How to Achieve Social Media ROI in the Hotel Industry: Turning Loyal Customers into Salespeople

How to Turn Loyal Customers Into Salespeople An HSMAI Partnership Presentation with Zuberance March 10, 2011

Overview of Format and Topic
Webinar Moderator
Fran Brasseux
Executive Vice President, HSMAI

POLL QUESTION #1
How many people are participating in
this webinar at your location today?

Leading Brand Advocacy company
Award-winning Zuberance Advocate Platform
Mission: Drive advocacy, leads, sales; 10x ROA
About Zuberance

Today’s Presenters: Panel Moderator: Fran Brasseux Executive Vice President, HSMAI Panelists: Rob Fuggetta Founder/CEO, Zuberance Robin Korman Senior VP, Global Loyalty And Strategic Partnerships Wyndham Hotel Group John Moser Chief Marketing & Brand Officer Denihan Hospitality Group

Rob Fuggetta Founder/CEO, Zuberance Energizing Brand Advocates in the Hospitality Industry

Brand Advocates are different than loyal customers
Brand Advocates are your most valuable customers; spend & recommend more
Turn your Advocates into powerful social media marketing machines
Three Main Messages for Today

Brand Advocate Solution

Brand Advocates, Definition Highly-satisfied customers who pro-actively recommend brands or products without being paid to do so. ► Beyond like, love, or loyalty: Advocacy

Advocates are 9s & 10s How likely are you to recommend our brand or products to your friends? “ Ultimate Question” for Customer Loyalty

Advocates: Unique, Powerful Segment
50% guests are highly likely to recommend
94% prospects trust Advocates
90% say Advocates influence sales
Social media amplifies Advocates
Business Value

“ Your loyal customers are probably not your best marketers.”
Harvard Business Review, “What’s the Value of Word of Mouth?”
Loyal Customers Not Best Marketers 12X ROI by turning enthusiastic customers into Advocates

Advocates 5X More Valuable Avg Customer Brand Advocates Spend Value 2X Spend Value Sources: Deloitte; Owen, Brooks, Zuberance $3,000 Value of one Advocate for hotel company

Advocate Reviews Boost Hotel Sales Sources: Chadwick, Martin, Bailey Consumers 3X More Likely to Book Hotels with 5-Star Ratings than 3-Star Ratings

Advocates vs. Loyal Customers Identical Offer from Brand, Dramatically Different Results Source: Zuberance

The New Marketing Funnel Awareness Consideration Conversion Loyalty Advocacy

Identify Advocates… Website banners 1. Engage customers 2. Identify Advocates Facebook posts Twitter monitoring Emails

Advocate Ratings & Reviews
… Mobilize Advocates… Advocate Stories Advocate Answers Advocate Offers

Track clicks, opens, leads, sales
Track Advocate activities
View and share results
… Track Results

Real-World Advocacy Results 50% 30% Write reviews or testimonials 13% Answer prospects’ questions 30% Share or publish content and/or offers “ How likely are you to recommend our brand or product?” Source: Zuberance-powered surveys Within First 90 Days… (Average across all Zuberance customers. Results vary.)

Energizing Advocates Delivers 10X ROI Zuberance “WOMonmics” Return Medi a & Sales Value Investment

Budget Motel Activates Advocates

Your competitors are energizing their Advocates
72% marketers using or plan to use advocacy in 2011 (source: Forrester)
Missing major opportunity to cost-effectively generate qualified traffic, leads, sales
10X ROA
Summary: Energize Advocates Now

Robin Korman Senior VP, Global Loyalty And Strategic Partnerships Wyndham Hotel Group

Loyalty Programs Are the Platform to Create Great Customers and Great Experiences

Factors influencing hotel selection
Location
Price
Loyalty Program
Loyalty Programs Influence Hotel Choice 92% of the Time 60% 92% Source: Phoenix Marketing SCORES 2009 Frequent Guest Programs

Spend More
Stay More
Stay Longer
Less sensitive to price and competitive offers/rates
Buy more ancillary products and services
Upgrades, F&B, spa services, program credit card, time shares, etc.
Generate word of mouth/become brand advocates
Hotel Loyalty Program Members More Valuable than Non-Members

Loyalty Programs Should Create Engagement Along the Customer Lifecycle Life Cycle Acquire Re-Activate Win Back Recognize Grow Share/Retain On-Board Activate Engage Customer Value

Need to Go Beyond Points to Create Emotional Engagement
Engage between stays
Lifecycle-based communications
Recognize milestone; anniversary date, elite tier achievement
Ancillary products to increase relevancy/keep top-of-mind between stays
Credit cards, time shares, point-earning partner offers
Create positive experiences
Deliver promised hotel benefits consistently
Personalized conversation at front desk
“ We haven’t seen you in a while”,
“ I see you are a Platinum member…”
Surprise and Delight
Aspirational redemption
Insider Access
Converse and spread the word in social and mobile channels

Aspirational Redemption Insider Access Surprise and Delight

Engage: “Talk” With Your Customer

Share insider info Engage with games Solve customer issues Problem-solve real-time Deliver marketing message

Earn points and perks from your favorite program for checking-in with Facebook Places, Foursquare or Gowalla.

Loyalty Programs Are the Platform to Create Great Customers and Great Experiences

John Moser Chief Marketing & Brand Officer Denihan Hospitality Group

About Denihan Hospitality Group Captivating hotels in coveted urban locations.

“ Denihan is charting a fresh course to innovate and has a hotel concept to fit any market.”

Increase share during midweek by attracting road warriors who are accustomed to points
Change their buying from OTA’s to lower cost booking channels
Encourage more repeat stays
Attract boutique hotel travelers from other key markets
Loyalty Program Needs

Compete w/Big Brands, Great Experience

Need to generate revenue by driving increased occupancy and longer stays
Advocate Program Needs

Market Metrix reports that 75% of Denihan’s guests are defined as secure customers…
Both likely to return and willing to recommend
Energize existing Affinia Advocates identified through Market Metrix
Advocacy Opportunity

Create a Brand Advocacy program to mobilize Affinia’s existing Advocates
Mobilize Advocates to Create Reviews and publish to key 3rd party sites (e.g., TripAdvisor)
Mobilize Advocates to share unique offers with friends and colleagues
Advocacy Solution

Invite Advocates to Write a Review

Advocate Reviews

Advocate Shared Offers with Friends

652 reviews created so far
70% took the action of clicking to publish to TripAdvisor
Very high 20% of those ended up completing the action of publishing – 93 ended up publishing
Advocate Influence Ratio for both reviews and offers performed very strong
Each share delivers an average of 3 inbound clicks
Few days after 1 st Advocate outreach
Delivered 5 bookings converting at 7.5%
Advocacy Results

Identify more Advocates
Scale Advocate Mobilization
Leverage multiple existing touch points
brand website, email, newsletter
Mobilization includes use of Reviews and Offers applications
What’s Next on Advocacy Front…

Questions? Panel Moderator: Fran Brasseux Executive Vice President, HSMAI Robin Korman Senior VP, Global Loyalty And Strategic Partnerships Wyndham Hotel Group John Moser Chief Marketing & Brand Officer Denihan Hospitality Group Panelists: Rob Fuggetta Founder/CEO, Zuberance

Upcoming Webinars: March 15 – Ten Must Do’s for Online Reviews, With Holly Zoba, Signature Worldwide Digital Marketing Series: Session 3: March 22 – How to Use Geolocation Sites to Build Your Presence - With Gordon Liametz, Revenue Performance, Inc. The HSMAI University 10-part 2011 Revenue Management Series – Session 1 on March 29 – What is the Future of Business Intelligence? Special rates for registering for entire series June 2 – Portrait of American Travelers, With Peter Yesawich, The Ypartnership To register for these and more, please go to www.hsmaiuniversity.org.

HSMAI and RedGlobal announce new 4 week online course leading to Certified in Hospitality Business Acumen (CHBA) Certification!
Relevant – Respected – Recognized – this eLearning, Simulation, and Web Conferencing course is given nowhere else
Begun in 2006, we are thrilled to announce the new online version of a course that over 4,400 participants in 40 countries have taken onsite and given a 9.5 (out of 10!) rating
Increase your CONTRIBUTION – Stay COMPETITIVE – Demonstrate your EXPERIENCE – Advance your CAREER
Registration available for Spring and Summer courses shortly – watch www.hsmaiuniversity.org or email [email_address] with questions

Evaluation
Please take a moment now to click on the Evaluation link in the LINKS box and complete the evaluation.
Be sure to click on “Submit” when you have completed the evaluation to send us your responses.
Your comments & suggestions are very important to us, and they help us to provide you with quality programming.
Today’s webinar is copyright 2011 by the Hospitality Sales & Marketing Association International with All Rights Reserved.

www.hsmaiuniversity.org

We are experiencing technical difficulties with the audio line.
Please dial into the number below to continue listening to the presentation. We will resume in approximately five minutes.
Dial 1-866-502-8312 and when prompted enter the passcode 322105 followed by the # sign.
Thank you for your patience and cooperation. We apologize for this inconvenience.

http://www.zuberance.com	806
http://blog.zuberance.com	225
http://www.sherrystoll.com	15
http://zuberance.com	7
http://paper.li	5
http://www.sociallyperforming.com	1

How to Achieve Social Media ROI in the Hotel Industry: Turning Loyal Customers into Salespeople

by Zuberance

Accessibility

Categories

Upload Details

Usage Rights

6 Embeds 1,059

Statistics

How to Achieve Social Media ROI in the Hotel Industry: Turning Loyal Customers into Salespeople Presentation Transcript