Hotels making a move on social media, with targeted help

by Tom Johansmeyer on

The hotel industry has plenty of faith in the social media world – and no reservations about using it to gain reservations. But, it’s struggling to take control of the medium. A survey by Wine and Hospitality Network indicates that most respondents (in the business) spend only two hours a week managing their Facebook fan pages – with 14.2 percent having no such page to manage. Forty-two percent don’t use Twitter, and 25 percent tweet for less than an hour a week (they should reach out to @Colonnade for tips).

But, it isn’t for lack of trying. The internet is littered with the corpses of abandoned social media marketing initiatives, inside the travel industry and out. Notes online marketing publication ClickZ:

“Before hoteliers even consider a social media initiative, they should be aware that social media is a very engaged, hands-on marketing format. The social networks are a graveyard of abandoned hotel profiles and fan pages by hoteliers who did not realize the complexity of social marketing,” said Margaret Mastrogiacomo, social media specialist with Hospitality eBusiness Strategies, a strategic services and design firm.

Several properties are getting in on the action, committing resources and genuinely seeking returns. New York’s Roger Smith Hotel has made a clear social media play, according to ClickZ, by adopting Revinate, a tool to facilitate active social media management specifically for the hospitality business. Kimpton has adopted this platform as well.

ClickZ continues:

The focus on hotels pays off for the Roger Smith’s Simpson, who used to spend hours using search and setting up news alerts on competitors. While Revinate doesn’t include some of the hot new social media startups he keeps an eye on, like Bizzy and Pegshot, he says it covers the major sites, especially TripAdvisor, the most important. The ability to compare his hotel’s buzz with competitors is also unique. “It’s one thing to do it manually for your own establishment, but for me to do that for surrounding hotels or for what other people we have an interest in are doing, that becomes more laborious.”

So, what does this mean for the average traveler? Your opportunities to engage with the hotels you’ll call home, if only temporarily, are set to increase. Think beyond deals (though they are important) to every other reason you’d contact and open dialogue with a hotel. The possibilities are immense, and hotels, a bit slow to move in social media, appear to be on the brink.

Hotels explore a la carte pricing

by Tom Johansmeyer on

We’ve spent plenty of electrons over the past two years griping about the almost comstantly arising airline fees. Paying to check bags, get blankets and so on has become part of the misery that comes with getting on a plane these days. Meanwhile, the hospitality industry managed to stay above the fray. The same pressures affecting the airlines came to bear on hotels, as well. And, the constraints on credit made it even worse, with buildings in progress struggling under the weight of insufficient or expensive capital.

Now, there are grumblings that hotels could follow the airlines. Look out for some extra fees.

That hotels would adopt an a la carte model isn’t surprising. Rather, it’s almost shocking that it’s taken this long. A recovery in the hospitality sector isn’t expected to begin until 2011, and like airlines, hotels sell a perishable commodity. For an airline, an empty seat on a particular flight can never be sold later. If 34C from New York to Las Vegas at 7 PM on July 2, 2010 is empty, it represents money that will never come in the door. Likewise, if hotel room 345 in Las Vegas is empty that night, it can never be recovered.

The money needs to come from somewhere else.Of course, hotels are no strangers to additional fees. Many charge for internet access and use of the gym, among other amenities. And, like the airlines, they cut staff and perks throughout the financial crisis and its aftermath, a situation that has not gone unnoticed. What’s on the horizon, however, could be extreme.

Could you imagine paying for use of the television? Housekeeping? Towels?

A hotel in Europe, easyHotel, is playing with this model. For low room rates, it will be hard to beat: it can get as low as $35 a night. But, the towel fees essentially mean that you’ll need to pay to shower. It will be interesting to see how this unfolds, but I’m not sure the model will be broadly applicable.

There’s more competition among hotels than there is among airlines – mainly because we have more choices available. Depending on your hometown and destination, the flights you can take are limited, even if you’re headed to a major city. Once you hit the ground, however, there are usually a number of hotels from which to choose. Often, you can pick from properties in a similar category (e.g., extended stay). With hotels eager to get guests in the door, it’s unlikely that fee-laden stays will get much traction.

Generally, I’m supportive of anything that can help a business turn a profit (that’s why they exist, after all), but I get the feeling that a la carte hotels will be niche at best. What do you think about this?

Recession reveals Baby Boomer travel limits

by Tom Johansmeyer on

When I was back in the corporate strategy world, all the talk was about the Baby Boomers. That generation had the bucks – and the inclination – to do whatever it wanted. And, it was ready to follow through … to the point where consumer product manufacturers and hospitality companies were ready to cater to this large generation’s every whim. Well, the latest research from travel industry-watcher PhoCusWright suggests that the recession beat the Boomers down in 2009.

Nobody thought 2009 would be a great year for the travel industry … according to PhoCusWright (and everyone else). Leisure travel feel 11 percent year over year, which wasn’t exactly shocking. What is interesting is that the Baby Boomers backed off a little earlier than other generations, due largely to the fact that they are on the brink of retirement. Every dollar, of course, needs to be considered against the “rest of life” standard.

The Boomers, described as age 55 to 64, stand in stark contrast to the prior decade, which spent more time on the road in 2009. Young people, on the other hand (age 18 to 24) posted a 15 percent decline in travel. Broke kids with disposable income, it seems, don’t have as much disposable income as they used to … or they can’t sponge off their parents as much when they’re in a bind.

Hotels top target for hackers

by Tom Johansmeyer on

According to online security trade publication DarkReading.com, hackers went after the hotel sector more than any other in 2009. And, they didn’t get caught: it took hotels an average of 156 days to discover a security breach. A study by Trustwave’s SpiderLabs of 218 security breach investigations in 24 countries found that 38 percent hit the hospitality industry, 19 percent for financial services, 14 percent for retailers and 13 percent for food and beverage.

So, why are hackers poking around in hotel systems? Credit cards!

Hackers are looking for payment information that they can steal and use elsewhere. This information that can be converted to cash quickly, says Trustwave SpiderLabs executive Nicholas Percoco. Other sensitive information wasn’t nearly as popular, with the likes of financial, authentication and healthcare information good for only 1 percent of what was stolen.

Crowne Plaza Today Gurgaon nabs top hotel award

by Tom Johansmeyer on

The Crowne Plaza Today, Gurgaon just picked the Best Luxury/Upscale Hotel of the Year Award at the Fifth Hotel Investment Conference for South Asia (HICSA). Winners were determined by a vote of registered HICSA delegates, and this was the first year the awards were held.

Tony South, Chief Development Officer for InterContinental Hotels Asia Pacific (which manages the property) was obviously thrilled, “It is an honour to receive this prestigious award. This is yet another feather in Crowne Plaza Today Gurgaon’s cap. With IHG hotel management, our business partners are assured of quality service delivery and brand standards to guests, especially important when establishing brands in new markets.”

On the other hand, here’s a look inside the “dirtiest hotel in America.”