“Hospitality Marketing Medley” – April 2011

(Editor’s Note: Here are several recent trends and hospitality marketing hints collected from various websites, releases, etc. Best, Julie Wernick, HSMAInsider.)

Some mid-market chain hotels are getting rid of their traditional front desks. Feeling that these counters may be too “imposing”, they are switching to more welcoming desks or to kiosks using virtual check-ins.

Train your front desk/reservations staff to “take the booking”. Most people do research online first, but then will call a hotel directly for a variety of reasons. Make sure your front desk knows what rates are online (and not to match certain exclusive agreement rates), and what fees you have to pay those other booking sources. This will encourage “best practices” at your hotel, keep costs down, and ensure your callers don’t book at another property.

In 2011, Smith Travel Research (STR) is projecting increases in all three key performance metrics. Occupancy is expected to rise 1.6 percent to 58.3 percent, ADR to increase 3.9 percent to US$101.73, and RevPAR is projected to end the year up 5.5 percent to US$59.35.

At a fall AH&LA meeting, it was suggested that now is the time to bring hotel rates up in small increments. As corporate travel, et al, has rebounded, hotel guests recognize that the cost of business is going up and therefore rates will too. Once a consumer sees that they can’t get what they want when and where they want it, they conclude they have to pay more. Key phrase here is “small” increments. At an HSMAI/Amex roundtable meeting, it was noted that raising rates to meet demand is important, but hotels must keep in mind, at the same time, the need to remain competitive in the marketplace.

Everyone knows that proper pricing is more critical than ever for hoteliers, today. The importance of revenue management doesn’t need to be stressed. More than just setting prices, however, is to make sure revenue managers are “customer-centric”. That is, RM’s must make sure their prices are “fair.” If buyers perceive your price is fair, they will become loyal, repeat customers.
Another challenge, now that the recession is over, is to get the public weaned off deals, the “rock-bottom” price, and get them to focus more on value. Consumers are still conscious of how they spend their money. But will spend it where they think they can get the most value.


Corporate/Business Travel is on the increase again. A recent survey of business travelers found that the “overall hotel experience” is important to the majority of them. They often work in their room and they also expect a lot more from a hotel than just a clean room and comfortable bed. Important decision factors include amenities as well as technology (wifi; room set up/fees to access internet, etc.).

With so many hotels these days seeking new ways to please increasingly tech savvy guests, USA Today surveyed readers re: which electronic device they'd like to borrow from the front desk. The winner was the iPad by a 61% vote. It seems a growing number of hotels have been buying the iPad for their guests to use – either at the concierge desk (e.g., InterContinental Hotels) or in their suite (e.g. upscale Peninsula Hotels).