Yorkshire hotel show digital distribution for hotels

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The Deal Experts. Over 26 Million Subscribers Worldwide.

Changes in digital distribution for hotels

Joel Brandon-Bravo, UK MD

Yorkshire Hotel Show, Feb 2014

www.travelzoo.co.uk 2

What do I know?

Winning business online

Reviews and Social

Flash sales Phenomena


What is your potential customer thinking?

• I know exactly which hotel I want to stay in

• I know where I want to go but not which hotel

• I don’t know where I want to go I just want a break

• I’m not even thinking about a break


I know exactly which hotel I want to stay in

Owning your own customer

• Already looking specifically for your hotel

• Why pay Booking.com to sell your own customer?

• Have reviews and ratings from a ‘Google’ approved’ ratings vendor including their own reviews.

• Guaranteed Best in the snippet

• Get the email on the registration card with promo opt in.

• Offer a discount for next stay – micro loyalty!

• Make it transferrable

• Ask for a review

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If you were required to visit a destination that you had never been to before where would you turn for advice and information on accommodation*?

Tripad

visor

Family

/frien

ds

Online

trave

l age

nts (B

ookin

g.com

, Exp

edia

etc)

Social

med

ia (Fac

eboo

k/Twitte

r etc)

Traditio

nal m

edia

(e.g.

natio

nal n

ewsp

apers

and m

agaz

ines)

Listin

gs an

d ente

rtainm

ent g

uides

(e.g.

Mich

elin r

ating

s/Tim

e Out)

Guide b

ooks

(e.g.

Lone

ly Plan

et)

Other (p

lease

spec

ify):

0.00%

20.00%

40.00%

60.00%

80.00%

100.00%85.88%

59.87%

37.02%

5.82%14.70% 9.61%

30.81%

6.89%

(*select the top 3 sources you would use)


User Reviews : Respond

If you don’t care about feedback on Trip will you care when they are with you?

Step1 – don’t give them an issue

Step 2 – if they have an issue get them to vent while you still have time to correct it

Step 3 – if they still have an issue get them to express it before they leave

Step 4 - for the remaining annoying people who wait, say nothing, and then vent on Trip..respond to the good and bad


Social Integration into reviews

My friends of friends help indicate the ‘type’ of hotel

• More people share travel than talk about births, deaths and pets.

• 51% of people say travel is one of the top three posts they see on the social network.

• 64% agree they would not know about friends holidays if it was not for Facebook and 84% are inspired by friends’ holidays.

• 70% say they can easily imagine going to a place if they see friends and family have been there.

• 52% say when they use FB they start dreaming about a holiday even when they did not have one planned.

• 74% agree they will only book once they feel confident to do so and friends and family play a role in this.

• 83% agree even more confident when friends and family validate/recommend

(source Tnooz 14/2/14)


I know where I want to go but not which hotel

Owning your destination

• OTA add most value here

• Choice, price comparison, mapping, reviews, mobile, loyalty

• Yorkshire.com representing you

• Good job - Feversham Arms & Wentbridge House

• Opportunity for you as an organisation to collaborate

• This meeting is the perfect forum to enable that

• Siteminder could build it

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'Travel App of the Week'

The Sunday Times

The Coniston Hotel

(ibookedonline)

This IS the year of mobile (finally…)


Ryanair


Capturing the growing ‘flexible’ market

• I know exactly which hotel I want to stay in

• I know where I want to go but not which hotel

• I don’t know where I want to go I just want a break

• I’m not even thinking about a break

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How much would you value Travelzoo’s recommendation on hotels in places you are planning to travel to?

I don

’t valu

e it

I am in

differ

ent

It’s us

eful a

nd im

porta

nt to

me

It’s ex

tremely

usefu

l and

impo

rtant

to me

0.00%

20.00%

40.00%

60.00%

80.00%

100.00%

1.67%

14.16%

69.00%

15.16%

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££

£

“I know what I want”

££££

“I have a good idea what I’m

looking for and also want a good price”

£££“I’m

flexible about

‘what’ and am looking for a great

deal”

£££

“I’m not even

looking to go away”

££

Four Types of Customer – by how much?

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What is a flash sale?

• Compelling offer for a fixed period

• Sent to an online audience, daily?

• Voucher sold by third party site

• Revenue share basis

• Increased sales volume

• Brand exposure

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The Benefits

• Zero upfront cost

• New customers

• Repeat business

• Exposure

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The Rub

• Little Margin

• No guarantee of up-sell / repeat business

• Hidden costs

• Overselling/lack of control

• Emails are not always solus

OVERSELLING

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How to make it work

• Incremental business, focus on need period.

• Deal structure

• The right discount

• Attracting the right audience

• Ask for testimonials

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Travelzoo Getaway® Case Study

DetailsLough Eske Castle – Donegal

Results:

• 2,326 vouchers sold and 3,222 room nights.

• 1,482 x 1 night

• 792 x 2 nights

• 52 x 3 nights

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Spa

“The volume is most unexpected...”

“...the clientele are of high calibre and 95% new customers and at least 20% are buying extra treatments”. Adam BellBusiness Development Manager Macdonald Manchester Hotel Spa

“We do see this type of tactical marketing taking over from our more conventional marketing spending. We see this working especially well for us as our business remains stubbornly 'seasonal’ ”

Peter LavinGeneral ManagerConway Castle

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Restaurant

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Summary

• Voucher model can work if:

– The right deal

– To the right audience and size

– In the right area

– With the right business

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Restaurant’s General Manager says she’s crossing her fingers “…that we don’t lose money.” Three months after 2,243 vouchers were sold for a four-course dinner for two.

“But we loaded it up too much” Bowman says. “We didn’t leave ourselves enough room for up selling.”

..there have been enough stories from disgruntled establishments using other vendors, such as Groupon, to provide some caution for suppliers about the business model. She adds: “I don’t think we are losing money, but I wouldn’t bet that we are making money,

either.”

A lot of customers may tip on the voucher amount and not on the much-higher retail value.

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Thank You!

Joel Brandon-BravoCountry Manager, UK

Phone +44 (0) 20 7420 0402Email [email protected]

@joelbrandonbrav

mailto:[email protected]

Yorkshire hotel show digital distribution for hotels

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