This document summarizes a webinar about improving a property's appearance on online travel agencies (OTAs) to drive more direct bookings. The webinar discussed how OTAs and meta-search sites are major distribution channels that must be properly managed. While withholding content from these sites will not drive more travelers to a property's website, working with OTAs can maximize occupancy and profit. It also emphasized the importance of telling a property's unique story in a consistent way across all platforms where travelers are shopping.
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How Hotels, Online Travel Agents (OTAs) or Airlines can leverage social media to create buzz and increase online bookings through the network of their exisiting fans and guests?
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The topic of online travel agencies is a hotly debated topic within the hotel industry. Like the major Hollywood studios that powered the golden age of film, a small number of OTAs dominate distribution, promotion and production of hotel bookings.
While hotels may prefer to have as much traffic as possible channeled directly to their websites, the reality is that consumers value the convenience of cross-brand shopping. For the vast majority of hotels, excluding the OTA channel does not increase profitability. Instead, to be successful, hotels must effectively manage their distribution and content across all channels - particularly those that possess a significant amount of business potential.
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In an ideal marketplace, hotels would see an equal percentage of bookings coming from online travel agencies (OTAs) and directly from the hotel website.
But for many hotels, particularly independent brands, this balance has been tipping steadily in favor of the OTAs.
One of the biggest reasons why: conversion optimization.
OTAs have invested millions into understanding e-commerce psychology and usability design, and they’ve used these techniques to maximize bookings on their sites.
By tapping into these secrets to conversion, hotels can optimize their own websites to increase direct bookings, maintain a healthy percentage of direct business, and lessen their reliance on OTAs.
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The importance of a direct sales strategy in today’s omnichannel marketplace
The secrets to conversion that OTAs employ to win hotel bookings
Case study: How Stratosphere Hotel increased their direct booking revenue by 40% by using OTA techniques
How to optimize your own hotel website to increase conversions
Panelists for this FREE webinar are:
Gautam Lulla, President, Travel Tripper
Scott Yankton, Strategic Consultant
Kevin May, Senior Editor & Moderator, Tnooz
Gene Quinn CEO & Producer, Tnooz
This free webinar took place on Thursday, November 5, 2015
How Hotels, Online Travel Agents (OTAs) or Airlines can leverage social media?RateGain®
How Hotels, Online Travel Agents (OTAs) or Airlines can leverage social media to create buzz and increase online bookings through the network of their exisiting fans and guests?
Online Travel Agencies and Meta-search Websites - A Travel Studio System?Robert Cole
The topic of online travel agencies is a hotly debated topic within the hotel industry. Like the major Hollywood studios that powered the golden age of film, a small number of OTAs dominate distribution, promotion and production of hotel bookings.
While hotels may prefer to have as much traffic as possible channeled directly to their websites, the reality is that consumers value the convenience of cross-brand shopping. For the vast majority of hotels, excluding the OTA channel does not increase profitability. Instead, to be successful, hotels must effectively manage their distribution and content across all channels - particularly those that possess a significant amount of business potential.
This unabridged collection of slides supported my portion of the VFM Leonardo webinar "Turn OTA Lookers into Bookers - How Improving Your Look on OTAs Can Drive Direct Bookings" helld on September 25, 2013.
Tap OTA conversion secrets for direct hotel bookingstnooz
In an ideal marketplace, hotels would see an equal percentage of bookings coming from online travel agencies (OTAs) and directly from the hotel website.
But for many hotels, particularly independent brands, this balance has been tipping steadily in favor of the OTAs.
One of the biggest reasons why: conversion optimization.
OTAs have invested millions into understanding e-commerce psychology and usability design, and they’ve used these techniques to maximize bookings on their sites.
By tapping into these secrets to conversion, hotels can optimize their own websites to increase direct bookings, maintain a healthy percentage of direct business, and lessen their reliance on OTAs.
In this FREE webinar, Travel Tripper will discuss:
The importance of a direct sales strategy in today’s omnichannel marketplace
The secrets to conversion that OTAs employ to win hotel bookings
Case study: How Stratosphere Hotel increased their direct booking revenue by 40% by using OTA techniques
How to optimize your own hotel website to increase conversions
Panelists for this FREE webinar are:
Gautam Lulla, President, Travel Tripper
Scott Yankton, Strategic Consultant
Kevin May, Senior Editor & Moderator, Tnooz
Gene Quinn CEO & Producer, Tnooz
This free webinar took place on Thursday, November 5, 2015
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Much is said today about the hotel guest experience. But what about the hotelier experience?
With its uniquely-central position in the hospitality industry, SiteMinder today enables the masses with user-led experiences that sit at the root of all functional requirements, as well as actionable data that drives both yield and occupancy for properties of all types and sizes.
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The 2016 State of Travel deck draws from our daily coverage of the global travel industry, from our ongoing series of Skift Trends Reports, and also incorporates expert research from throughout the travel industry.
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In this talk delivered during Denver Startup Week 2013 I discuss the structure and mechanics necessary for predictability in sales.
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Hotel Distribution - Channels, Complexity and Chaos at Rainmaker Gaming & Hos...Robert Cole
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This is a slideshare of the Hotel Industry UX Benchmark Study, where you can see the webinar presentation, including highlight results of the study made by UserZoom
The first rule in digital marketing is that content needs a purpose: to stimulate, engage, convert and build a buzz around a brand. It’s got to be useful, visible, desirable, engaging and provide a platform to position the hotel as a socially-connected brand.
When marketing becomes digital in tourism. The etourism-forum presents excellent opportunity to link marketing in tourism in digital scape by N.Christodoulidou
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Using your website to target Chinese travelers.
The do's & don'ts of hotel distribution.
Attracting more direct bookings with paid advertising.
Pre- and Post-stay contact for marketing & customer service.
Social media marketing.
Where are other hotels spending their marketing dollars?
www.fastrackg.com
Welcome to Wego.com, one of the world’s most comprehensive travel search engines. Wego compares and displays real time flights, hotel pricing and availability from hundreds of leading travel sites from all around the world on one simple screen.
E-commerce platform, seminar and launch of new Tourism e-commerce/ Marketing Platform for Discover Dominica Tourism Authority, Hotels and Activity providers. A Turn-Key AXES solution
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6. Major OTA/Meta-search Travel
Studios
• Powerful Machines
– Production
– Distribution
– Promotion
• Create Stars
– Develop Talent
– Showcase Leaders
– Create Opportunities
• Sell The Product
– Right Script
– Right Casting
– Right Direction
Image Credit: Paramount Pictures (All Rights Reserved)
7. Major Forces in Travel
• Priceline | $51.3B Mkt Cap | 36.4M US UV’s
– Booking.com | Agoda | Kayak | RentalCars.com
• Expedia | $7.3B Mkt Cap | 40.6M US UV’s
– Hotels.com | Hotwire | Venere | eLong | Trivago
• TripAdvisor | $10.6B Mkt Cap | 43.8M US UV’s
– JetSetter | CruiseCritic | SeatGuru | GateGuru
• Google | $300.8B Mkt Cap | 192M US UV’s
– ITA Software | Zagat | Frommer’s | Waze
• Apple | $425.0 B Mkt Cap | 600M Credit Card #’s
– See iTravel Patents | Starwood & Hipmunk iOS7 Apps
Statistics:Yahoo! Finance & C Image Credit: RKO Radio Pictures (All Rights Reserved)
8. Intermediaries Love Media
• Expedia Brands
– $870 Million Total Advertising Spend 2012
– Average $22.28 Core Ad Spend per Room Night
• Priceline
– $1.27 Billion Online Spend 2012 (38.6 % Increase)
– 2.6% of Google Search Advertising Revenue
– Priceline Offline Ads $35 Million in (US Television)
– Average $11.50 Core Ad Spend per Room Night
• TripAdvisor
– Considering $50 Million Television Campaign
Data: Susquehanna International Group, Priceline/Expedia & Bloomberg | Image Credit: Metro-Goldwyn-Mayer (All Rights Reserved)
9. OTAs & Meta-search Rule Mobile
Rank Travel App Type Downloads Satisfaction Rating
1 TripAdvisor Meta-search 23.3 Million 8.5 / 10
2 Hotels.com Online Travel Agency 13.0 Million 7.5 / 10
3 Kayak Meta-search 12.1 Million 8.0 / 10
4 Booking.com Online Travel Agency 10.9 Million 8.0 / 10
5 Hotwire Online Travel Agency 8.4 Million 6.2 / 10
6 Expedia Online Travel Agency 7.0 Million 6.5 / 10
7 Priceline Online Travel Agency 5.4 Million 6.0 / 10
8 Travelocity Online Travel Agency 2.9 Million 3.7 / 10
9 Hotel Tonight Online Travel Agency 2.8 Million 8.2 / 10
10 Orbitz Online Travel Agency 2.3 Million 7.0 / 10
11 Agoda Online Travel Agency 2.1 Million 8.1 / 10
12 HRS (iHotel) Online Travel Agency 2.0 Million 5.3 / 10
13 Airbnb Online Travel Agency 2.0 Million 7.3 / 10
14 Trivago Meta-search 1.6 Million 4.9 / 10
15 Hipmunk Meta-search 1.3 Million 8.0 / 10
16 IHG Hotel 1.1 Million 7.5 / 10
Data: Xyo.com, PhoCusWright & RockCheetah | Image Credit: Dimension Films (All Rights Reserved)
10. Purchase Path Is Not Short or Straight
Data: Millward Brown Digital/ Expedia Media Solutions | Image Credit: Metro-Goldwyn-Mayer (All Rights Reserved)
11. What Sites Do Travelers Choose?
When Comparison Shopping Leisure Business
Expedia.com (E) 42% 44%
Hotels.com (E) 39% 36%
Travelocity.com (E) 37% 34%
Google 35% 25%
Priceline.com (P) 32% 27%
Orbitz.com (O) 29% 31%
Hotwire.com (E) 25% 26%
Specific Hotel Brand Website 23% 25%
Kayak.com (P) 17% 24%
AAA.com 15% 15%
Data: Google Travel Study. May 2012. Ipsos MediaCT | Image Credit: Warner Bros. (All Rights Reserved)
12. Celebrate What Makes You Unique
• Compelling Descriptions that Explain How You:
– Make the Guest Feel Special
– Simplify the Traveler’s Life
– Satisfy Guest Needs Better than Competition
• Engaging Images Showing Your Hotel in Action
– Is a Building Exterior the Most Important Sales Benefit?
– Why is the Property Empty?
– Are Interior Design Shots more for Hoteliers or Guests?
• Relevant, Guest Oriented Video Content
– InterContinental’s Concierge Video Guides Offer Local Tips
– Four Seasons Buenos Aires – Films Gala Events
– Best Western Plus Sedona – Destination, Hotel & Guests
Image Credit: Metro-Goldwyn-Mayer (All Rights Reserved)
13. Effectively Communicate Message
• What Story Are You Telling?
– Different Channels May Require Different Messages
– Tailor Message to YOUR Audience Through THEIR Platform
– Not an Update & Forget Environment
• Use All Available Tools & Across Major OTAs
– OTA Resources Often Used by Meta-search Sites
– TripAdvisor Support Hotelier Video Posts
– Google Business Photos - StreetView Virtual Tours
• Google Knowledge Graph is a Game Changer
– Hotel Images Prioritized at Top of Search Results
– Photo | Rating | # Reviews | Street Address
– At Present, More Relevant List than Hotel Price Ads
Image Credit: Gracie Films (All Rights Reserved)
14. Looking Good Will Attract Attention
• Important Segments Deserve Targeted Images
– LGBT
– Families
– Honeymoons
• Engaging Images Showing Your Hotel in Action
– Proper Orientation – Understand Cropping Methods
– Appropriate Sizing – Different Resolutions Are Important
– Descriptive Titles, Captions & Tagging
• People Stay in Hotels
– Guests Enjoying Key Points of Differentiation
– Guests Naturally Interacting with Staff
– Guests Interacting with Other Guests Image Credit: Twentieth Century-Fox (All Rights Reserved)
15. True Love or Marriage of Convenience?
• OTAs/Meta-search Drive Volume
– Strong Traffic & Advertising
– Dominate Mobile Platforms
– Tactical Promotion Capability to Shift Share
• Quality Presentation Across Guest’s Preferred
Channels
– Try to Convert to Hotel Direct or Guest Preferred Channel?
– Want Best Opportunity for Conversion – Across Channels
– Does Not Mean OTA/Meta Should Take Priority Over Direct
• The Studio Never Overshadows the Star or Project
– Ignoring OTAs & Meta-search Shifts Share to Competitors
– Need to Leverage Channel to Your Benefit, Not Just OTA’s
– Must Focus on Setting Common Goals & Mutual Benefits
Image Credit: Buttercup Films (All Rights Reserved)
16. OTAs and meta-search are important distribution
channels that must be properly managed
Key Takeaways
Withholding quality content from these channels
will not drive more travel shoppers to your website
No matter what type of property you are, working
with OTAs and meta-search sites can maximize
occupancy & profit
17. Syndicate your Story
on the industry’s largest network of travel sites
Reach
Millions
with visual stories
across the travel
industry’s leading
syndication network
28. Tell your story, your way
Key Takeaways
Share a consistent message across platforms
Fish where the fish are
29. Be Present
where consumers are shopping
Share your Story
In a consistent, engaging way across third party websites with VBrochure.
Amplify your message on VNetwork, including all of the GDSs, corporate and
review sites, and of course, the most popular OTAs.
30. About VFM Leonardo
It’s a Wrap…
Recording of this webinar
◦ Share it with your colleagues
Invitations to upcoming webinars
◦ Topics include maximizing your web presence on stepping
it up on social media, planning for 2014 and more!
Looking at the US MarketAccording to PhoCusWright, in 2011:Hotel Revenue:57% Central Reservations / Property Direct17% Hotel Website14% OTA’s12% Travel AgenciesForecast for 2014 is for Hotel Website to grow to 20% but share shifts from Central Res / Property Direct – OTA stays consistentDifficult to determine impact of Meta-search sourced bookings – Could flow to Hotel Website or via OTA Channel
Point of comparisonPublicly Held Hotel Chain Market CapsMarriott – $13.3 Billion | 12 Million UV’s/month (10 million mobile)Starwood – $13.6 Billion Hyatt – $7.2 Billion
The bottom line is that intermediaries selling hotel rooms dedicate substantial financial resources to creating awareness and acquiring traffic.How can they afford to spend so much?A key structural advantage over the hotel chains is an ability to sell across multiple hotel brands – That substantially enhances the opportunity for sales conversionOne note – the Priceline figures don’t include the US Booking.com advertising campaign.According to Susquehanna International Group, Kayak sends 57x more traffic to OTAS than Hotel Brands; TripAdvisor sends 11x more.11x is still a large ratio, but is is 1/5 of the ratio compared to Kayak.
Some Disturbing Statistics for Hotel CompaniesNo hotel group penetrated the top 15 sites for aggregated downloads according to satisfaction rating statistics aggregated by Xyo.comLooking closer at the stats - TripAdvisor has over 20x the downloads of the IHG App – with the top level of satisfaction.In terms of satisfaction, Six OTA/Meta-search groups had Satisfaction ratings exceeding 8 on a 10-point scale, with the highest hotel group coming in at 7.5.Where it gets ugly is what falls below this chart – According to Xyo.com, InterContinental has 63% and 78% more downloads than the next two highest ranking hotel brands.Major hotel groups also suffer in terms of satisfaction – With other top 10 global hotel brands scoring ratings of 5.2, 3.3, 5.4, 5.9, 3.6, 3.7, 4.2, 4.2, and 3.8.One major hotel group’s frequent guest app scored a 3.0 – the low for any of the 40 Apps studied.Plus the competition is heating up – Both Starwood & Hipmunk were highlighted by Mashable for releasing new great looking versions of their Apps for iOS 7.
The above example, provided by Expedia, illustrates the actual shopping path of a user across 33 retail, travel, DMO & weather websites before booking package on CheapTickets.comThis aligns well with Google’s stats – indicating the typical North American traveler visits 22 websites over 10 sessions when shopping for travel travel booking.It is also important to point out that Meta-search changes the dynamic and all meta-search sites are not created equal.
Note that Specific Hotel Brand Websites are chosen less than ¼ of the time – and that figure is split across a large number of hotel supplier sitesInteresting to note – Booking.com is not included – but just wait… they will be on the list if the same study is run next year.More importantly, the recent MMGY “Portrait of American Travelers” study indicated 53% of the highly desirable “Digital Elite Traveler” segment (those with multiple mobile devices) preferred to book through OTAs.And it’s not just travelers that like the OTAs - Marriott Brazil, in a partnership with Booking.com now allows guests to make their reservations in local currency online & on mobile devices.Marriott is a large, sophisticated travel company with lots of experience in eCommerce, but they obviously feel Booking.com is better sited to handle the job at this point.
The bottom line is that OTAs and meta-search are significantly important distribution channels that must be properly managedBut that is no excuse for not providing them with the best available tools to market your property effectively.Providing OTAs with inferior descriptive, image or video content won’t drive more visitors to your website or App…
Best Luxury Boutique Hotel in New York City:Google Knowledge Graph Carousel The ChatwalGrammery Park HotelW New YorkThe SurreyPlaza AtheneeThe IroquoisThe GreenwichThe PlazaGoogle Hotel Price AdsDays Inn Bronx-Yankee Stadium 2-star hotelCandlewood Suites New York City- Times Square 3-star hotelCrowne Plaza Times Square Manhattan 4-star hotelInterContinental New York Times Square 5-star hotel
Lesson Learned from Four Seasons Hotels Advertising:Amirati & Puris – BMW/Ultimate Driving Machine | Club Med /Antidote for Civilization | Absolut VodkaHotel is the Frame – Traveler Paints the CanvasOTAs are Still Not Good at Everything– LGBT Path Major OTA site – 3,000 Room, 5-star Las Vegas, Gay Friendly Hotel –- 51 photos – 3 with People – All Staff
In short, the OTA model works.Even if you are a large Las Vegas Casino group with a huge supply footprint, top of mind awareness, a robust players club, solid advertising budget and strong group sales department, to fill need periods, you will still need to work with OTAs and meta-search sites to maximize occupancy & profitability.
Online travel shoppers want to see visual content that makes them feel welcome at a hotel, before booking. The VNetwork Online Visual Content Distribution Network satisfies that want by getting hotels’ visual content out to thousands of channels and websites and in front of millions of online travel shoppers, making them more likely to book.
Between Expedia, Priceline and Orbitz they own and operate most of the OTAs globally
Travel shoppers are doing the majority of their research online, on OTAs, metasearch sites, corporate booking channels and brand.com. Tell your story with multi-media to stand out online and catch the eye of travel shoppers.