HOTEL BUSINESS REVIEW

June FOCUS: Hotel Sales & Marketing

 
June, 2015

Hotel Sales & Marketing: The Shift to Digital is Leading the Way

Hotel Sales & Marketing departments have been dramatically transformed in recent years. Advances in technology have prompted changes in consumer buying habits, and these professionals have had to adapt to keep up. Like so many other facets in the industry, the shift to digital is leading the way. An established online presence provides marketing professionals with more direct interaction with their guests; the capacity to collect more detailed information about them; and an increased ability to share their brand stories. These endeavors can be accomplished through website usage but increasingly, social media is assuming a larger role in the digital mix. Social media has moved marketing into a new era. Hotels that offer a good product, at a good value, and consistently deliver that product and price, will benefit from thousands of people who view positive comments on travel review sites. Online reviews continue to be a popular way for users to determine which companies they can trust. And though online marketing may have changed how professionals connect with and convert customers, they still need to focus on traditional marketing channels as well - ones that are cost-effective; protect price integrity; and which generate the most bookings. Some of the larger chains are employing efforts that feature both a top down (global) and bottom up (local) approach to ensure that new business is generated from the greatest number of sources. These include the use of loyalty programs, monthly e-mail newsletters, brand identity tools, advertising campaigns tailored to specific regions, regional marketing co-op programs, and business-to-business marketing campaigns. The November Hotel Business Review will examine some of these critical issues and explore what some sales and marketing professionals are doing to address them.

This month's feature articles...

Bonnie Knutson

Virtually every hotel is involved in digital marketing is some shape of form. If it is done well, it can increase views, likes, click throughs, and more importantly, sales and revenues. And it can reduce marketing costs. But this is still a relatively new communication channel for hotels as well as consumers/guests so the path to success can be filled with bumps and bruises. Every hotel needs the right people to steer clear of these hazards. In this article, you will find out who you need to have in your hotel's “digital dream team.” READ MORE

Corey  Finjer

With the recent launch of Marriott's dedicated Content Studio, the hospitality industry is catching on to the latest digital seismic shift towards native advertising or branded content. But what can smaller hospitality brands do to create content that represents their brand, engages target audiences, and—ultimately--builds loyalty and drives bookings? A lot! Corey Finjer, Sr. Vice President at Hawkins International PR, provides insights on why it has never been easier to create and distribute quality, editorially driven content that tells a story about your brand and attracts and engages customers. READ MORE

Jennifer Dunphy

As marketing professionals in a technology savvy digital era, there is only one thing that is constant…and that is change. As always, there is a new era in marketing for us to embrace, and it is likely one of the most advanced forms of marketing that we will see over the next couple of years. It's a bird, it's a plane, no… no… it's a drone. READ MORE

Laurence Bernstein

With the banners of somewhere around 492 hotel chains emblazoning tens of thousands of hotels, it is no wonder that many independent owners and operators are convinced they hardly stand a chance. They're wrong. The underlying reasons for the proliferation of brands have left them vulnerable to successful competition by smart independents. This key advantage, which is wrapped in a deeper understanding of customers and the ability to take action on these insights, can be leveraged by focusing on two factors: availability and relevance. In this article we examine how independent hotels can take advantage of this weak underbelly and successfully compete with branded hotels. We offer a two point program to successfully compete against the onslaught of brands. READ MORE

Dave Spector

Over the years, my team and I have seen it all. We've also made and fixed every marketing mistake imaginable. From not asking owners for the proper budget, to ignoring past guest data or ignoring guest reviews, we've made all the missteps that we still see many hotels making today. But, those types of blunders can make you smarter... READ MORE

Bruce  Seigel

Digital consumer engagement is an important part of building brand equity. By using a five-point digital marketing reference system, a hotel can successfully evaluate and manage its digital customer engagement activity to ensure it supports and reflects the brand's core properties. Tracking consumer-generated online content is a great way to identify short- and long-term marketing campaigns that add value through engagement and revenue through conversions. It also helps you develop distribution point markers so you know which sites require your attention and when to change it. Digital noise is a good thing and with the above tips and talking points, you may even learn to love it. READ MORE

Susan Hartzler

Custom branded content is booming in today's media landscape. For the travel industry, hosting leading travel bloggers to create and deliver enriching branded editorial has become an effective complement to an integrated public relations strategy. The California Highway 1 Discovery Route has implemented a paid blogging program to connect this diverse region with targeted travelers in a dynamic way. READ MORE

John Padwick

How can travel marketers learn and understand their customers' multi-screen, multi-channel behavior to better engage them? What best practices and marketing tactics will help marketers grow revenue in this increasingly fragmented landscape? To overcome these challenges, today's travel marketer must gain these three competencies in order to deliver personalized experiences.... READ MORE

Yunna  Takeuchi

Imagine yourself in 2020 wanting to book your next holiday. You are in the kitchen making dinner and, as you are great at multitasking, you ask Google to research hotels in your shortlist of holiday destinations. By this time, Google will know pretty much everything about you: your likes and dislikes, who your friends and family are, your hobbies, the TV programmes and films you watch, the restaurants and bars you visit, even how you spend your spare time. So, Google will be able to make some very smart deductions on what information to show you. READ MORE

Robert Gilbert

“It's hard, and it's not going to get any easier.” That's how Gary Leopold, president of ISM/CP, phrased his takeaway from HSMAI's Digital Marketing Strategy Conference, where nearly 300 hospitality digital marketing executives met in New York City. But we all know with challenges come opportunities, and the hospitality industry is focused on taking advantage of the opportunity to connect and engage with today's traveler. Much of the discussion at the conference focused on harnessing information about potential guests and long-time clients and using that to tailor each online experience to them, truly talking to them on an individual basis and delivering the services that they want. READ MORE

Tracy Fairman

What inspires meeting and event planners to engage with hotels? The customer journey map for a meeting planner varies from the leisure traveler and hotel marketers need to adjust their marketing strategies in order to provide relevant content to meeting planners during the research and site selection stage of their journey. READ MORE

Stevi  McCoy

Over the past ten years, social media has gone from “passing fad” to a strategic imperative. Brands are dedicating significant resources to cultivating a rich online presence and every year, marketers invest more and more in their overall social strategy. The hotel industry has been particularly active in the social media space - not only engaging with existing customers but also trying to capture prospective guests. Social media makes it easy to share, like and recommend brands and content - but these indicators don't always translate into increased engagement. How can hoteliers ensure a solid return on their social media investment? READ MORE

Laurence Bernstein

Digital advertising channels have changed the way hospitality brands and independents go to market, not necessarily for the better. Based on the fallacious belief that online channels are "free" or cheaper than traditional channels, and the follow-on belief that SM vehicles are cheaper than digital channels, hospitality marketers have developed strategies that have the unintended consequence of increasing the commoditization of hotel brands. This is unfortunate and unnecessary. In this article we discuss how these channels can be used to build differentiation and distinctiveness, and used in conjunction with other media to build strong, effective brands.? READ MORE

Judy Melanson

This year, for the first time ever, more people will access the internet through their mobile devices than their personal computer. According to IDC, 150 million Americans currently own a mobile device and 10 million more will join them by the end of the year. But wait…there's more! Since they were introduced, only 3 short years ago, about 71 million US residents have bought a tablet (a 55% increase year-over-year). What does this proliferation of mobile technology mean for you? We believe the mobile revolution is here… and that it has marched right into your lobby. Whether you are ready - or not - it's time for your hotel to position itself to meet the needs of your mobile customers. READ MORE

Henry  Woodman

How many times have you heard the expression "content is king?" I've been hearing it since the early days of the Web, now commonly referred to as the Internet. Lately we're bombarded with a new spin on the content is king mantra - "content marketing." By definition, the word content is very broad, encompassing text, graphics, audio and visuals. For the purpose of this article, I'm going to narrow the focus to visuals - photos, videos and 360 virtual tours. READ MORE

Steve McKee

Branding used to be something that was thought of as separate and distinct from other corporate functions like finance and operations, and certainly from the HR-centric world of employee training. But as the Internet (and particularly mobile media) has become ubiquitous, brands have been forced to operate in an increasingly transparent world. Today everything is marketing and marketing is everything, which means that corporate culture-and the behaviors it fosters-is as much (or more) a driver of brand perceptions as advertising ever was. READ MORE

Carl Kish

At the Sustainable Brands Conference in San Diego in June, Kate Heiny, Director of Sustainability for Target took the stage and said “When the CEO of Target is talking about the importance of sustainability in everything Target does, sustainability has officially become mainstream”. She's right. Not only is sustainability now a mainstream business imperative, the hospitality industry is being told it needs to make sustainability changes to survive. Deloitte's 2015 Hospitality report Game Changers or Spectators was anything but ambiguous in its assessment that “Sustainability will become a defining issue for the industry in 2015 and beyond … sustainability will need to be embedded within all facets of the industry, rather than regarded as a stand alone issue”. READ MORE

Nicole Perrotta

A battle that has been raging since the origin of free trade. Which function is more important? Operations? Without a product or service, there is nothing to sell. Sales? Without sales, there would be no money to keep the doors open. How do we determine which is more important to a hotel and its brand? True sustainability requires that sales and operations work in harmony. READ MORE

Robert Festinger

Fifteen years ago, revenue management was not considered a crucial part of hotel operations. Revenue Managers weren't even committee members within the industry as they were more thought of as “glorified reservationists,” who at most would report to the Director of Sales and Marketing. As a consequence, hotels trailed behind, still learning the dynamics behind rate-optimization and pricing strategies that were only implemented a few times a year. READ MORE

Simon Hudson

This article discusses the growing market for accessible tourism and the opportunity it represents for the hotel sector. The article focuses on one hotel chain in particular - Scandic - that has positioned itself as a world leader in accommodating visitors with disabilities. With 230 hotels spread across Europe, Scandic is the Nordic region's leading hotel chain. In 2003, it drew up an accessibility standard as a platform for all accessibility work at every hotel. Such a proactive approach has given Scandic a competitive advantage in the hotel sector. READ MORE

Larry  Mogelonsky

People buy from other people, not from corporations. This mantra - or any other version of it - has existed for almost as long as the craft of salesmanship itself. And it makes sense, too. We build rapport far easier in person than over the phone or via the internet. Furthermore, human beings are genetically programmed to constantly read faces and facial expressions as a means of analyzing social cues or forming emotional bonds with the opposite party. We mentally connect with and remember faces much quicker than with objects, places, symbols or words. READ MORE

Richard Takach, Jr.

In today's swirling economy and society, achieving and spreading meaningful identity and culture for our hospitality organization is an ongoing challenge. Externally, we must address the demands of diverse audiences that include our competitors, consumers, elected officials, business leaders and community leaders Competitive forces or factors include the advent of multiple instantaneous, digital platforms for advertising, reservations and group sales, and critique of our product. Internally, we must address our investors, strategic partners and team of key leadership, managers and staff. Into this mix, we add the franchise affiliations, or flags, with which most all hospitality management and investor groups partner. READ MORE

Susan Tinnish

The way people travel is changing. This article examines some of the travel and tourism trends and discusses the impact on hotels. It provides some fodder to hotels to adapt and understand the mindset of the consumer and reconsider ways to satisfy their needs. These changes will add to the hotel industry current efforts to respond to new customer demands, increasing reliance on technology (by customers, in hotel marketing, and within hotel operations). READ MORE

Larry  Gillanders

We have seen it all over the Internet and the news stations: California is facing its fourth year in a drought, and it is affecting every resident and every business in the state. The economic and financial consequences could be disastrous if water conservation strategies are not implemented immediately, and the state has promptly mandated that everyone do so. The hotel industry is one of the country's biggest users of clean water, out of all types of commercial and institutional facilities, according to the U.S. Environmental Protection Agency. Unsurprisingly, most water is used for bathrooms, laundry, landscaping and kitchens. This is the perfect opportunity to take heed of the moment and reduce your property's water usage. READ MORE

Dave  Ratner

A hotel executive's greatest professional challenge is also the easiest to overcome: The fear of public speaking, whether as a featured guest at an industry event or as an extemporaneous host, without even a rostrum to lean against or a podium to hide behind, in which the speaker thinks he or she must deliver a set of remarks with the baritone of a King or the authority of a Queen (see, respectively, Dr. Martin Luther King, Jr., or King George VI or Queen Elizabeth I), summoning the spirits of slaves or rousing a people encircled by Nazi slave drivers, or dispatching troops to defend an island nation, when, in fact, this speaker - you, the hotel executive, who will walk to the dais - only has to say a few things before dinner and after dessert. READ MORE

Michael Koethner

The key to a successful, flourishing and sustainable enterprise, in our still somehow workable and work oriented society, is to have a very open mind, an extreme empathetic view on the happenings on this planet, being able to see how well connected everything is, open to the organic development of life, and able to communicate with all available senses; and there are more than just the basic 5. Without these qualities, any business and/or personal relationship will simply not survive if any of the above points are not a given. READ MORE

Lewis Fein

If I were to cite an example of a company that sings the right notes but strikes the wrong chords, a brand that encapsulates this contradiction between authenticity and blatant falsehood, I would point a motley crew of copywriters and art directors, and marketing executives and studio musicians, to the worm coiled within the recesses of my ear; because this commercial, aired during Super Bowl XLVIII, is an unintentional metaphor for business leaders everywhere, including hoteliers who must never convey anything but graciousness and sincerity. READ MORE

Christopher  Bolger

Bed bug infestations and the resulting liability can strike any hotel, no matter how high-end and reputable. Hotel guests around the country are reporting being bitten by bed bugs and are filing claims seeking compensation for insect bites and ruined hotel stays. Reviews can turn a guest's complaint about bed bugs on a travel website into a viral public relations nightmare. This article provides a detailed overview of what you need to know about bed beg insurance claims, infestation remediation and how to soften the impact of alleged infestations. READ MORE

Bernard Ellis

While many industries are notorious for employee turnover, it is particularly painful for hospitality, where guest service is such a crucial part of the product. How painful? According to the Bureau of Labor Statistics (BLS), the hospitality and leisure industry had the second largest number of employees voluntarily quit their jobs in 2014, with more than 6,000 people choosing to leave their current position. One might first conclude that the recovery of the industry brought many employees new opportunities to take better offers with a competitor. After all, “once hospitality is in your blood, you don't leave,” as so many in the industry like to say. READ MORE

Marcus  Nicolls

A super platinum-everything status guest with a certain brand hotel chain walked into one of his favorite properties after this brand recently merged with another chain, looked around and said, “It just isn't the same. I don't even recognize them anymore.” He then walked out of the door determined to find a new favorite property he could count on. Does this sound far-fetched to you? It shouldn't; it happens all too often, and it should send chills down every leader's spine. While this anecdote focuses on the guest, you can imagine the impact this would also have on the employees. Mergers and Acquisitions can surely impact the bottom line in the short term, but more importantly, they can also impact guests, team members, and anyone associated with a brand. Unfortunately, these components often get lost in the short-term activity and shuffle. In a world where M&A can happen anytime, to (almost) any company, leaders need be prepared and know how to manage and facilitate the process. READ MORE

Coming up in March 1970...