By
Gabrielle Alam and Sharon Bernstein
How can Independent Hotels Survive In Today‘s Saturated Marketing Jungle?
Eyes2market Europe
Eyes2market is a dynamic and creative sales and marketing and organisation.
Our core business is travel industry sales and market representation.
Eyes2market maximise electronic revenue via GDS (Global
Distribution systems) and alternate distribution channels ( ADS).
Eyes2market provides a one-stop-representation solution to
European feeder markets for independent hotels and tourism destinations.
WHY ARE YOU HERE TODAY?
To gather information on new trends?
To gain knowledge of the market?
To learn about practical solutions?
CONSUMER TRENDS
CONSUMER TRENDS
CONSUMER TRENDS
CONSUMER TRENDS
CONSUMER TRENDS
HOW TO SURVIVE?
WHICH ARE THE PROBLEMS?
1. How to differentiate a beautiful product in a world of beautiful products?
2. How to generate consistent revenue for hotels?
3. How to leverage a hotel’s USP (Unique Selling Proposition)?
4. How to maximise marketing dollars and stay competitive in a fast changing and competitive environment?
Who owns who? Merger Mania!
Thomas Cook/MyTravel: merge in 2007, most job cuts in the UK, 22% market share
TUI/First Choice - Flat revenue trend in the tour package business, First Choice to focus on niche tourism products as a specialist - 24% share of the European market
All Rewe brands: Dertour, Meiers, ITS, LTU, Jahn, Tjaereborg, ADAC Reisen
Kuoni has adopted a new business structure and has been on a shopping spree
Companies such as Western & Oriental are building their own empires! (Western & Oriental, Mediterranean Experience, Kids in the Med, Regent Holidays, Ranch America, South American Experience, Ski Dream, Hawaiian Dream, Harlequin Holidays, Made to Measure, Lakes & Mountains, Tropical Locations, Villa Select, key2holidays, Rainbow Tours, Eclipse, Travel Management Team and Lynton Cooper)
AIR Berlin/LTU/Condor merger
THE EUROPEAN MARKET
• Direct real-time online bookings are an increasingly important issue for leisure properties and travel suppliers.
• Hoteliers have to adopt direct and personal selling propositions.
• Dynamic packaging by travel agents is on the
increase along with the growth of bedbanks (non bonded accommodation only providers.)
THE EUROPEAN MARKET
95 million web users will create content online by 2011
• User-generated content (UGC) on the Web is set to put even more power into the hands of the consumer.
• Category leaders include YouTube, MySpace, Facebook and Photobucket will lead the charge in terms of
THE EUROPEAN MARKET
• Tripadvisor.com is the undisputed leader in Internet travel review websites. Currently, the site tracks over with nearly 25 million monthly visitors, five million
registered members and 10 million reviews and opinions.
• Featuring real advice from real travellers,
TripAdvisor-branded sites cover 270,000+ hotels and
attractions, a lodging property or travel destination in a very competitive area cannot afford to be left behind.
THE UK MARKET
Home workers are becoming an important distribution tool in the UK market
• There are approximately 2500 Home Workers today - an almost non existent market 10 years ago.
• The market leaders are: Travel
Councellors, Future Travel, Hayes Travel, Holiday Please and Holiday Elite.
THE CHALLENGES
1. Understanding characteristics of your TARGET AUDIENCE per market niche and per country
2. E-Commerce
3. Find the right brand position (Affiliation/Branding?) 4. How to find the right partner!
Your business needs to:
define its target audience:
• Families • Luxury travellers • Honeymooners • Sports freaks • Wellness lovers • Single travellers • Ecotourism tourists • Cultural tourists
First Challenge: Define the target audience
No place for “ME TOO” products !
Example 1: Attracting the family market You will need extensive facilities for different ages:
• Kids clubs • connecting rooms • children‘s menu • children‘s excursions • suitable furniture • babysitter service • safety programmes…
First Challenge: Define the target audience
Get creative, fulfill the dreams of this
market niche
• offer children‘s swimming lessons • meet the CHEF for a cookery lesson
• meet local children and learn about their culture • active teen‘s programs like waterski, jetski
First Challenge: Define the target audience
First Challenge: Define the target audience
Example 2: Is your hotel branded as a SPA resort? Don‘t waste your time looking for the
pharmaceutical Conference and Incentive market segment, if...
Many pharmaceutical companies cannot book a hotel with the word SPA in its title!
First Challenge: Define the target audience
Example 3: Do you want to attract the Eco-Tourist? Make a green pledge
---Your Commitment: • Reduce
• Re-use • Recycle
• Rethink (Fairtrade, co2)
Second Challenge: E-Commerce
How to achieve online success? 1. Get your brand proposition right
2. Understand how consumers consume 3. Design a compelling user experience
4. Make sure your marketing infrastructure’s built to work (CRM = Customer Relationship Management) 5. Right mix of traditional and online marketing
11 Cross Selling potentials 10. CRM Consumer relations Trade relations 9.Special Marketing 8. Online PR 7. Search engines marketing 6.Co-operations special interest 5.Affiliate Marketing 4.E-mail Marketing 3.Website Tracking 2.Status 1. Strategy E-commerce Campaign Business trends Marketing Ideas Branding Pricing models
B2C B2B B2B2B2C
Page impressions Unique visits look 2 book ratio time line
Website design, content management, architecture
web booking engine capability and functionality
International issues
CRM – market size and structure Cost/Budget issues
Connectivity – Central Reservations system
Technical issues Data source
Opt-in list management new lists
email design online PR activities
Affiliate systems and programs
1. white label – trade 2. logo click through
Information seekers -portals
Eco tourism Community issues Health & Safety policy Bring the house in order
SEO and SEM
Advertising – PPS or adwords Placement with third party sites
Competitions Readers offers
client reward program Surprise system Communications Client clubs trade training Blog sites influence
Associations Portals
Blogs / Social Media
1. Define Strategy 2. Website Status 3. Website Tracking 4. Email Marketing 5. Affiliate Marketing 6. Co-operations Special Interest 7. Search engines
marketing: SEO and SEM, adwords 8. Online PR, social media e.g. TripAdvisor, WAYNE 9. Special Marketing competitions readers offers client reward programmes Pod casting 10. CRM – customer relations Surprise systems Communications client clubs
travel trade training Blog sites
management
11. Cross selling potential Associations
portals
Second Challenge: E-Commerce
3. Find the right brand position (Affiliation/Branding?)
To brand or not to brand? Choices:
¾ Hard Brand (Hyatt, Sheraton) or Soft Brand (Small Hotels of the World, Leading Hotels)
¾ Affiliation or branding ? Challenge:
¾ select the right affiliation or branding according to your expectations:
• Awareness and recognition ?
Brand Promise Mind the gap Customer Experience
Some brands fail to clearly communicate their proposition Other brands promise sales for your hotel and end up selling to you
BRAND GAP = FAILURE
Does your chosen marketing alliance meet your expectations?
Which marketing alliance is right for you?
Is your objective:
• pure image?
• a marketing platform and not a sales tool?
White label dynamic TO
Airline Hotel Other
Consulting, Local Information Supplier: Transport; Hotel Packaging: wholesaler Connectivity Booking +Fulfilment Consumer acquisition Consumer
Tour Operator Wholesaler
CRS ASP
C2C portal
General Search Engines
TA OTA
Affiliate Networks/ Brands
Have a look at this jungle!!
Do you choose to have a local representative or try and sell to the world from your own office?
Is your objective:
• image and marketing?
• or increased revenue generation? Do your sales staff have:
• expertise in all feeder markets, all market segments
and e-commerce ?
If you want to compete
successfully in Europe’s saturated marketing jungle,..
… and have a clear definition of your target audience, an
effective CRM and a strong e-commerce strategy
… you definitively need to choose the right partner
4. How can independent hotels survive in today’s saturated marketing jungle?
INTELLIGENT SOLUTIONS FOR:
Independent hotels and chains
Destinations
London Hamburg
