engage customers and resources at a broad, in-depth and paced level, rather than provide small, bursts of rather impersonal contacts,” stated Dr. James Houran of 20|20 Assessment™. “Event planners still emphasize personal attention as their core business practice, and this is consistent with the current and strong customer demand for enhanced customer service in this era of budget cuts and contingency planning.”
Technology continues to be a top priority in 2009 with 70 percent of planners reporting an increase in technology use in meetings management and marketing. Of those respondents, 74 percent commented that the incorporation of the various technologies made their jobs easier. Thirty percent of planners also cited that they would be looking for event planning software suppliers at this year’s exposition.
“Holding Affordable Meetings® West in San Jose this year puts us in the backyard of Silicon Valley, which seems like an appropriate backdrop for the Event Technology Expo Preview” said Robert A. Gilbert, CHME, CHA, president and CEO of HSMAI. “The ETE preview incorporates educational sessions and suppliers that focus on providing economical solutions for our attendees.”
Other resources planners will be seeking at Affordable Meetings® West include hotels and resorts (80 percent), alternate venues (70 percent), promotional items (44 percent), CVB’s (43 percent) and entertainment (33 percent).
The “Event Technology Expo” Preview features various suppliers in the exhibit hall and incorporates ETE educational sessions into the conference program. ETE educational sessions include, “Get More Done! A Productivity Workshop with the Email Coach” and “Technology Trends Meeting & Event Planners Need to Know.”
More than 600 attendees, representing meeting and event planners from a variety of organizations, with a majority representing corporate, association and independent sectors and the balance from government, non-profit, education, religious and medical/health care organizations, trade show management and the military, are expected to visit HSMAI’s Affordable Meetings® West 2009 show. Attendance at HSMAI’s Affordable Meetings® West is free-of-charge for qualified meeting planners.
Related Link: HSMAI Affordable Meetings
Article location: http://www.hotelmarketing.com/index.php/content/article/meeting_planners_turn_to_social_networks/
The first step whenever you are planning to travel is to do your research! Research is key to choosing a location, picking a hotel, and figuring out where you should visit. One of the best ways to get good information is to read the insight provided by others. This is where social media can play a vital role to getting the best information possible.
While there are hundreds of social media websites you can visit for information, here are recommendations to get you started:
- Nextstop: Nextstop, which we recently reviewed, provides a ton of simple-to-understand, user-generated guides for getting the most out of any locale.
- Where I’ve Been: Not only is Where I’ve Been a popular Facebook application, but it’s also a stand-alone social network as well. Use it to get in-depth information on different.
- Wikitravel: Perhaps the largest collection of user-generated travel information on the web, Wikitravel provides good information on where to go, what to expect, and even information on the culture.
- TripAdvisor: One of the best-known sites in travel, TripAdvisor has millions of reviews that will help you pick out the gems and avoid the disasters.
The key is to look at a wide range user-generated content and reviews to get an overall picture. For more detailed information and social tools for research, check out our article HOW TO: Use Social Media for Travel Research.
Get the full story at Mashable
Article location: http://www.hotelmarketing.com/index.php/content/article/how_to_plan_a_vacation_using_social_media/
Now more than ever, journalists, bloggers and industry influentials use search engines to find subject matter experts, research companies, locate past media coverage and to track topical trends. In fact, a recent survey on journalists’ use of search by TopRank reports that 91% of those journalists, reporters and editors surveyed use search engines to do their jobs.
Traditionally, search engine optimization efforts have been managed by corporate marketing departments – either in-house or through an outside agency. However, will all the opportunities to create value in the form of increased online brand visibility, reputation management and internet based media coverage, public relations deserves a seat at the corporate SEO table.
To achieve that, it’s important that PR professionals understand the foundation of SEO tactics as well as the business benefits for PR efforts as well as to the larger organization.
Get the full story at Online Marketing Blog
Article location: http://www.hotelmarketing.com/index.php/content/article/top_ten_seo_tips_for_pr_professionals/
Article location: http://www.hotelmarketing.com/index.php/content/article/hotelscombined/
Noble Investment Group senior managing principal and CEO Mitesh Shah said on Monday the length of the current economic downturn, now in its 18th month and already longer than most recent lodging industry downturns, meant it would take time for hotel companies to bring corporate rates back to the levels reached in 2007.
Noble, which operates upscale hotels under Marriott, Starwood, Hilton, Hyatt and InterContinental Hotel Group brands, has seen corporate buyers push to lower rates, and they will have the ability to dictate pricing for a while, he said.
“They understand that if they are traveling, they’re one of the very few traveling, so they’ve gotten very aggressive,” Shah said. “That’s not going to change until demand starts increasing.”
Get the full story at BTNonline
Article location: http://www.hotelmarketing.com/index.php/content/article/pressure_on_hotel_rates_not_likely_to_go_away_soon/
Agoda.com, an online travel company specializing in discounted hotel bookings in Asia, today announced a partnership with Marriott International Inc., (NYSE:MAR), the internationally renowned hotel and resort company with 3,100 properties worldwide. The partnership allows distribution of Marriott’s branded, world-class hotels via Agoda’s websites.
The distribution agreement covers all Marriott’s properties worldwide. Agoda.com is considered a specialist in the Asian marketplace and is expected to focus initially on the Asia Pacific region, in popular destinations like Bangkok, Hong Kong and Singapore.
According to Wilfred Fan, Agoda’s Vice President, Business Development, “We are very excited about our partnership with Marriott, one of the most recognized and internationally respected brands. Our ability to generate incremental business via our extensive market coverage throughout the Asia Pacific region is becoming a more attractive proposition to global hotel chains like Marriott. Our investment in technology has also proven a critical factor in sealing this partnership. Hotels are given complete control of their inventory and content, with more flexibility to adapt in the current dynamic environment.”
The partnership provides Marriott with a platform which enables them to move room inventory online more effectively. Agoda will provide Marriott with access to their Yield Control System (YCS) allowing properties to dynamically manage yield rather than focusing on negotiating long-term pricing or allotments. Agoda’s local market expertise will enable it to provide Marriott with advice on frequently changing market situations and trends which can translate into opportunities to increase revenue and growth.
Mr. Oral Muir, Senior Director, Global eCommerce Channels, Marriott International, said “We have been looking for an established online travel partner in Asia with progressive distribution technology and an international focus. This new agreement helps us extend our reach to the ever-growing online consumer market. Agoda’s strong presence, solid technology platform, and international marketing expertise will drive strong results. We are delighted to work with Agoda and confident that the relationship will, no doubt, be a mutually beneficial one.”
Related Link: Agoda
Article location: http://www.hotelmarketing.com/index.php/content/article/marriott_signs_distribution_deal_with_agodacom/
Fly.com offers users unique information and content, in online travel search, including:
- First class fares on all searches;
- Airline product information, such as in-flight entertainment;
- Prices that include all taxes and fees; and
- Travel deals published by Travelzoo, the global leader in travel deals publishing, that are specifically relevant to each airfare search..
Fly.com attributes the growth in site traffic to its ability to satisfy users’ appetite for information on both price and product. In addition to finding the best prices available, Fly.com is the only airfare search engine to show all airlines’ lowest price by cabin on the first results page, via its one-of-a-kind “At-A-Glance” summary display.
Related Link: Fly.com
Article location: http://www.hotelmarketing.com/index.php/content/article/flycom_reports_one_million_monthly_searches/
Nilaya Varma, associate director, PricewaterhouseCoopers, said: “Earlier, Indians were circumspect about using e-payment as they were comfortable paying in cash and through checks.” Moreover, Internet access was expensive and not available everywhere.
“Today, the proliferation of telecommunications networks and mobile phones has filled this gap,” Varma told ZDNet Asia in an e-mail interview. As a result, India’s retail e-payments market is likely to grow by nearly 70 percent in the next two years.
The travel industry too has witnessed a lot of activity in the area of e-payments. According to a survey undertaken by market research company eMarketer, India’s online travel market is predicted to grow by 46 percent per annum between 2007 and 2011 and generate earnings of US$4 billion by 2011.
Get the full story at ZDNet Asia
Article location: http://www.hotelmarketing.com/index.php/content/article/indians_fast_turning_to_e_payments/
Many retail sites have email-a-friend features, which make it easy to ask friends what they think of a product by sending them a link to the page it’s on. But that approach has one big drawback: Shoppers are unlikely to get immediate feedback while they’re still at a retailer’s site, so their decisions may be delayed, putting sales at risk. Some retailers have also tried unsuccessfully to launch their own social networks.
Now, retailers are exploring ways to link their sites to social-networking sites like Facebook, MySpace and Twitter, among others. The biggest networking sites have developed tools that make it possible for a member shopping on a retailer’s site to get immediate feedback in the form of any reviews friends have left there, as well as a history of friends’ purchases on the site. Meanwhile, networking sites and third parties have created tools that allow shoppers on a retailer’s site to post information and opinions about products on a number of social networks, or to chat on the retailer’s site with any friends who happen to be available. And some retailers are making software code available that anyone can use to develop applications that link the retailers’ sites to social networks.
Get the full story at The Wall Street Journal (free content)
Article location: http://www.hotelmarketing.com/index.php/content/article/retailers_see_potential_for_new_business_by_linking_to_social_networking_si/
People prefer to search and interact online in their own language: it’s natural and comfortable. And the more relaxed a potential customer is when they’re browsing an online store, the more likely they will make a purchase. That is, of course, if they even find your site in the first place.
International online visibility is becoming a major priority for online businesses. From big names like Universal Music Group, to the smaller niche e-stores realising their massive potential for sales in relatively untapped markets with newly acquired online access, businesses are cashing in on their ability to be seen online.
Search engine optimisation (SEO) is not a new thing. But international SEO is its newest evolution, and it’s causing a major stir in the online world.
Get the full story at eConsultancy
Article location: http://www.hotelmarketing.com/index.php/content/article/the_online_world_is_more_multilingual_than_ever/
By Doug Kennedy
One such opportunity is the walk-in inquiry. Depending on your market segment, brand, and especially your location, walk-in sales can represent a significant source of additional revenue.
Unfortunately, the hotel industry overall does a less than adequate job of selling to walk-ins. Typically, the car pulls up out front and someone gets out; sometimes it’s the mom, sometimes it’s the dad, sometimes it’s the 12 year old kid. Regardless of who it is, they all ask the same question: “How much are your rooms?” All too often associates simply say “$99 a night.” Nothing more is mentioned other than price. And what’s the worst mistake you can make in sales? Quoting a price without demonstrating value.
When you stop to consider it, the walk-in sales opportunity provides the hotel with some significant advantages over other distribution channels. For one, the sales person can visually evaluate the guests needs and wants. Are they dressed as if on a business trip, or on vacation? What is their age? Are they traveling alone or with family? What is their level of commitment; do they park the car and walk-in with luggage, or do they just run in to find out the price?
A second advantage is that the sales prospect can see the product firsthand and is able to formulate a first impression. (This is why it is critical for hotels to maintain curb appeal.) Another significant advantage in selling to walk-ins is that it takes more effort for the prospect to shop around. It’s harder to get back in the car and drive down the road than it is to click on the next Internet link or to dial the phone number of the next property.
If you’re looking to capture and convert more walk-in inquiries into bookings, here are some training tips to review at your next front office meeting:
- Connect With The Customer. Fundamental guest service principles will help you gain a competitive edge. Greeting the guest before they greet you, establishing eye contact, smiling, and using positive body language will set you apart from competitors.
- Offer A Menu Of Options. Depending on your inventory of rooms and packages, you’ll want to offer two or three choices when possible, versus only quoting the lower rate. For example, offer a traditional guest room and then an executive level room, or non-view and view rooms; or a room versus a suite. Or if your hotel has a limited number of room categories, you might still be able to offer a menu of “rate” options such as a “room only” rate and a second rate option that includes other services (such as breakfast, parking, or Internet.) Offering a menu of options migrates guests into a “which should I choose?” versus “Should I choose to stay here?” decision making process.
- Describe The Room And/Or Rate Option. Common industry terms like “standard room” and “continental breakfast” do little to convey value and to entice guests. Instead, help them take psychological possession by fully describing the furnishings, views, concierge level lounges, and/or continental breakfast presentations. Remember to use the knowledge gained from reading the guest to point out features that might provide a benefit; instead allure and entice them with visually and emotionally descriptive language.
- Avoid positioning last-sell or higher rated options in the negative. When the only rooms available to walk-ins are either the highest-priced or least desirable, which is frequently the case in high-demand situations, it’s important to make them sound as appealing as possible. Rather than saying “Oh, we only have our suites left” instead, create a sense of urgency with “Oh good, we still have some of our suites, which feature…” Instead of saying “All we have left are our limited view rooms,” reiterate value by saying “Although this room does have a limited view, you still have all the same amenities and services as with all our rooms, and I have to say this room really is a great value at this time.
In addition to training your front desk to utilize these and other sales techniques, it’s also important to measure the results both individually and on a department-wide basis. If your property management system allows, assign a special source code to walk-ins. Otherwise, create a form to manually record your results. Of course, you’ll also want to challenge your staff’s competitive spirit by posting the results on a “daily,” MTD, and YTD basis, and then to celebrate your success via staff recognition and/or incentive programs.
By employing the basic sales principles for capturing walk-ins, your front desk team can help your hotel maximize it’s market share even in a down market.
Doug Kennedy, president of the Kennedy Training Network, has been a fixture on the hospitality and tourism industry conference circuit since 1989, having presented over 1,000 conference keynote sessions, educational seminars, and on-premise training workshops for diverse audiences representing every segment of the lodging industry.
Article location: http://www.hotelmarketing.com/index.php/content/article/effective_sales_principles_for_capturing_walk_ins/
Travelocity’s most recent poll shows a dramatic increase in travel intentions, indicating traveler confidence is on the rise. Travelocity’s first-ever Traveler Confidence Report shows that decreasing airfares and lower hotel rates have positively influenced 96 percent of overall respondents’ summer travel plans, inspiring stronger travel intentions for the season ahead. The Traveler Confidence Report gauges travelers’ plans and attitudes now as compared to six months prior.
Traveler Confidence Report Highlights:
- Travel Intentions Up: Travelers planning to increase travel in 2009 is up significantly, with 21% planning to increase travel when asked in April 2009 compared to only 10% planning to increase travel when asked in November 2008.
- Vacation Postponement Down: Travelers planning to decrease travel in 2009 is down significantly, from 34 percent in November 2008 to 24 percent in April 2009. Travelers are also more likely to decrease budgets as opposed to cancelling vacations completely.
- Decreased Airfare and Hotel Rates Have Positive Impact: When asked how lower prices would impact travel plans, 25 percent said lower airfares would allow them to take a trip they had not expected, while 18% said lower hotel rates would allow them to stay at a hotel with higher star rating.
- Travel Budgets Strong: Two-thirds of respondents report their summer travel budgets will remain the same or increase as compared to summer 2008. Of the one-third planning to reduce budgets, the vast majority will do so by 50 percent or less.
“Travelocity predicted 2009 would be the ‘year of the travel deal,’ and so far, that prediction has been correct,” said Genevieve Shaw Brown, Travelocity’s senior editor. “Until now, whether or not travelers would take advantage of these deals has been the subject of much speculation. The Traveler Confidence Report indicates travelers do intend to jump on these deals.”
Article location: http://www.hotelmarketing.com/index.php/content/article/travelocity_issues_traveler_confidence_report/
A recent judgement against Expedia creates a new front in the growing litigation battles facing the Online Travel Agency community.
Some OTAs have elected to suspend the sale of hotel rooms in jurisdictions such as Columbus, Georgia or Baltimore, Maryland where litigation is underway. It is questionable whether this approach could be sustained across a potentially growing number of tourist destinations, particularly with major cities in Texas, the State of Florida and the City of Anaheim now engaged in the process.
The bottom line is that OTA margins, already reduced due to competitive reductions in fees for airline flights and expanded low piece guarantee criteria for hotel bookings and packages, will be under further pressure from hotel merchant tax litigation. With the addition of consumer class actions to the existing mix of local tax jurisdiction suits, profit margins on stand-alone hotel bookings are under intense legal scrutiny and increasing legal expenses to support defense against a growing number of cases that are now advancing through the courts.
Ge the full story at the Gerson Lehrman Group
Article location: http://www.hotelmarketing.com/index.php/content/article/the_ota_litigation_squeeze_play/
The resulting white paper, authored by Market Metrix Co-Founder and Vice President of Research, Dr. Jonathan Barsky, provides interesting insights from around the world, and draws five, significant conclusions that help us understand the marketplace, and the industry’s future.
While the recession has caused serious problems for many hotels across the board, the responses of more than 2,000 Leading Hotel guests from 95 countries, as well as 211 general managers, suggest that a strong rebound may not be farfetched. According to the study, more than half of the respondents indicate that the global economic situation has had no impact on their intent to travel in 2009. Furthermore, 90% of guests say that “leisure travel is of the utmost importance to them and they may delay or cancel other leisure activities before canceling or delaying travel in 2009.” With a mere 9% of general managers citing rate reductions as the strategy they are likely to implement to attract business, it is evident that a positive supply and demand situation is being recognized and forecasted from the hoteliers perspective as well.
Dr. Barsky’s five profound conclusions, expanded further, are as follows:
1. Many luxury consumers intend to travel through the recession - 56% indicate that the recession has not had an impact on their travel plans. For a small percentage (15%), the current state of the economy may be an incentive to travel more. Conversely, the majority of business travelers surveyed said their company has changed travel policies to reduce travel expenditure and to avoid any hint of extravagance.
2. All geographies are not created equal - Travelers from many countries in Europe (e.g. Spain, Germany, Sweden, Switzerland, Austria and the Netherlands) seem to be less affected and report fewer modifications to their travel patterns than travelers from America, Canada, Middle East and Africa. This may be attributed to the social safety net in many European countries.
3. Use of the internet is growing fastest among luxury hotel guests - Nearly eight of 10 respondents said they have read user-generated reviews online and one in three has posted a review. As a result, more managers are focusing on the guest experience and engaging customers during their stays. Additionally, luxury hotel guests have shown the largest increase in internet bookings over the past two years.
4. The luxury guest is changing - Luxury travelers are demanding less pampering, more entertainment. The current economic climate is shifting the mood and type of experience travelers are seeking. Intercultural pursuits and opportunities for personal growth, such as shopping at village green markets, practicing foreign language skills and receiving a local gift at turn-down, now surpass the desire to be pampered.
5. Hotels are protecting the guest experience and ADR - With staff failures having the biggest negative impact on guest loyalty, hotels are being careful to not make hasty staff reductions. In unavoidable situations, managers will likely displace back-office employees or restaurant staff before cutting front-of-house, guest-facing staff.
Download the complete white paper at The Leading Hotels of the World
Article location: http://www.hotelmarketing.com/index.php/content/article/hoteliers_and_passionate_travelers_suggest_a_rebound_is_near/
Many SEO shops see the application of some kind of social campaign as a novelty method of getting links for their clients. And this is where you should stop and think before you reach out to an SEO shop for social, or before it comes to try and sell it to you.
Understanding how a search engine Web crawler works and optimizing Web pages has nothing to do with PR and marketing. And the idea that the big connection between search and social is based on so-called link bait (define) is a short-lived notion.
Online social elements will have a huge impact on search in the future. And it will have little to do with simply attracting links.
Get the full story at ClickZ
Article location: http://www.hotelmarketing.com/index.php/content/article/search_marketers_will_need_new_skills/
1. Google Alerts: Google Alerts is the steady rock in the sometimes white-water world of monitoring. You can easily target keywords that are important to your brand and receive streaming or batched reports—choose your own adventure.
2. Technorati: Billing itself as “the leading blog search engine,” Technorati has been helping bloggers and those with their fingers on the blog pulse stay informed for years.
3. Jodange: Tracking your brand or a product is one thing, but turning that tracking into a measure of consumer sentiment about your brand or product is something completely different. For that, Jodange has TOM (Top of Mind), which tracks consumer sentiment about your brand or product across the Web.
Get the full list at MarketingProfs.com
Article location: http://www.hotelmarketing.com/index.php/content/article/13_essential_social_media_listening_tools/
US web users are currently able to tap into the Farecast-driven flight and hotel search functionality, now operating under the new brand of Bing Travel.
The original Farecast technology of drawing data from airlines, hotels and online travel agencies and using tools to predict when is the best time to make a booking is included in the new system.
Bing Travel will also include a Hotel Rate Indicator to trawl through historical data to indicate via a colour-coded system as to whether a current price for a room is a fair price for the user.
Get the full story including screenshots at Tech Fragments
Read also “Microsoft Bing to launch travel platform in the UK” at Travolution
Related Link: Bing Travel
Article location: http://www.hotelmarketing.com/index.php/content/article/microsoft_launches_bing_travel_search_engine/
Expedia.com is the place to book summer travel because of our unmatched selection, flexibility, and value. With savings of up to 30% off our everyday rates at more than 5,000 hotels across 350 destinations worldwide, travelers can find great deals with our summer sale wherever they’d like to go. Whether it’s a weekend getaway close to home, a family vacation to Hawaii, or a midweek business trip, travelers have more choices for great savings when booking on Expedia.com,” said Tim MacDonald, general manager of Expedia.com. “What’s more, Expedia.com customers can book travel with the confidence that if their plans change, Expedia.com won’t charge them a fee to change or cancel their reservation.” Other online travel agencies charge as much as $30 per person to change or cancel reservations.
From New York to Mexico and Las Vegas to London, Expedia.com’s summer hotel sale features dramatically lower rates at hotels in the most popular destinations around the world. These summer sale discounts are on top of already low rates in many destinations, a combination providing exceptional value for summer travelers. Examples include:
- New York: Over 100 participating summer sale hotels with prices up to 48% lower than last year*
- Cancun: Over 40 participating hotels with prices up to 48% lower than last year
- Las Vegas: Over 40 participating hotels with prices up to 54% lower than last year
- London: Over 30 participating hotels with prices up to 49% lower than last year
- San Francisco: Over 40 participating hotels with prices up to 45% lower than last year
The launch of Expedia.com’s summer sale comes on the heels of sweeping changes to the company’s service policies that provide its travelers increased value and flexibility. Last week, Expedia.com announced the elimination of online air booking fees, as well as change fees and cancel fees from Expedia.com on all hotel, car rental and cruise reservations and on virtually all flight reservations.
*Market level comparisons are based on the average daily rates at participating hotels for stays in June and July 2009, as compared to the average daily rates of stays booked on Expedia at those same hotels for June and July 2008.
Article location: http://www.hotelmarketing.com/index.php/content/article/expediacom_announces_its_biggest_hotel_sale_ever/
Orbitz led the industry with the launch of Price Assurance in June of 2008. Flight Price Assurance promises that customers will get the best Orbitz price for their flights. It’s simple: you book a flight on Orbitz, another Orbitz customer subsequently books the same ticket at a lower published fare, and Orbitz sends you a check for the difference. Price Assurance is a permanent offering that is completely automatic.
“Orbitz is committed to providing travelers great value and peace of mind,” said Barney Harford, president and CEO of Orbitz Worldwide. “We’ve removed booking fees and added the protection of Flight Price Assurance to deliver unbeatable savings to Orbitz customers.”
For more details on no flight booking fees on Orbitz visit orbitz.com/nofees
Article location: http://www.hotelmarketing.com/index.php/content/article/orbitzcom_permanently_removes_flight_booking_fees/
The plaintiffs alleged Expedia charged service fees under false pretenses in violation of its “Terms of Use” agreement with consumers. The lawsuit was filed in 2005 on behalf of Expedia customers by a Seattle law firm and applies to transactions on Expedia.com from Feb. 2003 through Dec. 2006.
In the summary judgment ruling last week, King County Superior Court Judge Monica J. Benton agreed with the plaintiffs that Expedia charged service fees to add to its profit, as well as to defray its costs.
“We believe that the court’s decision is wrong on the law and wrong on the facts,” Expedia said in a statement. “Expedia.com charged its customers a service fee for certain transactions during (the Feb. 2003 to Dec. 2006 period that) was fully disclosed to each customer before a booking was completed, and we are confident that we have fulfilled all applicable obligations to our customers.”
Get the full story at The Seattle Times
Article location: http://www.hotelmarketing.com/index.php/content/article/wash_superior_court_orders_expedia_to_pay_185m/
While the percentage of leisure travelers who report making reservations online has grown more than thirty-seven percent (37%) since the year 2000, “Consumers’ search behavior has changed in recent years as people have become more familiar with search technology and the number of travel planning/purchasing sites has grown exponentially,” said Peter C. Yesawich, chairman and CEO of Ypartnership.
According to the just-released National Travel MONITORSM, fully sixty-six percent (66%) of leisure travelers now use the Internet to plan some aspect of their travel (versus 35% in 2000), while fifty-six percent (56%) now report making reservations online. The nationally representative survey of 1,590 active travelers was conducted during the months of February and March, 2009, and is co-authored annually by Ypartnership and Yankelovich, Inc.
Travelers visit search engines such as Google, Yahoo or MSN first (34%) when considering vacation destination alternatives. The Web sites of specific countries or destination boards are visited next (23%), followed by online travel agencies such as Expedia and Travelocity (22%). Only one percent (1%) of travelers commence their search for a vacation destination by visiting a blog.
Search patterns for selecting an airline or lodging accommodation are understandably different. Consumers who are searching for these travel services first visit the Web sites of online travel agencies (42% and 31%, respectively). Brand-specific sites (41%) follow closely when leisure travelers are selecting an airline, yet significantly less so when they select lodging (21%). Meta search engines that compare fares are visited first by over one-out-of-ten travelers (13%) when selecting an airline.
Related Link: Ypartnership
Article location: http://www.hotelmarketing.com/index.php/content/article/new_study_reveals_changes_in_leisure_travelers_online_search_behavior/
Starting today, Marriott will list one new “Deal” each day, for 24 hours, only at resorts in the Caribbean, Hawaii and California. New deals will be announced daily at 7 am EDT, Monday through Friday, with the last deal announced June 12.
Today’s inaugural Deal of the Day is from the Grand Cayman Marriott Beach Resort. Guests can book a room with a private balcony for $120 per night—a 55 percent discount—for stays of three nights or more through July 31, 2009. The resort, situated on the world-famous Seven Mile Beach, also features a serene turtle lagoon and tropical gardens with walkways and private seating areas. Guests can enjoy the on-site spa and choose from four restaurants. To book, visit http://www.Marriottdealoftheday.com. Check back in less than 24 hours for the next vacation Deal of the Day.
Discounts will vary each day and by resort, which include the Marriott(R) Hotels & Resorts, JW Marriott(R) Hotels & Resorts and Renaissance(R) Hotels & Resorts brands. For example, you may find:
- a discount on the daily room rate; or
- free nights based on a minimum length of stay; and
- free services and amenities included as well, such as free breakfast.
Marriott is not revealing the exact resorts until their particular Deal of the Day is announced. However, the majority of the resorts will be beach locations. All will offer spa services and swimming pools on site. Recreational activities, such as golf, will be located at the resort or nearby. Each resort will feature fine dining options.
Remember to check Twitter.com/marriottintl or Marriottdealoftheday.com daily because the deeply discounted rates will only be available for 24 hours.
Related Link: Marriott Deal of the Day
Article location: http://www.hotelmarketing.com/index.php/content/article/marriott_launches_deal_of_the_day_exclusively_on_twitter/
Expedia.com said Wednesday it will stop charging fees when customers book airline tickets over the Internet, upping the ante in the competition among online travel agencies.
Rival online agencies Orbitz.com, a unit of Orbitz Worldwide Inc., and Sabre Holdings Corp.’s Travelocity.com also had eliminated booking fees on a promotional basis. The companies declined to comment on possible next steps. “Orbitz intends to remain a competitive place to book online,” a spokesman said. A Travelocity spokesman said: “We’re continuing to waive booking fees through this month.”
Other companies, including Priceline.com Inc. and Expedia Inc.’s Hotwire.com, permanently stopped charging airline booking fees in 2007 on most tickets.
Eliminates change and cancel fees
In addition, the company announced new changes to its service policies, eliminating change fees and cancel fees on all hotel, car rental and cruise reservations and on virtually all flight reservations.
The removal of Expedia.com change fees and cancel fees on all hotel, car rental and cruise reservations and on nearly all flight reservations allows travelers an unprecedented level of flexibility. Some other online travel providers charge as much as $30 per person to change or cancel flight or hotel reservations booked with them.
“Today we are announcing the next step in Expedia.com’s ongoing efforts to provide our travelers the greatest selection, flexibility and value available anywhere in travel. Our aim is to be the single best place for people to book their travel. This is all part of our commitment at Expedia.com to put the traveler first in everything we do,” said Tim MacDonald, general manager of Expedia.com.
Get the full story at The Wall Street Journal (free content)
Article location: http://www.hotelmarketing.com/index.php/content/article/expedia_makes_no_fee_policy_for_airline_bookings_permanent/
Cameron Jones, director of business development for Expedia Affiliate Network, said. “It’s gone down so well that we’ve accelerated our plans for other countries in Europe, and there will be some announcements soon.”
When Travolution talked to TAAP in March, there were 200 agents signed up, with hotels the main driver of business. It now has 300 agents signed up, with dynamic packaging starting to gain traction in the run-up to the peak holiday season.
“Hotels and dynamic packaging are generating the bulk of the revenue for us, but there is a move towards the packaging. We’ve seen that customers want the security of a package holiday, and what we offer is ATOL-protected security but with a more flexible product than tour operator packages.”
Get the full story at Travolution
Article location: http://www.hotelmarketing.com/index.php/content/article/expedia_to_roll_out_affiliate_program_across_europe/
The first chapter of Hyatt Travel Specialist course’s introduces one to a hotel company that began 50 years ago. A ‘what’s in it for you’ component shows many programmes established for travel agents, including commissions, travel agent room rates, rewards programmes, welcome client gifts and special sales initiatives.
Hyatt’s six brands — Park Hyatt, Andaz, Grand Hyatt, Hyatt Regency, Hyatt Place and Hyatt Summerfield Suites — are explored in detail in the second chapter. The key selling features and guest profile are offered for each brand. Location links are provided to give access to each brand’s properties.
The third chapter examines how to sell leisure travel with Hyatt Resorts, including key selling features and guest profiles. This chapter also outlines Hyatt’s successful leisure programmes, such as Hyatt Pure Spas, golf, Camp Hyatt and families and destination weddings and honeymoons.
Business Travel, Meetings & Events are the fourth chapter’s focus. This section examines how you can sell Hyatt to the individual corporate/business traveller, as well as small meetings, incentives and conventions across all brands.
Related Link: TravelAgentAcademy.com
Article location: http://www.hotelmarketing.com/index.php/content/article/hyatt_launches_online_educational_program/
Jack Taras and his friends thought they would be checking in at the Occidental Grand Hotel on the Dominican Republic’s postcard-perfect Eastern shore for spring break. But when Taras, a 19-year-old sophomore from Providence College, arrived at the resort, he was greeted with the hotel industry’s latest trick: he was walked down.
“They were sent to a hotel that wasn’t as nice,” says his father, John Taras. He phoned his son’s online travel agency, Cheaptickets.com, and asked about the downgrade, which lasted the full five nights of Jack’s stay. It deferred to the hotel, which offered an apology and a vague explanation of a “computer mishap” that resulted in an overbooking.
“Walking” is a practice that’s as old as the hotel industry. When a resort is overbooked, it typically sends a guest to a comparable property, covering the cost of transportation, a phone call and accommodations. But somewhere along the way—probably at the start of the current recession—the word “comparable” was conveniently dropped, and hotels quietly began sending guests to lesser properties.
Get the full story at CNN
Article location: http://www.hotelmarketing.com/index.php/content/article/5_tips_for_avoiding_the_latest_hotel_scam/
The most widely used platform for discovering and viewing video online was YouTube, followed by e-mail, music sites, Yahoo! and news sites. Sharing appears to happen mainly among close friends, as 72% of video-sharers sent to just one, two or three people.
The age of online video viewers trends younger: 82% of teens (16-to-17-year-olds) and young adults (18 to 24) streamed video, compared with 73% of Generation X (25 to 34) and 65% of older boomers (55 to 64) who said they watched.
Online video-sharing was less common, with only 46% of users participating. While teen, young adult and Gen X sharing percentages hovered around 50%, the older the Internet users, the less likely they were to send videos.
Get the full story at eMarketer
Article location: http://www.hotelmarketing.com/index.php/content/article/how_people_share_online_video/
For high-end shoppers on Madison and Fifth Avenues in New York, the hottest must-have accessory for 2009 is not the crocodile cuff bracelet, the snakeskin clutch or the python leather purse—it’s the plain paper bag.
That was the consensus of a recent Penn Fashion Week panel discussion titled, “Can Luxury Survive the Economy,” hosted by Wharton. “It used to be that you’d buy a pencil just to get the bag” with an up-market label, said panelist Antonia Thompson of Robert Burke Associates, a strategic consultant for luxury vendors such as wedding dress designer Vera Wang, jeweler Fred Leighton and retailer Bergdorf Goodman. But extravagance isn’t what it used to be. These days, even the have-a-lots are feeling pangs of recession. Since the economy has soured, consumers of luxury items have scaled back on their spending, and those still shopping are being more discreet.
“It’s a little bit gauche to be ostentatious with your purchasing,” said Roxanne Paschall, senior merchandising director at luxury Italian brand Bottega Veneta. Customers are asking for plain white bags, no boxes, or requesting goods be delivered later to their hotels. “They don’t want everyone to know. They don’t want to flaunt.”
Get the full story at Knowledge@Wharton
Article location: http://www.hotelmarketing.com/index.php/content/article/the_new_high_end_consumer/
Although one of the first industries to take advantage of the web - effectively disintermediating agents whose phones went quiet while sites like Expedia and Travelocity glowed red hot - it did nothing other than automate some very simple processes.
Elsewhere on the web people have had to work harder for the dollar, which has led to an Internet full of innovation, culminating in the social web that has emerged in recent years.
The web is no longer a simple information resource, it is at once a library, a conversation, a market, a social gathering and a lifestyle. While the travel industry tries to divert then convert customers, the future lays in steering them by knowing them better, understanding their needs and offering them travel suggestions with value instead of managed search results.
Get the full story at the Travolution Blog
Article location: http://www.hotelmarketing.com/index.php/content/article/is_the_travel_sector_stuck_in_web_10/
The emergence of the “semantic web” is ushering in a new wave of openness and accessibility. XML feeds and APIs are becoming increasingly popular, making it easier for sites to partner with each other and offer valuable services to their users. Single sign-on services such as Facebook Connect and OpenID further enable the sharing of information between sites.
“Advents such as these facilitate the incorporation of user-generated content on your site, thus allowing you to leverage users’ input in a collaborative way to enhance your product,” says Kayak.com’s manager search marketing, Shehzad Daredia.
Citing an example, he said, TravelPost displays hotel ratings and reviews that were posted directly on TravelPost as well as reviews from 200+ other sites, such as Yahoo Travel and IgoUgo. These new services also provide the added benefit of publishing your users’ site actions to other destinations on the web; for example, Kayak allows users to publish their searches to their Facebook profiles, and TravelPost allows users to post hotel reviews to both TravelPost and Facebook simultaneously.
Evolution
The industry is already seeing hints of the more intelligent web in the guise of meta search engines, review aggregation sites, price-scraping engines, social trip-planning tools, global wish lists, etc. Web 2.0 travel companies are working to gather information from multiple sources that already exist on the web, in ways that are valuable to travel consumers. As a travel supplier or intermediary, the challenge is to make your website and/or social media campaign flexible enough to be intelligently absorbed by these new web tools.
“We are truly witnessing rapid evolution in the online travel landscape,” said Daredia, who is scheduled to speak during the forthcoming Online Marketing Strategies for Travel USA 2009 Conference (June 3-4, Miami). For more information, click here: events.eyefortravel.com/online-marketing/agenda.asp.
“We believe Kayak and our new hotel meta-information site, TravelPost, are at the forefront of this trend, providing consumers with leading travel search technology to help them research and book the perfect trip amongst the many options that are available to them. In addition, we offer travel advertisers the ability to engage with the 35 million travelers who search the Kayak.com network of travel sites each month. Vertical search sites such as Kayak.com convert at rates 2-4 times higher than generic search sites such as Google, and travel marketers are subsequently directing more travel spend on these sites.”
Travel planning
One of the fundamental attractions of the Internet is that it provides the consumer with an unmatched number of choices – all just one click away. Seemingly every week a new site launches aiming to meet a need from the popular to the obscure. However, the relatively low cost of startup and distribution online can breed an overwhelming array of choices of widely ranging quality which take time to visit and sort out. This is where consumers need guidance in finding the best sites and deals quickly.
Considering this, is the success of web 2.0 travel sites and content types making planning process harder for travellers? Daredia doesn’t think this is the case.
“The average online traveler visits a minimum of five sites before booking. At Kayak.com, we search more than 440 travel brands and present hundreds of options for the user to compare. We also provide powerful sorting and filtering tools that help users find the perfect itinerary at the right price. Then we provide a choice of where to purchase--directly from the supplier or from an online travel agency,” he said.
“Sites like TravelPost provide hotel information for more than 140,000 hotels. Finally, on one site, users can review hotel information, photos, reviews, rates and availability. We also applied the Kayak.com filters to reviews so travellers can sort through hundreds of reviews and find reviews only from people like them,” he said.
Related Link: EyeForTravel Online Marketing Strategies for Travel USA 2009 Conference
Article location: http://www.hotelmarketing.com/index.php/content/article/kayak_on_the_semantic_web/
Travelocity customers will now have a greatly expanded selection of specialty lodging in unique destinations from Cape Cod to Newport, RI, to Savannah and Napa Valley. BedandBreakfast.com’s properties are spread across 1100 unique destinations in almost countries, often in areas with very little in the way of chain hotels.
BedandBreakfast.com’s properties will be seamlessly linked to the Travelocity Merchant Hotel program for rates, availability, and reservations, providing innkeepers with direct, seamless access to Travelocity’s users around the globe. Innkeepers will manage their inventory just as they have been in the past through the BedandBreakfast.com Global Online Reservations Program, but their availability will automatically be added to the Travelocity website. The parties are planning to make BedandBreakfast.com’s properties available on Travelocity in the fall of 2009. RezOvation GT and Webervations customers will also be able to enjoy the same seamless access to Travelocity as they now have to BedandBreakfast.com’s current distribution network including Expedia, hotels.com, Kayak, Sidestep, NexTag, Vast.com, Uptake, NileGuide, and thousands of other affiliate websites.
“Travelocity has always been a global leader in online travel and we look forward to giving our participating inns access to their distribution,” commented BedandBreakfast.com CEO Eric Goldreyer. “We think Travelocity consumers will benefit tremendously from the additional geographic coverage, and our participating inns will benefit from the increased international exposure that a site like Travelocity offers.”
According to David Levine, Director of Global Accounts for Travelocity; “As consumers look for more and more unique travel options, inns and B&Bs are increasingly in demand. We are happy to be able to bring such a large number and variety of these properties to our consumers through a company like
BedandBreakfast.com”.
Related Link: BedandBreakfast.com
Article location: http://www.hotelmarketing.com/index.php/content/article/travelocity_to_feature_bbs/
Generally, the system works like this: A guest uses Wi-Fi to download an Internet page that contains the hotel’s online menu. Once the order is placed, the system directly bills the room or the credit card. Some hotels also allow housekeeping, valet and requests for services such as additional towels or wake-up calls to be ordered online.
Omni Hotels has been testing an online order application at Omni Mandalay in Irving, Texas, since last year. Developed by Vancouver, Wash.-based GBCblue, the system will be expanded to several other Omni properties in coming months. The company hopes to install it chain-wide by the end of the year, says Kerry Kennedy, Omni’s director of e-commerce.
Starwood Hotels has approved GBCblue’s technology for all of its hotels, says Joe Adkisson of GBCblue.
Get the full story at USA TODAY
Article location: http://www.hotelmarketing.com/index.php/content/article/hotels_placing_room_service_menus_online/
Foremost on the list is listening to what people are saying about you. I’m not talking about monitoring but actually listening. Rohit Bhargava makes this point and refers to it as “active” listening: Not just tracking a conversation but thinking about what people are really talking about and how it relates across the departments that make up your larger organization—and which together are responsible for and drive the conversations you’ve discovered.
Number two on your “Get Started” list comes right out of Groundswell: get clear about your business objectives, what you are trying to accomplish, and what you are aiming at. Business objectives (or organizational goals for nonprofits) always come first. At least to a first approximation, if what someone in a marketing role is doing is not in some way driving the business, he probably ought not be doing it.
Get the full story at ClickZ
Article location: http://www.hotelmarketing.com/index.php/content/article/get_started_with_social_media/
There is some good news and bad news about workplace social media.
The good news, according to Deloitte, is that nearly one-third (30%) of executives said social networking is a part of their business and operations strategy.
A smaller, but still significant, number reported leveraging the Web 2.0 tools to build their brand, communicate internally, recruit employees and engage the workforce.
However, 55% of executives admitted that their companies do not have an official policy for social networks—and 22% would like to use social nets, but don’t know how.
Get the full story at eMarketer
Article location: http://www.hotelmarketing.com/index.php/content/article/the_problem_with_social_media_in_the_office/
This decline reflects a dramatic shift in consumer demand levels, and new research from PhoCusWright’s Consumer Travel Report provides valuable insight into the changing behavior of today’s traveler.
Top U.S. Traveler Trends
Move over boomers—Generation Y has come of age
Twenty-five to 34 year olds are spending the most per household on travel and 18-34 year olds are significantly more likely than older age groups to indicate that they plan to travel more this year.
While boomers are commonly described as the wealthiest generation, the 45-64 age group is spending the least per household on travel and is also the most likely to reduce travel spend this year.
It is going to get worse before it gets better
Consumers who spend more than average on travel are more likely to reduce travel expenditure this year, and those that spend less than average are more likely to actually increase travel expenditure this year. The result of this mixed bag of intentions is that overall expenditure will decline considerably across the board, but budget brands will experience a smaller decline than upscale brands.
Online travel agencies will fare better than other channels
It may seem surprising given the recent flurry of fee cuts and revenue-eroding promotions from online travel agencies (OTAs) like Expedia and Orbitz, but OTAs will outperform other channels in year over year bookings because of their consumer base.
Online travel is mature but not saturated
Though the majority of travelers typically book online, there is still plenty of opportunity to grow online transactions. Consumers that spend the most on travel still use a mix of online and offline methods.
Travel search engines are (finally) making a mainstream impact
Travel search engines like Kayak are not new to the travel industry, but are now becoming a mainstream element in the travel planning process. Over a quarter (28%) of travelers typically turn to them when shopping for travel and new entrants like TripAdvisor will continue to broaden the audience.
PhoCusWright’s Consumer Travel Report uncovers the detailed behaviors and attitudes of the U.S. traveler and helps companies understand how consumers are adjusting travel behaviors and reacting to market trends.
Related Link: PhoCusWright Inc.
Article location: http://www.hotelmarketing.com/index.php/content/article/top_us_traveler_trends_according_to_phocuswright/
Similar lawsuits are in motion around the country, including state and local cases in South Carolina. In the statewide case here, a judge also has said the companies should be paying taxes on the higher retail room rates that customers pay instead of wholesale rates.
While Columbus is the only city it has dropped so far, a spokesman for Expedia, the company involved in the S.C. case, said the company will consider the same action in any jurisdiction seeking higher tax levels.
“While we’re not going to be categorical at this point, the answer is yes, we will look at each jurisdiction,” said Brent Thompson.
Get the full story at Charlston Business Journal
Article location: http://www.hotelmarketing.com/index.php/content/article/tax_suit_leads_expedia_to_drop_georgia_citys_hotels/
The firm’s revenue growth in the second quarter so far is in line with its previous forecast of 10 to 15 percent, Jane Sun, the firm’s chief financial officer, said at the Reuters Global Technology Summit in Shanghai.
“If GDP expands by 8 percent this year, we are confident of meeting our growth projection. But if the economy slips and swine flu spreads, the situation would be out of our control,” Sun said.
Ctrip’s first-quarter profit beat Wall Street expectations, helped by a 9 percent rise in hotel reservation revenue.
Get the full story at Reuters
Article location: http://www.hotelmarketing.com/index.php/content/article/ctrip_eyes_10_15_percent_sales_growth_in_09/