Technology isnt just progressing quickly right now, it is leaping through huge evolutions. Were seeing this more significantly in digital marketing and consumer journey user experience (UX) software and services. It seems that a new software, system or think-tank comes to market daily; with fresh ways to map a trend, record customer journeys, statistically engage or emotively upsell a booker.
So other than constantly introducing new buzzwords and marketing band aids to the industry - which make it all sound so easy in fact what this technology has the danger of doing is making lives more difficult for a hotels Marketing Manager, Revenue Director, General Manager or Asset Manager. Whats essential? Whats ideal? Whats not needed? And whats complete overkill? Equally how do you even begin to establish whats performing and moving the needle and whats just costing unnecessary expenditure and sapping profitability?
If all of this is so easy, then why is the direct channel still the lowest number on the report each week? The average daily rate (ADR) has typically only had a 5% bump in a year, and overall the OTA commission is still the biggest check the property writes every month, next to its staffing bill (and sometimes even thats less!).
How can properties harness all that is out there right now, and those things in the pipeline, to maximize:
- Revenue - both ADR and total RevPar;
- Guest Engagement;
- Returning Loyalty;
- Corporate, Wedding and Group business;
- Asset value and gross yield? Whilst minimizing:
- Operational expenditure;
- Staffing requirement for non-essential tasks;
- Lost revenue from non-availability.
All of this is beyond important if you are a large hotel or chain. Lets face it; a $30 bump on ADR for 2,000 rooms over 10 properties is a chunk of change! Add a 10% increase in occupancy, and decrease OTA fees by 20% and now suddenly your profitability has gone through the roof - as has your overall asset value.
But imagine if youre a standalone 80 room boutique property, or a small chain of half a dozen 40 room properties, suddenly shifting those markers to that level completely changes your business and your ability to scale and grow.
So how? Its a super simple question, but one that bares a huge burden on the one asking and answering it. The purpose of this paper is in fact not to offer advice or guidance, but to highlight the questions of:
Whats out there?
- What does it do and how does it do it?
- What should be considered outstanding, excellent, standard, acceptable and poor levels of performance when analyzing reporting statistics for your online health?
- How it can assist in the short, medium and long-term?
- Financially where should your tech and software be deployed to save money vs make money?
- What statistics should I be monitoring / maintaining;
- To what level;
- How do I use those stats with other areas of my business;
- Whats marketing white noise and what is essential;
- And most importantly, what can I automate or outsource without negatively impacting my guest, bookings, revenue and profitability?
Click here ( Adobe Acrobat PDF file) to download the whitepaper.
Click here ( Adobe Acrobat PDF file) for the infographic.
About the Author
Rich has been within the tech and hospitality industries over 15 years leading on providing cutting-edge software, guest engagement, experience mapping, emotive journey marketing guidance and marketing consultancy advice to hotel owners and groups.
Hes on a mission to revolutionize direct bookings in the accommodation sector. Now heading up Avvios North America expansion, Rich is keen to show accommodation providers that Avvios innovative booking engine can significantly grow your direct bookings.