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April 7, 2015

How Hotels Can Beat the OTA's Using Email Marketing

Tom
 
Dibble
Read
3
min
Tom
 
Dibble
Read
3
min

Competing with meta search engines and OTAs can seem like a daunting task for any hotel marketer. There are the seemingly unlimited budgets, a growing deluge of data at their disposal, and the fact that many travelers go into their planning stages completely undecided on where they even want to go, forcing them into the arms of monster travel sites. Especially for smaller independent hotels, it really can feel like David v. Goliath situation, a never-ending uphill battle, or any other tired old cliche that comes to mind.So what is the secret? How can you build loyalty while at the same time stealing share away from metasearch and OTAs? The answer lies in one of the oldest recesses of internet marketing, and while it might seem like a dinosaur to you, don’t let it’s old age fool you. This old dog knows plenty of new tricks. Around 25% of companies and agencies ranked its ability to provide a return on investment as “excellent”. Any ideas? If you came up with email marketing, good work! You must have read the title. But seriously, is your brand fully utilizing email in a meaningful and effective way?According to a recently released 2015 Email Marketing Industry report from Adestra, 20% of survey respondents’ sales were directly attributed to email marketing. Yet despite email’s dependable sales numbers, only 13% of all marketing budgets are allocated towards this tried and true marketing channel. Not only that, but email marketing budgets significantly decreased from 2014’s figure of 16%. The decrease in budget spend did not go quietly as businesses reported a 9% dip in sales as a result. That’s a pretty hefty hit to revenue just to save a few marketing bucks.I will concede that with the increasingly diverse digital marketing options available to companies, the need to experiment shifting budget between channels is not only a good idea, but necessary. However, it is also important to factor in past performance, and how much bang for your buck you are getting out of these various outlets.As far as email goes, you are getting a pretty sizable return for a very modest initial investment outside of the time spent composing and coding them. In our current culture, email is not just something that people access on a desktop, but it is always with them in the form of their smartphones and tablets, giving marketers a direct line to customers on the go. Google’s recent report on Traveler’s Path to Purchase also indicated that most travelers use their smartphones most during the “inspiration” phase of the planning process which is all the more reason to keep email in the mix.Use it as a Microphone for Your Brand's VoiceAdditionally, email marketing gives you the opportunity to share your brand’s voice with travelers. If they have signed up for emails, but have yet to stay with you, this is your properties opportunity to convince them that your hotel is the place for them. Use this as an extension of your website, not as a replica. By posting fresh pictures, descriptions, or events scheduled in the coming weeks and months, you are planting a seed, allowing travelers to envision themselves at your monthly luau, reclining by your newly renovated pool, or sipping that new signature cocktail from your bar.Personalization. Personalization. Personalization.Email marketing gives you a unique opportunity to create relationships with your customers. Email campaigns can be easily personalized based on what you already know about your customers. Say that you have a list of subscribers that have signed up for your hotel’s loyalty program. You already have far more information about your past guests than OTA’s or metasearch engines could possibly have access to. You know what kind of rooms they prefer, if they have ever used the spa, or how often they dined on your property. Rather than sending disconjointed messages that contain irrelevant offers and deals, you can pinpoint things that will catch their eye, and potentially lead to a conversion.Travelers can easily be turned to visitors when the picture you paint of your property closely fits their vision of their next vacation, and the best way to do this is through knowing your customer, knowing what they like, and knowing how to communicate with them. According to Formstack, a data management company, businesses who have made personalized email a cornerstone to their marketing plan saw a 25% lift in open rate and a 51% higher click through rate.Offer Email Only Specials to Encourage ParticipationAnother great way to use email marketing to shift shares away from the OTA’s is to offer deals through email marketing that travelers won’t find on Expedia, or even a metasearch site like TripAdvisor. This really gives your property an opportunity to create that sense of urgency and exclusivity with subscribers. Offer a deal that is 15% off a regular room rate, but only for a 24 hour period. They will feel like you opened the door to some elite club that they are lucky to feel a part of.Get FeedbackEmail marketing gives you the opportunity to gather valuable insight into what your visitors are thinking about your hotel and their experiences with staff and amenities. Ask them to give you feedback concerning their recent stay in exchange for a dining credit that can be used during their next visit. This creates space for conversation, establishing trust, and simply shows them that you cared enough about their experience to ask. As an added bonus, it gives you a space to smooth over any negative experiences that they might have had, keeping it off of public review sites that can ultimately hurt your brand.Create a Schedule and Stick to ItAs is true with any part of a marketing plan, consistency is key when it comes to using email as a way to communicate customers. Not only should your content be relevant and enticing, but it should be well planned and scheduled at regular intervals with travel timelines in mind. You could come up with the greatest summertime special email in the world, but if your timeline is off, it likely won’t convert, and you will feel like you wasted the most valuable thing of all, your time.With enough time and thought committed to your email marketing budget, odds are that you will see a lift in revenue, and most likely a significant lift at that.If you have questions concerning creating an email distribution plan, or aren’t quite sure on optimizing emails for mobile, feel free to reach out. We always love a good digital dive-in!

Competing with meta search engines and OTAs can seem like a daunting task for any hotel marketer. There are the seemingly unlimited budgets, a growing deluge of data at their disposal, and the fact that many travelers go into their planning stages completely undecided on where they even want to go, forcing them into the arms of monster travel sites. Especially for smaller independent hotels, it really can feel like David v. Goliath situation, a never-ending uphill battle, or any other tired old cliche that comes to mind.So what is the secret? How can you build loyalty while at the same time stealing share away from metasearch and OTAs? The answer lies in one of the oldest recesses of internet marketing, and while it might seem like a dinosaur to you, don’t let it’s old age fool you. This old dog knows plenty of new tricks. Around 25% of companies and agencies ranked its ability to provide a return on investment as “excellent”. Any ideas? If you came up with email marketing, good work! You must have read the title. But seriously, is your brand fully utilizing email in a meaningful and effective way?According to a recently released 2015 Email Marketing Industry report from Adestra, 20% of survey respondents’ sales were directly attributed to email marketing. Yet despite email’s dependable sales numbers, only 13% of all marketing budgets are allocated towards this tried and true marketing channel. Not only that, but email marketing budgets significantly decreased from 2014’s figure of 16%. The decrease in budget spend did not go quietly as businesses reported a 9% dip in sales as a result. That’s a pretty hefty hit to revenue just to save a few marketing bucks.I will concede that with the increasingly diverse digital marketing options available to companies, the need to experiment shifting budget between channels is not only a good idea, but necessary. However, it is also important to factor in past performance, and how much bang for your buck you are getting out of these various outlets.As far as email goes, you are getting a pretty sizable return for a very modest initial investment outside of the time spent composing and coding them. In our current culture, email is not just something that people access on a desktop, but it is always with them in the form of their smartphones and tablets, giving marketers a direct line to customers on the go. Google’s recent report on Traveler’s Path to Purchase also indicated that most travelers use their smartphones most during the “inspiration” phase of the planning process which is all the more reason to keep email in the mix.Use it as a Microphone for Your Brand's VoiceAdditionally, email marketing gives you the opportunity to share your brand’s voice with travelers. If they have signed up for emails, but have yet to stay with you, this is your properties opportunity to convince them that your hotel is the place for them. Use this as an extension of your website, not as a replica. By posting fresh pictures, descriptions, or events scheduled in the coming weeks and months, you are planting a seed, allowing travelers to envision themselves at your monthly luau, reclining by your newly renovated pool, or sipping that new signature cocktail from your bar.Personalization. Personalization. Personalization.Email marketing gives you a unique opportunity to create relationships with your customers. Email campaigns can be easily personalized based on what you already know about your customers. Say that you have a list of subscribers that have signed up for your hotel’s loyalty program. You already have far more information about your past guests than OTA’s or metasearch engines could possibly have access to. You know what kind of rooms they prefer, if they have ever used the spa, or how often they dined on your property. Rather than sending disconjointed messages that contain irrelevant offers and deals, you can pinpoint things that will catch their eye, and potentially lead to a conversion.Travelers can easily be turned to visitors when the picture you paint of your property closely fits their vision of their next vacation, and the best way to do this is through knowing your customer, knowing what they like, and knowing how to communicate with them. According to Formstack, a data management company, businesses who have made personalized email a cornerstone to their marketing plan saw a 25% lift in open rate and a 51% higher click through rate.Offer Email Only Specials to Encourage ParticipationAnother great way to use email marketing to shift shares away from the OTA’s is to offer deals through email marketing that travelers won’t find on Expedia, or even a metasearch site like TripAdvisor. This really gives your property an opportunity to create that sense of urgency and exclusivity with subscribers. Offer a deal that is 15% off a regular room rate, but only for a 24 hour period. They will feel like you opened the door to some elite club that they are lucky to feel a part of.Get FeedbackEmail marketing gives you the opportunity to gather valuable insight into what your visitors are thinking about your hotel and their experiences with staff and amenities. Ask them to give you feedback concerning their recent stay in exchange for a dining credit that can be used during their next visit. This creates space for conversation, establishing trust, and simply shows them that you cared enough about their experience to ask. As an added bonus, it gives you a space to smooth over any negative experiences that they might have had, keeping it off of public review sites that can ultimately hurt your brand.Create a Schedule and Stick to ItAs is true with any part of a marketing plan, consistency is key when it comes to using email as a way to communicate customers. Not only should your content be relevant and enticing, but it should be well planned and scheduled at regular intervals with travel timelines in mind. You could come up with the greatest summertime special email in the world, but if your timeline is off, it likely won’t convert, and you will feel like you wasted the most valuable thing of all, your time.With enough time and thought committed to your email marketing budget, odds are that you will see a lift in revenue, and most likely a significant lift at that.If you have questions concerning creating an email distribution plan, or aren’t quite sure on optimizing emails for mobile, feel free to reach out. We always love a good digital dive-in!

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