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The Internet verses Company CROs;
That Is Not the Question!
By William D. Peters, June 2003

Recently I have seen several very well written articles ( 1, 2 ) about the Internet and company CROs.  In my opinion both articles were right on but only in part.  The Hospitality Industry is so diversified that it can be very confusing and misleading to a Hotel Executive who is trying to understand the big word, �RESERVATIONS�.  I do not mean this in a derogatory way but in a positive sense.  Today�s market place is confusing.  What seems to work for one company of similar type hotels does not fully work for another.

Part of our industry consists of full service hotels that are located in downtown city centers.  For eight months out of the year they cater to the business travelers.  Many of those business travelers make their own reservations on line.  The difference is they are familiar with the city and know where they want to stay.  A quick electronic transaction works for them or their secretary.  Zap it is done!  Reservation made with all necessary requests.

What about the other four months of the year?  What about the tourist guest that is visiting the city for the first time?  This guest may be coming from across the nation or may be an international guest that has never stayed in your city before.  They may start their research on their own by going to the Internet to see if your hotel has a web site.  They are searching for location, price and of course amenities.  What does your hotel offer in amenities that works better for them?  That makes your hotel stand out.  Part of those amenities should be how you let your future guests contact you.  As an industry we have tried to control how we want our guests to contact us.  In the past it has not worked and in the future it will not work.  Our guests will always use the channel that is most comfortable for them not us.  Unfortunately it may not always be the most economical for us to do business in. 

The human race has always had the need to talk to other human beings.  The busiest part of the Internet is its CHAT ROOMS.  Millions of people converse on this channel everyday. 

The point of all of this is as an industry we create channels in which we enable our guests to do business with us.  Every channel should be accessible by our guests from every other channel.  There should be no restrictions.  Our industry cannot control our guests in how they want to do business with us.

The number one rule of this marketing/reservation executive is give full access to your guests and let them choose how they want to do business with you.  If a guest wishes to do research on the Web and then book on line, that is gravy.  It indicates that we have met their needs.  But if a guest wishes to chat on line with a live company representative, that is outstanding also.  It is more expensive but the guest is showing more interest and you may be able to capture the reservation that way.  Your company representative must be trained to try and capture the sale via chat and if not successful be able to offer alternative booking methods when the guest is ready to book.  Those alternative booking methods should include the companies 800 number, on line web site, another chat session and even offering an eWholesaler that can better meet the guest�s needs such as air and car.  If you have the right working relationship with your eWholesaler they will not try and sell away from your property.  The confidence level of the guest is at such a high that the wholesaler will be able to close the deal for you.

Depending on the type of company you are managing, City Center Hotels, Extended Stay, Resort Properties, Budget Properties and Destination properties, your hotels are as different to one another as is the actual channels of business.  Yet as an industry we compare big picture statistics to make big picture decisions.  I am not saying that we should not know and understand what our competitors are doing but it needs to be tempered with; does this channel work for my type of hotel?  If it does how much will it affect my overall business? Is this channel something that the hotel must be in even if there is not a big payday at the end?  If so how much do I commit in dollars before it hinders the business in proven channels of success?

Nothing in our industry is cookie cutter, especially reservation marketing.  Our industry is not like the airlines, no matter how much we are compared to it in the press.  Each property is different with different channel needs as is each guest.  Know yours and invest wisely.  Continue to nurture the channels that have produced for your business as you invest in the new channels.  Keep your employees motivated and trained.  Give them the tools necessary to make that perfect booking for the guest and your company. 

 

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Contact:

William D. Peters
VP Reservation Services
Outrigger Hotels & Resorts / 
OHANA Hotels & Resorts
3443 South Galena Street, 3rd Floor
Denver, Colorado 80231
303-743-3219
[email protected]

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Also See Your Magnificent Selling Machine Would you Prefer Your Hotel to Get: the Web Hit or the Phone Call? / Robert Camastro / Hospitality Upgrade Magazine / June 2003
Is The Internet Delivering On Its Promise? Well, It Depends on How you Look at It / Neil L. Salerno / June 2003


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