HOTEL BUSINESS REVIEW

January FOCUS: Mobile Technology

 
January, 2014

Mobile Technology: The Necessity for a Well-Defined Strategy

Mobile technology has altered the way the world does just about everything. With mobile devices in our hands (smart phones and tablets) and media and information up in The Cloud, the possibilities for immediate, worldwide, personal access are limitless. Smart mobile devices are dictating how we live our lives and as a result, these developments are game-changers for all businesses, but especially for service industries, including the hotel sector. These advancements are literally redefining how guests interact with a hotel in virtually every aspect of its operation, and savvy hoteliers who are implementing the latest mobile technologies and best practices in each critical channel will steal market share from their competitors, decrease dependency on their Online Travel Agents, and generate incremental revenues which will substantially increase their bottom line. A well-defined mobile strategy is no longer a "nice-to-have" but an essential weapon in an industry that is evolving at a blistering pace, and those operations that are slow to respond do so at their peril. The January Hotel Business Review will examine which mobile strategies some operators have adopted in order to meet these challenges, and will report on the solutions that are proving to be most advantageous for both companies and their guests.

This month's feature articles...

Brandon Dennis

Apps are cool, so the lure of having an app for your hotel is understandable. Some hotel marketers, however, contemplate using a mobile app as a replacement for their website, or in lieu of optimizing their website for mobile devices. A decision like this assumes there are enough guests using mobile app stores to book travel to make this a wise decision, which is flat-out not true. The reality is that guests use the mobile web much more often than they use apps, and the kinds of apps guests use are almost never hospitality apps.  READ MORE

Doug  Lodder

Tech-savvy travelers want to stay connected to their favorite content, and their hotel choice may be predicated upon their ability to connect quickly and easily. To meet growing demand for connectivity, hotels are increasingly complimenting their Wi-Fi networks with Distributed Antenna Systems (DAS) to ensure that consumers have the best possible experience. DAS systems allow carriers to keep their customers connected, and a combined Wi-Fi and DAS network can free up additional carrier cellular capacity for networks in high demand locations. Learn more about how these complimentary networks may help hotels cope with data demand, and prepare for the future. READ MORE

Nur Hassan

Currently, we are living in a digital era filled with apps and mobile devices. Since 2011, mobile devices, including smart phones and tablets, have outperformed PCs in terms of sales. In 2007, when Steve Jobs introduced the “iPhone”, it revolutionized the smart phone industry. The iPhone became the catalyst for the technological change. Since then, mobile applications have exploded. To this date, there are more than one million apps available through the Apple store and another million on the Android Google play store, which are now available for almost everything. READ MORE

Marcio Avillez

Access to Wi-Fi is now a make-or-break criterion by which travelers choose a hotel, and this is creating a challenging situation for the hotel industry to solve. Guests demand Wi-Fi access at hotel properties, yet don't want to pay for it - they feel it is a requirement for the hotel operator to provide, just like electricity and water. READ MORE

Darren  Panto

Mobile is empowering the guest and helping hotels engage on a more sophisticated level. Guests want control of their experience, mobile provides them the confidence to engage in their own time while giving the hotel a platform to communicate their offers. This immediate connection is reducing costs of operation and guest services, while removing age-old traditional operational processes that disrupt a smooth guest experience. Mobile will change the delivery of internal hotel services, and the staff skillset will need to change to meet these demands. READ MORE

David Turner

The advancements in mobile technology are redefining how guests participate, engage and purchase with hotels throughout their entire hotel experience. Cutting-edge hoteliers that realize the power of mobile are implementing the latest mobile technologies and solutions, so that they can steal market share from their competitors, customize and accommodate each guest experience and monetize the hotel's virtual real estate. The best way to achieve a successful, well-defined mobile strategy is to start with a compelling enterprise-strength mobile application that is armed with a robust feature set. Parallel 6 CEO David Turner explores the power of enterprise-strength mobile apps and their influence on guest behavior on or near site for hotels. READ MORE

Casi  Johnson

In the hotel business, you send information out electronically all day, every day. But have you thought whether it's easy for recipients to access the data, particularly on phones or tablets? It makes sense to think about this, while making sure that you aren't sending too much information, and that the data won't fall into the wrong hands. In this column Casi Johnson of M3 Accounting + Analytics offers 10 things to think about to help you improve both the readability and the quality of the information you're sending. READ MORE

Jeff Edwards

Jeff Edwards, head of global hotel business at Amadeus, looks at how technological advances have shaped the hotel experience, and how that affects a hotel's personality. Are we at risk, Jeff asks, of sacrificing a hotel's personality in the pursuit of technological advancement? Not necessarily so - with the advent of mobile property management systems (mobile PMS), guests can enjoy social, local and mobile interactions with the hotel before, during and after their stay. Mobile puts the personal back into hotel properties - Jeff looks at how this works in theory and in practice. READ MORE

Ashley  Eckel

Due to the near ubiquity of smart phones in America, there are roughly 150 million people in the U.S. alone with a GPS in the palm of their hands, and knowing where your audience is -- especially for a travel brand-- is invaluable information. It allows companies to customize content, be it mobile video, discounts, apps, sweepstakes, etc., and deliver it to a specific audience in a specific location where that content will be most relevant and actionable for the customer. READ MORE

Terence Ronson

Walk down almost any street, enter into any shopping mall, take a form of public transportation, go to various places of work and even be in some places of worship, in fact virtually anywhere in the civilized world where there are people, and the one thing that you'll find in common and very evident, is the fact that a great many of them are interacting with some form of mobile device. READ MORE

Mariana  Mechoso Safer

In the past two years, there has been a huge shift from the desktop to mobile and tablet usage. Nearly 22 percent of hotel web visitors are coming via “pure” mobile devices/smartphones (HeBS Digital portfolio). Yet the percentage of bookings we would expect to originate from smartphones, especially when compared to desktop and tablet, is significantly low. So, why aren't there more mobile bookings? This article describes the main reasons that account for the discrepancy between mobile web visitors and what we would expect to translate into more mobile bookings: the majority of mobile bookings happening via the voice channel, multi-device usage patterns for research and booking, and poor user experience on the mobile device. Read on for best practices regarding how to accommodate hotel website visitors on the “pure” mobile devices and how you can start closing the gap between visits and bookings. READ MORE

Michael Kasavana

For some time, mobile payment innovation in the hospitality industry has been led by Starbucks. Considered the leader among all merchant categories, Starbucks employs its mobile payment platform to coordinate more than just purchase transactions. While the company's mobile transactions exceed two million per week, consumers focus on Starbucks' built-in loyalty programming (i.e. gamification leading to free products, discounts, and prizes); not transaction speed or efficiency. Mobile payments have been shown capable of serving beyond the front-end to an electronic payment gateway and hospitality management needs to monitor developments to ensure that standards are understood and properly implemented. In fact, the future of mobile payments (mPOS) and related services are expected to replace today's POS devices and media. mPOS processing not only includes person-to-person payments and loyalty programs, but can also target marketing services featuring geo-targeted, real-time redemption of discounts, coupons, promotions, and rewards. For the hospitality industry, current users are termed early adopters, but within 2-3 years mPOS is expected to be the norm. READ MORE

Tony  Heung

The mobile web's growth and its un-ending need for more data, more connectivity and more bandwidth, shows no signs of slowing. This is having no greater impact than in the hotel industry where guests demand more and more a 'home-from-home' entertainment experience, creating significant network and bandwidth challenges. So how does a hotel cost-effectively satisfy its guests' insatiable appetite for more bandwidth and for connecting multiple devices? Is the simple answer to expend capital on new infrastructure? READ MORE

Deanna Shimota

Whether your hotel is known for gracious luxury or youthful playfulness, you have a distinctive brand—and you take pains to carry it across multinational borders. That same branding needs to shine through in your mobile technology as well—or else you risk diminishing that world-consistent brand you've worked diligently to cultivate. Professional translation can be your ticket to keeping your brand look and style intact in every market. As you approach that leg of your journey, find out the need-to-know aspects of creating global websites and mobile apps so that your brand's personality always reigns supreme. READ MORE

Larry  Mogelonsky

By now, we're all familiar with the term 'Big Data' - the deluge of information afforded to us by modern computers and any consumer behavioral patterns therein derived. Big Data has barely been on the main stage for a decade now and already it's had an omnipresent effect. Organizations across the board are measuring the minutia of everything from the flow-through traffic on individual web pages to aggregated past purchase histories, all with the hope of finding methods to better market to customers. READ MORE

Jennifer Dunphy

Gone are the days when hotels can take a shotgun approach to mobile marketing and be effective. With all of the latest advancements in mobile technology hoteliers are able to target their guests through utilizing a wide array of mobile engagement strategies that are hyper targeted to the individual user and establish brand differentiation, build loyalty and increase revenues resulting in a higher ROI for the hotel. Staying ahead of the market with innovative mobile/social/digital solutions can mean the difference between acquiring that new guest, wedding or corporate retreat, and missing out on the opportunity all together. Mobile Engagement is the result of sending the right mobile offers to the right people at the right time thus building one-on-one relationships between hoteliers and guests by offering mobile experiences that drive desired behaviors. READ MORE

Rita Anya Nara

Guests who thump their luggage up and down the stairs to avoid a claustrophobia-inducing elevator. People who leave unsanitary conditions in their hotel room - then leave the do not disturb placard on the door for days. People who call you to report every noise down their hallway. Guests who play head games with other patrons who, when they leave, will remember your hotel for "that guest" - not your good customer service. What will you do the next time "that guest" arrives with a reservation and enough "baggage" to weigh you down for days? READ MORE

Mike  Steensma

The hospitality industry is on the upswing, and the number of hotel renovations and expansions has picked up over the last year. As a result, logistics professionals are in high demand, posing pressing questions for hotel owners and operators who are looking to select the right partner to manage the complex endeavor. From transportation to warehousing and complete project management, a comprehensive logistics solution can save dramatic amounts of time and money. This article highlights the benefits of a logistics-minded approach to hospitality renovations/relocations, as well as five critical vendor selection best practices, ranging from personnel qualifications and industry-specific experience to facilities and specialized equipment. READ MORE

Michele  Walters

Independent hotels more than their branded peers, possess the agility to use Marketing Analytics to leapfrog their competition. The challenges faced by the Independent Hotel Marketer are easily solved by combining insights from the data that is collected in their hotels on a daily basis. These are the intelligent answers that your data provide to your most consuming Marketing questions. READ MORE

Frank Speranza

Why traditional methods of recruiting are not working and why more organizations are turning toward recruitment companies or hiring their own recruiters to secure the best talent. A close look at what works with job sites and what doesn't, and why alone this is not producing the desired talent for organizations. READ MORE

Clifford Ferrara

While there is no single "magic bullet" when it comes to proficient hotel management strategies, optimizing distribution channel management might be the closest thing to it. Dedicated and strategic distribution channel management truly is at the heart of a well-run hotel property, dictating how marketing dollars are spent and maximizing ROI on investments. READ MORE

Amy Bair

Energy costs are going up but you do not need me to tell you that. Were you aware that hotels currently spend approximately $2196 per available room on utilities? Let's not take that lying down though! There are multiple innovative new products on the market that can not only reduce overhead but also keep your guests delighted. Everything from occupancy and night detection thermostats to modern boilers to pool management systems exist to make your hotel easier to run and increase the bottom line. Additionally, sustainability is in! Consumers love green companies. This is a wagon worth boarding. READ MORE

Judy Hou

In Part 2 of this 2-part article the six identified defining characteristics of Gen Y and their Eastern equivalent 'Post-80's' are discussed, with focus on how a hospitality company can address and leverage these traits through engagement and retention strategies. With a look at best practices, approaches covered include how the employer can outline their requirements and suitably communicate with Gen Y while guiding, involving, empowering, mentoring, training, motivating, recognizing, incentivizing and rewarding Gen Y in the interests of aligning employer and employee goals, promoting job satisfaction, and improving colleague relations; in turn keeping the all-important guest satisfied. READ MORE

Laurence Bernstein

Hotel brands have been focusing on catering to the millennials - a segment of around 80 million Americans between 9 and 31, and many more in other parts of the world. However, all the work and development of brands catering to this segment has pointed to one inconvenient truth: there are probably no real differences in hospitality needs between millennials and boomers. The net result, however, has been an overall improvement in the design and quality of hotels across the brand spectrum; it has also highlighted the huge opportunity for independent hotels and small chains to grow their business through the boomer market segment. READ MORE

Jim Butler

A lot of exciting things are happening in the hospitality industry as 2014 opens. Based upon more than $68 billion of hotel transactions, JMBM's Global Hospitality Group® has made its "top 10" pick of the events, issues, trends, and developments that will have the biggest impact on the hotel industry. READ MORE

Sherry Heyl

What's the value of your hotel participating on social media? You know you should be on social media. Everyone is on social media. You also know that creating branded and engaging content that responds to the online community takes time - and time is money. So what value should you expect from your social media efforts? If we align your social media efforts with you sales pipeline and measure the results compared to traditional methods of marketing we can effectively measure the return on investment. READ MORE

Werner Absenger

Stress is a significant problem in the hospitality industry, correlated with the onset and presence of physiologic symptoms and a myriad of health problems. Stress related health issues are associated with decreased productivity and increased health care costs for employers. Implementing an effective stress-reduction program can help alleviate these costs and lead to a more productive work force. In this article, we review burnout and stress in the hospitality industry and mindfulness meditation as a viable, inexpensive method to alleviate stress. READ MORE

Fran  Sarmiento

Beyond the immediate security measures taken by hotels in the days and weeks following the Boston Marathon bombing in April 2013, the tragedy raised broader questions around crisis planning and response. Crises represent significant risk for a hotel's business continuity, public image, customer base and short- and long-term financial performance. This makes it imperative for hotels and other business to have a comprehensive emergency response plan that takes into account all type of potential crises, internal operations and available external resources. The plan should provide clear,detailed protocols for response and address key operational issues and communications. Only with a plan that is developed carefully, practiced and updated regularly, can hotels respond effectively in a crisis. READ MORE

Michael Koethner

There is a lot of research indicating that the new kind of guest may and will require more than just excellent service, lodging, F&B or spa. The hotel guest of the future wants to know the associates and managers in person in order to establish a trust relationship. They want to know what makes them tick in their jobs and also want to feel with them. Enjoying a relaxed time in a hotel, resort or wellness center is one thing. Understand how everything is being done and by whom is another. It will be the job of the future manager to explore how knowledge and expertise can be integrated into a sustainable management style to ensure the overall satisfaction of the guests. READ MORE

Ken Hutcheson

With spring right around the corner, now is a great time to determine what needs to be done around a hotel's property to make it ready to blossom. In the article "Hotel Garden: Spring Your Hotel's Landscape Into Bloom with these Easy Maintenance Tips," U.S. Lawns President Ken Hutcheson discusses essential tips such as ensuring the irrigation and drainage systems are working properly, that pruning and mulching are done correctly and the best suited perennials for the property are in place to provide a burst of seasonal color, creating a healthy and attractive landscape can create a pleasant and welcoming environment sure to attract guests and will help hotel owners maximize the value of their properties. READ MORE

Kelly  McGuire

As analytics become more accepted, more visible and more desired across hospitality organizations, analysts and IT departments are challenged to deliver data to a wider range of personas. In this information-hungry atmosphere, the key to gaining support and inspiring action across the organization is the ability to "tell a story" with the data. It's not just about presenting rows and rows of data, or charts of results, but rather, using that data to support the story you want to tell - in a highly visual and accessible format. READ MORE

Trevor Stuart-Hill

The hospitality industry is facing material challenges directly relating to the practice of revenue management that must be acknowledged and addressed. Most alarming is the very real problem of a widening spectrum of sophistication levels between organizations that can effectively develop and implement advanced techniques and those that are relegated to the basic fundamentals. An emerging talent gap, and dichotomy of the need for both specialized expertise and the convergence of revenue generating disciplines compound this challenge. These issues and more are discussed with key industry practitioners. READ MORE

Coming up in March 1970...