“Hospitality Marketing Medley” – August/September 2011

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

Several of the top hotel operators – brand like Marriott, Hilton, and Starwood Hotels are incrementally upping average daily rates. Rooms in the top 25 lodging markets were still under what they were in peak 2007. There is motivation to raise rates as leisure and business travelers have returned and there is a relatively fixed supply of hotel rooms. This may change as new construction ramps up again.

TripAdvisor surveyed more than 1,000 U.S. accommodation owners who revealed their plans to attract travelers and increase repeat customers. According to the 2011 survey, most hoteliers were planning renovations to the interior of their properties (61%), with exterior renovations planned by 42%. To attract guests, most hotels will offer discounts on rooms (61%), or special amenities, followed by reward points, deals on nearby attractions, or a free night’s stay with booking. Almost all (94%) have no plans to charge visitors any additional fees for amenities. In-room internet access, which is a key consumer demand, will be offered as a free amenity by 91% of those surveyed.

There is a debate in the market place over the value of “hip” hotel design. Consumers are, in some cases, negatively reacting to cutting-edge features like party lounge lobbies, extra-low slung seating, complicated control panels, and dim lighting. Travelers initially intrigued by the unique and cutting edge, can be turned off when reality shows them that their hotel choice may be too hip for their comfort.

Most properties have some sort of loyalty program or reward system in place to acknowledge frequent guests/users. Many brands offer a points-based loyalty system. Some companies want to offer more unique rewards to members of their programs. Interestingly enough, some of the luxury properties are offering items that are standard to the economy brands already: complimentary breakfast and comp internet access. In addition to the ability to earn free nights, early check in or late check out and room upgrades, some brands are trying to be more creative with their welcome gifts, special rates, concierge service, and by adding-in off property opportunities.

There’s a “battle” going on among hotels to outdo their competition; however, as soon as one hotel brand introduces something “new”, another one does something similar and the uniqueness is lost. Hotel guests like brand-name amenities. Some of the better hotels are now offering spa lines, without their own logos/imprints. Research shows that people have more trust in a product that they may be somewhat familiar with and that they regard them as having higher “status” or value.

Although not a current big producer for Florida, more properties are looking to tap into the burgeoning Asian market, especially the Chinese travelers. According to Carlson, there were around a half million visits to the United States (compared to their 3 million to Europe). Some estimates indicated that outbound Chinese traveler numbers could reach more than 100 million a year in the next decade. Starwood has launched a booking engine in Chinese and added marketing materials in Chinese and English. Other properties are adding Chinese menus and signage.

A Travelzoo survey found that 64% of people said hotel prices are more important than the destination when choosing holidays. The survey, which examined consumer behavior, found that most holiday planning was based on price and user reviews.

With the increased emphasis on online marketing, social media, mobile marketing, et al, it behooves hoteliers to not overlook the basics of voice selling. A recent article pointed out how many consumers research a property online, and then call the front desk with one specific question that they had trouble with or can’t find the answer to in their online viewing. Many front desk or customer service people didn’t know how to handle these calls; nor did they take the opportunity to convert the calls into bookings. Bottom line: Don’t overlook proper basic training and staff education. You might be losing easy sales.