TripAdvisor has announced the results of the third installment of TripBarometer, the world’s largest accommodation and traveller survey. This biannual study, conducted on behalf of TripAdvisor by independent research firm Ipsos, highlights country, regional and global travel trends, according to more than 61,000 travellers and hoteliers around the world. Revealing changes in consumer spending plans and worldwide travel patterns, the TripBarometer also reports behavioural differences in planning and booking habits of travellers at different life stages.
The results of the latest TripBarometer study paint a positive picture for the global travel industry - overall, travellers are planning to spend more on their holidays in 2014 with the average annual traveller spend rising from $USD 5,955 in 2013 to $USD 6,136 for this year, an increase of three percent.
Additionally, the proportion of travellers planning to travel more has increased across almost all markets. This year, 90 percent of global travellers are planning to travel domestically (up from 87 percent in 2013) and 77 percent plan to travel internationally, up 12 percent compared to 2013 (65%).
Growth in international travel mirrored by hotelier confidence
The increase in travel budgets and travel plans is reflected in business confidence, with 70 percent of hoteliers globally saying they are optimistic about their profitability in the year ahead (up from 67% in 2013). The biggest influence on local optimism is local events (70%).
While the proportion of global businesses planning to open new properties has dropped compared to last year (14% in 2014, down from 17% globally in 2013), those who do plan to build this year are attributing this to feeling confident about the tourism sector.
Although just one in five global hoteliers plan to hire staff, an encouraging 37 percent of accommodation businesses will be investing in staff training, perhaps indicating renewed efforts to deliver excellent customer service.
Down-under dreaming – Australia and Italy top global travellers’ wish list
As we look ahead to the next 12 to 24 months in further positive travel news, Australia and Italy top the list of destinations travellers would choose to visit if money was no object. Austria, Canada, China, France, Germany, Ireland, Italy, Portugal, South Africa, Spain, Switzerland, the UK and the US all listed Australia in their top three. Meanwhile, Europe tops the list of places global travellers plan to visit (46%), followed by Asia (39%) and North America (32%).
“Exploration is back on the agenda in 2014, with more travellers planning international trips this year,” said Marc Charron, President, TripAdvisor for Business. “TripBarometer offers up insights into the needs and behaviours of consumers in today’s rapidly changing travel marketplace, providing valuable insights for hospitality businesses looking to attract new audiences. Travellers are upping their budgets but they are looking for bargains, expecting their accommodation of choice to deliver on value. Special offers, complimentary amenities and exceptional service are all going to be important factors in swaying potential guests.”
Online and offline co-exist for travel planning, but user-generated content reigns
Most travellers (65%) start planning their trip at least three to four months before they intend to go, with just under a third (32%) expecting to book one month ahead of their trip. In contrast, the majority of hoteliers (65%) estimate that most of their bookings take place within four weeks of the guest’s date of arrival, with the length of time increasing slightly for resorts.
When it comes to travel planning, online dominates, with 98 percent of travellers using online resources – 74 percent of global respondents cite ‘TripAdvisor’ as the most commonly used online source when researching and planning holidays. Yet online and offline co-exist, with many also using offline means, including word of mouth and travel guide books or brochures.
With people turning online to plan and book their holidays, it comes as no surprise that hoteliers are placing higher importance on online reviews than price in terms of influencing travellers’ booking decisions. They perceive online reviews (64%) to have the biggest impact when travellers book accommodation, followed by price (50%) and recommendations from friends and family (45%). The results suggest that although hoteliers know price is an important factor, they believe that the room rate combined with a good online reputation will ultimately influence travellers’ booking decisions.
Mobile booking on the up, but global uptake still slow
Globally, travellers are attached to their mobiles, with 91 percent saying they use their smartphones on holiday. One in four travellers (37%) use their smartphone to find things to do, and a quarter (27%) are searching for hotels. Despite the increasing number of travellers using their mobile to plan and research, the trend has not yet crossed over to the booking stage.
Twenty-four percent booked offline. Whilst online bookings are commonplace, mobile bookings are emerging slowly. Just four percent of travellers globally booked the accommodation for their last trip via mobile, however China is leading the pack with 10 percent of Chinese booking via mobile, followed closely by Thailand (9%), and Indonesia and Malaysia (7%). This behaviour implies a ‘leapfrogging’ from offline to mobile channels in Asian markets, with travellers in this region more likely than others to have booked their last trip either via mobile (6%) or offline (27%).
Travellers who booked their last holiday via mobile are also the most likely to state that a good deal or special offer always determines their destination choice (20%), more so than respondents who used any other booking channel.
Three quarters of hoteliers (76%) already have a mobile offering for travellers in place, and of those who don’t, 50 percent plan to introduce a mobile offering in 2014. Almost half (45%) allow guests to book rooms via their website on a mobile device, and 38 percent have a mobile friendly website.
“While the importance of mobile is accepted by the travel industry, and as evidenced by travellers using their smartphones in increasing numbers while in destination, there is still a tremendous opportunity when it comes to booking,” said Barbara Messing, CMO, TripAdvisor. “Hotels are gearing up to welcome bookings via mobile and travellers are already researching hotels on their phones – the next step is facilitating the booking process on mobile devices to reach more people on the go.”
Related Link: TripAdvisor's TripBarometer
Article location: http://hotelmarketing.com/index.php/content/article/global_uptake_in_mobile_hotel_bookings_still_slow
Everyday that goes by, and we read yet another article or blog post about new milestones reached by this or that social media. And if you pay close attention, many of them involve the travel and hospitality vertical. For example:
- Facebook now has close to one billion active users on mobile, which represents 84% of its total user base of 1.23 billion. And what’s the most shared topic? Travel. Did you notice some of the changes in the past year, such as the new “traveling to” feature, the star-rated system for hotels and restaurants, or even Graph Search that helps users “find people, places and things”?
- Pinterest is rumored to launch a new travel product shortly, called “Choose your own adventure”, aiming for a bigger play in the travel space. Already, its most recent feature launched at the end of 2013 were “Place Pins”, seeking to get more location-based information and itineraries on various boards. Here again, it seems travel is the most popular topic shared through pictures and pins. Read: Pinterest and Travel: A Match Made in Social Media Heaven.
- TripAdvisor has seen its usage increase exponentially in the past year. Some 100 million comments were written between 2000 and 2012, then 50 million were written… in 2013 alone! TripAdvisor is now a travel meta-search engine, making it a one-stop shop for many in their travel decision-making process.
- Instagram, which now has over 200 million active users, has become a de facto tool for most travel destinations creating hashtags to curate best photos from locals and tourists alike. For more on this, read 4 Creative Uses of Instagram in Destination Marketing.
- LinkedIn is turning itself into a full-fledged publishing platform, having now reached the 300 million users milestone. Brand pages no longer have “products and services” tabs, but rather “Showcase” pages where content shared is the name of the game.
Okay, so how do brands manage their presence across these and many other online platforms in order to communicate, engage in conversations and draw the attention of potential travelers? Will we reach a point when too much content will kill the content?
Get the full story at Frederic Gonzalo's blog
Article location: http://hotelmarketing.com/index.php/content/article/will_there_be_content_shock_in_travel
“We really demystify what outstanding service is,” Diana Oreck, vice president of Ritz-Carlton’s Leadership Center, Washington. “There are so many companies that over-analyze it. At the end of the day we’re all consumers and know that when we get great service, it’s poetry in motion, it’s choreographed ballet.
“We’re no longer in a transactional economy and for 31 years The Ritz-Carlton has always been about creating unique, personable experiences, and now other industries are catching up, regardless of what industry they’re in,” she said.
“The difference between a satisfied and engaged customer is the heart and if you have a satisfied customer, that’s not competitive.”
Get the full story at Luxury Daily
Article location: http://hotelmarketing.com/index.php/content/article/ritz_carlton_demystifies_customer_culture
“I don’t believe meeting planners are choosing a hotel based on (Leadership in Energy and Environmental Design) certification,” said Tom Santora, chief marketing officer and senior VP of sales for Omni Hotels & Resorts. “Those things are nice, but at the end of the day it’s about availability, space, flow of meeting, quality of food and service. Those things trump green.
“However, if you’re doing those things from a green perspective, it adds value to meetings as something (for planners) to tout to their attendees and to their superiors,” he said.
An increasing number of planners consider a hotel’s green programs to be important in making booking decisions, said Jeff Chase, VP of sustainability for Freeman, a logistics management company that helps associations and corporations arrange and produce meetings.
Get the full story at HotelNewsNow
Article location: http://hotelmarketing.com/index.php/content/article/hotel_meeting_planners_look_for_green
Soon, all businesses running numerous campaigns (whether a few dozen or several thousand) will be able to take advantage of:
- Bulk actions - Make bulk edits like location targeting, ad rotation etc.
- Automated bidding - Soon advertisers will be able to set up automated bidding to either maximize conversions or maximize revenues. Google notes that this was "once only available in third-party tools."
- Enhanced reporting - Google is also introducing some cool advanced reporting features, essentially Excel for AdWords. We'll have access to visualization tools and drag-and-drop pivot tables. Instead of moving data over into Excel for manipulation, you'll be able to create reporting with live data. This is pretty awesome.
- “Your Own Lab” - Similar to AdWords Campaign Experiments (ACE), this new feature allows you to make changes in "draft mode" so you can see, based on real data, what effect changes would have on your campaigns, in order to make more data-driven decisions.
Get the full story at Social Media Today
Article location: http://hotelmarketing.com/index.php/content/article/google_adwords_introduces_new_enterprise_class_tools
in case that Penguin alone was not able to definitively eradicate the effects of link spam, Google has dramatically increased the number of manual penalties and actions against everything that Google tends to be defined as a link network (hence guest blogging platforms too).
With the SERPs “cleaned” of thin and poor value search results (Panda ) and the result of link spam results (Penguin), the quality has improved … but not that much.
As in a nightmare without an end, their place wasn’t taken by immaculate and highly valuable web documents. No, for the most part we began to see how the good old exact match domains sites conquered the SERPs.
Google, therefore , launched the EMD update. But it launched only on Google.com and for English queries, forgetting the regional Googles; and more than one year an half has passed.
Get the full story at State of Digital
Article location: http://hotelmarketing.com/index.php/content/article/is_google_broken_when_it_comes_to_regional_search
Providing a single integrated view of guest history, value, behavior, desire, intent and engagement, Cendyn/ONE's cloud-based software and services platform allows marketers to capture, store and analyze a hotel or brand's unique data to make it actionable, creating new and compelling ways to drive a more profitable marketing outcome.
"With Big Data, the goal is not only to collect the information, but to learn from it to increase conversions, establish brand loyalty, and create the best user experience," said Cendyn/ONE President Tim Sullivan. "Hotels that don't have the technology and people in place to leverage the flood of data being generated by their guests are now at a distinct disadvantage."
Cendyn/ONE's team of data integration, analysis and optimization experts seamlessly combine first and third party data sources to create dynamically generated, one-to-one marketing across all digital channels: email, web, display, mobile, video, social and search. Ultimately, this approach results in significantly higher marketing ROI while increasing overall guest satisfaction and loyalty.
"We have delivered more than one billion targeted communications over the past year," added Cendyn/ONE President, Tim Sullivan. "On average our data-driven approach has proven to be four times more effective at driving results."
"By launching Cendyn/ONE, we are providing a critical service for hotels and brands to utilize cloud- based CRM, data-driven digital marketing, and interactive design to communicate with potential, current and past guests," said Cendyn Corp. CEO Charles Deyo. "The platform creates a competitive advantage that is essential in today's digital marketplace."
Related Link: Cendyn/ONE
Article location: http://hotelmarketing.com/index.php/content/article/cendyn_launches_cendyn_one
Corp is a comprehensive yet easy to use hotel rate intelligence solution. This endorsement will enable all of Absolute Hotel Services Groups hotels and resorts to check room rates across all channels while analyzing room rates of their competitive sets and rate positioning across multiple hotel websites, third party sales channels and online travel agents (OTA) to ensure that they are driving maximum revenues by always selling the right rate at the right time.
“We hope this selection will greatly contribute to understanding our customers and the challenges they face while buying through a larger distribution base,” said Jonathan Wigley, CEO of Absolute Hotel Services Group.
“Absolute Hotel Services is one of the reputed brands in the hospitality space and we are glad that they have chosen our intuitive price intelligence tool - Corp. The tool will help them monitor their member hotel positions and provide greater control over rates by flagging discrepancies and noncompliance automatically. Absolute Hotel Services can access market intelligence through online reports, scheduled reports and ranking reports for improved rate decisions and to maintain parity and position across channels,” said John Seaton, VP Sales - APAC & EMEA, eRevMax.
Corp offers complete rate transparencies to hotels, travel intermediaries like Online Travel Agents, Corporate Travel Planners, Event Managers and Travel Management Companies, to stay ahead in market dynamics. Any rate anomaly is automatically notified to the property through an e-mail alert, thereby eliminating the need for manual intervention. Data can be extracted from thousands of travel websites and hotel sites including the Global Distribution Systems (GDS).
Related Link: eRevMax
Article location: http://hotelmarketing.com/index.php/content/article/absolute_hotel_services_implements_ratetiger
New York State attorney general Eric Schneiderman Monday filed an affidavit with the state Supreme Court in Albany claiming that the majority of Airbnb listings in New York are illegal. Arguments are expected to begin tomorrow.
Schneiderman is seeking user data from Airbnb in a subpoena that was originally filed in October. There's speculation that since Airbnb, a fast-growing company that lets people rent out their homes or rooms, has been in negotiations with the Attorney General's office about the matter that a settlement fell apart.
The issue at hand is that subletting for less than 30 days is in general illegal for renters in New York who are not continually residing in their apartment. And, for Airbnb, plenty of the nearly 20,000 offerings--64 percent on January 31--listed on Airbnb in New York were for an "entire apartment," not a shared space, as the law would seem to mandate.
Airbnb claims it will pump $768 million into New York’s economy this year. The company has been under much scrutiny for not abiding by the same hospitality tax structures traditional hotels are subject to.
Get the full story at Inc.com
Read also "Airbnb Scrubs Thousands Of Listings From ‘Bad Actor’ Hosts Ahead Of NY Subpoena Hearing" at TechCrunch, "Airbnb Has Closed Its $500M Round Of Funding" at TechCrunch and "Airbnb offers to pay hotel taxes, NY hotel lobby says ‘no thanks’"
Article location: http://hotelmarketing.com/index.php/content/article/more_legal_hot_water_for_airbnb
The annual American Customer Satisfaction Index found that airlines scored 69 on a 100-point scale, compared with 75 for hotels and 77 for Internet travel agencies. Though that grade was unchanged for air carriers from the year before, only subscription TV service, social media and Internet service ranked lower among other industries tracked.
The ACSI Travel Index is based on random interviews with more than 7,400 U.S. customers of airlines, hotels and Internet travel websites from October 2013 to March 2014. The poll is the latest of several studies in recent weeks suggesting airlines have room to improve various aspects of customer service.
An annual report from researchers at Wichita State and Embry-Riddle Aeronautical universities found that while carriers overall had fewer passenger complaints, on-time performance and mishandled baggage rates worsened in 2013 from 2012.
Get the full story at Reuters
Article location: http://hotelmarketing.com/index.php/content/article/u.s._airlines_rank_lowest_in_satisfaction_among_travel_sectors
Omni Hotels is in the process of building up its mobile initiatives for its consumer and business-facing efforts, most recently with the launch of an application that lets business professionals better control on-property meetings. The brand is also launching new mobile and Web properties in the coming months with features meant to keep consumers on pieces of content for longer periods of time.
“In both PC and mobile, the Web site we’re building out is so content-rich that it has information not only about the Dallas hotel, but really information about Dallas,” said Tom Santora, chief marketing officer at Omni Hotels, Dallas. “It’s more about building that experience.”
“Another important part of our brand and one of the differentiators that we have in both group and business and leisure travel is culinary,” he said. “We have really taken a proactive approach, whether it’s mobile or PC, to talk about culinary from chefs to recipes. So you’re coming to us as a resource, not just to [find a place] to sleep.”
“We think that it will not only drive people to the Web site, but keep them on there longer, and hopefully lead to a purchase.”
Get the full story at the Mobile Marketer
Article location: http://hotelmarketing.com/index.php/content/article/omni_hotels_views_mobile_content_as_catalyst_for_bookings
Airlines and their use of social media were top of mind this week when US Airways inadvertently posted a visual tweet that surely qualifies as one of the most ruinous Twitter gaffes of all time. It was one of two incidents - the other involving American Airlines - that had the Web atwitter. Everywhere you looked airlines seemed to be pulling negative headlines, and nothing but.
It's easy to imagine these brands feeling anxious about social media, and in light of recent events, they probably will. But airlines also have a staunch record of producing stellar social campaigns, particularly when they leverage storytelling. That was the case last December when WestJet launched its "Christmas Miracle" video on YouTube. Within a matter of days, consumers were flocking to watch the five-minute story of "real-time giving." Currently, the video is sitting at more than 35.7 million views.
Delta, too, has produced its share of memorable content. Recently it launched a themed YouTube video in honor of its first in-flight safety video, which launched during the '80s. And in United Hub, a content-rich section of the United Airlines site, the brand features news, interviews, insight into ad campaigns, and product videos of interest to its passengers. On Twitter, its monthly #UnitedPlaneChat gives customers the chance to converse with flight attendants.
Get the full story at ClickZ
Article location: http://hotelmarketing.com/index.php/content/article/airlines_embrace_storytelling_and_social_in_new_campaigns
While no two businesses are alike, often they'll find themselves facing similar problems, and unsure of how to use data to guide them through their decision-making processes.
With that in mind, HubSpot tried to think through some common scenarios marketers find themselves in, and what data they'd want to pull from their marketing analytics solution to help guide their decision-making. Take a look, and see if you find yourself in any of these stages yourself.
Scenario #1: You need brand awareness.
Most businesses will get to a point where they need to think about brand awareness. The company could be an early stage startup creating their brand identity for the first time, or a more mature company looking to do a rebrand. You'll ask yourself: Do people recognize their company and/or logo when they see it? What do people know about their company? What does someone think about when they hear their brand's name? Analytics can help you get to an answer to these questions.
Get the full story at HubSpot
Article location: http://hotelmarketing.com/index.php/content/article/which_marketing_analytics_should_you_be_looking_at
The bad news is these same consumers have fleeting attention spans. This means marketers have only about 300 milliseconds, or the time it takes to blink an eye, to understand and analyze the signals visitors are sending and immediately deliver a meaningful and personalized digital experience to drive online conversion. Anything less, and we risk losing a visitor’s interest forever.
Much of the success of your marketing program depends on how well you know and understand your visitors and how quickly you can pull together the right personalized digital experiences for them, regardless of the device type or method they use to interact with you.
Marketers need an integrated analytics and personalization system that can develop a dynamic master marketing profile based on a global ID unique to each person. Think of this master marketing profile as a digital thumbprint, only this is a thumbprint that evolves and grows with each new signal the visitor sends. This profile can constantly be enriched by anonymous and authenticated customer data such as clickstream data, behavioral information such as past purchases, brand and category affinity, known customer data, and even social signals such as Likes and pins.
Get the full story at VentureBeat
Article location: http://hotelmarketing.com/index.php/content/article/a_marketers_guide_to_more_effective_personalization
It is important to know, regardless of which channel they book… who is your consumer, what are their needs, what are their habits, what is their incremental spend? Do you have measures in place to track and report on this effectively?
At the recent HSMAI Revenue Management conference, hoteliers shared that their guests are not loyal in terms of how they book, and are erratic in terms of the device that they use to book. The way in which the consumer researches, and the amount of choice that they have to aid this process is also presenting hoteliers with many challenges in controlling their business in a consistent and profitable manner; customer segmentation is therefore a challenge.
This is where as hoteliers we can become SMARTER at selling rooms. We all know that the consumer journey starts with research before booking - whether on a map search, review site, brand.com or social media. This is where we need to understand what they are using; PC, tablet, mobile. And then understand when they are doing this… before, during, after work – regardless, the way in which the consumer researches is dependent on them, their ME time – it does not however mean that how they start their journey is necessarily where they will end up booking.
Get the full story at the Sabre Hospitality Solutions blog
Article location: http://hotelmarketing.com/index.php/content/article/can_we_manage_the_consumer_journey
Hotel Compete's Rate Trends Tracker (RTT) report gives hoteliers a view of the world as potential bookers see it. The view contains rate-shopping activity from thirty different sources of rate information that Hotel Compete currently shops; however, the number of sites grows everyday. This information allows hoteliers to easily identify situations where rate parity issues exist between brand sites and online travel agents. All information is collected from the same Internet channels accessed by millions of online bookers, the sources include: brand sites, online travel agents and GDS sources.
The Rate Trends Tracker processes the rate rules and summarizes them in to a view of either fenced or unfenced rates for over 60,300 hotels across the United States, Canada, and Mexico in their database. However, Version 5 of the Rate Trends Tracker, no longer requires hoteliers to pick between fenced and unfenced rates; rather, Hotel Compete provides both types of rates for all hotels in the compsets. With this new feature, Hotel Compete makes it easier to view all rates at once.
Rate Trends Tracker v5 maintains an easy to use format with multiple views that alert the user of changes in competitor's rates, depict detailed lists of all hotels in both the User Defined and Hotel Compete Compsets, and daily rate comparisons reports. Every day, Hotel Compete's RTT v5 provides a glimpse of a hotel's rate position for the next 90 days. The report updates four to five times daily with new data, as it is collected, keeping the compset up to date.
RTT v5 contains other user-dominated features such as the ability to choose the length of stay (one or two nights), view of 30/60/90 days in the future for rates, and ability for the user to refresh the rates at their leisure. A major change in user format allows for hoteliers to determine their own ranking of hotels in the User Defined Compset, rather than the normalized alphabetical order.
The new user-friendly format allows for easier support and faster rate reading for hoteliers. Hotel Compete processes more than fifteen million rates every single day. By changing the Rate Trends Tracker into a user-friendlier version, the RTT v5 permits the hotelier to navigate those rates to their tailored needs, faster and easier.
Related Link: Hotel Compete
Article location: http://hotelmarketing.com/index.php/content/article/hotel_compete_launches_newest_version_of_rate_trends_tracker_report
Airbnb has taken steps to ensure that it will be able to begin collecting hotel occupancy taxes, possibly as soon as this summer. It’s just waiting on legislators and local regulators to give it the green light to do so in markets like San Francisco and New York.
But it seems the hotel lobby in New York doesn’t actually want Airbnb to pay hotel taxes, it just wants to complain about Airbnb not paying hotel taxes.
In a blog post this morning, Airbnb noted a shift in rhetoric from the same leaders in the hotel industry that were slamming the startup and its hosts for not paying the same tax that they do.
Get the full story at TechCrunch and AirBnB
Read also *Major Reservations: Why Cities Are Worried About Airbnb* at Time.com
Article location: http://hotelmarketing.com/index.php/content/article/airbnb_offers_to_pay_hotel_taxes_ny_hotel_lobby_says_no_thanks
Six years after TPG Funds and Silver Lake Funds took the debt-ridden firm private for $5 billion, Sabre today debuted on the Nasdaq stock exchange. It priced its shares at $16 — below its expected $18 to $20 range - raising $627 million at a $3.93 billion valuation.
Despite five consecutive years of annual losses, Sabre is bullish on its future prospects. “We’re feeling very good indeed,” Rick Simonson, Sabre’s chief financial officer, told VentureBeat this morning.
Sabre transacts over $100 billion between travel suppliers and buyers each year - more than eBay or Amazon handles annually, Simonson noted. And if the company considered its cloud software business a separate company, it would be second in value only to Salesforce, Simonson asserted.
Get the full story at VentureBeat
Article location: http://hotelmarketing.com/index.php/content/article/sabre_ipo_raises_less_than_expected
Starwood Hotels announced a pilot program that allows guests to swap physical keys for virtual keys. That program was essentially allowing guests to use their smartphones to check-in, check-out and also open the door to the room. Flash forward till present day and it looks like Starwood Hotels has gone another step forward with support for new technology. They have announced the SPG (Starwood Preferred Guest) app for Google Glass.
The app is already available for use, but currently listed as being in beta. Starwood plans to continue updating the app based on member/user feedback, but for now there appears to be a decent set of features. This list includes being able to search (by voice) for any of the 1,100 Starwood hotels. Options here include searching by destination, airport code, or what is nearby. You'll also be able to book once you find the location you prefer.
Users can then get turn-by-turn directions to the hotel as well as explore and share images of the hotel, rooms and more. Perhaps key for SPG members -- you will also be able to access your account information to include details on any upcoming stay, your Starpoint balance, and more.
Get the full story at Android Community and GigaOM
Related Link: Starwood SPG for Glass
Article location: http://hotelmarketing.com/index.php/content/article/starwood_launches_app_for_google_glass
Last summer, the flagship Marriott Hotels brand launched TravelBrilliantly.com, which surprised a lot of people for two reasons. One, it was the first time a major promotional campaign for an international hotel brand focused on crowdsourcing and co-creation of this scale, above and beyond just using social media. Two, that international hotel brand was Marriott.
At the beginning, Travel Brilliantly was a three-pronged initiative designed for the U.S. market. First, the web platform showcased innovative ideas that Marriott was cooking up internally. Second, Marriott asked the public to submit their ideas about how to create a better hotel experience. And third, which was pulled earlier this year, the site directed readers to an integrated content marketing partnership with Wired, Fast Company and Mashable.
In April 2013, Marriott hired Katie Krum (see video) as director of digital marketing to help launch the new portal and study consumer response and engagement. Earlier this year, Krum expanded TravelBrilliantly.com’s reach into the U.K., and today, she’s tweaking the user experience for a relaunch scheduled this summer.
Get the full story at Skift
Article location: http://hotelmarketing.com/index.php/content/article/marriott_on_its_marketing_journey_of_change
Benchmark Hospitality International, a leading US-based hospitality management company, announces the "Top Ten Travel Trends for 2014" as observed through a survey of the company’s extensive database of professional travel agents.
In a Benchmark-commissioned study, over 20,000 travel professionals were provided a comprehensive survey on consumer and business travel in 2014, for review and submission to an independent market research firm for compilation and analysis.
Trend #1 The Travel Industry is Poised for Strong Growth! Eight out of ten travel agents surveyed are highly upbeat about industry growth through 2014 and beyond. Over half are projecting “strong growth.”
Trend #2 Leisure Travel Leads The Way Nearly 75 percent of growth in travel is leisure related, with half of this growth coming from the luxury segment. It’s travel at a personal cost, however. A quarter of the travel professionals felt that the line of demarcation between business and personal travel is further blurring, with many executives bringing work with them on family and romantic vacations -- aided in large part by advances in communications technology.
Trend #3 The Specter of Direct Bookings What keeps travel agents up at night? It’s not terrorism affecting travel, or elevated costs or even OTA competition. It is customers increasingly bypassing the agents and booking directly. TAs see this as the greatest potential negative effect on their business in 2014.
Trend #4 Hit the Beach, See the World After six years of the greatest recession in living memory, travelers are ready to pack their bags, drop in a beach towel, and see the world. TAs are seeing strong expenditures in domestic beach-related travel – nearly 50% and with particular emphasis on Hawaii, the south and southwest, which following the winter of 2013-2014 may not be a surprise. Caught up on their tan, leisure travelers are boarding planes and heading abroad with the remaining 50% trekking across the Atlantic to Europe. Those who still need more sun are flying south to the Caribbean or on to South America.
Trend #5 Who is Spending? It’s the Boomers by far. Nearly 60% of travel agent bookings last year were from this group of consumers, followed by Seniors and GenXers both coming in at about 15% of bookings. The much focused-on Millennials account for less than 9% of travel expenditures for the year. Boomers may be spending, but they still demand value for the dollar. Nearly 50% of travel professionals view rate as the critical factor in the consumer travel decision process.
Trend #6 Online Travel Reviews and their Effect It’s huge, according to TAs, and growing. An overwhelming number -- 80% -- feel we’ve only seen the beginning of this consumer phenomenon. And over 50% of the travel agents surveyed use these online reviews in determining booking decisions for their customers. Hoteliers and airlines take note!
Trend #7 Most Important Features at Hotels & Resorts Well, yes, location is #1 for apparent reasons. But #2 isn’t free parking, or the availability of spa services, or numerous other possible traveler concerns. It’s Free Internet, and properties that continue to charge for this service should take note that this is deemed more important for travelers than the number of stars or diamonds a property achieves. Free Internet access is seen as a traveler’s right!
Trend #8 Hotel Websites Sell An attractive, appealing and user-friendly website with a direct booking option generates reservations. Maybe not a surprise to most, but what is interesting is that travel agents use this method 34% of the time for making reservations (GDS is 38% of TA bookings). You can toss your fax machine, though; it’s used for bookings only 1% of the time according to the study.
Trend #9 This Changes Everything! Well over half of the travel agents responding felt a paradigm shift occurred when the world went mobile. With around the clock accessibility, pop-up travel deals, immediate rate checks and even securing directions on your phone en route to a destination has given travelers, for the first time, the world at their fingertips no matter where they are on the globe. Hotels and resorts without mobile sites are left in the dust. A few key words from the TAs: mobile sites should be relevant, brief, readable, and formatted for ease of use.
Trend #10 Advice to the Hotel Industry from Travel Agents Ok, maybe not officially a trend, but this is increasingly top of mind with travel professionals and they wanted to share these words of advice with hoteliers: Keep your rooms and water glasses clean. Replace worn carpet. Invite us over -- FAM trips are back and there’s no better way for us to meet you and experience your property. Never forget the importance of customer service, ever! Partner with us for a win-win. We understand what “incidental revenue” means, but please don’t nickel & dime our customers. Your websites are beautiful, but we urge you to have your vital information just one click away. Always deliver value. And finally, we’ve said it before and we’re saying it again – travelers want Internet access to be FREE!
Article location: http://hotelmarketing.com/index.php/content/article/travel_agents_love_hotel_websites
by Doug Kennedy
The most important sales tactics are to ask the right questions to find out where they are at in their buying decision, such as “As I’m checking those dates, what questions can I answer for you about our location or amenities?” and then to provide alluring descriptions that “narrate the pictures they have seen online.”
Yet too often managers only implement the sale training component, and then if they measure the results at all, they do so exclusively through mystery shopping test calls. Being in the mystery shopping business I certainly think that is important, but if you are looking to keep your team on the continuous journey to reservations sales excellence here are some other components for long term success.
- Know when they are calling. Despite the availability of better technology at lower price points these days, too many reservations offices still lack proper call tracking available from their phone system and/or from their inbound 800 long distance provider: Call activity by hour, day, week and month; Dropped calls by hour, day, week, and month and percentage of dropped calls; Average hold time; and Average talk time per agent.
- Right-sized staffing. Make sure your reservations office has enough agents to realistically field the call activity you are receiving, which is why the staring place is to have the data from the above reports. Excessive budget cuts in this department only hurt bottom-line profits not help. Instead of looking at reservations with a “cost control” paradigm, look at it as a revenue-generating department.
- Cross-train other staff to field reservations calls during bottle-neck periods. Move the reservations function from being just a person or department into being an important function that others such as sales assistants, front desk staff, and even housekeeping or room service operators can cover when necessary.
- Streamline side-work. Make sure agents aren’t asked to toggle back and forth between selling on the phone and being a data entry clerk for rooming lists or extranet reservations. Otherwise, agents might rush callers in an attempt to clean-up their stack of side-work.
- Measure, measure, measure! In the reservations department as in life, you get what you measure. Again too many reservations departments only look at certain key metrics, preventing them to see an overall comprehensive picture of how agents are really doing. For example, some only look at total reservations booked or total revenue sold, thinking that the agent who sells the most is automatically their best producer. While this often proves to be the case, when you start to look at call conversion, you sometimes find that the top agent in terms of revenue/room nights is really just a call-grabber who rushes the indecisive callers or pushes them back to the website, moving on to the next caller who is ready to book. Make sure you are measuring: Total revenue sold by agent and by department; Total number of bookings by agent and by department; Total calls received by agent and by department.; Call conversion ratio (number of calls vs. bookings) on at least a “raw” basis (looking at all calls and all bookings.); and Average revenue per booking. Over time, this will indicate whether agents are taking the time to upsell to higher rated accommodations and packages.
- Implement a proper recognition and incentive plan. Many managers don’t want to offer an incentive because they argue “that’s what we pay them to do anyway.” Yet few managers make this same argument for their traditional hotel sales department. Still, it is true that employees should not receive an incentive for doing their job, which is to help the hotel achieve its expected transient revenue goal each month. That’s why the best incentive is to set a monthly goal about 10 days before the start of the month, based on the most updated forecast. When the goal is achieved, a celebration (i.e. pizza or ice cream party) can be held. Yet when the goal is exceeded, a percentage of the additional revenue can be shared with the team.
The true measuring stick for an effective incentive is how enthusiastic managers are about paying it out. If it is properly structured, you should be emphatic when agents receive large bonuses.
Indeed, implementing contemporary reservations sales training is a key ingredient of any recipe of reservations sales success, as are ongoing mystery shopping assessments. Yet other essential components such as those listed above will provide your team with the roadmap for continuous success on the endless journey to reservations sales excellence.
Doug Kennedy is President of the Kennedy Training Network, Inc. a leading provider of customized training programs and telephone mystery shopping services for the lodging and hospitality industry.
Article location: http://hotelmarketing.com/index.php/content/article/besides_training_how_to_maximize_hotel_reservations_conversions
What big data does my hotel have?
Let’s start off with the amount of big data you have. The average data footprint per person is 1 Terabyte (TB) per year (or if you are as visually oriented as I am: 1TB of information printed on A4 paper would be 6.5km long, which is 20 times the Eiffel Tower in Paris).
Now let’s take a look at a traveler’s data footprint. Sabre data scientists are still working on the details, but even at this early stage, it’s safe to say that active travelers produce 90% of all data produced in the world! Knowing this, organizations should realize that knowing the ins and outs of these “data magnets” gives them a big opportunity to create value – for their own company as well as for their guests.
We now know what amount of data is out there, but what data is available?
- Booking data from airlines, trains, cars and hotels through agencies and in the direct channel
- Mobile and social check-ins
- Real-time information available through travel-companion apps (like TripCase)
- Shopping requests and reservations for event travel tickets and travel extras like ground transportation and restaurants
- Social activities specific to a trip
So, how to determine my strategy around big data?
With so much data, there are four steps to take in order to create a valuable big data strategy:
- Be picky. With so much data, you only should take the data that’s relevant to your business.
- Analyze. In order to take actionable insights from big data that can drive real business value, you need to analyze the data carefully. It’s all about being creative and thinking “out of the box.”
- Visualize. Current and historical data is easier to compare and draw conclusions from when viewed in, for example, a Word Cloud or Hotel Heat Map by Sabre.
- Predict and forecast. For the travel and hotel industry, identification of patterns from big data to predict future activities is at the heart of personalization – so it’s a critical step to take.
Get the full story at Sabre Hospitality Solutions
Article location: http://hotelmarketing.com/index.php/content/article/steps_hospitality_companies_should_take_to_establish_their_big_data_strateg
This new partnership between Availpro and Pegasus Solutions will help hotel owners boost their online sales and GDS visibility, as well as saving them time. Availpro continues to expand its network of partners and gain new certifications. As a result of these efforts, it is able to provide its customers with the connectivities they need to drive their revenue. They can select the channel most suited to their needs and sell their rooms through more than 600,000 online travel agencies worldwide. This repres ents a major advantage for customers looking to increase their online room bookings and their visibility among travel agencies.
"We are delighted to announce this partnership with Pegasus Solutions. Our new partner has an ex cellent reputation as a specialist within the market. We are convinced that this collaboration will provide new opportunities for our hotel-owner customers. We understand the importance of delivering solutions that are tailored to the needs of individual customers, and that is why we are constantly looking to expand our network of partners," explains Philippe Lamarche, Chairman of Availpro.
As major players in the market, this new partnership between Availpro and Pegasus Solutions is simply a natural progression. It enables both companies to deliver comprehensive services to their customers while cementing their leading positions in the e-booking sector.
By building on the complementary nature of their activities, these two international companies are now able to reach out to hotel owners more effectively. Their shared goal is to deliver solutions tailored to the specific needs of their customers.
"Customer satisfaction demands an innovative approach to developing new solutions and improving existing systems. We are delighted to have built a solid, stable partnership with Availpro. This partnership, based around Availpro's Smart Channel Manager and our RezView NG CRS, provides our customers with a state-of-the-art solution that enables them to maximise distribution across all channels," adds Alexis Dobbelaere, Senior Vice-President of Global Sales at Pegasus Solutions.
Related Link: AvailPro
Article location: http://hotelmarketing.com/index.php/content/article/availpro_and_pegasus_solutions_join_forces_to_deliver_improved_gds_connecti
Between integrating a specific social media theme into the hotel itself to creating exhibits and social events, numerous properties are creating authentic experiences surrounding social-media themed experiences.
Last year, Meliá Hotels International, the leading hotel chain in Spain, debuted a new program in which its innovative @SolWaveHouse Hotel became the first ever “twitter experience hotel” in the world. The intent of the hotel was to facilitate interaction among social media-savvy customers plus increase excitement and stimulate “buzz” among the young audience that typically fills the hotel.
Similar to Sol Wave House, 1888 Hotel in Australia followed the trend of incorporating social media into the overall experience of staying at the Sydney hotel. They integrated Instagram into both the property itself as well as its marketing and ideal audience.
Anyone with more than 10,000 followers on Instagram can stay free at the property. A revolving digital mural of Instagram images greets guests as they enter the lobby, then, after checking in, guests are invited to stand in front of an open frame hanging in the lobby and snap a selfie.
Get the full story at Maximize Social Business
Article location: http://hotelmarketing.com/index.php/content/article/how_hotel_social_media_goes_from_online_to_offline
In November 2013, Loews Hotel & Resorts launched Social Reservations, a service that allows guests to book their hotel stays directly through Twitter. No calls or online booking forms required. Customers simply use #BookLoews in a tweet to @Loews_Hotels and a Loews Travel Planner will tweet a link to a secure chat connection to process personal and payment information.
“As we continue to evolve and build one our social media strategy, we are focused on meeting the needs of travelers throughout each stage of the travel continuum,” said the company’s Director of Social Media Piper Stevens. “When it comes to reservations, we recognize that giving consumers the option of booking efficiently on a network where they are already engaging on a daily basis is going to set us apart and grow our consumer base in a meaningful way.”
Of course, you don’t need to develop an exclusive app or whisk bloggers away on a dream vacation to succeed on Twitter. At the end of the day, all that matters is that you’re accessible to travelers on the social network. Twitter offers a variety of ways to showcase your brand or service, including Promoted Tweets. If you’re not sure where to start, talk to your existing customer base. As them what they’d like to see more of and how they can feel like a bigger part of the brand.
Get the full story at Sprout Social
Article location: http://hotelmarketing.com/index.php/content/article/how_3_innovative_travel_brands_found_success_on_twitter
The Southlake, Texas-based company sold 39.2 million shares for $16 apiece, these people said, raising $627.2 million before the potential sale of additional shares to underwriters. Sabre had expected to sell 44.7 million shares for $18 to $20, according to a regulatory filing.
Sabre operates a so-called global distribution system, which acts as a clearinghouse for fares, schedules and seat availability for airlines. It owns the Travelocity website, but last year outsourced most of that site's operations-such as processing bookings and handling customer questions-to longtime rival Expedia Inc. EXPE +2.14%
Sabre has posted steady revenue growth the past few years, but failed to turn a profit due to high costs, a heavy debt burden and write-downs related to a series of acquisitions.
Get the full story at The Wall Street Journal and Sabre
Article location: http://hotelmarketing.com/index.php/content/article/sabre_cuts_ipo_size_as_deal_prices_below_forecast
"As the market becomes increasingly mass-based, with smartphone penetration heading towards 20%, we want to increase our brand presence, and ensure that we remain leaders in the category," Yatra cofounder and chief executive Dhruv Shringi said.
India's online gross bookings are expected to touch $12.5 billion in 2015, according to a report released by PhoCusWright, a leading travel research firm. Almost 40% of all domestic flight booking are booked online, according to industry data.
Founded in 2006 by Former Arthur Anderson and Ford Motor Co employee Shringi, Manish Amin and Sabina Chopra, Yatra.com has a market share of about 25%.
Get the full story at The Economic Times and Tech in Asia
Article location: http://hotelmarketing.com/index.php/content/article/yatra_gets_23_million_funding_to_compete_in_indias_increasingly_competitive
In Q1 2014 data from Kenshoo, 69% of search marketing professionals worldwide rated the performance of PLAs as at least slightly better than paid search, with more than one-quarter of that group saying they were much better.
That most marketers are simply moving ad dollars from regular paid search to PLAs is likely why IgnitionOne cited Google’s Enhanced Campaigns, not PLAs, as the main driver of the 8% year-over-year increase in US paid search ad spending in Q1 2014.
While PLAs are drawing more attention, IgnitionOne noted that these won’t be replacing traditional paid search ads anytime soon, with both driving growth in the overall paid search spending space. In addition, paid search ads will likely improve their performance in the coming years, as Kenshoo found that 65% of marketers were using data collected from PLAs to better inform other paid search and cross-channel strategies.
Get the full story at eMarketer
Article location: http://hotelmarketing.com/index.php/content/article/googles_search_revenues_shift
Marketing has evolved over time from “you can have any color you want as long as it’s black” to just-in-time marketing messages that encourage you to dunk in the dark.
We're embracing digital channels and understanding the need to create marketing people love more and more ... but do we actually grasp what's running behind the scenes of all these digital campaigns?
Code is what lies behind so many of our great marketing campaigns. Our websites, our emails, our apps and tools that are made to give your customers a better experience -- these all run because there are smart coders making them work.
Get the full story at HubSpot
Article location: http://hotelmarketing.com/index.php/content/article/is_coding_the_next_must_have_skill_of_the_modern_marketer
The group segment is up 3.9% in room nights committed (contracted). New group business added over the last month (pace) are up 4.0% over the comparable period last year. Transient room nights booked are up 5.5% compared to the same time last year. Average daily rate (ADR) is growing slightly above occupancy, up 2.8% based on reservations currently on the books for 2014.
For the first quarter of 2014, overall committed occupancy is up 3.0% in the top 25 markets. Committed occupancy for the group segments is up 3.8% and the transient segment is up 2.6% compared to a year ago. Average daily rate for the first quarter is up 2.6% over the same time last year. Business segment ADR, which includes weekday transient negotiated and retail segments, is up 3.0%. Leisure segment ADR, which includes transient discount, qualified and wholesale segments, is up 3.2%.
Get the full story at TravelClick
Article location: http://hotelmarketing.com/index.php/content/article/the_travelclick_perspective_march_2014_2014_outlook
Most hotel marketers use STR Global/STAR Reports, their own historical data and credible industry studies to compare performance to their comp set and the industry, but there are often common faults and ways to improve benchmarking practices. This paper pinpoints those common faults and provides the best practices that hotel marketers need to consistently and correctly implement benchmarking.
Vizergy’s client portfolio, which includes a mixture of branded and independent properties, along with numerous hotel management companies and groups contributed to the content of this paper. While many properties currently benchmark, it was apparent that property level managers sought more concrete guidance on the subject.
“With the myriad of online marketing performance analytics programs and third party data, it can be difficult to form a digestible and workable benchmarking process,” says Vizergy President Robert Arnold. “From ensuring you have the right data, to selecting the most relevant KPIs, to determining how often your team should meet, it’s critical to set a scalable benchmarking plan. If it’s implemented well from the beginning, it’s easier to spot strengths, weaknesses and opportunities later – which translates to better deployment of marketing dollars and revenue production.”
“We wrote this whitepaper to answer a major question everyone struggles with – am I doing what I need to in ‘Digital?’ Digital benchmarking is a strategic imperative and done properly is much more than site analytics,” says David Atkins, Principal of Digital DNA Infusion, LLC. “This paper is a starting point for you to read and apply. The complexities of digital are something all businesses across all industries are striving to find answers for with solutions and systems. There is a science and discipline to doing digital benchmarking and knowing if you are keeping up with the competition and industry.”
Download the whitepaper at Vizergy (free registration)
Article location: http://hotelmarketing.com/index.php/content/article/whitepaper_digital_benchmarking_for_hotels
Mobile Marketer looked at the mobile offerings from five online travel brands: Expedia, Travelocity, Kayak, Orbitz and Priceline. Although streamlining the mobile commerce experience is still a big priority for many, brands are also looking at how to leverage other mediums to gain market share.
"We’re actively thinking about ways to use mobile devices in the future of hotel travel," said John Caine, chief product officer at Priceline, Norwalk, CT.
"Can a phone unlock a door?" he said. "Do you need a concierge? One of the most exciting things about our space is the rapid pace of technical innovation. Every new technology brings an opportunity to innovate."
Here is a look at how all five brands are taking their mobile strategies to the next level, in alphabetical order.
Get the full story at Mobile Marketer
Article location: http://hotelmarketing.com/index.php/content/article/how_otas_are_expanding_beyond_mobile_bookings
Unfortunately, the SEO team at Cruiseabout and Escape Travel made the big mistake of ignoring a warning issued by Google's Matt Cutts through his blog exactly two months earlier on January 20.
"Okay, I’m calling it: if you’re using guest blogging as a way to gain links in 2014, you should probably stop," he wrote.
"Because over time it’s become a more and more spammy practice, and if you’re doing a lot of guest blogging then you’re hanging out with really bad company.
"So stick a fork in it: guest blogging is done; it’s just gotten too spammy."
Some listened, others didn't.
Get the full story at Travel Trends
Article location: http://hotelmarketing.com/index.php/content/article/travel_sites_sunk_by_google_blitz
Beginning Tuesday, users will find the Look Ahead feature at the bottom of the screen when searching for rooms in New York, Las Vegas, Los Angeles, Miami, Washington, Chicago, San Francisco, San Diego and Dallas, with more cities to be added in the coming months.
To view projected rates, savings and availability, users can choose a specific day of the week, under which icons will denote any music festivals, Comicon conventions, business conferences or other happenings taking place in the city that day.
Seasonal or themed promotions being offered by hotels in the area, like spa discounts, drink promotions or package deals around Valentine’s Day or New Year’s, will also be promoted on the app.
Estimated room rates are based on historical and predictive booking data, as well as on input from the company’s marketing and data team.
Get the full story at The New York Times and TechCrunch
Article location: http://hotelmarketing.com/index.php/content/article/hoteltonight_goes_beyond_the_last_minute
In the second installment of The Return on Marketing Technology research series, Lima Consulting Group and ObservePoint conducted extensive research on the top 140 global travel websites to get a granular look at their digital marketing technology deployments.
The research report titled "The ROI of Marketing Technologies: How the Top Travel Sites Stack Up" shows that only 89.3% of all pages audited have a web analytics tag; and 36.8% of pages report inflated page view metrics across all sites. These factors contribute to poor data quality for some of the web's biggest digital marketing spenders.
"According to research by Gartner, CMOs will spend more on IT than the CIO by 2017," said Paul Lima, principal at Lima Consulting Group. "This should come as no surprise as marketing technology continues to have a bigger impact on the bottom-line of organizations that have a major ecommerce presence. However, marketing in a data-driven era means that the marketers need to ensure they are basing their decisions on accurate data. Correctly managing tags are at the core of this movement."
Lima Consulting Group's experts have distilled the data into the following findings:
- Online Travel Agency (OTA) sites are deploying the most marketing technologies, followed by airlines, online hotel booking aggregators, rental cars, and hotel brand sites
- One-third of all travel sites have deployed a Tag Management Solution (TMS), and half of those with TMS use free over premium enterprise-class web analytics solutions
- Sites with TMS use more technology, benefit from better user experience and performance, but do experience slightly decreased site load times
- Composite site performance scoring allows digital marketing teams to have greater confidence in data-driven business decisions
Get the full story at Lima Consulting Group
Article location: http://hotelmarketing.com/index.php/content/article/how_top_travel_sites_use_marketing_technology
Travel pairs especially well with mobile devices because it allows travelers to continue and amend their trip-planning once they've taken off.
Mobile is expected to account for more than 25% of total U.S. online travel bookings by 2015, according to PhoCusWright.
In a recent report, BI Intelligence looks at how the worldwide adoption of smartphones, tablets, and other devices is dramatically changing how we travel - before, during, and after the trip - and what the impact of that change is to businesses in the travel space.
Players in the travel industry are emphasizing mobile as a core component of their business strategies, and working to make their products and services mobile-friendly. Those that do not risk becoming relics of a bygone desktop computing era.
Get the full story at Business Insider
Article location: http://hotelmarketing.com/index.php/content/article/how_the_travel_industry_is_adapting_to_travelers_use_of_smartphones_and_tab
According to data from Distimo, a global leader in business intelligence and app market data, TripAdvisor is now the most popular travel app based on total App Store downloads1.
"As travel planning has shifted from something you do ahead of time to something that's possible anytime, the TripAdvisor mobile app has become the essential companion for millions of travelers," said Stephen Kaufer, president and CEO of TripAdvisor. "Reaching the milestone of 100 million downloads is evidence that travelers worldwide are benefitting from the TripAdvisor community's reviews and opinions, wherever their travels may take them."
The TripAdvisor mobile app is recognized in the industry for its function and innovation. The app that was recently named "Best Mobile App" by Eye for Travel in its 2014 Innovation Awards, includes a number of features and content to help travelers plan and have the perfect trip. The free app is available in 21 languages and is available to download at the iTunes App Store or Google Play.
Key features of the TripAdvisor app include:
- Global content: Provides travelers with a comprehensive travel planning resource on-the-go with more than 150 million user reviews and opinions of hotels, restaurants and attractions, and more than 19 million candid traveler photos, covering destinations around the globe.
- Helpful features: Travelers on their trips can use the Near Me Now and Point Me There features to find nearby places of interest, read traveler reviews and see to dynamic maps of their location.
- Available offline: Travelers may use City Guides anywhere with no data connection required to go on self-guided walking tours, and they may also use Trip Journal to add photos or comments to capture the highlights of their trip.
- Booking on-the-go: The TripAdvisor mobile app provides access to the site's Hotel Price Comparison (metasearch), enabling travelers to easily compare booking options at a glance with up-to-the-minute hotel prices and availability.
While TripAdvisor launched the first iPhone and Android mobile apps in mid-2010, and the first native smartphone apps in 2013, the company continues to make improvements. Three recently launched enhancements are:
- Type-ahead functionality for improved local results: This feature lets users quickly access more locally relevant search results based on their location.
- Google single sign on: Allows Android users to more quickly and easily log in to their TripAdvisor accounts using their Google accounts, and it also lets users automatically download the app if they have created an account on desktop.
- See your saves on the map: This feature allows users to see places they have saved on the map with other points of interest, which helps travelers select the restaurants and attractions closest to their saved places.
Article location: http://hotelmarketing.com/index.php/content/article/tripadvisor_now_worlds_most_popular_travel_app
TravelClick, a global provider of innovative revenue-generating cloud-based solutions that enable hotels to grow revenue, and its hotel clients, were awarded “Best” honors in two categories at the Web Marketing Association’s 2014 Internet Advertising Competition (IAC).
TravelClick’s first award was for “Best Hotel & Lodging Online Campaign,” for its work with Stein Eriksen Lodge. TravelClick created an advertising campaign to increase revenue and bookings for the property. In just the first 10 months, the campaign drove 179 extra bookings with a 16:1 Return on Investment and delivered $204,680 in incremental revenue.
The second award was for “Best Hotel & Lodging Social Media Campaign,” for TravelClick’s work with Hotel BLOOM! This holiday-season campaign aimed to increase user engagement on the hotel’s Facebook page, as well as to provide a fun gaming experience targeting users between 25- to 45-years-old. During the week of the contest, the property’s Facebook page showed an 86 percent increase in total reach compared to the previous week; subsequently, the number of people talking about the page increased by 33 percent for the same time period.
“We are extremely proud that TravelClick and our hotel partners received top honors for hotel advertising and social media campaigns at the IAC Awards,” said Jason Ewell, Executive Vice President, Business Intelligence, Media and Web Solutions. “TravelClick knows firsthand the power of online marketing and social media in driving engagement and ultimately increasing revenue.”
The Internet Advertising Competition (IAC) Awards are produced by the Web Marketing Association to honor excellence in online advertising, recognize the individuals and organizations responsible, and showcase the best in award-winning Internet advertising.
Related Link: TravelClick
Article location: http://hotelmarketing.com/index.php/content/article/travelclick_wins_two_awards_at_web_marketing_associations_internet_advertis
As more travelers turn to review sites to research trips and share experiences, positive reviews have become essential to a hotel’s success. And nothing influences review sentiment quite like guest service.
In the next installment of ReviewPro’s free #SMWebinar series, top-rated hotels and brands - from economy to luxury - share their tips and best practices for earning five-star reviews with “remarkable” service, both online and on property.
Mark your calendar!
Gather your managers and make it a team meeting! Register now to save your spot. Space is limited.
One-hour webinar: Tuesday, April 29, 2014
08:00 Pacific Standard Time
11:00 Eastern Standard Time
17:00 Central European Time
Note: A link to the recording will be sent to all registrants, so be sure to register even if you are unable to attend.
- Piper Stevens, Director of Social Media, Loews Hotels & Resorts, the first hotel brand to offer social reservations
- Darren Ross, General Manager, Magic Castle Hotel, rated No. 1 of 317 hotels in Los Angeles on TripAdvisor
- RJ Friedlander, Co-founder and CEO, ReviewPro
- Daniel E. Craig, Founder, Reknown, and former hotel general manager
Free registration at ReviewPro
Article location: http://hotelmarketing.com/index.php/content/article/free_webinar_earn_five_star_reviews_with_remarkable_service
Priceline spends feverishly on Google advertisements to grab users searching for a hotel in New York or Paris - and because ads on Facebook and Twitter have failed to deliver results, Chief Executive Officer Darren Huston said.
“For Facebook and Twitter, we have endless amounts of money,” Huston said yesterday in an interview at Bloomberg’s New York headquarters. “But we haven’t found anything there.”
The comments by the chief of one of the biggest spenders on online advertising are set to stoke debate over which forms of digital marketing are most effective. Facebook and Twitter have grappled with questions of whether their social media ads provide a substantial return on investment for marketers, particularly at travel and e-commerce companies.
Get the full story at Bloomberg
Article location: http://hotelmarketing.com/index.php/content/article/twitter_and_facebook_ads_dont_drive_results_says_priceline
Phoenix Marketing International will release findings this week from an online travel audit analyzing consumer sentiment about the most popular travel industry ads on TV.
The study, "Online Travel Audit," fielded in mid-March, analyzed 50 television ads from more than 30 travel search and reservation Web sites. It also looked at travel-related advertisers, such as hotel and car rental, including American Airlines, Hotwire, Priceline, Trivago, Enterprise Rent-a-Car, Southwest, United and Hilton. The study compiled more than 3,500 responses.
Josh Berger, research director at Phoenix Marketing International, gave MediaDailyNews a first look at results. He said researchers also tested ads from American Airlines, Southwest, Delta, and United, as well as travel destinations like Orlando and Texas. "Ads can succeed several ways, whether they engage through a relevant message or empathy," he said. "A straightforward approach as to what makes Trivago different than other search travel sites seems to work for the site."
Get the full story at MediaPost
Article location: http://hotelmarketing.com/index.php/content/article/tripadvisor_hotwire_top_travel_site_ads_study_shows
March 2014 ticket transactions increased 2.57 percent over the same period in 2013 to 39.5 million. Year-to-date passenger segments increased 2.4 percent to 87.3 million compared to 85.3 million in 2013.
More detailed information is available at ARC
Article location: http://hotelmarketing.com/index.php/content/article/u.s._travel_agencies_close_first_quarter_with_4.55_increase_in_air_ticket_s
Hotel-Room Rates Are Negotiable
In need of a last-minute hotel room? Sometimes, walking into a hotel and bargaining with the front-desk agent can really pay off. Most times, the first price you're quoted won't be the last, especially if a prospective guest pretends to walk out and go somewhere else. After all, the hotel makes no money on an empty room, so it's better for the hotel to let a room go at a reduced rate than to let it go unoccupied.
Deleting Your Cookies Can Get You a Cheaper Flight
Ever been shopping for a flight online only to find that after you've checked it a few times, the price has mysteriously gone up? Some travel websites covertly install your computer with a cookie that keeps track of your shopping behavior - and then jacks up the ticket cost once it knows you're interested. Try clearing your cookies and searching again if you don't think the price should have increased that much in a few hours.
Get the full story at The Huffington Post
Article location: http://hotelmarketing.com/index.php/content/article/seven_dirty_little_secrets_of_the_travel_industry
Other notable findings include:
- The global average revenue per available bed in 2013 remains €23.50 and the average bed occupancy rate is unchanged at 59%.
- When it comes to technology, the 28% of respondents who have developed mobile applications or ensured their sites are mobile-friendly report the largest number of bookings via mobile sources.
- The main age targeted by youth travel accommodation (YTA) operators is 25-34 years (61%). However, 10% of YTA properties are now aimed at the flashpacker market aged 35 or older, with bed and breakfast operators most likely to make up this market.
- In terms of revenue, third party websites are playing an increasingly important role in this sector, with 29% of hostel bookings now being made via these channels.
- Regarding third party booking channels, Hostelworld is the most important for hostels and with its recently-acquired Hostelbookers site also in the top three, now holds a significant market share in this industry. Booking.com has also seen significant growth in this arena.
- Commenting on the report, David Chapman, Director General of WYSE Travel Confederation, said: “With a third of young travellers now using their smart phones when planning their holiday and lead times shrinking as online booking becomes easier, it’s increasingly important that the youth travel accommodation sector keeps up with the consumer’s technological demands – amongst other trends.
“Whilst we are finding that our members are increasingly spurred to be active on social media channels, just a third of our respondents indicate that they are active on social media of which 90% of these use Facebook and 43% Twitter. Our survey therefore suggests that the future of our industry will depend on smaller establishments embracing this trend as much as the larger operations.”
Related Link: Stay Wyse
Article location: http://hotelmarketing.com/index.php/content/article/booking_lead_times_coming_down_as_mobile_usage_rises
Hotels should consider emulating some airline policies, including the 24-hour cancellation rule and offering a room credit. Unfortunately, the lodging industry prefers some of the more customer-unfriendly policies, including booking fees and "gotcha" add-ons.
The Bellagio doesn't see it that way, of course. Its new booking fee, part of an effort to "modernize" policies at all MGM Resorts International, is presented as a guest benefit.
"The fee allows us to preserve the one-on-one service preferred by an important but diminishing segment of customers," says Bellagio spokeswoman Mary Hynes.
The Bellagio and most other Sin City resorts also have another long-standing guest "benefit" - the so-called resort fee.
Ge the full story at USA Today
Article location: http://hotelmarketing.com/index.php/content/article/hotels_join_the_fee_for_all_party
1. Offer authentic local experiences.
Alternative accommodation websites like Airbnb appeal to travelers looking for authentic and unique experiences. Instead of sticking to popular attractions and guide book-endorsed restaurants, these travelers seek out neighborhood eateries and sights off the typical tourist trail. Many seek hosts who can provide them with a taste of local life.
Hotels also have an opportunity to provide a glimpse into living like a local. Staff can be encouraged to offer up neighborhood knowledge and give guests advice on popular hotspots. Little touches like local microbrews and wines in the minibar or rotating exhibits of local artwork in the lobby can add to a distinctive and immersive experience.
2. Know which amenities are actually necessities.
Guests increasingly expect fast, reliable, and preferably free Wi-Fi. A high price for what many consider a necessity can leave travelers disgruntled, especially when Internet access is free at most peer-to-peer rentals. Some of these properties even offer additional connectivity by providing local phones or portable mobile hotspots to guests.
To cater to today’s plugged-in travelers, hotels should offer similar amenities, whether through loyalty programs or for free to all guests.
Get the full story at the Revinate blog
Article location: http://hotelmarketing.com/index.php/content/article/three_lessons_hotels_can_learn_from_airbnb
Online consumers stay on a website for only 10-12 seconds on average, so text needs to be succinct and captivating to keep travel shoppers engaged (Microsoft Research). Having too much "filler text" can dilute your message and overwhelm a potential guest. Consider this quote from Ernest Hemingway, often referred to as the shortest story ever told. It's a mere 6 words in length, but shockingly poignant.
Let’s cut to the chase, read these 7 fundamental Best Practice tips for accenting your images by focusing on the words you use to tell your story.
Get the full story at Leonardo
Article location: http://hotelmarketing.com/index.php/content/article/7_fundamental_tips_to_make_your_hotel_photos_pop_using_text
Right now, Google's online travel ambitions make sense, but there is some sizable risk involved in its decision. By jumping on board the travel express (pun intended), the company can get in on the action of a large and fast-growing industry. In 2013 alone, the travel and tourism market accounted for $450 billion in revenue and analysts expect the field to grow by 3.5% by the end of 2014.
Grabbing hold of just 10% of the travel and tourism market share would nearly double Google's $59.9 billion in revenue and could make for some serious profits. In 2013, Priceline.com's net profit margin came out to 27.9%, a decent clip higher than Google's 21.6%. Jumping into this business could mean significant profits for the business and could pave the way for even faster growth moving forward.
Based on the data provided, it's pretty clear Google hopes to make quite a splash in the online travel business. How this will affect the business and its shareholders moving forward is something only time will tell, but if the company can effectively leverage its resources and overcome its competition, the rewards might be well worth the risk.
Get the full story at The Moetley Fool
Read also "What to make of Google’s latest expansion into hotel listings"
Article location: http://hotelmarketing.com/index.php/content/article/are_googles_travel_plans_too_ambitious
With Chinese online travel firms competing aggressively on price, it is no great surprise that companies are looking to consolidate, as this generally leads to cost reductions and synergy benefits. Ctrip, China's main online travel booking website, said it was in talks with Baidu's Qunar over a possible partnership, although the prospect of a merger has not been excluded. So far, Qunar has declined to comment on the rumors.
According to analysts, the deal makes sense for Ctrip, which often pays Qunar for web traffic to increase bookings. Partnering with a search engine is a logical step, as the two services are often intertwined. Moreover, the companies cater to different segments of the travel industry, and together, they would be able to more efficiently grow revenue in the space.
Qunar has been one of the companies making the mobile push, as Chinese consumers increasingly shop on their smartphones. A partnership would potentially give Ctrip increased access to this userbase, increasing traffic and lowering costs.
Get the full story at The Moetley Fool
Article location: http://hotelmarketing.com/index.php/content/article/a_chinese_travel_powerhouse_in_the_making
The digital travel buddy is a virtual companion that uses AI to accurately suggest and book trips for travellers.
As the consumer would be able to look at hotels, resorts and aircraft seats on their own, the need to consult a travel expert may be diminished. And wearable technology evolving from the recently launched Google Glass will become so small it will fit onto a contact lens, predicted Filipov.
However, he believes the threat will become an opportunity for those agencies that embrace the technology.
Get the full story at Travolution and Skyscanner
Article location: http://hotelmarketing.com/index.php/content/article/digital_travel_buddies_the_otas_of_the_future
The brand’s first Tumblr foray will likely appeal to loyalists who want a more sustained interaction with the brand.
“To thrive in the social environment, a brand needs to immerse itself in the individual platforms selected and tailor content to suit,” said Ed French, chief of sales and marketing officer at The Ritz-Carlton, Washington D.C.
“The research we did on Tumblr helped us to understand the use and views of the channel are broader than the subscribers, which drove the journalistic approach on travel that we adopted,” he said.
Get the full story at Luxury Daily
Article location: http://hotelmarketing.com/index.php/content/article/how_ritz_carlton_adopts_tumblr
Marriott Rewards received an overall customer satisfaction score of 707 on a 1,000-point scale, according to the first hotel-program survey by market research company J.D. Power.
The online survey, which was sent by e-mail March 11-25, ranks 15 hotel loyalty programs and is based on responses of more than 3,800 consumers who are in at least one loyalty program.
Customer satisfaction was measured by five factors: loyalty account maintenance/management; ease of redeeming points/miles; ease of earning points/miles; reward program terms; and customer service.
InterContinental Hotels and Resorts' IHG Rewards Club ranks No. 2, and Delta Hotels and Resorts' Delta Privilege program is No. 3.
Get the full story at USA Today
Article location: http://hotelmarketing.com/index.php/content/article/marriotts_loyalty_program_ranks_no._1
While the app’s foundations are built on the findings of doctoral students at Yale University, Entrain looks remarkably easy to use: It just tells you when to adjust the light of your surroundings (from light to dark or vice versa), based on your destination’s time zone. According to the University of Michigan:
“Start by entering your typical hours of light and darkness in your current time zone, then choose the time zone you’re traveling to and when, as well as the brightest light you expect to spend the most time in during your trip (indoor or outdoor.) The app offers a specialized plan and predicts how long it will take you to adjust.”
Get the full story at VentureBeat
Article location: http://hotelmarketing.com/index.php/content/article/mathematicians_claim_theyve_solved_jetlag_with_an_app
Does your hotel have a mobile-friendly website and is it providing an optimal user-experience? Is your hotel effectively capturing nearby searchers looking for a last minute room? Is your hotel team proactively encouraging your guests to share their positive experiences on Facebook? If your hotel does not have a mobile-strategy in place, than you may be losing potential guests to your mobile-savvy competitors.
Blue Magnet Interactive will walk you through the necessary mobile channels that your hotel needs to be optimizing to increase bookings and drive more revenue in 2014.
Get the full story at Blue Magnet Interactive
Read also "Six essential tips for a successful mobile strategy for hotels"
Article location: http://hotelmarketing.com/index.php/content/article/creating_a_mobile_strategy_for_hotels
Headquartered in Dubai, HMH offers a complete spectrum of options to travelers ranging from top-end luxury hotels to budget properties. With its growing network, HMH required an online distribution solution that would help them expand to new markets while keeping rate and inventory updates simple to execute. RateTiger was the natural choice given its vast network of two-way XML connections and leadership position in the market. The integrated module of rate shopping and channel management proved to be a perfect fit for HMH ensuring live ARI updates as well as delivery of relevant pricing reports to help adapt rate strategies as per demand scenario.
“We needed a reliable integrated solution for price shopping and channel management. We are aware of the success other hospitality companies have had with RateTiger to streamline revenue operations and this will enable us to achieve the same, while acting quicker and faster to the changing market dynamics. We have five new hotels opening this year and eRevMax is the perfect online distribution partner for our business needs. RateTiger will provide instant control over revenue management, allowing us to handle more product types while automating our distribution process,” said Laurent A. Voivenel, CEO, HMH.
“We are glad to be the chosen one for Hospitality Management Holdings. Middle East is a growing market and Dubai is expected to attract 15 million visitors by the end of this year. This offers immense potential for HMH to tap and acquire new customers through our solutions. Not only can they connect to new channels, they can also push direct bookings by leveraging the meta-search engines that we now offer as a new channel option thereby improving online revenue instantly,” said John Seaton, VP - Sales, EMEA at eRevMax.
RateTiger Suite is an integrated solution to manage third party sales updates, benchmark competitor room rates, and manage reservations through two-way XML connectivity. It helps hotels improve sales through real-time ARI updates and leverage rate movements as per demand scenario. It is one of the most effective hotel channel management solution to drive bookings and maximize online revenue.
Related Link: eRevMax
Article location: http://hotelmarketing.com/index.php/content/article/hmh_partners_with_erevmax_to_improve_online_sales_for_its_hotel_portfolio
By convincing travelers to start their hotel search on Google Search rather than TripAdvisor, Priceline, or Expedia Google is making a powerplay against two of its biggest customers.
Some suspect that Google will use its search platform to encourage hotels to advertise direct listings to potential lodgers if there is a sufficient data match, cutting out the online travel agencies completely. Everyone knows that Google has boatloads of user data. Targeted advertisements could be a compelling proposition for hotels which seek to avoid the fees from Expedia and Priceline which can be as high as 25%.
The company that is most directly targeted by Google's move into hotels however is TripAdvisor. Like Google Hotels, TripAdvisor is a search platform for travelers where they can find hotel listings they can book through the online travel agencies.
Just like everything else happening in tech right now, there is strong reason to believe that Google Hotels will be focused on mobile engagement. One successful and emerging mobile hotel booking app that Google may be taking a look at is Hotel Tonight. Hotel Tonight is an Android and iOS app that launched in 2010 and has now been downloaded over 8 million times. The app is perfect for travelers on the go because it specializes in matching buyers and sellers for last minute hotel bookings. Adding this type of service on top of Google Hotel's mobile app which launched in November 2013 would put even more emphasis on Google's mobile engagement which is already quite entrenched.
Get the full story at Seeking Alpha (free registration)
Read also "Google finally checks in to the hotel business", "Google Travel’s grand plan? Become the ultimate aggregator" at Skift and "Google just became a real problem for online travel agents" at InvestorPlace
Article location: http://hotelmarketing.com/index.php/content/article/what_to_make_of_googles_latest_expansion_into_hotel_listings
Priceline Group has come a long way since 1998 when a serial inventor and entrepreneur named Jay Walker won a patent for buyer-driven pricing, setting the stage for the first online system that let consumers bid for plane tickets and later, hotel rooms.
The company has morphed into the biggest global online travel agency based on revenue, with an especially strong presence in Europe, where it was early to recognize consumers' fading resistance to electronic bookings. Its shrewd overseas expansion has been a lightning bolt that has shot its shares to record highs, making Priceline Group (PCLN) one of the top stocks of the past 30 years.
"Our brands are recognized for the outstanding consumer experience they provide," Priceline CEO Darren Huston said. "The way they do that is build it off the best product selection and travel options, great pricing and most simple online experience. That's a big deal. We're now the largest player in the space. Travel is a trillion-dollar industry and our share of that is still less than 5%. So we have lots of opportunities to grow and make a difference."
Get the full story at Investors Business Daily
Article location: http://hotelmarketing.com/index.php/content/article/priceline_wants_to_be_loved
Alternative payment methods such as E-Wallets, online banking and mobile payment are on the rise, and the digital currency Bitcoin is also accepted by some online travel agencies."
Global developments in online payments for online travel.
One general trend in online travel is the increasing use of mobile devices to make reservations, especially by business travelers and consumers who book last minute trips. With the increasing use of smartphones and tablet computers for travel planning, payment methods have to adapt to the emerging trend in consumer practice. A third of airlines already plan to facilitate the use of mobile payments for booking purposes in the next two years. PayPal is already accepted by an increasing number of travel booking websites.
Online payment fraud is a major concern of online travel agencies and booking websites. Though only around 1% of online travel payments is fraudulent, considering the size of the market, this is a significant number. Industry compliance with established safety regulations and keeping consumers informed about secure payment can contribute to decreasing the occurrence and cost of payment fraud.
Another trend on the online travel payments is towards immediate payment at the time of booking of hotels. Though both prepayment and reservation held by card for later payment at the desk are present on such travel booking websites as Booking.com and Expedia.com, on other such as on Hotels.com pre-payment has become the dominant option.
Regional variations in online payment for flights and lodging
Though online travel is a global market, peculiarities of local payment environments influence travel payment practice. For example, budget airline Ryanair accepts direct debits on its website in Germany, where they are popular, and does not take surcharges on them. Online travel booking website Hotelurbano.com, for which the primary market is Brazil, accepts the local banking payment method Boleto Bancario, while Japan-based All Nippon Airways accepts cash payment at convenience stores, which is an accepted payment practice in Japan. US airline companies United Airlines and Delta Air Lines offer the delayed payment method Bill Me Later, a PayPal brand, for customers with a billing addresses in the USA.
Related Link: yStats.com
Article location: http://hotelmarketing.com/index.php/content/article/credit_and_debit_cards_dominate_online_travel_payment
“Large companies, large-scale chains turning themselves into boutiques are only bastardizing the business in my opinion,” said Paul Ruffino, senior VP of Kept Hotels & Resorts, during a panel titled “What is so special about owning and operating boutique & lifestyle hotels?”
“What (brands) have done is they’ve seen what happened. And the big chains, in their defense, all they’re trying to do is do what people want,” said Larry Spelts, director of asset management at Charlestowne Hotels. “But there again, once there are 100 of this new boutique hotel, it has achieved ubiquity and you’re no longer unique. You’re no longer authentic to your locale because there are 100 of you.”
Boutique hotels are typically defined by their location and contain some sort of unique design or décor aspect to show that. The speakers agreed that what they dislike most about the brands expanding into their space is the overall lack of a true boutique guest experience.
Get the full story at Hotel News Now
Article location: http://hotelmarketing.com/index.php/content/article/chains_a_threat_to_boutique_hoteliers_say
Desktop search remains a favorite among marketers because of its deep consumer behavior history—which benefits search engine optimization on the desktop and mobile—its existing best practices, its measurable return on investment (ROI) and its wide usage. But with a mobile revolution under way, the desktop is finding a long-term home as a piece—but no longer the center—of the consumer journey.
Key to the future of desktop search is understanding how it will be informed by mobile usage in terms of design and measurement. Marketers now aim to intercept consumers at various times on various devices, and more frequently it’s mobile devices that catch consumers’ attention first. September 2013 data from comScore showed that overlap between mobile and desktop accounted for nearly half the unique visitors among the top 15 US web properties.
Adapting to a consumer who has already viewed something on mobile presents major shifts in how search results pages are designed.
Get the full story at eMarketer
Article location: http://hotelmarketing.com/index.php/content/article/mobile_search_reshapes_the_path_to_purchase
Currently most Evernote users interact with it primarily on their mobile phones. But when Libin looks to the future of computing, he's extremely bullish on wearables. He said Thursday at the exclusive f.ounders conference in New York City that while productivity on desktop computers flows in cycles of two-to-three hours, productivity on a cell phone screen is achieved in much smaller chunks of time.
"It's not just that the screens got smaller, but on phones, you have to solve the problem of 'how do you make someone productive for two-to-three minutes,'" Libin said. And apps are ideal for short, minutes-long interactions.
Libin is a big believer that within a couple of years, smartwatches and eyeglasses will be mainstream. In other words, computers will be worn rather than held in a palm. And that will inherently change how individuals interact with the programs or systems the computers run--including Evernote.
Get the full story at Inc.com
Article location: http://hotelmarketing.com/index.php/content/article/evernote_founder_apps_will_soon_be_obsolete
Wyndham launched this functionality in December and is currently tweaking the page to see what works and what doesn't.
Another project has been to link to events in a particular area from the hotel's own website. "The aim is to get consumer fully engaged on our website and not go to the competition," says Danica Boyd, the group's senior director of content operations. "If we give them innovative content, then hopefully they will book with us and not through the OTAs or third party channels."
In 2014, a major strategic focus is video. "We are pushing individual hotels to do new high-res photos/videos that stir emotion, work well for our tablet solution and are appropriately tagged for SEO," says Boyd. "We're moving away from shooting the brand standard."
Get the full story at EyeForTravel
Article location: http://hotelmarketing.com/index.php/content/article/is_your_hotel_hyper_local_enough
By Pedro Colaco
Having recently come back from quite a few trade shows and customer visits, and having spoken to tens of industry experts, I felt compelled to write this article about an idea that I have been sharing with our hotel customers and my industry friends for a while, but that I want to share with the industry at large and put out to debate.
The idea is simple: Tripadvisor's Tripconnect is the first real challenger to Booking.com's dominance and is the first step to get hoteliers back in control of their online distribution channel.
Let me explain how I came to this conclusion.
Hoteliers feel trapped
There is a mounting sentiment among hoteliers that hotel booking intermediaries like Booking.com and Expedia are getting stronger by the day. Online Travel Agents (OTAs) are massively outspending hotels in online marketing and customer acquisition, and their aggressive online and TV campaigns are driving consumer traffic to their websites, away from hotel's official websites.
Booking.com is by far the most assertive player marketing hotels to consumers, having racked up significant advantage in all online promotion techniques like Google Adwords and other foms of PPC (pay per click) or re-targeting and re-marketing. This marketing aggressiveness has turned Booking.com into the dominant hotel OTA in Europe and is already making significant dents in North America (see Alexa ranks of OTAs below). Hence, the attention of many hoteliers is on Booking.com and how to decrease their dependency on them.
Commission checks have doubled and continue to rise
Specialized hotel OTAs do not only outspend hoteliers, they also seem to be outsmarting hoteliers with strategies to drive prices down and commissions up.
Prices are kept low by increasing available accommodation inventory with speciality lodging (bed and breakfasts, serviced apartments, hostels) and even thousands of individual apartments that can be rented on a daily basis.
Commissions are kept high by having as many players as possible bidding "to be on page 1", where a massive percentage (some say 80-90%) of all transactions happen.
According to a spot check at some of our customers, we estimate that over the last two to three years average commissions paid by hotels to OTAs in markets like London, Barcelona or Lisbon have gone up from 20% to 30%. These changes, tied to a stronger dominance of OTAs, represent an almost doubling of the commission checks that hotels pay to OTAs on a monthly basis.
Even "prime beef" is fair game now
In secondary markets the rise of the OTAs sales channel, and massive OTA spend in online advertising has created significant value: an increase in sales opportunities and therefore increased occupancy.
In primary markets or seasons where occupancy is guaranteed to be high, the rise of the OTA sales channel has had a negative impact in hotel operations profitability. There have been little strategies that hotels could run to protect their "prime beef" from being partially taken over by the OTAs, especially with clauses like "price parity" and "last room availability".
The meta-search promise
The rise of hotel OTAs as vertical search engines for hotels is also due to the fact that consumers are getting tired of a messy hotel search experience. Numerous studies by Google show that travelers visit tens of sites before booking accommodation.
Entrepreneurs, seeing the opportunity to improve the same search experience, launched specialized search sites that compare prices on several OTAs to guide consumers to the best possible deal, including the one on the hotel's website (Meta-search). Some of these sites, like Trivago, have experienced massive success due to an aggressive TV ad campaign to drive traffic to its website.
While growingly important contenders, these sites still attract relatively little traffic when compared to hotel OTAs.
Enter TripAdvisor Tripconnect
When TripAdvisor launched Tripconnect back in October 2013, it was positioned as a service that "allows TripAdvisor Business Listings subscribers to participate in Hotel Price Comparison and to drive direct bookings from TripAdvisor to their own property's website." So, nothing different than Trivago or RoomKey, right? Wrong.
TripAdvisor is the first truly viable platform to generate a massive amount of direct bookings. TripAdvisor can help hotel brands compete with the OTAs for their bookings mainly due to two factors:
To provide some market context on the opportunity, take a look at Figure 3. TripAdvisor is truly the #2 website for hoteliers. It is the only one that gets close to booking.com in terms of traffic (ranks #208 vs. booking.com's #125), it outranks Expedia (#519) and blows fellow meta-search Trivago or RoomKey out of the water by 50 times! This is the sort of sales opportunity that hotel brands should participate in.
- The massive volume of users it already services on a monthly basis. According to TripAdvisor, over 260 million unique users plan travel on TripAdvisor each month. That's over 6,000 unique users looking at hotel reviews every second of every day.
- The target audience is already highly engaged with your brand. They are already looking at your hotel's reviews.
If this is PPC, won't the OTAs just outspend hotels again?
So, TripConnect allows hoteliers to bid on their own page. But OTAs are already listed on TripAdvisor's PPC programs, and have gained significant experience on bidding over the years. Moreover, TripAdvisor's business listing is considered expensive for many hotels. Managing PPC also adds to the list of tasks and budget line items in already cash- and resource-strapped independent hotels.
TripAdvisor has been running special pricing programs for hotels that sign up now. And bid management has been made very simple by TripAdvisor. So, all-in-all, if you want to cut your dependency on booking intermediaries, this is as good as it gets for now. And driving direct traffic is just the beginning.
This is just the beginning
With TripConnect, hotels now have a tool that allows them to be creative and compete with the OTAs based on total value offered to the consumers. I foresee that most price parity and last room availability clauses will be questioned. Hotels will drive special deals (e.g. free WiFi, 10% discount for Club sign-ups) that will test price parity clauses to the limit. And for high season, some hotels will be able to close out OTA sales and keep TripConnect open – and only their direct website prices will appear on TripConnect.
So, expect some backlash from the OTAs. But now you may have someone with clout on your side – TripAdvisor.
Is it going to be just TripAdvisor and Booking.com?
The point of this article is to regain control of your distribution, not to move your reservations from Booking.com to TripAdvisor. In addition, Google has slowly (but surely) been incorporating smarter hotel meta-search into its products. It started with Google Hotel Finder, migrated to Google Local Business and is now being increasingly displayed in native Google Search (the hotel carousel is just one example of such integration). Expect Google to become a more significant player in Meta-search in the coming 12 months.
To regain control of your distribution I believe you need to divide and conquer: i.e. you need to make sure you have a balanced distribution strategy, with a few OTAs, a few Meta players and a lot of direct bookings. To do so should require little extra work, as you can leverage reasonably priced technology solutions that provide seamless integration with these channels.
2014 is the year of meta-search due to TripAdvisor's TripConnect. TripAdvisor, due to its scale, is the first viable alternative to drive significant bookings away from the OTAs. By being able to participate in the travel planning process of 260,000,000 travel planners every month, hoteliers will be able to start balancing OTA vs. direct bookings and begin to get control of their online distribution channel back.
But it's not magic: it has annual fees, marketing costs, and requires smart revenue management. Nothing you cannot deal with.
Related Link: GuestCentric
Article location: http://hotelmarketing.com/index.php/content/article/tripadvisor_tripconnect_helps_hoteliers_cut_dependency_on_booking_intermedi
After an 18-month series of global listening sessions revealed striking customer insights from female business travelers, Hyatt saw a large opportunity to improve the business travel experience for all guests and to grow customer satisfaction with women in particular. Needing to share the new-and-improved Hyatt guest experience and its “we’re listening” brand message with female travelers, Hyatt turned to Google. Using unique ad formats in an integrated campaign across Google Display, YouTube and Google+, Hyatt reached its target audience and created an engaging brand experience.
Customers are at the center of the Hyatt brand experience, including marketing. In recent years, Hyatt’s marketing strategy has evolved to focus more heavily on reaching consumers online, where they often research and plan travel. “As consumer behavior evolves, it makes sense that we follow them into the digital platforms where they’re living,” says Dan Moriarty, Hyatt’s director of social strategy. “With digital channels, our marketing dollars are trackable and efficient, which is why we allocate more than half of our annual media spend to digital,” adds Frank Wong, Hyatt’s director of digital media.
Digital media played a crucial role in Hyatt’s recent campaign targeting female business travelers. After learning that a number of women “largely felt the hotel experience had been designed by men, for men, we made several changes to improve the female guest experience,” says Emily Wright, a senior manager responsible for Hyatt’s brand experience. Some of these improvements included adding high-quality bath amenities to every room, making female-friendly amenities such as curling irons available on request and updating the in-room dining menu with healthier options.
Get the full story at Google Think Insights
Article location: http://hotelmarketing.com/index.php/content/article/how_google_helps_hyatt_to_bring_its_brand_experience_to_life
TripAdvisor announced the winners of its Travelers' Choice™ awards for Destinations. The sixth annual awards honor nearly 500 destinations including the winners for the top spots in the world, and individual lists for Africa, Asia, Australia, Canada, the Caribbean, Central America, Europe, China, Middle East, Russia, South America, the South Pacific, the U.K. and the U.S.
"If you're looking for trip inspiration, look no further than the Travelers' Choice Destinations," said Barbara Messing, chief marketing officer for TripAdvisor. "Our global travelers are the tastemakers for uncovering the best places to visit around the world."
Travelers' Choice Destinations honor top travel spots worldwide based on the millions of valuable reviews and opinions from TripAdvisor travelers. Award winners were determined using an algorithm that took into account the quantity and quality of reviews and ratings for hotels, attractions and restaurants in destinations worldwide, gathered over a 12-month period.
Top 25 Travelers' Choice World Destinations:
(+/- denotes change in ranking year-over-year, 0 is no change and new is new to the top 25)
1. Istanbul, Turkey (+11)
2. Rome, Italy (+2)
3. London, England (0)
4. Beijing, China (+17)
5. Prague, Czech Republic (+4)
6. Marrakech, Morocco (+13)
7. Paris, France (-6)
8. Hanoi, Vietnam (New)
9. Siem Reap, Cambodia (+14)
10. Shanghai, China (+12)
11. Berlin, Germany (0)
12. New York City, New York (-10)
13. Florence, Italy (-5)
14. Buenos Aires, Argentina (+4)
15. Barcelona, Spain (-10)
16. St. Petersburg, Russia (+4)
17. Dubai, United Arab Emirates (New)
18. Chicago, Illinois (-4)
19. Cape Town, South Africa (-3)
20. Bangkok, Thailand (-7)
21. Budapest, Hungary (New)
22. Sydney, Australia (-12)
23. Lisbon, Portugal (Ne
24. Chiang Mai, Thailand (0)
25. San Francisco, California (-18
Get the full story at TripAdvisor
Article location: http://hotelmarketing.com/index.php/content/article/the_top_25_travel_spots_worldwide_according_to_tripadvisor_users
Tui UK and Ireland managing director Dave Burling said: "This shows the investment we have made in these devices. Customers want to research these holidays on the devices of their choice."
In the same period, 49% of total web traffic came through these mobile devices. The company also revealed online sales will hit 50% of total sales this year, worth £1.8 billion in turnover.
Burling added: "We have got a huge online business. This January we had half a million browsers of our hotel videos on our website; this gives you an indication of the scale of the business.
“The biggest trend online has been the move towards developing sites which can work not just on desktops but on tablets and smartphones. We are continually looking at investing in this business and in terms of the quality and service we give.”
Get the full story at Travel Weekly UK
Article location: http://hotelmarketing.com/index.php/content/article/uk_quarter_of_thomson_bookings_via_mobile_devices
Magic Rooms, will launch on April 15, be registered in the UK and will be fronted by former OHG sales director Brian Young as managing director. Ex-OHG chief executive Steve Endacott will not be involved.
Fontenla-Novoa told Travel Weekly that about 15 of OHG's staff in finance, product and back office roles would be re-employed across the old business's two offices in Manchester and Crawley, but he stressed it would be a "slimmed down version" of the former operation.
Fontenla-Novoa said: "I do believe that there is a space in the market for a good independent B2B bed bank and also believe in Brian and his team. I also believe in the relationships that we will have with travel agents, which Brian is key to. Distribution is absolutely crucial."
Get the full story at Travel Weekly and an interview with Magic Rooms' Managing Director at Travel Weekly
Article location: http://hotelmarketing.com/index.php/content/article/uk_new_b2b_bed_bank_magic_rooms_launches
That’s among key findings in ASTA’s just-released 2013 Technology & Website Usage Report, which details how the online habits of travel agencies have shifted as social media has become a larger part of the cultural and business landscape.
In one of the more pronounced shifts in agents’ technology use, just a third of agencies had an online booking tool on their site, down from 60% in a 2007 survey.
Why the change?
“When a lot were using branded online tools, they felt it was more of a workaround for suppliers than something integrated into their agency,” said Teates. “Some said they weren’t getting enough sales from online tools to make it worth their time.”
Royal Caribbean and Sandals & Beaches are the top branded leisure online tools used on agency websites.
Get the full story at Travel Market Report
Article location: http://hotelmarketing.com/index.php/content/article/travel_agents_divided_on_social_media
“A second year of strong growth shows that agencies are connecting with consumers who want to work with a travel professional,” said Zane Kerby, ASTA’s president and CEO. “ASTA agencies are confident that they can continue to expand their business in 2014.”
Fifty-six percent of retail leisure agencies reported increased revenue; 59% reported an increase in clients. Forty-four percent of independent agents (for the purposes of this study, ASTA defined independent agents as owner/agents, independent contractors or hosted agents) reported increased revenue and 46% reported an increase in the number of clients.
Sixty-four percent of travel agencies reported a profit in 2013. When broken out, 72% of corporate agencies, 62% of retail leisure agencies and 57% of independent agents reported profits.
Get the full story at Travel Weekly
Article location: http://hotelmarketing.com/index.php/content/article/majority_of_us_travel_agencies_say_revenue_rose_in_2013
“We commit to offer the hotels we work with easy, manageable and affordable connectivity to the global distribution systems and online channels,” said Michelle Herrin, vice president of OpenHotel. “Delivering that through Pegasus Connect+ allows us to optimize the other tools we provide that help hotels compete online.”
With Pegasus Connect+, OpenHotel clients receive RVNG, the only central reservations system built to manage selling hotel rooms in the Internet age. Each hotel will also enjoy one seamless connection to the four global distribution systems (GDSs), and more than 1,000 travel websites. Pegasus Sales Connections offers OpenHotel clients RFP management along with an enhanced set of sales tools tailored to hotel revenue creation needs.
“Delivering for clients requires innovation – whether that means developing new solutions, or leveraging already proven existing tools,” said David Millili, chief executive officer of Pegasus Solutions. “We’re pleased to serve as the ‘existing tool’ for OpenHotel as its team continues delivering and developing their branded property management system and booking solutions. As we make more hotels available through Pegasus Connect+, travelers will be more driven to shop, knowing availability is representative of the actual global hotel market.”
Related Link: Pegasus Solutions
Article location: http://hotelmarketing.com/index.php/content/article/openhotel_provides_connectivity_to_50_hotel_clients_with_pegasus_connect
DCM, a global venture capital firm investing in early stage technology companies in the U.S., China, and Japan, was founded in 1996 and operates offices in Silicon Valley, Beijing and Tokyo with more than $2.5 billion assets under management. It has currently invested in more than 40 companies in China, including Vipshop.com, 58.com, renren.com, Yiche.com, Dangdang.com, 51job.com, and Yongche, an Uber-style Chinese car rental service.
"We invested in DerbySoft because they are the recognized leader in connecting the world's largest hotel companies to the world's largest online travel sites," said Hurst Lin, co-founding partner of DCM China. "The vast collections of ‘Big Data’ associated with processing millions of hotel transactions daily provides an opportunity for DerbySoft to further their growth by providing new data-related services.”
Founded in 2002 by DerbySoft's CEO Ted Zhang and CTO Feng Ou, the company's headquarters are in Shanghai, with offices in Dallas, Texas, and London, Beijing and Tokyo.
DerbySoft's customers include the largest hotel companies in the world, such as IHG, Hilton, Carlson- Rezidor, Hyatt, Shangri-La, and Marriott, and as well as smaller regional chains including Home Inns, JinJiang Inns, Greentree Inns, and more than 1,000 independent hotels in China.
DerbySoft connects its hotel customers' central reservations systems (CRS) and third-party CRSs such as Trust International, and Sabre Hospitality Solutions / SynXis, to online booking and metasearch sites around the world, such as Booking.com, Google, Kayak, Travelocity, Room key, Tripadvisor, Ctrip, Elong, Trivago, Qunar, Kuxun, Taobao, Weibo, Tourico, H.I.S, Wotif, HotelBeds, and many more.
Beyond its reservations system connectivity services, DerbySoft's innovative and sophisticated CRS caching services have recently come into higher demand due to the continued growth of metasearch sites, which can overwhelm a hotel CRS with room rate and availability requests.
DerbySoft was among the first to develop a system for hotel room providers -- which can include online travel agencies, tour operators, etc. -- to manage and optimize their real-time bidding, placement and ad spending on metasearch sites such as Google. DerbySoft officially launched its MetaSearch Manager last year.
"The demand for our MetaSearch Manager platform and related services has been almost overwhelming since we launched it publicly late last year," said DerbySoft Co-Founder and CEO Ted Zhang. "We intend to use the DCM funds to ramp up our team and operations to accommodate the exciting demand for this new product, and to continue to increase the quality of our existing services.
"This additional capital will also enable us to pursue other new opportunities that leverage our existing technology connections and infrastructure, such as potentially providing marketing services based on real-time aggregated hotel booking data," Zhang continued. "We are honored that such a top-notch, well-known VC has granted us this vote of confidence."
Article location: http://hotelmarketing.com/index.php/content/article/derbysoft_receives_9_million_funding
The idea is to encourage travelers to plan more of their trips directly on Google. In the process Google gets them closer to making a booking, which experts expect will make referrals more valuable, prompting travel agencies and hotel operators to pay more for clicks on Google ads over time. It also encourages more hotel operators to place ads on Google directly, bypassing online travel agencies that charge commissions of up to 25%.
In its latest move related to hotels, Google on Monday struck a licensing deal that will give it access to technology from hotel-booking software startup Room 77 while adding engineers to Google's hotel-search team.
The potential market is large. In the U.S. alone, travel and tourism spending totaled $450 billion last year, and is expected to grow 3.5% this year, according to the World Travel & Tourism Council.
But the move is risky: Online travel agencies are among Google's biggest advertisers. Priceline Group will spend more than $1.5 billion in 2014 on Google advertising and Expedia could spend another $1 billion, mainly to attract hotel bookings, estimates RBC Capital Markets analyst Mark Mahaney. Those two alone could account for nearly 5% of Google's ad revenue this year, Mr. Mahaney estimates, even though the company has over a million advertising customers.
Get the full story at The Wall Street Journal
Article location: http://hotelmarketing.com/index.php/content/article/google_finally_checks_in_to_the_hotel_business
Hotel Price Ads, or HPA, is perhaps Google's most prominent hotel booking platform. HPA are sponsored price listings that usually appear on Google Maps, Google+, and Google Hotel Finder. HPA is the hotel equivalent of ITA, a proprietary airline booking software.
The platform is aimed at hotel marketers who use it to leverage the opaque hotel pricing and reservation model. Opaque pricing refers to selling unsold hotel or airline inventory at discounted prices, but without revealing the identity of the supplier (hotel or airline) to avoid cannibalizing full-price retail sales. This is the pricing system for which Priceline is famous.
For example, whenever a prospective customer enters a search query about hotels, Google sifts through a list of hotel rates that have been submitted by hotel marketers using a real-time pricing feed. Google then produces hotel results with standard site ad copy, plus a drop-down menu listing available rooms within the hotel. Prices are submitted by OTAs as well as the hotels.
From a client perspective, HPA helps hotels cut out the middlemen (OTAs), and also provides a better return on investment than typical core paid search campaigns, although adoption rates are still low. From Google's viewpoint, the platform has achieved less-than-ringing success, with lower-than-expected traffic volumes.
Get the full story at Business Insider
Article location: http://hotelmarketing.com/index.php/content/article/can_google_disrupt_the_online_travel_industry
U.S. business travel spending is now expected to rise 7.1% in 2014to $293.3 billion, a substantial upgrade from the 6.6% growth to $289.8 billion GBTA predicted last quarter. Total person-trip volume is expected to increase 2.0% to 464.7 million trips, according to the GBTA BTI™Outlook– United States 2014 Q1, a report from the Global Business Travel Association (GBTA) sponsored by Visa, Inc.
- GBTA’s forecast upgrade will be fueled by strong investment in international outbound travel spending, which is now expected to increase 12.9% to $37.2 billion – up from 12.5% growth forecasted in Q4.
- GBTA’s outlook for group travel was also revised to increase 7% in 2014 to $126 billion– up from the 6.5% growth GBTA predicted last quarter.
“As the spring thaw gets into full swing businesses are feeling more confident, with pent-up demand to get their employees back on the road,” said Michael W. McCormick, GBTA executive director and COO. “Business travel growth is a leading indicator of job growth, and we’ve seen this play out in previous quarters as the private sector has finally regained all of the jobs lost during the recession. Today’s forecast suggests that this measured but steady improvement should continue.”
“According to the BTI forecast, business travel in the U.S. will see strong gains in 2014, fueled by outbound international business travel,” said Tad Fordyce, SVP, Global Commercial Solutions for Visa. “As more employees travel globally, organizations that use electronic payments have a convenient and secure way to pay for business travel expenses no matter where they travel in the world.”
Get the full story at GBTA
Article location: http://hotelmarketing.com/index.php/content/article/gbta_revises_business_travel_growth_forecast_upward_for_2014
In addition, agents will have access to information on in-flight amenities including entertainment options, Wi-Fi access, power and USB ports and meals.
“As airlines do more to differentiate the traveler experience, it is critical that agents are able to quickly access information on different seat attributes and amenities,” said Chris Kroeger, senior vice president of Sabre Travel Network. “The SeatGuru Red App is another great example of how we use the Red App Centre to deliver unique and specialized business applications to our agency customers through innovative partnerships.”
Through the Red App Centre, agents can order the SeatGuru Red App and incorporate it directly into their Sabre Red Workspace, giving them more insight to select the best seats for travelers. The seat information from the SeatGuru Red App will build upon Sabre’s recently enhanced seat map and seat booking capabilities for airlines in the Sabre travel marketplace.
Get the full story at Sabre
Article location: http://hotelmarketing.com/index.php/content/article/sabre_and_tripadvisor_partner_to_bring_seatguru_capabilities_to_travel_agen
Today the travel supply chain has become highly fragmented, crowded and complex with suppliers of hotel rooms, airline seats, tour packages and cars existing alongside intermediaries. Many of these intermediaries exist to offer travel product suppliers another and sometimes faster route to the end consumers. OTAs, GDSs, B2B Accommodation Wholesalers, Metasearch price comparison sites, branded dotcoms – all are part of the huge online travel market worth $313 billion in 2012 (according to PhoCusWright).
The shopper for travel products is spoilt for choice both in the diversity of what is on offer and the myriad of online sites where he can go to make that purchase. But judging by the rising look-to-book ratios, making that choice easy with the needs and wants of the consumer in mind has not yet been achieved.
The online travel shopper, spends more on travel products than in other online retail stores and is passionate about his travel plans and finding the best deal for him. His research gives him instant access to flight, hotel, and car-rental options and the ability to play suppliers off against one another. A high degree of search activity across multiple sites usually precedes every booking. Of course there will always be shoppers who are not satisfied until they have researched all options to assure themselves that they are getting the very best price available, but that can take up valuable time. For intermediaries and suppliers to be able to serve up more limited options, but ones that more accurately match demand will help both the shopper to turn that look into a booking and the intermediary to turn that search into a conversion.
This empowerment of the consumer by the Internet is forcing travel companies to think more like retailers. This means learning to combine the data available on the products being searched for and bought with detailed knowledge of the customer, his situation and his preferences.
Get the full story at Hospitality.net
Download the white paper at Triometric
Article location: http://hotelmarketing.com/index.php/content/article/using_search_intelligence_and_hotel_data_to_improve_booking_behaviour
Not surprisingly, hotel guests preferred Wi-Fi over any other in-room feature as the need for constant connectivity remains at an all-time high. Travelers also identified the bathroom shower and room size among the most important in-room features.
However, the survey found that food is becoming more of a factor when it comes to hotel property amenities. When asked which hotel amenities are most important outside of the room, complimentary breakfast topped the list, followed by presence of a restaurant. Wi-Fi availability in shared spaces of the hotel was also one of the top amenities.
"Popular hotel amenities like parking, non-smoking rooms and pools have become more standardized, and we're seeing that travelers are placing more value on quality food options than ever before which is good news for foodies!" said Taylor L. Cole, APR travel expert for Hotels.com.
Get the full story and Infographic at Reuters
Article location: http://hotelmarketing.com/index.php/content/article/complimentary_breakfast_and_free_wi_fi_most_valuable_hotel_amenities
The combination enables both companies to leverage their complementary strengths by capitalising on their product, client and market synergies. With the acquisition of InnLink LLC, IHS GmbH also aims to strengthen its position in the attractive US market, building on InnLink LLC’s strong client base and proven track record. Financial details of the transaction were not disclosed.
As a result of the acquisition, IHS now operates four business units under its umbrella, serving as a one-stop shop for the global hospitality industry: Next to InnLink LLC, this includes the international hotel group Worldhotels; the leading CRS provider Trust International; and the sales management solutions provider Nexus World Services. The company network supports 20,000 hotels in 65 countries, reaching approximately 120 million guests and helping its hospitality customers generate more than $3 billion in room revenue each year.
“InnLink LLC perfectly complements the IHS portfolio”, comments Steve Rowley, IHS’ Chairman and CEO. “We were particularly impressed by the company’s potential for growth, its high level of expertise as well as its world-class product set and services. Together we can offer an enhanced set of solutions to our customers worldwide.
“Becoming a part of the IHS family of brands is a tremendous value-add for all stakeholders” says InnLink CEO Richard Corso. “As InnLink and its clients have grown, so have their business needs. The expertise and resources will surely benefit our clients and staff.”
Related Link: InnLink
Article location: http://hotelmarketing.com/index.php/content/article/innlink_acquired_by_ihs_gmbh
In the last twelve months alone, over 150,000 events used Passkey’s cloud-based GroupMAX™ system to book over 10 million hotel reservations and 30 million room nights. While these events ranged from large conferences and conventions to small corporate meetings and gatherings, they all had one thing in common: They allowed meeting planners to handle their hotel accommodation needs with unprecedented ease and peace of mind.
Today, Passkey is taking another major step in streamlining the hotel booking experience for meeting and events by launching PasskeyANYWHERE, a new, free and open-for-all online portal for meeting planners: planners.passkey.com.
In addition to being a central location for meeting planners to access all of their events, the new portal lets any planner offer a dedicated hotel booking website for any of their events, while utilizing a powerful set of tools such as event dashboards and email alerts that enhance the event experience.
With the launch of its planner portal, Passkey is also unveiling a new set of cloud-based tools that help meeting planners drive even more successful events and financial value while reducing their workload, worry and risks. These tools include planner hotel reviews, preferred hotel and venue search and certified event histories (event certificates).
Tonya B., a planner at a major financial institution, reflects on her use of GroupMAX: "We have been using Passkey’s tools for over seven years and have had great success with increased pick-up, real time reporting and adding shoulder night. It’s a great service to everyone – the attendee, the planner and the hotel. Everything is in real time, so regardless of time differences, everyone is on the same page at all times. Going forward, we will use it for all of our events.”
Another meeting planner notes, "Using Passkey’s GroupMAX, I felt much more in control over my block and more confident in making decisions about my block." Audrey Young, director of conferences and events for Association of Governing Boards of Universities and Colleges, who recently used the system, continues, "I was able to keep track of pick up, view reservations, as well as make and modify reservations and send confirmations. All of this was extremely valuable to me, especially since I was concerned with duplications or individuals holding multiple rooms who had not yet registered for the meeting."
Here are some of the features meeting planners will now be able to enjoy across all their events using the new portal:
- Online hotel booking at any hotel: Meeting planners now have the ability to offer attendees the convenience of online hotel booking for any event, at any hotel, worldwide.
- Centralized accommodation management (All-new): Meeting planners can track reservations and other critical information about all of their events in one central location.
- Event Certificates (All-new): An event certificate summarizes an event’s actual performance history, including overall booking percentage, night-by-night booking and booking pace. It is available at the conclusion of any event in GroupMAX and can be instrumental for planners and hotels to reach mutually favorable terms for future events.
- Preferred Venue Search (All-new): Planners can easily find hotels and destinations that offer Passkey’s full set of tools as part of their standard event offering, helping them narrow their search to the best hotels and destinations.
- Planner hotel reviews (All-new): Planners can write a private hotel review (seen only by the host hotel) for hotels where their events were held and managed in Passkey. This provides both hotels and planners a valuable and credible review and feedback mechanism that is focused solely on the event experience.
“Today’s meeting planners need tools that provide convenience and efficiency, as well as allow them to deliver more successful events,” states Greg Pesik, CEO and president of Passkey. “With the launch of our new planner portal, not only have we made it more convenient for planners to manage their hotel bookings across all events, but we are also introducing new innovative features such as event certificates and hotel reviews which promise to make each event even better than the last.”
Article location: http://hotelmarketing.com/index.php/content/article/passkey_launches_new_hotel_booking_portal_for_meeting_planners
To further understand how to create the sense of place affluent travelers are looking for, Marriott International has created a Gen-Y traveler profile named Gia. Like most affluent travelers, Gia is a tech-enabled global citizen interested in collecting experiences.
This type of traveler is not concerned with the status of travel but rather the richness of the experience. From five-star accommodations to commune stays, this traveler looks for experiences that resonate, and they are eager to share their adventures with loved ones via social media.
Through its analysis of likeminded travelers who are literate in international culture, Marriott International has learned to communicate with its guests through empowerment methods. By doing so the hotel chain is able to show it cares, is interested and can provide guests with an opportunity to achieve what they want.
Get the full story at Luxury Daily
Article location: http://hotelmarketing.com/index.php/content/article/marriott_uses_global_blending_to_enrich_guest_experience
Room 77 co-founder and Chief Technology Officer Calvin Yang and many of its engineers are joining Google.
Google has bolstered investments in travel to capture a bigger portion of the dollars spent by tourists who book hotels and plane tickets online. In 2011, Google spent about $700 million to buy ITA Software Inc., a provider of flight information, and the company has a service called Hotel Finder that scans prices and availability from numerous online travel agents.
Room 77 is located less than three miles from Google in Mountain View, California. The startup, founded by technology investor Brad Gerstner, is maintaining its “brand, websites, mobile applications, patents” and other technology in the deal.
Get the full story at Bloomberg and The Wall Street Journal
Article location: http://hotelmarketing.com/index.php/content/article/google_to_licenses_room_77_software_in_mobile_travel_booking_push
A website is a business necessity, but for some industries it is more critical to the overall purchase process than for others. Website satisfaction by industry tends to correlate with overall satisfaction, but not always. Two of the top three industries for website satisfaction—credit unions and consumer shipping—also do well in terms of overall customer satisfaction. Banks, on the other hand, show an overall ACSI score of 78, which lags the industry’s website score (85).
“The websites of banks, airlines and hotels add a great deal of value to overall customer satisfaction,” says Fornell. “For these industries, website satisfaction is much higher than overall satisfaction, but it doesn’t make up for weaknesses in other areas of the customer experience.”
Airline passengers are pleased with their carriers’ websites (80), but not with their flying. At 69, airlines rank close to the bottom for customer satisfaction among all industries and also show the biggest disparity between website and overall satisfaction (11 points). Another travel-related category, hotels, scores high for website satisfaction (84) but mid-range for overall customer satisfaction (77).
Get the full story at ACSI
Article location: http://hotelmarketing.com/index.php/content/article/hotel_website_satisfaction_higher_than_overall_satisfaction
Over the past few years, most major and minor carriers have established a presence on Twitter and Facebook, in addition to YouTube and Instagram.United and KLM started dabbling in the alternative medium in 2009 before fully committing a year or two later. Delta unveiled @DeltaAssist in 2006. Emirates is the kid brother racing to catch up. The Dubai company unveiled its handle March 25 and had sent out 17 tweets by the end of its first week on Planet Twitter.
Two events cemented the union between airlines and social media. During the mega-snowstorm of February 2007, the chief executive of JetBlue spoke to affected and frustrated passengers via YouTube. Three years later, the Icelandic volcano erupted, creating havoc over Europe’s skies. Overwhelmed with calls and queries, KLM turned to Facebook and Twitter to reach more eyes. Today, the Dutch carrier employs 135 social media agents who are available 24 hours a day and fluent in 10 languages.
“The airline industry is a front-runner in the adoption of social media,” said Raymond Kollau, founder of Airlinetrends.com, “as it allows travelers in transit to get in touch with their airline in a much easier way. And, more importantly, social media has provided customers with a magnified voice that can have a huge impact on an airline’s reputation.”
Get the full story at The Washington Post
Article location: http://hotelmarketing.com/index.php/content/article/for_airlines_social_media_unrivaled_in_its_efficiency
Kuoni Group travel experts hosted 20 leading hoteliers from nine European destinations on a visit to Beijing and Shanghai last month to learn more about Chinese travellers and their expectations when visiting Europe on group tours. Hosted by Marco Russi, Kuoni Group Travel Expert’s Vice President for Hotel Sourcing and Reservations, the whirlwind tour helped them understand how to better meet the particular needs of these visitors.
Says Marco: “As the biggest group travel provider in China, we bring a lot of visitors to European destinations and book hundreds of thousands of room nights every year. Many Chinese visitors are experiencing a long haul destination for the first time and to win more of their business, hotels need to reassure them of the welcome they will receive.
“Because of the size in our business in Asia, we can also help Europe’s hoteliers understand the nature of group travel in other countries with growing numbers of outbound tourists.”
Get the full story at Breaking Travel News
Article location: http://hotelmarketing.com/index.php/content/article/kuoni_experts_plan_regular_annual_business_mission_for_hoteliers
The Accelerator has been in use for the past year by Wired and sibling pub Ars Technica, the latter of which created the platform. It looks at metrics like growth in views and shares and traffic sources to predict stories that will break a certain unique pageviews threshold (in the case of Wired and Ars, 100,000 unique pageviews).
Wired and Ars Technica have been packaging Accelerator as part of an overall media plan for a specific time period, like one week, with an eye toward advertisers that want to increase their exposure for a given period. Once a story seems like it has the potential to go viral, it is connected to an ad server, where an advertiser that has pre-bought the Accelerator will have its ad appear adjacent to the popular story. Porsche, LG, Motorola, HBO, Microsoft are among advertisers that have used the platform.
“We’d have these stories. like the Kim-Kanye story on Vogue, but we haven’t been able to monetize them, because we haven’t expected it,” said Josh Stinchcomb, vp of corporate partnerships at Condé Nast. “This allows us to monetize the spikes and lets the advertiser own that story. There’s over-delivery, typically, making the buy more efficient. More important, they get connected to the story everybody’s talking about.”
Get the full story at Digiday
Article location: http://hotelmarketing.com/index.php/content/article/conde_nast_tries_its_hand_at_social_ads
After carrying out more customer usability studies, TripAdvisor decided to make three extra enhancements.
Users can now save their templates, meaning they don’t have to start from scratch every time they want to send an email, and they can update photos and “from” email addresses on multiple templates using default settings.
Perhaps most significantly, the Review Express tool can now be linked to a property’s internet booking engine (IBE), making it easier to sync reservations and email address databases with the marketing template.
TripAdvisor claims Review Express users have seen a 33% average increase in reviews since its inception.
Get the full story at Travolution
Article location: http://hotelmarketing.com/index.php/content/article/tripadvisor_improves_review_express_service_for_hoteliers
Wondering what type of video is best for your hotel property? This VTV E-Marketing Minute identifies some of the most effective types of hotel videos, allowing hotels to start cultivating their own unique, targeted story through video and visual storytelling.
View the video at Leonardo
Article location: http://hotelmarketing.com/index.php/content/article/what_types_of_videos_are_effective_for_hotels
To tackle these distribution complexities and regain control of their bottom line, hoteliers must implement highly integrated and flexible pricing strategies. Sales, marketing, distribution, digital, revenue management and all others tasked with generating revenue need unified approaches using shared market intelligence to achieve the same goals. The ultimate goal should no longer be just revenue, but net revenue.
To be clear, our partners have not stolen anything from us. We have failed to serve the needs of our customers when they are shopping for a hotel room, and we need to own that failure, understand it and devise ways to address it.
If hoteliers, the most important players in the hotel industry’s complex value chain, can’t rationalize the economics, there is a real risk the industry could face a similar fate to those in the airline, music and publishing industries.
Get the full story at Hotel News Now
Article location: http://hotelmarketing.com/index.php/content/article/hotels_need_a_new_revenue_strategy_to_stay_profitable
Sabre looks to raise as much as $894.7 million in its initial public offering that the company first announced in January.
Sabre will sell 44.7 million shares and estimated that they will be priced at between $18 and $20 a share, the company said in a Securities and Exchange Commission filing Friday. The company, which didn’t announce an offering date, will trade on the Nasdaq under the symbol SABR.
Sabre’s owners — TPG, Silver Lake Partners and Sovereign Co-Invest — will sell about 17% of the company with the offering, reducing their collective share of Sabre from 96% to 79%, assuming that the underwriters don’t buy additional shares. At $20 a share, Sabre’s valuation would be pegged at about $5.26 billion.
Get the full story at Travel Weekly
Article location: http://hotelmarketing.com/index.php/content/article/sabre_seeks_up_to_895_million_in_ipo
Created in 2012 to address the problem of declining inbound travel, Brand USA’s goal is to promote international travel to the United States. Whether visitors are in search of big cities, the great outdoors or simply a taste of American culture, Brand USA helps them “Discover America” and plan their trips.
To attract more visitors, deliver its brand message to the world and maintain an effective digital presence, Brand USA partners with Google for its digital marketing. “Our primary goal and end result is to influence travel and spend to the United States. We have a tremendous platform to do that,” says Chris Thompson, CEO of Brand USA. “It’s the perfect vehicle for influencing customers to visit the U.S. and engaging them before, during and after their trip,” adds Jiri Marousek, Brand USA’s director of digital. And the results speak for themselves. Brand USA has increased intent to travel to the U.S. by up to 22% while reaching markets that represent 90% of inbound travel to the U.S.
Get the full story at GoogleThink Insights and the corresponding infographic at Google (PDF 1.2 MB)
Article location: http://hotelmarketing.com/index.php/content/article/brand_usa_boosts_travel_intent_22_with_google_campaign
Frederic Gonzalo shares a great example on how the social media landscape has evolved in the past two years, with a higher level of integration.
Rather than seeing the #1, #2, #3 and so-on ranked-hotels on TripAdivsor, I actually will see the hotels that best ranked among my Facebook friends’ reviews.
So having a strong, vibrant community on Facebook not only helps you foster great customer service or perhaps conduct some research and development, not to mention a few promotional initiatives, it also impacts how your hotel, restaurant or attraction will perform and get seen on TripAdvisor.
Get the full story at Frederic Gonzalo
Article location: http://hotelmarketing.com/index.php/content/article/how_facebook_impacts_results_on_tripadvisor
A recent survey of UK-based smartphone owners found that nearly nine out of 10 used their phones to research and plan their vacations, yet the majority of transactions were made on a desktop or laptop. And Nucleus study from October 2013 found that more than one in three visits to the 11 travel websites they researched were from mobile devices.
The opportunity seems obvious: make sure customers can use mobile devices from research to purchase and everywhere in between, and they will buy more tickets and not tie up your customer service lines.
Eric Miller, Monetate’s Enterprise Account Director, shares some tips on how travel sites can, and should, improve the mobile experience, beyond the standard responsive and UX related fixes.
Get the full story at Monetate
Article location: http://hotelmarketing.com/index.php/content/article/how_to_optimize_your_mobile_travel_site_for_bookings
According to the study, just 16.1% of US internet users used social media while watching live or timeshifted primetime TV programs. However, 7.8% of that social usage was not TV-related. The remaining 8.3% was related to the television in some way, with 7.3% focusing on the actual show and 1.0% discussing TV in general.
The Council for Research Excellence/Keller Fay Group found that millennials were the age group most likely to engage with social media while watching TV—particularly, older millennials; 9.6% of 25- to 34-year-olds said they used social media while viewing primetime TV. Younger millennials, those ages 15 to 24, came in second place among age groups for social TV usage, with 9.2%.
Deloitte, which determined that 26% of US internet users used social media “always” or “almost always” while watching live or timeshifted TV programs, had similar findings when it came to age demographics, though its percentages were much higher. Around half of those in the 14-to-24 and 25-to-30 age groups typically used a social network as they watched television.
Get the full story at eMarketer
Article location: http://hotelmarketing.com/index.php/content/article/social_usage_during_tv_time_still_small
By Pamela Whitby
Across the board, it's been a tough few years for the online travel industry in Europe but things could be looking up. Late last year PhocusWright released figures that suggest European gross travel bookings are projected to hit record levels of over €250 billion in 2013. In fact, Europe's online travel market is forecast to grow faster than the total travel market, averaging 8% annual growth through 2015.
Ahead of the Travel Distribution Summit, Europe, we take a broader sweep of issues that may give brands the edge in Europe.
1. Rate parity: the wall is falling with the rise of meta
Hoteliers in Europe, where chains are less dominant, are more sensitive to rate parity issues than US counterparts - and they are starting to push back. For Conor O'Connor, co-founder and chief executive of Hot Hotels, parity is a throwback to the industry of old, and some hotel activity goes against what the EU would consider to be fair practices. "The days of free price competition is what gives customers the best deal and also fills the rooms of the best hotels," he says."It still amazes me that price-fixing and separate or different rates for the same markets can and do exist," he says.
But things are changing, if slowly, in Europe and Carl Michel, executive chairman, of Generator Hostels, believes that the rise of meta-search, which is "good news for hotels", is helping to level the playing field.
2. Help the traveller bag a bargain and build love
According to O'Connor, in Europe, the ability to grasp the subtle and not so subtle differences - and, in particular, the ability to deliver a good deal is important! Hot Hotels believes it has the edge over its main competitor - HotelTonight - in Europe because it understands this market better.
"Selling a $500 hotel in Chicago for $350 might work well in the States but it doesn't translate here," he says. "In Europe, consumers are looking for a €100 hotel for €50. The market here is lower end and it's much more fragmented."
HotelTonight's recent move to include more budget offerings such as hostels, packages and holiday rentals, indicates that it has now understood this trend.
3. Build love on both sides: don't make price your only point for differentiation
Bob Rogers, co-founder of DealAngel, a firm recently acquired by the Russian online travel agent (OTA) OneTwoTrip, has a contrary view. "Yes, price is important in Europe, but if you only differentiate on price then that is not sustainable," he says. "I'm a firm believer in building love in the services you provide and giving value on both sides."
In a world where OTAs are often making demands on hotels for parity and so on, Rogers says, for example, that they have developed a free rate-shopping tool. This allows hotels to see and understand their ranking on an OTA's website, a service many already pay for.
Mobile-only players - which help hotels sell distressed inventory, while helping consumers bag bargain - have also understood the importance of a two-way relationship. "Mobile is an opaque channel and we are not here to cannibalise the sales of our hotel partners," says O'Connor.
4. Be prepared for growth for mobile and the last minute
Of course, specific mobile trends can't be ignored as mobile bookings are growing explosively and by 2015, a fifth of all online travel bookings are expected to take place via smartphone or tablet. If you need more proof, booking.com generated more than $8 billion in mobile bookings in 2013, up from $3 billion in 2012 and $1 billion in 2011 - and it has invested heavily in making the user experience a seamless one. As O'Connor points out, around a quarter of of all hotel bookings are now made on the same day and 60-80% of those same day bookings are made on a mobile device. "We aim to be right at the apex of those trends," he says.
5. The rise of the repeat booker: find the right niche and you may just drive loyalty customers
"I've been in online travel for almost a decade and I've never seen repeat customer percentages [over 50% of Hot's customers are repeat visitors] like this," says O'Connor, who believes that not only is the European customer really looking for a deal, they want to complete it in record time so it's more important than ever to deliver a great, frictionless user experience. "If you go to an OTA website, search the list, enter contact details and so on, it's a three to four minute process. On our app it takes 10 seconds or less," he says.
That's got to be a good thing.
6. Geo-location, personalisation and packaging better
At no other point in history have people carried a computer in their pocket. From checking status updates to making phone calls or booking a hotel room, there is a lot of inherent geographic and geo-location technology built into a mobile device which allows customers to behave in a much more on demand way.
With the fall of roaming charges in Europe, coupled with access to a huge amount of data, there are real opportunities. Selling tours and activities during the trip is just one example. "Most time people are not in the frame of mind to book an activity, which can be weather dependent, before they leave home," says Rogers, who can't stress enough the importance of thinking creatively. For example, if the traveller is staying in a hotel near a popular museum, why not entice them in for breakfast with a discount, before the tour groups descend. The consumer benefits from a discounted ticket or meal, and the destination/venue sees customers at what is usually a quiet time.
7. The consumerisation of business travel
Speaking of that computer in a pocket, Nick Vournakis, Carlson Wagonlit Travel's (CWT) senior vice president, global marketing says the consumerisation of business travel and the power of travellers looking for an experience on par with what they would expect when booking leisure travel is a rising trend. "I expect that door-to-door booking capabilities, fully enabled on mobile devices,where a traveller can book a trip in a few simple clicks, will continue to rise in popularity," he says.
Related Link: EyeForTravel Travel Distribution Summit, Europe
Article location: http://hotelmarketing.com/index.php/content/article/travel_trends_in_europe
The infographic, based on several market studies, advises hotels to invest in meta-search marketing and include it to their core marketing plan. Traffic to meta-search sites have been steadily increasing with over 36% online travellers using comparison shop before booking. This is evident from 13% growth in the meta-search traffic statistics over the last year amongst varying age groups. 39% of ‘Millennials’ cite meta-search channels as their preferred source of information, 35% of ‘Xers’ (age 35-48) opt for meta-search, 23% of Boomers (age 49-67) and 14 % of ‘Matures’ select these sites as their top source for travel information.
With the entry of TripAdvisor and Google in the meta-search space, it is no wonder that meta-search is going to take center-stage in 2014. Kayak has processed over 1577 million queries in 2013, and this is expected to reach over 3 billion in the next 5 years. According to December 2012 data from PhoCusWright and Experian Hitwise, 6% of US traffic comes from sites such as Kayak. TripAdvisor receives 260 million monthly visits and over 50% of them use the meta-search feature.
This tremendous growth can be attributed to the value proposition these sites offer to the travel consumers – not only do they provide real-time availability and rate data, and enable price comparison – these sites are one-stop platforms for travelers to research and consequently book their hotel stay.
eRevMax predicts the year 2014 to be the year of hyper meta-search expansion as companies spread their reach way beyond their home-market comfort zones. For hoteliers to sell through these channels effectively, eRevMax has added meta-search as a new channel option within its distribution network. Hotels can subscribe to push their rates and availability on multiple meta-search sites directly from their RateTiger and Connect platform to boost direct bookings.
View the infographic at eRevMax
Article location: http://hotelmarketing.com/index.php/content/article/erevmax_predicts_2014_to_be_the_year_of_meta_search
A recent study Yahoo undertook saw that only 3% of travel brands are a destination for consumers when they are looking for inspiration. There is a massive opportunity to own this crucial phase in the travel cycle.
While travel brands should ensure their online presence is as inspirational as possible for browsing across multiple devices, they also need to optimise their mobile and tablet sites for bookers.
The IAB found that of the 48% of travel brands who have a mobile optimised site, only 6% are specifically designed for tablet devices.
For a consumer this means browsing beautiful images and being inspired on your tablet only to then have to log on to a desktop, or go through a clunky mobile experience, to actually book your holiday. Yahoo's message to the travel industry is to get it right on tablet now, not just for browsing but for transactions too.
Get the full story at Travolution
Article location: http://hotelmarketing.com/index.php/content/article/yahoo_on_how_travel_brands_can_own_the_digital_inspiration_for_consumers
The first Media Lounge offering, available today in the Expedia app, is Over, a photo-editing app that enables travelers to personalize photos by adding text and artwork. Regularly $1.99, Over is available for free through Media Lounge for a limited time.
In addition, the Expedia app will recommend content (both free and paid) to help customers with their travels. Both featured and recommended content are carefully curated to enrich the travel experiences of users everywhere.
"Here at Expedia, we believe that technology should deliver a delightfully relevant experience at every stage: from booking to check-in, and beyond," says John Kim, Senior Vice President, Expedia. "With the introduction of Media Lounge, we're taking the next step in providing a more complete experience for our users that are traveling with their iPhone or iPod touch."
Get the full story at Mobile Marketer
Article location: http://hotelmarketing.com/index.php/content/article/expedia_launches_media_lounge_to_up_app_retention_and_engagement
Amadeus, the leading technology partner to the travel industry, today announced its intention to acquire i:FAO through a tender offer process, conditional upon acceptance by a minimum of 75% of shareholders and regulatory approvals. Mr Louis Arnitz, the Chief Executive Officer of i:FAO Group, and other major shareholders have committed to sell their shares into the tender offer to be launched by Amadeus. In total, Amadeus has secured 68.5% of i:FAO’s share capital in the form of irrevocable undertakings to tender. i:FAO Group is a leading provider of travel management technology solutions for corporations in Germany and is traded on the Frankfurt Stock Exchange.
“This deal extends our reach and further develops our offering in a key area, and will significantly increase our growth opportunities in the Corporate Travel IT business”, said Holger Taubmann, Senior Vice President, Distribution, at Amadeus. “Corporations are one of the biggest consumers of travel services, and they account for about 45% of all trips made worldwide. The Corporate Travel IT business - focused on providing corporations with applications to help automate travel policy, handle their booking flow and simplify the travel expense claim process – is currently estimated at around €2 to €3 billion a year, with significant growth expected over the next years”.
“Since 1998, i:FAO has developed into a leading Corporate Travel IT company in the German speaking countries – Germany, Austria, Switzerland –, with a growing presence in the United Kingdom, Scandinavia and Central Europe”, said Mr Louis Arnitz, Founder and Chief Executive Officer of i:FAO Group. “Our experience, though, tells us that, more and more, global end-to-end travel IT solutions are critical for big multinational corporations’ requirements. Becoming part of a truly global leader in the travel industry with Amadeus, will allow us to develop the ability to meet our customers’ requirements worldwide.”
I:FAO Group, headquartered in Frankfurt and with its main development sites in Sofia (Bulgaria), has a significant presence in the German Corporate Travel IT market through its flagship cytric solution, which has an open and flexible architecture that allows easy customization to specific clients requirements. i:FAO will bring established relationships with blue-chip corporate customers. As a result of the deal, around 170 professionals, including i:FAO Group’s executive management team and more than 100 developers will join Amadeus.
In 2013, i:FAO Group obtained revenues of €14.4 million, with a 10.6% increase compared to 2012, and a compound annual growth rate (CAGR) of 11.1% for the 2005- 2013 period. In that same period, EBITDA showed a CAGR of 22.1%. In 2013 EBITDA was €4.6 million and EBITDA margin reached 32%.
Article location: http://hotelmarketing.com/index.php/content/article/amadeus_to_acquire_ifao_group
Hotelbeds plans to extend the sale of transfers, activities and experiences under the Activities brand as part of growth plans for the Americas region.
It claims to offer “complete solutions” to the travel industry through class-leading technology to target growth in the mobile channel.
The business is already a leading distributor of these services, offering more than 8,000 transfers and 12,000 activity options in 110 countries.
Get the full story at Travolution
Article location: http://hotelmarketing.com/index.php/content/article/hotelbeds_reveals_growth_plans_for_americas_region