http://http://www.hospitalityebusiness.com/hebsreport.html The HeBS Report contains e-mail only eBusiness and eDistribution related news, articles, white papers, eMarketing surveys and market research findings. Read the latest articles and publications by HeBS principals and consultants, recognized "thought leaders" in Internet strategies for the hospitality and travel verticals. en-us http://blogs.law.harvard.edu/tech/rss Globi CMS v2.7.3 http://www.hospitalityebusiness.com/hr/hr-Apr_02_2007_1203.html In today’s dynamic market where occupancy rates and ADRs depend on how well hoteliers utilize Internet marketing, it is no longer sufficient to measure basic website traffic stats like visitors, page views, or campaign stats like banner click-through rates and PPC clicks. Website and campaign conversions, ROIs, pathing and behavioral metrics have become standard and many hoteliers are adopting sophisticated analytical tools that are required to measure these essential metrics. http://www.hospitalityebusiness.com/hr/hr-Mar_05_2007_1520.html Benchmark Survey on Hotel Internet Marketing Budget Planning and Best Practices in Hospitality http://www.hospitalityebusiness.com/hr/hr-Feb_06_2007_1008.html In 2007, over one-third of all hotel bookings will be generated from the Internet in North America. This dramatic channel shift has created unprecedented price transparency and price-driven marketing in hospitality, thus further commoditizing the hotel product. How are hoteliers handling the increased commoditization of the hotel product, especially in the current rate parity and best rate guarantee environment? How can hoteliers de-commoditize their product offerings and provide a unique value proposition to the hotel customer? http://www.hospitalityebusiness.com/hr/hr-Jan_03_2007_1214.html Here are the Top Ten Internet Marketing Resolutions your hotel company should urgently adopt in 2007. http://www.hospitalityebusiness.com/hr/hr-Dec_04_2006_1307.html Consumer generated media (CGM)—discussion boards, review sites, blogs, social network sites, etc., has remained a prevalent subject in hotel marketing discussions in the past several months. How can hotel and travel marketers use this medium to their advantage? Should CGM be considered an opportunity to promote the hotel product and be part of the marketing strategy, or is it a threat that needs to be contained? The ideas discussed in this article could help hoteliers to benefit from the opportunities presented by CGM, and build CGM into the overall Internet marketing strategy. http://www.hospitalityebusiness.com/hr/hr-Nov_01_2006_1526.html It gives us great pleasure to invite you to participate in the 2007 Benchmark Survey on Hotel Internet Marketing Strategies. This groundbreaking survey is presented to you by New York University’s Tisch Center for Hospitality, Tourism and Sports Management and Hospitality eBusiness Strategies (HeBS) in New York City. http://www.hospitalityebusiness.com/hr/hr-Oct_02_2006_1309.html As many hotels enter the 2007 budget planning season, this article aims to help hoteliers construct a competitive Internet marketing budget. The hotel\'s overall competitiveness today is determined to a great extent by how well it manages its Internet marketing and distribution efforts. It is not a question of how big the budget should be, but rather what to include and how much to allocate in the Internet marketing budget for a meaningful ROI and online revenue growth. This article takes a closer look at some important aspects of Internet marketing in hospitality and what marketing activities and line items comprise the 2007 online marketing budget. By Max Starkov and Jason Price. http://www.hospitalityebusiness.com/hr/hr-Sep_05_2006_1835.html Strategic Linking in hospitality and its important by-product, Link Popularity, are part of hotelier's toolkit for building a robust Web presence and taking advantage of the Direct Online Channel. Strategic Linking achieves two important goals: a) exposes your website to incremental traffic and highly qualified potential bookers, and b) builds your website's Link Popularity, a crucial criteria used by the search engines to determine how to rank the website in the search engine results. http://www.hospitalityebusiness.com/hr/hr-Aug_07_2006_1441.html Many hotel websites are performing poorly as far as online distribution and search engine strategy are concerned. Why? Many hotel websites have been developed by web designers who know nothing about the hospitality industry, based on input from hoteliers who are not experts on Internet strategy, online distribution, and eMarketing. And many of them were designed as online brochures without taking into account fundamental search engine marketing and online distribution principles. http://www.hospitalityebusiness.com/hr/hr-Jul_20_2006_1235.html http://www.hospitalityebusiness.com/hr/hr-Jul_18_2006_1657.html The impact of the Internet on consumer and business travelers continues to accelerate. This year over 29% of all hotel bookings in North America alone will come from the Internet. By 2010 45% of all travel reservations in North America will be done online (eMarketer). Smart hoteliers and investors alike understand that high visibility on the Web results in qualified website traffic, lessens dependence on the third-party channel, builds brand equity, and garners greater market share and higher ADRs. The one-to-one transaction between buyer and seller serves as the foundation of a direct online distribution strategy. http://www.hospitalityebusiness.com/hr/hr_Jun_27_2006_1618.html This survey by eMarketer and Accenture clearly shows the irreversible trends in the travel distribution landscape and the shift toward online reservations. http://www.hospitalityebusiness.com/hr/hr_May_30_2006_1610.html Over the past several years a number of online booking engine vendors have launched different versions of a one-screen booking engine (as opposed to the traditional multi-step booking engine –see Marriott.com, Expedia.com, etc). The one screen booking engine is often presented as the latest cutting edge technology that immensely increases the conversion rates on a property website. Hoteliers are justifiably confused and often ask us to provide an opinion on this hot topic: one-screen vs. multi-step booking engine is the way to go. http://www.hospitalityebusiness.com/hr/hr_May_03_2006_1017.html Search engines are an essential component of the hotel direct online distribution strategy. Unlike other e-commerce categories, Internet users search for travel and hospitality services and offerings within the context of a particular destination. This destination-focused search engine strategy requires in-depth knowledge of the travel and hospitality industry, extensive destination research, destination target keyword analysis, etc. Only a destination-focused search engine strategy can help the hotel website leverage the popularity of the destination for your benefit. http://www.hospitalityebusiness.com/hr/hr_Mar_23_2005_0948.html The explosion of the "merchant model" after 9/11 caught the hospitality industry by surprise. Over the last 4 years many hoteliers have been struggling to decrease their dependence on the online merchants and to develop direct online distribution strategies of their own. http://www.hospitalityebusiness.com/hr/hr_Jan_05_2006_1042.html In 2006, 27%-29% of all revenues in hospitality will be generated from the Internet (25% in 2005, 20% in 2004). Another 27% of all hotel bookings will be influenced by the Internet, but done offline (call center, walk-ins, group bookings, etc). http://www.hospitalityebusiness.com/hr/hr_Mar_28_2006_1640.html The ease and ubiquity of blogs and their application in hotel marketing deserves a closer look. Must we act on such bold statements as "blogs are the future" and "a blog is a marketing must"? http://www.hospitalityebusiness.com/hr/hr_Sep_22_2005_1646.html Search Engines & Search Behavior. Search engines and search marketing has received much global attention. Search engines are as pervasive as the Internet. Google is now a public company with a market cap of $80 billion; MSN launched a new search engine; AOL announces the creation of its own search engine; and traditional marketing budgets are being rewritten for search marketing and the web. http://www.hospitalityebusiness.com/hr/hr081903142951.html In the next 2-3 years HeBS expects the big online agencies/intermediaries to become even bigger through M&A. The merchant and opaque services will become even more popular at the expense of Internet less-savvy hoteliers. The disparity between Internet savvy hoteliers that push forward with comprehensive Direct Web Distribution Strategies and well-balanced Indirect Distribution Strategies, and the less savvy hoteliers (brands, franchisees, independents and hotel management companies) that are becoming increasingly dependent on the online intermediaries, will increase even further. http://www.hospitalityebusiness.com/hr/hr081903142929.html A commonly asked question by hoteliers today is "How can we deal successfully with the online discounters?" Brand and price erosion have become commonplace on the Web. One can even book the landmark Waldorf Astoria on Hotels.com at steep discount. Some independent and franchised hotels derive 20%, 30% and even more of their revenues from online discounters. http://www.hospitalityebusiness.com/hr/hr081903142857.html Distribution of hotel inventory via today's main distribution channels, GDS/travel agent and call center/reservation office, is inefficient and expensive, especially in light of the current weak economic situation. Ignoring online distribution and focusing only on traditional distribution channels will result in lower occupancy rates, and higher distribution and operational costs. http://www.hospitalityebusiness.com/hr/hr081903142828.html The Internet has changed the way business travel is being negotiated, managed and purchased. According to Forrester Research, 70% of Fortune 1000 companies will have installed their own self-booking systems by the end of 2002. Jupiter Media Metrix estimates that the US online managed corporate travel bookings will grow from $12 billion in 2002 to $32.8 billion in 2005.A major trend over the past years is the blending of leisure and unmanaged business travel on the Web. Are hoteliers ready to handle these new challenges? Are they in control of price integrity or are they already losing high-paying business travelers to the online discounters? http://www.hospitalityebusiness.com/hr/hr081903140000.html Airlines and car rentals are leaders of the packTravel suppliers in other travel sectors are well ahead of hoteliers in aggressively adopting online distribution. Airlines and car rental companies are pushing hard online and non-GDS distribution and are embracing the Internet as their main distribution medium. Online distribution is expected to contribute more than 22% of the airline total passenger revenue this year and more than 28% by 2005. Car rental companies expect 25% of their sales to be online this year. (PhoCusWright). http://www.hospitalityebusiness.com/hr/hr081903135006.html Recently Forrester Research found that 69% of US leisure travelers prefer to buy online directly from a supplier while just 27% prefer to buy from intermediaries. This is yet another confirmation that hoteliers should focus more than ever on their direct-to-consumer online distribution and should work hard on regaining control of the Web from the online discounters and intermediaries. http://www.hospitalityebusiness.com/hr/hr081903133744.html A little over a year ago we published the article ?Brand Erosion or How Not to Market Your Hotel on the Web?, which created a lot of commentaries and, we hope, made at least some hoteliers re-examine their online distribution strategies. Since 9/11, in difficult times of unprecedented crisis in travel and continued economic downturn, the Web allowed Internet-savvy and proactive suppliers and intermediaries to establish rewarding interactive relationships with their customers, move inventory and stay ahead of the competition. At the same time it punished those suppliers who had no clear Internet strategy and understanding how the Web and online distribution work. What has changed since May of 2002? http://www.hospitalityebusiness.com/hr/hr081903132512.html The catch phrase ?Lowest Price Guarantee? is an age-old marketing tool widely used in retail since ancient times. Even before the Romans knew how to conquer merchants were selling their wares in bazaars and marketplaces drawing in buyers with a lowest price guarantee. Fast forward to present day and some of the most successful retail companies in the US tout the lowest price guarantee. The strategy has worked effectively from the corner boutique to behemoth Wal-Mart, and continues to serve as a standard marketing tool. Why have hoteliers been slow to adopt a policy on lowest price guarantee? How can hoteliers institute such a policy without interfering or alienating its prime distribution channels? What is the applicability of the lowest price guarantee in hospitality? http://www.hospitalityebusiness.com/hr/hr081903132504.html New York, NY ? July 15, 2003 ? Hospitality eBusiness Strategies (HeBS), a leading Internet, eMarketing and eDistribution consulting firm for the travel and hospitality industry, today announced signing its 100th client. Fairmont Hotels & Resorts (FHR), a unique collection of 41 world-class resorts and city center hotels based in Toronto, Canada, has contracted with HeBS to help assist in developing a comprehensive on-line distribution strategy."By working with HeBS we anticipate further success with our comprehensive direct-to-consumer online strategy," noted Jens Thraenhart, director, Internet Strategy of Fairmont Hotels & Resorts. "We well appreciate the challenges in the industry presented by intermediaries and Internet channel complexity, and HeBS is assisting us to execute our online direct-to-consumer distribution strategy." http://www.hospitalityebusiness.com/hr/hr091603094034.html Leverage the popularity of the destination for the benefit of your hotel(s)Many destinations have suffered steep declines in visitors over the past three years. And while travel to some destinations is down by 10%, 15% and in some cases 20%, online travel to these same destinations has grown by 30% annually over the past three years. Hoteliers cannot control the amount of travel to their destinations. At the same time Internet-savvy hoteliers can dramatically increase their online market share at the expense of their competitors that are ?asleep at the wheel?. Hoteliers that employ robust Destination Web Strategies have an effective means to capture new lucrative markets, boost direct distribution and decrease the need for intermediaries. http://www.hospitalityebusiness.com/hr/hr091404091355.html Email Marketing is here to stay. It is an important aspect of the hoteliers Direct Online Distribution and eMarketing Strategy. Email and eMarketing in general can be used both as a direct response vehicle (short-term, results-oriented) and as a branding tool (long-term and strategic goals). Email marketing allows hoteliers to engage the customer in a strong, personalized and mutually beneficial interactive relationship at a fraction of the cost of traditional marketing. And most importantly, email marketing allows the hotelier to own the customer in this new online distribution and marketing environment. http://www.hospitalityebusiness.com/hr/hr102104121407.html The Internet has changed the way lodging is negotiated, managed and purchased. This year over 20% of all revenues in hospitality will be generated from the Internet (15% in 2003). Another 20% of hotel bookings will be influenced by the Internet, but done offline (call center, walk-ins). In 2004, for the first time Internet hotel bookings will surpass GDS hotel bookings. Two years from now the Internet will contribute over 27% of all hotel bookings (PhoCusWright). Are hoteliers ready for this dramatic channel shift? Who owns the customer in this new environment? How can hoteliers retain customer loyalty when the competition is just a click away? http://www.hospitalityebusiness.com/hr/hr011905110509.html In 2005 25% of all revenues in hospitality will be generated from the Internet (20% in 2004, 15% in 2003). Another 25% of all hotel bookings will be influenced by the Internet, but done offline (call center, walk-ins, group bookings, etc). By the end of 2006, the Internet will contribute over 27% of all hotel bookings (PhoCusWright, CSFB). In 2004, for the first time Internet hotel bookings surpassed GDS hotel bookings. Are hoteliers ready for this dramatic channel shift? Who owns the customer in this new environment? How can hoteliers retain customer loyalty when the competition is just a click away? The Top Ten New Year's Internet Strategy Resolutions, presented for a fifth year in a row by Hospitality eBusiness Strategies (HeBS) provide some of the answers and action steps.