What’s the Issue?

Google recently rolled out “Search Plus Your World,” a layout that includes social recommendations made by users in your Google+ circles.  When logged into your Google account, not only do you see results with recommendations…:

…if there is enough interest, there is a separate sidebar dedicated to relevant Google+ pages:

You can also toggle between showing and hiding “personal” results in the upper right-hand corner. Showing these results displays relevant articles/posts/shares on friends in your circles:

This hyper-personalized results page lets you see what your friends are saying about a topic. Since users are much more likely to rely on friends’ recommendations, this is a powerful search tool.

The other effect “Google Search Plus Your World” has on search is how you collect data. When logged in, users’ search terms are encrypted, meaning they show up in analytics tools as “unknown.” With more benefits available to logged-in users, the number of encrypted searches is bound to rise.

Ostensibly the goal behind this new offering is to provide users with a more personalized search; however, the social benefits tend to heavily favor Google.

What Does it Mean for Hoteliers?

With such a large market share, Google is somewhat able to dictate what businesses must do to be successful. With a greater emphasis on social relevancy and personalization comes the expectation that businesses will catch up – sooner rather than later.

As Google seems to be favoring its own social networks, it is imperative that hotels develop a Google+ page. While some hotels have already created pages, the adoption rate is not as quick as Facebook and there is still room to be an “early adopter” in this channel. In no uncertain terms, the more you interact with other Google+ users in your circles, the greater the likelihood that your content & activity will show up in personalized search results.

What is the Solution?

First, create a Google+ business page. Add a quality photo and fill out the ‘About’ section to get started. Good examples to follow here are Mandarin Oriental Hotel Group, Coca-Cola, Ford Motor Company, and the HeBS Digital client, Sorrel River Ranch (screenshot below). This will make it easier for people to find your page and add it to one of their circles.

Second, maintain your Google+ page. Think of it as an extension of your Facebook page or a blog – it needs to be updated regularly to avoid becoming stale. Nothing is worse than having a social media presence where the last activity was months ago. Share interesting articles, comment on activity within your page, and actively reach out to users you find interesting or engaging. The more circles you are in, the higher your chances of showing up in their personalized results. Posts will show up on a main “feed” where users can interact with your posts: comment, share, or +1.

Once you get in a rhythm of sharing, commenting, and expanding your circles, you will be eligible to show up on the right-hand side of search results. The more quality content you create, the more prominent your Google+ page will become.

What Do the HeBS Digital Marketing Experts Recommend?

At HeBS Digital, we stand behind all of the best practices above; simply, create and maintain a Google+ page! Your digital marketing agency should be able to offer you setup and optimization services, as well as ongoing management.

HeBS Digital offers a Google+ Business Page product that includes page setup with a branded main image, optimized hotel description & tagline, and a verified connection to your hotel website to leverage search benefits and increase traffic to your Google+ page. For more information about setting up your Google+ Business Page with HeBS Digital, view our product description, or contact us at sales@hebsdigital.com.

Sue Wiker is Lead Copywriter, Copywriter & SEO Dept. at HeBS Digital

Hotel ZaZa

Hotel Zaza, with locations in both Dallas and Houston, Texas, is the embodiment of Southern luxury, featuring deluxe, spacious accommodations, sumptuous amenities, and a staff trained in world-class service. Hotel Zaza is perfect for business and leisure travelers alike, boasting classic professionalism in convenient Texas locations. HeBS Digital’s award-winning team designed the Hotel Zaza website with CMS- Enterprise, assuring that the site is both user and search engine-friendly. The site also features cutting edge design, vivid imagery, and tiered navigation for easy access to the site’s contents. Notable features also include RFP functionality and a calendar of events.

Some of the features of the Hotel Zaza website include:

• Website analytics and tracking
• Rich visual content
• User-friendly and consistent tiered navigation
• Stay connected
• Search engine optimized text for superior search results placement
• Special offers
• RFP for meetings and groups
• Integration with social media

HeBS Digital is currently working on ongoing marketing management for Hotel Zaza.

View the brand-new Hotel Zaza website here.

Background

On January 11, 2012 six of the top hotel brands in the world launched RoomKey.com, a “hotel search engine website that facilitates booking on better terms than most online travel agencies.” RoomKey.com offers “meta search” for 23,000 properties spread among the six brands. The founding hotel chains include: Choice Hotels, Hilton, Hyatt, IHG, Marriott and Wyndham, which are equal shareholders in the new venture. Later in the week Best Western announced that their 4,000 properties will be joining RoomKey.com. More hotel chains are expected to join in the future.

The “direct connect” technology platform, similar to Jack Rabbit Systems, was acquired from Hotelicopter.com in an asset deal that closed last year.

“The intent all along was to drive down the cost of distribution and provide consumers with a better experience,” said John Davis III, RoomKey.com CEO. “Allowing them to book directly and become a direct guest of the hotel is a game-changer.”

RoomKey.com is Not the Only New Kid on the Block

In late 2011, several other organizations and entities announced the launch of hotel meta-search and direct booking sites meant to circumvent the OTAs:

www.mybesthotelrate.com – Launched by the Asian American Hotel Owners Association (AAHOA), an organization which has over 10,000 members owning 20,000 hotels. The CRS is powered by Citibreak, a reservation technology vendor focused on destinations. The site’s proclaimed objective is to help lessen its member hotels’ dependency on the OTAs. The site will charge participating hotels an undisclosed commission for every booking.

www.globalhotelexchange.com – Launched by Magnuson Hotels, “the world’s largest independent hotel group” with 2000 member hotels. The site will charge a small pass-through fee to the consumer, in the range of $3, to “underwrite the marketing and technology necessary to market and sell rooms without charging hotels a fee. There’s no commission fee charged to the hotel.”

What Would It Take For the New “Anti-OTA” Sites to Become Viable Industry Players

Last year over 30% of Internet bookings for the top hotel brands came from OTAs. Overall, 40% of all hotel bookings in North America came from the OTAs. STR estimated that the industry has lost over $2.5 billion in OTA commissions last year alone.

I have been the most outspoken direct online channel advocate for 16 plus years now.  I can only applaud these and any new “direct connect” initiatives by the major hotel brands and other hotel organizations to circumvent the OTA channel and lessen their franchisees’ and members’ dependence on the OTAs. I am rooting wholeheartedly for their success. And yet, I have serious questions and concerns about the viability of these new “anti-OTA” players.

What would it take for the new “anti-OTA” players like RoomKey.com to become viable industry players? In my view there are three main challenges new travel consumer sites like RoomKey.com have to overcome in order to secure sustainability and become real players in the industry:

1.    Establishing a Unique Value Proposition in the Marketplace

Let’s talk about the unique value proposition provided by these new anti-OTA players like RoomKey.com. I can clearly see what the value is from hotelier’s perspective: direct connect to the member hotels’ own booking engines at a comparatively “palatable” success fee (commission).

For these anti-OTA players to survive, they have to offer a powerful value proposition from a travel consumer perspective. Obviously, due to contractual obligations with the OTAs for rate parity and the best rate guarantees on the major brand websites, the value proposition cannot come in the form of lower or unique rates.

So what it is the value proposition that RoomKey.com or MyBestHotelRate.com can offer to the traveling public that is above and beyond a typical OTA site?

• Last Room Availability: HotelChatter reported earlier this week that while RoomKey.com and Expedia offered the same rates (rate parity), RoomKey.com showed availability for some hotels which were not available on Expedia. With rising travel demand, this could turn into a serious advantage as long as it is not in breach of existing contracts with the OTAs.

• Earning Reward Points: Currently merchant reservations via the OTAs do not qualify travel bookers to earn points from the major hotel brands. Since booking through RoomKey.com is booking via the major hotel chain’s CRS, travel consumers will be earning reward points, which is another serious advantage.

• Usability: RoomKey.com counts on its easy-to-use search functionality and a clean & elegant look. In addition, the site plans to have independent customer reviews, and the ability to compare, plan and share with friends and family. Would that be sufficient? Travel planning is a very complex process. Hotel bookers need more than hotel location, availability and rate, and peer reviews. Hotels are an integral part of the destination experience hence any hotel booking site needs to offer rich destination information, local activities, events, mapping, etc. In other words it is questionable whether the “clean and elegant” look of these new players will win travelers over the information-rich OTA sites.

• Social Media and WOM: Any new travel consumer site needs to appeal to today’s hyper-interactive travel consumers. Is RoomKey.com or MyBestHotelRate.com ready for these new breed of travel consumers? Only time will tell.

• Lots of Luck: Any new industry player in the current economic environment needs a ton of “economic luck” in the form of good timing, a business model that is in tune with the times, quick adoption by consumers, ability to take advantage of social media and word-of-mouth (WOM), etc.

 2.    Securing Serious Ongoing Revenues Needed to Establish a New Travel Consumer Brand

It is prohibitively expensive to establish a new travel consumer brand. The last two major travel brands to be successfully established were Orbitz (2003) and Kayak.com (2004). In addition to the initial investments for technology, website design and architecture, hosting and analytics, there is a serious need for ongoing operational and promotional expenses.

I doubt any RoomKey.com founding member is going to promote RoomKey.com on their own since this site features 5 of their biggest competitors.  No AAHOA member hotel will promote MyBestHotelRate.com wholeheartedly, since this site features concrete competitors to the member’s own properties.

RoomKey.com and the other “anti-OTA” players need to promote themselves – in other words, they need to generate revenue in the form of commissions or “success fees” in order to pay for the sites’ operational expenses, advertising, etc.

How much of a commission would suffice? RoomKey.com earns a commission from the booking, which as described by the company “is at a more supplier-friendly rate than what third party OTAs are offering, as it redirects users to the hotel company’s website for a direct booking.” Magnuson’s Global Hotel Exchange will be offered “at no cost to hotels struggling with economic instability” and will charge travel consumers a small “pass-through fee in the range of $3.”

In my view, any commission below 10%-15% would generate too small of a revenue stream for a site that is making baby steps and is trying to divert bookings from well-entrenched OTAs.

3.    Overcoming the Reaction and Legal Challenges by the OTAs

If history is any indicator (remember Orbitz?) as to how the OTAs would react to the launch of RoomKey.com and similar industry sites, I believe the OTAs will ask the Justice Dept to look into these new services because they  “smell of collusion” by and among major industry players.

A Word About MyBestHotelRate.com Initiative by AAHOA

I am fully aware of what AAHOA stands for as an organization and respect AAHOA’s objective to help lessen its member hotels’ dependency on the OTAs.  In my humble opinion, creating a new AAHOA consumer brand website does not solve the main underlying issue: lack of understanding among AAHOA member hoteliers about how to take full advantage of the direct online channel, what are the best practices, and ROI-centric initiatives. How to make sense of this very convoluted online travel marketplace?  Is Google Hotel Finder good or bad for me? Are flash sales sites like Groupon and Living Social good or bad for my hotel? Why is it detrimental for my hotel to use open-discount last-minute sales sites like HotelTonight.com?  What is the correct use of social media – is it a distribution channel or a customer engagement channel? How to take advantage of Google Places?

This is where AAHOA can play a crucial role by educating its members on direct online channel strategies, vanity website best practices, SEO, SEM, social and mobile marketing, online media and re-targeting, email marketing, etc.

Diverting online travel consumers from the OTAs to a new consumer website MyBestHotelRate.com is not only prohibitively expensive, but it does not help AAHOA members help themselves fight their addiction to the OTA distribution channel.  Instead, AAHOA should spend its organizational funds to develop robust educational and professional development programs for its member hotels, focused on the direct online channel, hotel digital marketing, and industry best practices and notable trends.

Click here to read the entire blog article on HOTELSMag.com, as well as a full selection of Max Starkov’s blog articles on hot industry topics and latest trends in the online channel in hospitality.

About the Author:

Max Starkov is President & CEO of HeBS Digital (Hospitality eBusiness Strategies), the hospitality industry’s leading direct online channel strategy, full-service digital marketing and website design firm (www.HeBSdigital.com)

Tropical Inns Puerto Rico

This sweepstakes, designed, marketed and written by HeBS Digital, gives users 30 chances to win a stay at one of Tropical Inns’ all-inclusive Puerto Rico resorts—Parador Palmas de Lucía, Parador Costa del Mar, Parador Guánica 1929 or Parador MaunaCaribe—as well as a grand prize of a free two-night all-inclusive stay at the inn of the winner’s choice. This sweepstakes is the perfect answer for anyone looking to escape the cold winter months and head to the sunny, sandy beaches of the Caribbean.

Participants can enter the “Resolution to Relax” Giveaway Sweepstakes by registering and logging in once each day through February 12 to have their chance at both the daily prizes and grand prize. This “Resolution to Relax” Giveaway Sweepstakes gives participants multiple ways to win! Users who spread the sweepstakes through social media channels and email will also have a chance to win a $250 American Express Gift Card. The participant who lets the most friends and family know about the “Resolution to Relax” Giveaway Sweepstakes will win.

The sweepstakes will boost daily visits to the Tropical Inns Puerto Rico website, as well as grow the property’s opt-in email list while expanding its presence on social networks like Facebook and Twitter. Tropical Inn Puerto Rico’s “Resolution to Relax” Giveaway Sweepstakes will be marketed through social media, online newswire, the forward-to-a-friend functionality, and of course, email marketing.

Tropical Inns Puerto Rico features the best in breathtaking beach accommodations for couples, families, honeymooners, groups, and more. Each resort boasts amenities such as cool, crystal-clear swimming pools, delicious dining, modern fitness centers, and more for the perfect tropical vacation. The all-inclusive packages at Tropical Inns Puerto Rico include meals, accommodations, gratuities, and more.

Enter the “Resolution to Relax” Giveaway Sweepstakes at Tropical Inns Puerto Rico today!

Back in early 2011, in an interview article “Another look at flash sales sites,” for HOTELS Magazine’s successful eMarketing Blog, I argued social buying and flash sales sites such as Groupon Getaways with Expedia, Living Social, SniqueAway.com, BloomSpot, etc. were a recessionary phenomenon, and not a new, emerging distribution channel that was here to stay. There is no doubt that as the economy improves, some of these flash sales sites will go away, and the remaining players will have severely diminished roles in hospitality.

Since 2001 we have witnessed a similar “countercyclical” increase and decrease in OTA market share: the better the economy, the smaller the OTA market share. As an example, the OTAs’ share of CRS reservations for the top 46 hotel brands increased from 11.8 percent in 2008 to a height of 17.1 percent in 2010 and shrank to less than 16.5 percent in 2011 (eTRAK, HeBS Digital Research). All trends point out that the OTA share will decrease to well below 15 percent in 2012.

I also cautioned hoteliers of the existence of “The Law of Unintended Channel Share Loss,” which stipulates the following: Any booking via the most discounted channel (i.e. Flash Sales Sites such as Groupon, LivingLocal.com or SniqueAway.com or an OTA) is one less booking for the same hotel via the hotel website, call center and GDS (in that order).

Last year, in several articles and industry presentations I predicted that as recessionary phenomena, the social buying/flash sales sites would suffer from an improving economy and rising travel demand. Why? Social buying and flash sales sites such as Groupon, LivingSocial.com, and SniqueAway.com are an integral part of the economy and the supply-demand market equilibrium. For social buying and flash sales sites to exist, there must be market equilibrium (price-quantity) between the demand side (quantity of members/engaged social buyers) and the supply side (quantity of fresh, intriguing deals).

Since travel consumers and customers in general (the demand side) are always open to discounts and deals of any sort, an increasingly important part of any social buying/flash sales site is its ability to convince the supply side, i.e. hoteliers, to run deals and accept the large discounts that are integral to the offers.

Similar to 2011, in 2012, all signs are indicating that the hospitality industry continues to be in recovery mode. STR projects all three of the key performance measurements (occupancy rate, ADR and RevPAR) will enjoy steady increases for the year as a whole: a 0.2-percent increase in occupancy to 60.0 percent; a 3.7-percent jump in average daily rate to $105.29; and a 3.9-percent rise in revenue per available room to $63.18.

As travel demand improves, hoteliers have already become reluctant to participate in social buying/flash sales sites because of their “open discount” business model, and provide the supply side of the equation with fresh, intriguing deals. As a result, both sides of the equation suffer and shrink. Online travel consumers, disappointed by the lack of fresh and intriguing hotel deals, have started reverting back to the traditional booking channels: hotel direct, OTAs, GDS and voice.

Here are only some of the indisputable signs of this weakening and shrinkage in the supply side we witnessed in 2011, which have already weakened the demand side as well:

• Visits to social buying/flash sales sites declined in 2011 by 25 percent since June 2011 (Hitwise), due to:
  • Too many competitors
  • Deal fatigue
  • Not enough good deals
• Groupon was forced to partner with Expedia
• Groupon: Customer acquisition costs are out of control:
  • Advertising costs: $263M in 2010 vs. $4.5M in 2009. $180M in Q1 2011!
  • Revenue per subscriber has fallen by 64.2 percent (06/09-03/11)
  • Number of deals sold per customer have decreased by 34 percent
• Off & Away, an aggressive hotel discounter, was forced to shut down at the end of 2011

The most recent developments in early 2012 further support my predictions for “shrinkage” of the social buying space. Groupon, Inc. shares fell more than 7 percent so far in January , 2012 – below the company’s initial public offering price of $20 – on “concern the company may not have as many daily deals to offer as some merchants pull back (as reported by Alistair Barr (Reuters).”

Susquehanna Financial Group and Yipit  (a daily deal industry tracking firm) surveyed almost 400 merchants recently about their experiences running daily deals with Groupon, LivingSocial and other providers. According to the survey, “52 percent of the surveyed merchants are currently not planning to feature deals in the next six months. Nearly 24 percent of the merchants intend to feature only one deal in the next six months, the poll also found.”

I told you so!

Why should hoteliers be wary of using the social buying/flash sales sites? Here are only a few of the reasons that the economics do not work for the hospitality industry:

• Flawed “Open Discount” business model:
  • Discounted rate is out in the open, which is against rate parity/BRG principles
  • Destroys rate integrity: against existing contracts (OTAs, corporate travel)
• Lack of opaqueness establishes new lower market price: Hotel cannot charge rack rate since customer has accepted the discount rate as the new market value
• Cannibalization of existing customer base: 65 percent of daily deal buyers are already frequent (38 percent) or infrequent (27 percent) customers (ForeSee 06/11)
• Deal face value is artificially ballooned to show value: This puts off potential customers by positioning the hotel as “too expensive”
• Steep discounts of 50 percent to 67.5 percent are simply unacceptable

Here is a case study clearly showing the true cost of distribution via the flash sales sites:

As we see from the example, the cost of distribution via the social buying/flash sales site is 27 times higher than the cost of a booking via the hotel own website.

Why are some hoteliers still finding the social buying/flash sales sites attractive? There are two types of hoteliers in the industry:

• Smart, sophisticated hoteliers who understand that using social buying/flash sales sites leads to price and brand erosion, and ultimately damages the hotel’s price integrity and overall online revenues in the long run
• Hoteliers who employ a “lazy man’s approach” to hotel distribution and who are more interested in the immediate results, while ignoring or not caring about long-term repercussions

Some hoteliers participate in social buying and flash sales sites merely because their competition is doing so. My advice? Don’t succumb to the devil. A smart hotelier would never repeat the mistakes or dumb moves of a dumb competitor, so why do it now with the flash sales sites? Stick to the fundamentals in hotel distribution and make sure you are covering all your bases in the Direct Online Channel, including website re-designs, SEO, SEM, email marketing, social media, mobile web, online media, the voice channel, and GDS Travel Agent channel.

So, should hoteliers “flash or not flash” in 2012?

The answer is a categorical NO! As mentioned above, the economic model of social buying/flash sales sites does not work for the hospitality industry. The flawed open business model destroys rate parity and establishes a lower market price. The deals cannibalize hotels’ existing customer base while putting off potential new customers with artificially ballooned deal face values

What should hoteliers do in 2012 as far as the online channel is concerned?

The main focus and priority for any hotelier should be to sell as much inventory via the most cost-effective distribution channels that can potentially generate the most bookings while preserving rate parity and price erosion. This is the direct online channel – the hotel’s own website.

Click here to read the entire blog article on HOTELSMag.com, as well as a full selection of Max Starkov’s blog articles on hot industry topics and latest trends in the online channel in hospitality.

About the Author:

Max Starkov is President & CEO of HeBS Digital (Hospitality eBusiness Strategies), the hospitality industry’s leading direct online channel strategy, full-service digital marketing and website design firm (www.HeBSdigital.com)

JW Marriott Indianapolis Sweepstakes

The sweepstakes, which was designed, marketed and written by HeBS Digital, gives participants 45 chances to win a $50 American Express Gift Card and one Grand Prize: a two-night getaway to Indianapolis, including tickets to concerts, sporting events, museums or other attractions and an array of onsite perks at the JW Marriott, Downtown Indy’s premier hotel. The sweepstakes is perfect for anyone looking for an Indy escape – whether that entails sports, live music, family attractions or just relaxation at the JW Indy.

Participants can enter the Indy Dream Getaway Sweepstakes once each day through February 22 to have a chance at the Daily Prizes and Grand Prize. The contest also includes forward-to-a-friend functionality, which awards a $250 American Express Gift Card to the participant who sends the contest link to the most valid email addresses via the official sweepstakes website. The Indy Dream Getaway Sweepstakes gives participants multiple ways to win!

The sweepstakes will boost daily visits to the hotel website while growing the property’s opt-in email list and expanding its presence on Facebook and Twitter. The sweepstakes will be marketed through email marketing, social media, online newswires, the forward-to-a-friend functionality and more.

The JW Marriott Indianapolis is Downtown Indy’s newest landmark, boasting 1,005 elegantly appointed guest rooms and more than 100,000 square feet of event and meeting space in the middle of the city. The largest JW Marriott in the world and the tallest hotel in Indiana, the JW Marriott Indianapolis attracts distinguished guests and serves as the perfect destination for a dream vacation to Indy.

Enter the Indy Dream Getaway Sweepstakes at the JW Marriott Indianapolis!

NEW YORK, NY (January  18, 2012) – HeBS Digital, the leading hotel digital marketing and direct online strategy firm for the hospitality industry, today announces the Hospitality Sales & Marketing Association International (HSMAI) has selected Jason Price, Executive Vice President of HeBS Digital, as one of the “Top 25 Most Extraordinary Minds in Sales and Marketing” for 2011.

The ninth annual list recognizes the “best of the best” in the hospitality, travel and tourism industries. Recipients will be honored during a private ceremony preceding the Adrian Awards Gala on Feb. 27, 2012, at the New York Marriott Marquis and will be recognized at the Adrian Awards dinner reception and gala.

“The ‘Top 25’ is our annual hot list that celebrates the sales, marketing and revenue management leaders and innovators in our industry,” said Robert A. Gilbert, CHME, CHBA, president and CEO of HSMAI. “The creative strategies, passionate dedication and sharp intelligence of these professionals have not only grown the business within their organizations but have also truly raised the bar for the hospitality industry as a whole.”

Jason Price is Executive Vice President at HeBS Digital in New York City. He provides the firm’s hotel clients with extensive digital marketing and direct online channel strategy advice, as well as web analytics expertise. Jason authors articles in hospitality and technology and runs graduate level research projects for NYU’s Preston Robert Tisch Center. Prior to HeBS Digital, Jason served as VP of Business Development at two travel Internet start-ups and for top advertising agencies in New York City. He has authored two books including Insider’s Guide to the Executive MBA (2011). Jason has an MBA from Fordham University in New York City and an MS and BA from the University of Massachusetts.

“I am immensely grateful that the HSMAI judging panel included me in this distinguished class of industry professionals. I look forward to contributing to the industry for many years to come” said Jason Price, Executive Vice President of HeBS Digital.

The 2011 “Top 25” recipients were judged by a panel of senior industry executives for their recent work based on the following criteria: creativity and innovation; cutting edge sales or marketing campaigns; triumph in challenging situations; and sales efforts that resulted in dramatic gains. This recognition comes three years after Max Starkov, President & CEO of HeBS Digital, was recognized in the “Top 25 Most Extraordinary Minds in Sales and Marketing” for 2008.

About HeBS Digital:

Founded in 2001, HeBS Digital is the industry’s leading full-service hotel digital marketing, website design and direct online channel strategy firm based in New York City (www.HeBSDigital.com).

HeBS Digital has pioneered many of the “best practices” in hotel Internet marketing, social and mobile marketing, and direct online channel distribution. The firm has won over 170 prestigious industry awards for its digital marketing and website design services, including numerous Adrian Awards, Davey Awards, W3 Awards, WebAwards, Magellan Awards, Summit International Awards, Interactive Media Awards, and IAC Awards.

A diverse client portfolio of over 500 top tier major hotel brands, luxury and boutique hotel brands, resorts and casinos, hotel management companies, franchisees and independents, and CVBs has sought and successfully taken advantage of the hospitality Internet marketing expertise offered at HeBS Digital. Contact HeBS’ consultants at (212) 752-8186 or success@hebsdigital.com.

# # #

About HSMAI

The Hospitality Sales and Marketing Association International (HSMAI) is committed to growing business for hotels and their partners, and is the industry’s leading advocate for intelligent, sustainable hotel revenue growth. The association provides hotel professionals & their partners with tools, insights, and expertise to fuel sales, inspire marketing, and optimize revenue through programs such as HSMAI’s MEET, Adrian Awards, and Revenue Optimization Conference. HSMAI is an individual membership organization comprising more than 7,000 members worldwide, with 40 chapters in the Americas Region. Connect with HSMAI at www.hsmai.org, www.facebook.com/hsmai, www.twitter.com/hsmai and www.youtube.com/hsmai1.

Editorial Contact:

Mariana Mechoso Safer
HeBS Digital
Phone: 212-752-8186
Email: mariana@hebsdigital.com
Web: http://www.hebsdigital.com
Facebook: http://www.facebook.com/hebsdigital
Twitter: https://twitter.com/HeBS_NYC
LinkedIn: http://www.linkedin.com/company/hospitality-ebusiness-strategies

The Joule Dallas

CSS Awards compiles an archive of the best websites found on the Internet, those that seamlessly combine customer usability with cutting-edge design and search engine-friendliness.

Launched in late 2011, The Joule Dallas website features high-res images, an easy-to-navigate site structure and a readily accessible Calendar of Events and Featured Specials menus. Other features include social media integration, search engine optimization for prime search results placement, booking engine connection and a hotel blog.

The sleek and sophisticated design of the site aims to reflect the spirit of this Downtown Dallas boutique hotel in every detail. The 129-room stunner embodies the creative spirit of one of the nation’s largest cities with its exclusive style, featuring an Interactive Library, unique event space, an intimate rooftop pool and café, a modern fitness center, and fine dining at Charlie Palmer.

Visit the website today to see what the award-winning team at HeBS Digital has created and why the site is being recognized on www.cssawards.net among other leading sites.

Last year the economy remained in “recovery mode,” allowing the industry to focus its efforts more on marketing to the travel consumer and less on scaling back budgets for the first time in several years. The convergence of social media, mobile Web and location-based services, increased personalization and relevancy of marketing messages, the continued onslaught by social buying/flash sales sites and other heavily discounted distribution channels, the Google Panda and ‘Freshness’ updates, and ‘engaging’ the traveler at all touch points via multi-channel marketing were all hot topics last year and will continue to dominate in 2012.

How can hoteliers use real-time customer information to create time- and location-relevant promotions? Which digital channels and formats most effectively reach today’s hyper-interactive travel consumers and generate the highest ROIs? Should hoteliers be dedicating a significant amount of time to managing review sites and social media channels? What strategy should hoteliers adopt to stay competitive in search engine results when Google is consistently changing its algorithms?

The 2012 Top Ten New Year’s Digital Marketing Strategy Resolutions, presented by HeBS Digital for the 12th consecutive year, answers these questions and provides guidance on what hoteliers should do to succeed in the year ahead. With an improved outlook for the industry, technological advances, and the usage of mobile devices growing exponentially, opportunities for incremental revenues abound.

Here are the Top Ten Digital Marketing Resolutions your hotel company should consider adopting in 2012:

1. I will bring social, local and mobile marketing initiatives to the forefront of my hotel digital marketing plans this year.

Situation:

In 2012 hoteliers will be hearing a lot of the buzzword SoLoMo (SOcial, LOcal, MObile). Meant to convey the convergence of these three major media, the term SoLoMo describes a “marriage made in heaven” between the three content and marketing platforms. Why does this mean for hoteliers? Hotel guests are avid SoLoMo services users. Most social network engagements by travel consumers are done via mobile device. Consumers perform more than 3 billion local searches every month, and one in three mobile searches have local intent vs. one in five desktop searches (Google).

Unlike the desktop Web world, SoLoMo allows hoteliers to combine real-time customer geo-location with their demographic and psychographic information and time- and location-relevant promotions. The success of location-based social media such as Foursquare has shown us that rewards and recommendations are only the beginning. Hoteliers need to consider how to best utilize SoLoMo to engage their customers and generate incremental revenues.

Action Steps:

By focusing efforts on social media, local marketing, and mobile marketing, hotel marketers have the ability to deliver more personalized, relevant content and engage existing guests and potential customers like never before.

To begin with, how well optimized are your property profiles in the main data providers, which feed many local directories and geo-social sites? How well optimized are your property local search listings on Google Places, Yahoo Local, and Bing Local? What about all the local online directories and yellow pages? Do you have a local citation listing program in place?

Once you take care of your local content and listing strategy, it is time to enhance your mobile marketing presence. How deep, relevant and engaging is the local content on your mobile site? Do you have automated push of specials, promotions and local events from the property “desktop” website to the mobile site to keep your mobile presence “fresh?” Do you use micro-formats and Schema codes to relay the time- and location-relevant nature of these promotions and events to the search engines? Does your property take advantage of coupon promotions through Google?

Other recommendations include engaging your local customers via time- and location-relevant check-in promotions and rewards, launching social media promotions, contests, and post series via Facebook and Twitter, and blogging. Geo-social marketing initiatives allow hoteliers to integrate into customers’ lifestyles and connect (and stay connected) with them in ways that were not possible before. Industry experts already predict the end of the Foursquare-type check-in and envision a deeper and more experiential form of “social sharing” instead. Social, local and mobile marketing are great for time- and location-sensitive promotions. In 2012 focus on SoLoMo initiatives and you will remain ahead of the competition.

2. I understand this industry is complex and will work to make sense of a very convoluted digital space/online marketplace.

Situation:

Hoteliers have been rightfully confused by the myriad of headlines about the changing landscape of hotel distribution, from articles titled “Google will change your hotel’s distribution strategy” and “Facebook as an E-commerce engine,” to “How to make Twitter Sell” and “Mobile Apps to Impact Hotel Distribution.” In other articles OTAs are proclaimed to be a “good thing” because of the so-called billboard effect and contribution to new client acquisitions. On a daily basis, hotel owners, managers and operators are bombarded by far-fetched and often conflicting messages and claims.

The recession brought an onslaught of new players to the travel marketplace, which further convoluted the complex online marketing and distribution channels and online travel consumer behavior. Social buying sites (group buying, flash sales sites, member-only sites) and last-minute mobile sites are all presenting themselves as the “future of hotel distribution.” To add to the confusion, mobile and social have forever changed the way people research, plan and purchase travel – shorter booking windows, greater transparency, and peer recommendations are just some of the ways the integration of social and mobile have affected purchasing habits. Understanding this increasingly convoluted digital space and the increasingly complex online travel consumer behavior can feel like a monumental undertaking.

Action Plan:

In this dynamic industry, taking time on a daily basis to stay current with hotel digital marketing trends is a must. To start, adopt a business approach when analyzing whether or not use these new marketing formats and channels. In spite of all that is happening in the digital space, hotel marketing and distribution fundamentals have not changed. Try to correctly categorize these new sites, players and business models by asking yourself a set of simple questions: Is the site an advertising medium or a distribution channel? Does it work against accepted rate parity and best rate guarantee principles? Would a promotion via one of those sites alienate your existing corporate, group and leisure clients? Does working with these new players adhere to industry’s best practices in marketing and distribution?

Look deeper to understand the influence of each digital marketing initiative on the new online travel consumer. Advanced analytical tools can also help you make sense of this convoluted space. In this increasingly complex environment, consider partnering with a direct online channel strategy consulting firm to keep you informed and ahead of the competition.

 3. I will continue to account for the continued shift from offline to online, and engage the hyper-interactive travel consumer via multi-channel marketing efforts.

Situation:

The shift from offline to online continues. The online channel has been rapidly growing for 16 years straight. Internet bookings for the top 46 hotel chains now constitute 54% of all the chains’ CRS bookings. The online channel has grown by 25% in the last four years alone, while the share of the GDS travel agent channel and voice channel has decreased by 25% and 11.1% in the past four years, respectively. It’s critical that budget dollars are shifted to online marketing budgets, and that these budgets stay focused on hotel distribution channels that generate the most bookings, are cost-effective, and protect rate parity and price integrity.

In 2012 the mobile Web and social media will further establish the new breed of hyper-interactive travel consumers who demand “immediate, anywhere and anytime” customer engagement, information access, transaction capabilities, content sharing and customer service in real-time. Marketing to this new type of consumer requires a completely new, multi-channel marketing approach where the hotel engages consumers at all touch points.

Action Plan:

Multi-channel marketing is the foundation for a smart direct online channel strategy. In this environment, the hotel website, SEM campaigns, email marketing, social media presence, mobile, etc. have a symbiotic relationship. For example, if you launch a website promotion, you should also send an email to the hotel’s opt-in list, announce it on Twitter and Facebook, launch a paid search campaign and publish a blog posting via the hotel blog.

In 2012, hoteliers need to invest in technologies and expertise needed to better execute these types of multi-platform and multi-format campaigns. For example, invest in technology that allows for smart and centralized marketing content delivery: All new special offers and events at the property and destination are automatically pushed by your hotel “desktop” website Content Management System (CMS) to your property’s mobile site and Facebook and Twitter accounts.

What line items should you include in your 2012 hotel digital marketing budget in order to drive revenue through the direct online channel? In our recent article, The Smart Hotelier’s Guide to 2012 Digital Marketing Budget Planning, we provide detailed recommendations how to allocate your 2012 budget to achieve the highest direct online revenues and ROIs.

 4. I will take advantage of the Mobile Channel, especially in this marketplace where my competitors are behind the times.

Situation:

Today’s hyper-interactive travel consumers demand instant information and transaction capabilities, user location-oriented services, and personalization, attributes only the Mobile Web can deliver. Mobile users demand not only instant access to travel planning and booking capabilities, but a Mobile Web user experience that rivals and surpasses the Desktop Internet experience.

Mobile Internet usage will surpass desktop Internet usage by 2014 (Morgan Stanley). Google reports four-fold YOY increase in mobile search, and that one out of five hotel queries come from mobile devices. Coda Research projects 65% compounded annual growth of mobile commerce from 2010 through 2014, to reach $24 billion. Many OTAs and hotel chains reported several-fold increases in their mobile bookings in 2011. Last year more than 4.7% of website visits and more than 3% of all bookings came from mobile devices across our hotel client portfolio.

Smart hoteliers already know that the mobile Web adheres to different rules than the conventional desktop Internet. Mobile users have shorter attention spans than do traditional desktop users. They have less time to browse and are often on the go.

Action Plan:

Hoteliers need to develop and implement mobile Web-specific marketing initiatives, and not try to adapt existing “desktop” Internet assets like the property desktop website for use in the mobile space. It has become obvious that trying to squeeze your wide-screen 1280 x 1024-pixel “desktop” hotel website onto the tiny 320×480-pixel screen of a mobile device is a futile exercise that inevitably destroys usability and conversion rates.

In 2012, hoteliers should continue to focus on building and enhancing their mobile websites and launching mobile marketing initiatives, such as mobile SEM, SEO, mobile-social media initiatives, interactive sweepstakes and contests. In 2012, hotels should spend 9%-10% of their overall digital marketing budget on mobile marketing initiatives.

Start with the mobile website, your mobile hub for customer engagement. Is your mobile website specially designed to provide an excellent user experience in a mobile environment? Does it offer an engaging, contemporary design and functionality? Does it include content sections targeting your main customer segments? Have you increased your mobile site’s “discoverability” via mobile SEO and mobile SEM (e.g. Google mobile AdWords) and mobile media initiatives? Have you made the mobile website more interactive via mobile-social media initiatives, interactive sweepstakes and contests? Is your mobile website compatible with the recent Google Panda and “Freshness” updates and their requirement for unique and engaging content?

Here are the top mobile marketing initiatives hoteliers should focus on in 2012: mobile SEO, mobile link building to the site from mobile directories and sites, mobile SEM (paid search) campaigns, mobile banner advertising in the main mobile feeder markets, mobile contests and sweepstakes, and mobile promotions via SMS. Read our “Top 20 Secrets to Success in Hotel SMS Mobile Marketing” to help you get started.

As for the question of whether hoteliers should develop mobile apps or focus on developing and enhancing their mobile website, we firmly believe that hotels do not need a mobile app if they are a single-property, independent hotel. Nor do franchised hotels and resorts or smaller and mid-size hotel chains and multi-property companies. These hotel companies are better off focusing on building and enhancing their mobile websites and promoting the mobile site via mobile marketing initiatives. A single-property mobile site is six to ten times cheaper than a comparable mobile app. With rapid advancements in mobile technology, the lines between mobile apps and mobile websites are disappearing. Also, a mobile website is by default a cross-platform entity that can be viewed on all mobile platforms (iPhone, BlackBerry, Google Android, Windows Mobile, etc.), while apps or a customized version of an app must be created for every major platform.

 5. Now that I know social media is a customer engagement channel and not a distribution channel in hospitality, I will use Social Media correctly to create “buzz” around my hotel, target receptive audiences, provide customer service and enhance customer experiences. This will ultimately stimulate hotel website visits, interactions and conversions on the hotel website.

Situation

There is no doubt that social media has changed how travel consumers research and plan travel, access travel information, and perceive the credibility of information. Internet users are increasingly influenced by social media sites and peer reviews. By utilizing a comprehensive social media strategy, smart hoteliers engage their customers and enhance their experiences, generate buzz and improve customer service.

Many hoteliers have underestimated the complexities and involvement required for managing the property’s social media profiles. Infrequent or bland, “sales pitch” postings, lack of interactivity, creativity, fun and intrigue plague the social media presence of many hotels.

Action Plan:

In 2012 social marketing should continue to be an important component of your property’s marketing mix and part of the comprehensive direct online channel strategy for any hotel company.

Social media and social marketing initiatives should be reviewed as part of the overall multi-channel marketing strategy of the hotel. Instead of focusing on only bookings and revenue when measuring results from social media marketing, use social media for brand-building and buzz-building; as a medium to interact with and engage customers; as an important customer service channel; as a source of engaged and relevant traffic to the hotel website, and a way to make the hotel look current, cool and up-to-date.

This year work on establishing or enhancing a brand consistent Facebook and Twitter presence; monitor customer reviews/engagements for any customer service issues; use engaging posts (ask questions, use trivia, hold contests); locate/designate your on-property Social Media “Champion”, and partner with a social media strategy and technology firm to provide strategy, training, and technology implementations such as Facebook custom tabs, contests, etc.

In light of the recent Google Panda updates (to be discussed in more detail in the next resolution), allowing your website visitors to share your site’s content with Facebook Like/Tweet/Google +1 buttons is important to stimulate conversation and for search engine optimization purposes.

Avoid the all-too-common mistakes made my many hoteliers when participating on social media channels, including posting infrequently, only focusing on promoting packages and specials, not responding to questions and comments made to the hotel, and deleting comments.

 6. I will rise to the challenge imposed by the recent Google Panda and ‘Freshness’ updates!

Situation:

Today’s hotel website must adhere to very high expectations from not only website visitors but also the search engines. In a typical year Google makes more than 500 updates to its search algorithm. 2011 saw two major updates: the Google Panda Update (now in version 2.5) and the Google “Freshness” updates, which made most hotel websites obsolete by introducing very strict requirements for content, interactivity, and page download speeds. The Panda update requires websites to have engaging and unique website content (as opposed to bland, old and tired content and in addition to the existing requirement for deep and relevant content) that increases the site’s “stickiness”. The recent Google “Freshness” update requires that hotel websites maintain fresh and new content to rank high in the search engines.

Why are these updates important for the hospitality industry? Between 50%-70% of hotel website visitors and website bookings originate as leads from the major search engines. Traditionally, hotel websites are content rich vs. news rich, with descriptions and information featuring and explaining in detail every facet of the hotel business and service, from the bed linens to the capacity of a meeting room. The “static” content is there, but the “unique and engaging” and  “fresh” content is lacking. This is the main issue with current hotel websites after the latest Google algorithm updates.

Action Plan:

In 2012 hoteliers must work harder than ever to enhance the uniqueness and engaging nature of the content on the property website by employing professional hospitality copywriters and maintaining fresh content on the hotel website year-round.

Build promotional landing pages and tiles for timely specials and events. Create new content pages on various topics including seasonal and sports events, local festivals and customer segment-specific content. Use “micro-formats” applied to every local promotion and event, which signifies to the search engine that these events are in fact standalone current events, with exact starting and ending times. Incorporate Schema codes on all time-sensitive content pages. Maintain a blog highlighting specials and events along with general hotel news. Talk about local events, highlight someone’s stay, seasonal activities in the area, or feature infographics about your hotel or region that deeply engage users.

Another must is incorporating real-time Twitter feeds and Facebook interaction information in the hotel website to ensure that interaction is recorded, up-to-the-minute, and relevant.

Updating the hotel website should not be a costly endeavor – a good content management system should give hoteliers the tools they need to perform these updates easily, efficiently, and without extra cost to the hotel, as well as ensure automated push of new content (e.g. promotions, events, packages, etc.) from the “desktop” website to the property mobile site and Facebook and Twitter pages.

 7. I will decrease dependence on the OTAs this year, adding thousands of dollars in incremental revenues to my hotel’s bottom line.

Situation:

Did you know that since 2007, OTAs have increased market share by 32% at the expense of the hotel direct online channel (hotel websites)? STR estimated that the true cost of OTA distribution in 2010 alone was more than $2.5 billion in the form of abnormally high merchant commissions. It is 10 to 15 times cheaper to sell your rooms via the direct online channel compared to the OTA channel.

We do not envision a scenario in which 100% of Internet bookings are made via the direct online channel. The OTAs and other intermediaries in the indirect online channel do play a necessary role in certain areas of the travel planning and purchasing process (dynamic packaging). Even pre-Internet, approximately 25% of all hotel bookings in the U.S. came via the indirect channel (travel agents, tour operators, and wholesalers).

Action Plan:

Driving bookings through the direct online channel – the hotel website – needs to be every hotelier’s priority in 2012. In addition to being the most cost-effective distribution channel, the direct online channel provides long-term benefits and competitive advantages. It prevents rate and brand erosion, helps the hotel “own” the customer, enables cross-channel and multi-channel marketing initiatives, builds brand loyalty, and more. The OTAs’ fair share should not be higher than 15% for franchised and 25% for independent properties from all Internet bookings. We should not be seeing the current industry average of 40% OTA contribution.

Start by changing the property mindset: OTA commissions = marketing dollars. Do a distribution cost analysis. Maintain strict rate parity and a best rate guarantee. Focus on and budget accordingly for the direct online channel. Redesign the hotel website as per Google’s Panda and Freshness updates – you will gain competitive advantage over the OTAs and your comp set. Learn how to market your hotel better and smarter than the OTAs do. Embrace the mobile distribution channel and utilize social media to engage your customers. Focus on the customer experience.

And finally, utilize the OTAs as an incremental distribution channel: low season, group cancellations, weekends, or other scenarios.

8. I will NOT resort to desperate measures and use social buying and flash sales sites in 2012.

Situation:

Social buying and flash sales sites emerged as a result of the recession. Social buying and flash sales sites in travel and hospitality, such as Groupon Getaways with Expedia, LivingSocial.com, and SniqueAway.com are an integral part of the economy and the supply-demand market equilibrium. For social buying and flash sales sites to exist, there must be market equilibrium (price-quantity) between the demand side (quantity of members/engaged social buyers) and the supply side (quantity of fresh, intriguing deals).

In 2012, all signs are indicating that the hospitality industry is in recovery mode. STR projects that all three of the key performance measurements (occupancy rate, ADR and RevPAR) will realize steady increases for the year as a whole.

As travel demand improves, hoteliers have become reluctant to participate in social buying/flash sales sites because of their “open discount” business model need for steep 50%-60% discounts. Online travel consumers, disappointed by the lack of fresh hotel deals on the social buying sites, are reverting back to traditional booking channels: hotel direct, OTAs, GDS and voice.

Action Plan:

Some hoteliers participate in social buying and flash sales sites merely because their competition is doing so. Our advice? Don’t succumb to the devil. Stick to the fundamentals in hotel distribution and make sure you are covering all the bases in the Direct Online Channel.

Hoteliers should realize the existence of “The Law of Unintended Channel Share Loss” which stipulates the following: Any booking via the most discounted channel (i.e. Flash Sales Sites such as Groupon, LivingLocal.com or SniqueAway.com or an OTA) is one fewer booking for the same hotel via the hotel website, call center and GDS (in that order).

This is why we recommend that hoteliers focus on the direct online channel (the hotel branded website), which is by far the cheapest distribution channel. A booking via the property website of an independent hotel costs $10-$11, including all marketing and advertising expenses.

9. I will focus on determining the effectiveness and ROI of my digital marketing campaigns and make smarter use of analytics technology to determine true ROI and campaign effectiveness, as well as test, test, test to achieve better results.

Situation:

Is social media a hotel distribution channel? Is the mobile Web generating bookings? Do we still have to engage in the “old-fashioned” email marketing, which many hoteliers have branded “ineffective”? What are the ROAS (return on ad spend) from my search engine marketing (SEM)?

The explosion of social media and mobile marketing, along with channel convergence and multi-channel marketing, has made it more imperative for hoteliers to track the effectiveness of hotel digital marketing initiatives and optimize returns from their limited budget resources.  The available analytical technology tools today offer cost-effective yet powerful ways to track the results. They allow us to track conversions from the hotel website and all digital advertising campaigns such as SEM, banner advertising and re-targeting. Call analytics allows us to track the effectiveness of the voice channel, as well as the mobile Web and print ads.

In addition, we can retarget and behaviorally target website visitors and have more access than we have ever had to consumer’s browsing and purchasing habits. So why do we work so hard to get consumers to our website, yet fail to make the same effort in making sure our website meets the needs of these visitors? Making small tweaks to a hotel website may often result in significant increases in conversions.

Action Plan:

Invest in analytics technology in 2012 if you haven’t already! Having a full understanding of which initiatives work and which don’t will offset the cost of the investment.

For your website, utilize a web analytics tool like Adobe SiteCatalyst, powered by Omniture, the most advanced web analytics technology today, used by many major hotel brands and OTAs alike. For your paid search campaigns use Adobe SearchCenter, powered by Omniture, a sophisticated real-time paid search campaign management tool.

For your banner advertising and re-targeting campaigns, use a banner delivery and tracking tool like DART to track post-impressions and post-click activity and conversions and gain a deep understanding and knowledge of your banner campaigns’ returns.

Did you know that 7 of 10 hotel bookings from mobile devices actually happen via the voice channel? Track the contribution of mobile website and mobile marketing initiatives, as well as voice reservations from your desktop website, via call analytics to determine the true effectiveness of these media. Using call analytics and QR Codes in your offline print advertising has become the norm.

As discussed above, social media is not a distribution channel and social marketing initiatives should be reviewed with “sober eyes” and within the context of their impact on the multi-channel marketing strategy of the hotel. Instead of focusing on bookings and revenue when measuring results from social media, consider the quality and quantity of “customer engagements” such as “Likes”, initiated conversations, comments and questions on Facebook and @replies, and retweets on Twitter, as well as the impact of social marketing initiatives on customer service, customer relationship, buzz- and brand-building for the hotel, as well driving relevant, engaged traffic to the property website.

Invest in a tool like Adobe® Test&Target™, powered by Adobe Omniture®, to test multiple versions of a webpage to separate targeted populations. Track each version for key revenue metrics and visitor behavior in order to compare results. Suggested test projects include: testing locations of the booking engine widget on four different sections of a home page; rearranging the display of promotional tiles for greater usage and visibility; testing different marketing messages on the home page hero space; and comparing a rollover drop down navigation vs. static navigation on the main navigation. Dedicating some time and resources to tests such as these will give you insight into how best to structure the elements of your website for the highest conversion rates.

 10. I will partner with savvy digital marketers who know it all and can guide me through this process, so I can drive the most revenue ever through my most cost-efficient channel – my hotel website.

Situation:

Navigating the online marketplace can be confusing and overwhelming.  The pace of change in this industry, including technological advancements, updates to search engine algorithms, and new solutions for driving direct online revenues are almost impossible to keep up with.

Additionally, most hoteliers are already shuffling many different priorities each day and are not able to devote the majority of their time – if any time – to keeping up with industry trends and best practices.

Action Plan:

In this dynamic industry it is important to stay on top of quickly moving trends, prioritize initiatives that generate direct online bookings, and be flexible enough to continuously adjust hotel digital marketing campaigns for optimal results.

Partner with digital marketing experts who will make driving direct online revenues for your hotel their priority: Experts who will keep you up to date with best practices without you having to ask, who will proactively bring forth ideas to generate the highest website revenues and ROIs.

Work with a team of savvy digital marketers who will show you new ways to recoup lost opportunities, teach you how to stay on top of changes in the industry, and provide your hotel and team with real value, not just a service.

About the Authors

Max Starkov is President & CEO and Mariana Mechoso Safer is VP, Marketing of HeBS Digital, the industry’s leading full-service hotel digital marketing, website design and direct online channel strategy firm based in New York City (www.HeBS Digital.com).

HeBS Digital has pioneered many of the “best practices” in hotel digital marketing, social and mobile marketing, and direct online channel distribution. The firm specializes in helping hoteliers build their direct Internet marketing and distribution strategy, boost the hotel’s Internet marketing presence, establish interactive relationships with their customers, and significantly increase direct online bookings and ROIs.

The firm has won over 160 prestigious industry awards for its digital marketing and website design services, including numerous Adrian Awards, Davey Awards, W3 Awards, WebAwards, Magellan Awards, Summit International Awards, Interactive Media Awards, IAC Awards, etc.

A diverse client portfolio of over 500 top tier major hotel brands, luxury and boutique hotel brands, resorts and casinos, hotel management companies, franchisees and independents, and CVBs has sought and successfully taken advantage of the firm hospitality Internet marketing expertise offered at HeBS. Contact HeBS Digital consultants at (212) 752-8186 or success@hebsdigital.com.

What’s the Issue?

Unlocking the confusion behind local search rankings can be frustrating. Why are good local search rankings important for hoteliers? Over a third of all searches are local in character. Hoteliers have noticed that local search listings (e.g. Google Places) generate a lot of website visits and bookings – as many as 30% from the total website revenues often come from the property’s local listings.

Many hotel websites enjoy solid if not spectacular organic search rankings for keyword terms that they have strategically targeted site-wide, and yet they can’t seem to break into local search i.e. the Google map pack. That “map pack” – the bunched display of listings connected to Google Places pages and closely tied to the physical address and contact information – is formulated using a separate algorithm than general organic listings. It appears because of the intricate local search algorithm. In addition to local search listing optimizations (Google Places, Yahoo Local, Bing Local), local link building and property profile optimizations on the main data providers, what else can hoteliers do to improve their local search rankings? Here we would like to offer some insight into how citation listings can enhance the property’s standing in local search, and provide tips to getting over the hump and getting your property to claim a pole position in your market.

What Does it Mean for Hoteliers?

Building links back to your website is still the most important task to undertake when attempting to improve keyword standing, but a local strategy requires a modified approach. This is where local citations come into play. GetListed.org explains them in the following way: “Citations are defined as “mentions” of your business name and address on other webpages, even if there is no link to your website.” You might be asking yourself, ‘No link? Where’s the value?’ The truth is, these link-free localized listings have immense value within the local algorithm, which directly affects your placement in the local search engine results. Without these listings the chances of gaining significant traction for those map-associated listings is much tougher. Their prioritization should be a focal point from the inception of an SEO campaign.

What is the Solution?

When your hotel is listed on Google Places you ensure that the address, phone number, email, URL, and official name of the property are all correctly listed. A citation is a place where that exact same information lives as well. There are countless citation sources out there, from local business listings, directories, blogs and newspapers to chambers of commerce, colleges, and regional CVBs. Oftentimes, these citation targets do offer links, but even if they don’t it is vital that your information be placed on another online source. Because hotel searches are so geographical in nature, the presence and strength of your local listing becomes paramount to a quality SEO campaign. Citation acquisition is sometimes an afterthought because claiming local listings may be seen as a source of only minimal traffic, and if no link is associated no site-boosting ability is assumed. In fact, every local listing, if you properly curate them, has immense value with or without links.

Spreading address-driven location information across a number of regionally-relevant sites has a direct impact on how your site fares within the map-pack. You can easily go from not appearing on the local listings on page one to rising up through the lettered ranks all the way up to A. Claiming listings that already exist is a key component of this process. There are countless business directories online, with a large number of them being legitimate directories that properly categorize websites as opposed to a link farm. Within many, if not most, of these directories are either placements for your property that are ready to claim or the opportunity to develop a new property listing. The best part about seeking citations is that webmasters are much more willing to provide them, since they don’t require adding a link on their end. This means no meal vouchers, discounted rooms, or any other form of material link bait that a hotel could offer is necessary. This makes the acquisition rate much higher than link-building.

What do the HeBS Digital Marketing Experts Recommend?

At HeBS Digital, we recommend the diligent practice of finding business listings about your property, claiming them, and standardizing their information. This will yield great returns in local search. By cornering all markets, from the main data providers to the localized directories, as well as using tools like WhiteSpark and GetListed to find citations that aren’t so obvious, is essential in boosting local standing. Beyond standard directories like YellowPage, Yelo, and Manta, there are countless online locations where your address and contact information are listed. We find that searching for a property’s phone number typically yields a generous amount of new citation leads. Shining out amongst your direct geographically-relevant competitors is a challenge and staying ahead of them by solidifying your property listings is vital. Citations are not the only component of the local search algorithm, but they are an oft-forgotten SEO element that frequently gets ignored or only lightly addressed in favor of link-only acquisition.

At HeBS Digital, local search is a priority in each and every one of our hotel SEO services and campaigns. Hotels serve localized areas and through a proper citation acquisition plan we seek to bring that local relevance to the forefront of your search engine listing. We’re all about finding those citations, locking them down, and watching your local search standing elevate. We do this by offering our clients the “Local Listing Optimization / Enhancement Package, including setting up/claiming/optimizing your listings on:

• Main search engines (Google Places, Yahoo! Local Directory, Bing Local Directory
• Main data providers
• In-car navigation, telematics services, 411 operators, portable navigation units
•  Main online Yellow Page directories

Contact us to learn more about the Local Listing Optimization / Enhancement Package.