Revenue Management

IHG: Attribute-based selling changes game of revenue management

Apr 30, 2019 / Attribute based selling
InterContinental Hotels Group
InterContinental Hotels Group

InterContinental Hotels Group’s new central reservation system and new way of selling its rooms will require its revenue managers to rethink how they do their jobs.

Like its peers Marriott and Hilton, the group is experimenting with a new pricing and booking process, called attribute-based booking. But the new process changes the game of revenue management.

Attribute-based selling may sound merely cosmetic. However, the implications can be wide-reaching, requiring a new revenue management system, a new property management system, and a new customer relationship management system.

Related Link: The rise of attribute based selling in hospitality

Products & Services

Homesharing: Marriott vs. Airbnb

Apr 30, 2019 / Marriott
Marriott International
Marriott International

Despite Marriott’s status as a hotels behemoth, its homesharing options are limited compared to Airbnb and Booking.com, which both claim well over five million home listings.

Airbnb and OTA platforms have been blurring the lines between hotels and homesharingand Marriott is certainly not the first hotel group to dip its toes in the rental space; AccorHotels’ Onefinestay rental platforms has been well underway.

But thanks to its large footprint and extensive content, Airbnb drives more traffic to its site than hotel brands. If hotels want to compete head-to-head with veteran homesharing platforms, they need to step up their digital marketing strategies.

Related: Marriott launching vacation rental platform

Distribution

Will entertaining travelers boost Airbnb's bottom line?

Apr 30, 2019 / Airbnb
Shutterstock
Shutterstock

By going all-in on video without a clear blueprint for what that content will do for the brand’s bottom line, is Airbnb just another startup with more money than sense?

The leap to creating shows and films may not be as big as it initially seems for the online rental property platform, and its success or failure may be a fascinating case study for ambitious content marketers across all industries.

From a practical standpoint, unconventional marketing tactics could help set Airbnb apart from hotels and other online travel agencies. It could also generate interest for additional offerings such as restaurant reservations, transportation or community-led experiences that can all be booked through Airbnb’s platform.

Related: Behind Airbnb's bet on show business to hook travelers

Loyalty Program

What can travel marketers learn from Marriott's Bonvoy launch?

Apr 30, 2019 / Marriott
Marriott International
Marriott International

Marriott understood that rebranding its loyalty program would require patience and persistence. That’s why it created an aggressive marketing plan for Bonvoy.

How big of a deal is it when Marriott, the world’s largest hotel operator, rebrands its loyalty program? Such a big deal that ABC created a special television advertising block during the Oscars to help the company unveil its new offering: Bonvoy.

By nearly any measure - media coverage, consumer buzz, or advertising spend - the program’s launch has so far been the biggest travel and hospitality story of 2019. Here are five lessons every travel and hospitality marketer can learn from the rebrand.

Digital Marketing

WhatsApp future vision: ‘Private commerce’ and payments

Apr 30, 2019 / WhatsApp
Shutterstock
Shutterstock

The combination of products and payments on WhatsApp points to its future as a global “private commerce” platform.

At Facebook’s F8 developer conference, CEO Mark Zuckerberg introduced the WhatsApp Business Catalog. This will be a way for small businesses to showcase products to users interacting with them on WhatsApp.

Facebook has been building out business-friendly features in WhatsApp, including the coming introduction of ads. Launched in early 2018, WhatsApp business is primarily directed toward small business owners.

Revenue Management

2019 OTA Insight Global Survey

Apr 30, 2019 / OTA Insight (sponsored)
Shutterstock
Shutterstock

OTA Insight asked leading hoteliers and hotel tech professionals to chime in on what’s working and what’s not when it comes to managing distribution.

Profit margins are on the decline with expenses exceeding revenue growth for the second year. Part of this “expense creep” lies in third-party commissions and fees.

When fighting expense creep and increasing profit margins, hotels benefit from revenue management strategies, rate parity technology, and business intelligence that helps hotels tap into profitable revenue streams.

Market Data

France’s online hotel bookings are back on the up, set to remain steady

Apr 30, 2019 / SiteMinder (sponsored)
SiteMinder
SiteMinder

Online hotel bookings in France are set to increase four percent in 2019 - a growth rate not seen by the nation’s hoteliers in four years.

Online hotel bookings have fluctuated from a two percent decline in 2016 to a two percent uplift in 2018, and data from Euromonitor International suggests the four percent growth expected this year will remain consistent until 2023 when the rate will rise marginally to five percent.

SiteMinder’s analysis comes as it launches "State of the Nation 2019: How big is the opportunity for hotel bookings in France?", a report revealing that the five percent rise in online hotel bookings in 2023 will be driven, in large part, to the 2023 Rugby World Cup.