Presentation is loading. Please wait.

Presentation is loading. Please wait.

www.ratetiger.com They are worried about… RevPAR Increase RevPAR distribution/ Control costs of distribution/ e-business e-business exposure Increase.

Similar presentations


Presentation on theme: "www.ratetiger.com They are worried about… RevPAR Increase RevPAR distribution/ Control costs of distribution/ e-business e-business exposure Increase."— Presentation transcript:

1

2

3

4 They are worried about… RevPAR Increase RevPAR distribution/ Control costs of distribution/ e-business e-business exposure Increase exposure Price Price is the focus now Value while Value has taken the back seat Its all about occupancy, early sales….last thing you want is to be sitting there with an empty hotel with three weeks before check-in, and the only option you have are the OTAs. 3 star hotel, San Francisco

5 Strategy has changed to….. direct sales Focus on direct sales commission Reducing commission GDS More importance to GDS Travel and working out with more Travel Agents & consortia contracts Agents & consortia contracts OTAs are competing against each other and they need to market themselves better NYC, 3 Star

6 The marketing focus is now on… Google (Adwords & PPC) SEO Optimise Google (Adwords & PPC) & SEO to bring more direct sales OTAs Competing with OTAs social media Yet to take serious note of social media

7 However this has created…However this has created… emerging channels Continuous struggle with emerging channels, e.g. flash sites, bidding sites, social media sales strategy Uncoordinated sales strategy Billboard Effect Under-utilisation of the Billboard Effect Increase in Revenue Cost of OTAs

8 Technology is a saviour.... Channel management Channel management has become the norm Revenue management = Right distribution Revenue management = Right distribution mix of exposure & cost Simplicity, accuracy, effectiveness speedy delivery Simplicity, accuracy, effectiveness and speedy delivery are the buzz words PMS RMS Channel Manager We definitely added channels because we wanted to gain more exposure UK, 4 Star

9 Vision for future… Direct sales, More contracts, Decreased distribution costs, and Better revenue. We strive for the same prices everywhere so that everyone can sell it as they can 3 Star, Madrid

10 To hit the Bulls eye hotels must…To hit the Bulls eye hotels must… Understand where the value of Direct Bookings derive Have better and more flexible contracts with OTAs Learn how to use and exploit the GDSs Install integrated and streamlined technology to better manage channels and productivity Learn about Mobile and Social Media We are trying to create new budget for PPC. Different affiliations with websites, [… we are] meeting lots of partners, like blogs France 4 star

11 So where do we look to the near future for OTAs? Content Keep fresh Content Regular updates will ensure changes are apparent You are an active hotel The hotel comes up in searches AvailabilityRate Parity Maintain Availability and Rate Parity Travellers can see a transparent pricing structure You commit to all OTAs making them work for you Ranking improves – always on approach Take advantage of package offers on websites Distressed Inventory Assess Distressed Inventory Use sites specialising in last minute sales Targeted Ads Set up Targeted Ads Target ads with OTAs Your Market Managers Nurture relationship with Your Market Managers

12 Re-look at your digital marketing campaignRe-look at your digital marketing campaign PPC Alternative PPC strategies Approach PPC with a hyper-local perspective Channel Selection Focus Channel Selection & Focus – whos in your market? Gain the most profitable guest, add £5 if it means better quality Brand Reputation Knowing the value of Brand Reputation Understand your guest, your packages, your competitors, your market position Channels Traffic Volume Booking ProductivityPromotion Amber Virani, Sales & Marketing Manager, 4C Hotels. We quickly and easily analyse guest feedback from online reviews so we can understand where theres a room to improve. We are now offering more promotions, special offers and implementing more marketing initiatives that seems to be of greater interest to our guests.

13 What does the market say about Northern Ireland? +2.4% +5.7% Tourism Ireland is targeting average annual visitor growth of between +2.4% and +5.7% 11% Room sales in Northern Ireland's hotels were 11% higher this June compared to last year* 78% 70% Overall occupancy levels reached 78% - up from 70% last year. 61% 41% Average hotel room occupancy for 2011 was greatest in 4/5 star hotels, 61% and lowest in 2 star hotels, 41% 6% 68% Occupancy in Belfast remained flat in 2011 but could see around 6% growth in 2012 taking occupancy to almost 68% 7.6% 6.5% ADR - anticipate further declines of 7.6% and 6.5% in 2011 and 2012 Hoteliers could see four years of declines in RevPAR from 2009 to 2012 Source: Annual Report 2011 Department of Enterprise, Trade and Investment (DETI) European cities hotel forecast PwC

14 The real scenario What challenges are you facing? What challenges are you overcoming? What opportunities are you seeing for your hotel? What is the region doing to promote itself? What markets have you identified for business? What is your group and corporate strategy? Source: Annual Report 2011 Department of Enterprise, Trade and Investment (DETI) European cities hotel forecast PwC

15 Gaining rate control - Pricing today (07/09/12) Belfast hotel 1 Expedia £69 Own website £69 Both non-refundable, nothing to encourage me to book on own website, non-inclusive breakfast, or cancellation. Prefer to book by expedia for points Belfast hotel 2 Hotels.com £100 room only On Hotels £79.03 inc breakfast Own website: £120 – flexible booking, room only Belfast hotel 3 Expedia - £125 eBookers - £110 Own website – No availability Source: Annual Report 2011 Department of Enterprise, Trade and Investment (DETI) European cities hotel forecast PwC Belfast hotel 4 Expedia – nonrefundable £135 and £155 (with breakfast), cancellation £145 On Hotels – (inc breakfast) Website - £120 advanced purchase, w breakfast £140, flexible with breakfast £150

16 Channels that work – A suitable mix Source: Annual Report 2011 Department of Enterprise, Trade and Investment (DETI) European cities hotel forecast PwC Booking.com Lastminute.com Octopus Hotel.de HRS Venere Laterooms Expedia Travelocity Orbitz Priceline Hotwire Bestday.com Atrapalo Agoda Makemytrip.com Ctrip Rakuten Ikyu TL Lincoln Jalan

17 Getting to market – The Billboard effect for Direct Sales Source: Annual Report 2011 Department of Enterprise, Trade and Investment (DETI) European cities hotel forecast PwC Sales Channels to work with OTAsWholesalers Travel Agents Tour Operators Corporate bookings

18 Getting to market – The Billboard effect for Direct Sales Source: Annual Report 2011 Department of Enterprise, Trade and Investment (DETI) European cities hotel forecast PwC Google SEOGoogle PPC Relevant Flash/Limited Sale sites Membership groups (travel websites/ publications) Social mediaOwn website eMarketing/ Database building Marketing Efforts

19 Top 9 Tips for Effective online distribution 1.Manage Rates Carefully 2.Do not ignore historical data 3.Invest in technology 4.Use effective channel partners 5.Think like a marketer 6.Automate allocation process 7.Experiment with different channels and segments 8.Measure and scale your online activities 9.Always focus on a mutual win, build trust and loyalty GDS Rates & Inventory Benchmarking Channel Partner

20 Gain full control over pricing, position & visibility Allocation Management / Split Allocation AlertDistribution / Shopping Reports For low & sold out allocations Control of allocation across all chosen websites Shopping Reports – Daily & Weekly Extranet Reports – Arrival reports for selected websites Booking Reports – Created bookings from selected websites Options Quick & efficient management of online distribution channels through one easy to use interface. Consolidate customer reviews from connected review websites. Analyse, review and respond to customer feedback from a single application. Hoteliers analyse market positioning by comparing competitor rate information from websites & hotel sites. Assess market competition and position, propose rates and allows for the automatic update and monitoring of online distribution channels. Rate Shopping, Channel Management, Revenue Optimisation and Reputation Management solutions for hotels of all sizes GDS shopping and distribution Online advertising Facebook booking engine

21 Thank you +44 (0) Twitter/ RyanCHaynes Pinterest/ RyanCHaynes Blog/ ryanchaynes.blogspot.com Facebook/ RyanCHaynes LinkedIn/ Ryan Haynes


Download ppt "www.ratetiger.com They are worried about… RevPAR Increase RevPAR distribution/ Control costs of distribution/ e-business e-business exposure Increase."

Similar presentations


Ads by Google