Category Archives: Email Marketing

Guest Acquisition: E-mail vs. Social Media

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I cannot go a day without seeing a social media-driven article on many of the top hospitality and travel marketing websites.  Social media is everywhere and plays an important role in your marketing campaign, helping you connect with potential travelers.

With that being said, is social media the most effective marketing tool available, or should you stick with more traditional options like e-mail?

A recent study by predictive analytics firm Custora discovered that customer acquisition via e-mail has quadrupled in the last four years and now accounts for almost seven percent of customer acquisitions.  The study also found that organic search is the most powerful acquisition channel, accounting for 16 percent of customers acquired.  Despite substantial recent growth in social media channels, Facebook and Twitter lag far behind in customer acquisition.

Custora’s data also gave some insight into Customer Lifetime Value (CLV), which refers to the future profit a company expects to earn from a customer throughout his or her relationship with the business.  Similar to the customer acquisition model, organic search lead the way with a CLV of 54% higher than average.  Twitter ranked dead last in this category with the lowest-value customers (23% less than average).

E-mail may not have some of the flash and pizzazz of social media, but it’s a medium that generates revenue.  Whereas Facebook, the highest-ranking social media platform in CLV, ranks at 1% above average, e-mail has a level of 11%.  Simply put, customers who come to businesses through e-mail tend to shop more and spend more.

Social media is at its most effective when it is used as a customer engagement tool.  It can be a two-way communication line between a company and potential customers.  Twitter is typically used to relate breaking news and deals, while Facebook users usually want to increase their contact with a brand.

Mobile Plays a Role

One reason why e-mail is so effective is the fact that it is permission-based.  Customers typically have to opt-in to start receiving e-mails.  Moreover, with the prevalence of smartphones and tablets, they are always listening.  In fact, e-mail is the top activity for most people on their phones.

People check e-mail constantly, wherever they are, and that enables you to stay connected with them.  However, people who read their e-mail on a mobile device do so quickly, meaning your messages must be powerful enough to grab their attention.

For all of its positive aspects, mobile also offers some drawbacks for marketers.  Forty percent of all e-mails are now viewed on smartphones, which means they must be coded to be attractive on a phone screen.  If your message looks bad on a mobile device, 70% of customers will unsubscribe from your e-mails.

A To-Do List for Hotels in 2014

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Kelly McGuire of the SAS Institute created a to-do list for analytic hospitality executives in 2014.  This list includes higher-level items that will help to build a strong strategic analytic culture.  There are also tactical items that will help you stay on top of trends McGuire thinks will have a major impact on the industry in the near future.

1) Think More Strategically – This is a common goal for every company at the beginning of a new year, but it is easy to be bogged down by the day-to-day analyses or job tasks.  Keep asking the important questions like where you and your team are, and where you want to go.  Do you understand your organization’s business strategy?  Do your goals line up with this strategy?

2) Encourage Cross-Departmental Decision Making – With digital marketing coming into the forefront, and the recognized value of review and ratings data across multiple departments, cross-departmental thinking will be even more of a focus in 2014.

It is important to establish regular communication with counterparts in other departments (marketing, operations, finance and revenue management).  Bringing your best information to the table and making decisions as a team will strengthen your group as a whole, as well as the individual members.

3) Develop a Common Business Language – A number of companies have started data visualization projects to pull together data from across the organization and provide “single version of the truth” reporting for executives and managers.  Without first establishing a cross-functional team to come to agreement on definitions of key metrics, kata access and data acquisition rules, these projects will fail.  McGuire believes there will be much more of a focus on data management in 2014 as these initiatives get underway.

4) Carefully Evaluate New Data Sources – With plenty of new data sources available to you on a daily basis, it can be tempting to gravitate towards all that is new and shiny.  However, you need to realize that adding new data sources can be time-consuming and resource intensive.  You need to fully understand what the data is and how it can contribute to your decision making process.

Make sure you can develop clear answers to the following questions:

Can the data enhance or augment existing analyses or business insights?

Do you have resources available that can understand the data and be able to use it in analyses?

What actions could you take with insights gained from that data source?

5) Tell a Story With Your Data – Getting your point across to a wide range of personas within your organization requires careful thought about how you use data in your presentation material.  Rows upon rows of numbers, mathematical formulas or complex graphs will not grab the attention of any but the most advanced audiences.  Instead, use a couple of “pictures” that make your point with the most impact.

To read the rest of McGuire’s to-do list for the new year, click here.

10 Travel Technology and Distribution Trends

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With the continued growth of technological progress in the travel landscape, hotel and travel companies that seek success must either catch up or risk becoming irrelevant, according to a new report.

“If you want to be successful and grow and perform well, you really have to understand the technology and what’s out there,” said Cees Bosselaar, director of business development and a destination marketing specialist for PhoCusWright, who presented findings from the company’s “Travel innovation & technology trends: 2013 and beyond” report during the World Travel Market in London.

Here, you’ll find five of the Top 10 Travel Technology and Distribution Trends that will help hotel and travel companies leverage innovation in the coming year and beyond.

1 – New Patterns of Content Challenge Distribution

The old model of travel distribution, which saw large intermediaries, including global distribution systems, aggregate content for booking, is being undermined by new models.

Personal clouds, for example, allow travelers to access information anywhere, anytime and on any device. The “Internet of things” enables integration of connectivity and objects that can influence a trip, such as real-time baggage location, weather conditions and homeland security advisories.  Pervasive online communications allow even small hotel companies to connect with customers in real-time, allowing them to shop and book without delay and from nearly any device. Those same companies, as well as the individuals they serve, also are better able to collect and integrate itinerary data from multiple sources without a GDS.

2 – Too Much Choice Means Less is Better

When people are given too many choices, their satisfaction level tends to decrease.  This model holds true with travel options as well.

Online travel agencies used to provide as many options as possible to exhibit their computing clout. Today the focus is on providing relevant results that target the specific needs and wants of each traveler.

New travelers have embraced technology and the multi-device format in which content can be consumed.  They want to be shown the correct information for their needs.

Providing targeted content is even more critical in the mobile arena, where smaller screens necessitate both streamlined offerings as well as the presentation of those offerings.

3 – Social Technologies Change the Shape of Travel

Facebook alone has more than 1 billion users, while social media as a whole reaches 85% of the world’s total Internet users, but some experts believe that travel companies have yet to unlock the true potential of this technological boom.

When it comes to a discussion of social media, the discussions of return on investment are outdated.  Instead, social media must be viewed as a way to engage with target customers.

Whether you like it or not, social media is here to stay.  And in the next five to 10 years, it will continue to generate leads and performance will be up.

4 – New Efficiencies Re-Energize the Customer Experience

As demand for customer service increases, new technological advances will lower its overall costs.  But travel companies must consider whether a penny saved comes at the risk of a pound of customer preference.

Excessive menu trees and outsourced call centers may cut monetary costs in the short term, but frustrate customers in the process.  Each travel company needs to determine how to use customer service technology appropriately in a way that continues to reduce cost while increasing customer satisfaction.

5 – Cross-Platform Data Access Engages Users

As customers realize their dreams of accessing desired digital information on any device or platform, hotel are facing a nightmare in providing the necessary development and support for this content.

HTML 5, which allows programmers to “write once, run anywhere” could be the solution to this frustration.

According to Bosselaar’s report, Cross-platform data access requires travel companies to track the changing user-interface patterns of their customers to provide the appropriate level of service. This must be a continuing process as new technologies evolve and businesses become less restrictive about the devices their employees can use for particular tasks. Suppliers and distributors that support the most user-friendly, convenient interfaces will enjoy increased market share.

It’s a continuing process of improving your apps and improving your mobile websites.  You have to continuously experiment, and you can’t be afraid to make some mistakes along the way!

You can see trends 6-10 and read the rest of this article here.

Time is Running Out! Creating Urgency in your Hotel Marketing

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In the hospitality market, a seemingly lost conversion tactic is the employment of urgency on hotel websites, in hotel marketing collateral, and across social media platforms. Urgency is a long-used tactic in the world of driving conversion and increasing eCommerce. So the question remains to be asked, why don’t hotel owners use this tactic more often?

It may be for a simple lack of understanding of how to implement urgency into daily messages. It also may be the fear of turning to something different than what has been working well in the past. Whatever the reasons may be, creating a sense of urgency is a great way to increase website conversions for your hotel.

A recent article published by Marketing and hospitality insider Sam Weston discusses 7 simple tactics that any hotelier can take to increase website conversion. Let’s take a look at the best practices and explain in detail, the significance of each.

1. Availability Messaging – Availability messaging is as simple as advising your guests how many rooms remain at a discounted price, how many spots are still open on the wine tour that comes with their stay, etc. For example; “Hurry, only 3 rooms remaining at this rate!”

2. Tell Your Guests How Popular you Are – No, not literally. This is a simple tactic that advises your guests on how many travelers (like them) are currently viewing your property, package, or room offer. For example; “22 people have viewed this suite in the past 12 hours.” Simple messages like this create the sense of urgency that we as hotel marketers are looking for.

3. Countdowns & Timers – Perhaps the oldest tactic in the book to creating a sense of urgency is to place an ultimatum, timer or countdown on your offer. Adding a countdown timer to the deal pages of your website is a simple way to let your guests know that “time is running out!”

4. Countdowns TO Events and Sales – Similar to the “time is running out” idea, a countdown to a big event or sale is a great way to create a sense of anticipation and urgency in your customers. Getting the message out early is the key here. For example; “Only 3 days remaining until you save 50% on your 3 night stay!”

5. Adjust Your Message – Standard hotel language can grow repetitive and lose its luster…fast. Next time an offer, sale or event comes across your planning, try switching up the delivery of your message. For example; Rather than saying “Rooms starting from,” spice it up with something along the lines of “Today’s Best Rate.” Experimenting with what works best for your hotels brand will prove to be valuable time invested.

6. Give a Friendly Reminder – In the case that a guest starts to book but does not complete the process, a simple follow up email will do you great justice. A message as simple as “I see you were inquiring for a stay the week of November 20th, but it looks like you stopped. How can I help? The rate you were considering was $89 per night, per adult, a savings of 30%!” Messages like this instantly remind the traveler what they were looking at and plant the idea of booking back in their mind.

7. Email Follow Ups – For those guests who may have missed your sale, offer or event, offer them the opportunity to get advanced notice of the next offer. This can be as simple as asking them to sign up for an email marketing message, or distributing the information via social media. This not only creates a sense of urgency, but can also go a long way in maintaining a loyal customer base.

 

 

 

 

 

Your Email Marketing: The Facts

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Hotel marketer’s are not foreign to the impact of timely, relevant emails. In fact, email marketing is a staple in many marketing programs as it delivers fresh content to a proven customer base. What can often times be overlooked in a marketing email campaign is the trends that shape an industry; the impactful forces of change that, if ignored, can be detrimental to the overall efforts of a campaign.

Perhaps the biggest news in the email marketing world currently is the use of mobile to open, view, and click through on emails. What was once a slowly rising trend is now right on top of marketers across all industries. Recent data collected by leading email design company, Litmus, revealed that 47% of all emails are now opened on a mobile device. This number holds a 3% increase from July, and a 24% increase year over year. If the data is any indication of what is to come, mobile is not only the future of email marketing, it is the present.

So what does this mean for your business? As a hotel marketing extraordinaire, it is time for you to adapt (if you haven’t already). The spike in mobile opens is a wake up call that your content, visuals, etc. all need to be responsive. Responsive design is one that allows content to be viewed across multiple devices, without the look of visuals, text, etc. changing. The content on the screen “snaps” to the size of the screen. Ensuring that your emails appear sharp, clear, and without hassle across mobile devices is critical to your email campaign success.

ResortsandLodges.com Best Practices

As hotel marketers, best practices for producing responsive emails can include a number of things. The content in your emails can be extensive and far reaching. Ideally, everything in your email will appear exactly the same on a mobile device as it does on a desktop computer. While technical and development support will be necessary to implement a responsive design to your emails, here are a few tips for the time being:

1. Test Across Multiple Devices – When your responsive design is built, it is best to test all of your emails (before sending) across multiple devices: Desktop, mobile, tablet, etc. This quality assurance is a peace of mind tactic when it comes time to send.

2. Keep it Clean – The best emails are those that are un-cluttered. This is not to say that your email should contain the bare minimum, but rather the most important things you want your subscriber to take away from the email. Remember, that 47% of individuals who open emails on a mobile device are more likely than not on the go. They might not have the time to sift and scroll through lengthy, cluttered emails.

3. Include Visuals – Everyone likes visuals. Especially in the hospitality industry, visuals are a huge part of selling your hotels experience. ResortsandLodges.com emails generally contain no fewer than 2 images. Be creative and work with your team to decide what looks and feels the best as a representation of your property.