Using PPC and Brand Advocacy to maximise Net RevPAR
A thriving hotel economy relies on happy guests. And revenue. In fact, revenue is critical to a satisfied guest; it allows hotels to better serve their staff, and their staff to better serve their guests. Your guests, your team, and your hotel’s bottom line all win when you aspire to generate the most revenue. The hospitality industry however is unique and many of your prospective guests are hijacked by OTAs like Booking.com before they get a chance to book directly on your own website. How many businesses have their clients stolen by a major distributor? Imagine if Ford Ireland ran PPC ads every time somebody searched for a local Ford Dealer?
In1 Solutions has been managing PPC strategies for the hospitality industry in over 10 countries and we have refined those strategies to maximise direct revenue for hotels and to reduce your overall distribution costs. Recently, we have implemented brand advocacy strategies to help hotels expand their reach and develop direct relationships with a wider audience built around their existing customer base. In other words we have opened up new markets for direct business.
We regularly have debates with our hotel clients on the value of investing PPC funds in brand defence strategies. Over the years, we have split tested different strategies. We have experimented with a mix of generic terms and brand defence terms. We have managed hospitality campaigns for fixed periods and then have had them switched to digital marketing agencies that specialise exclusively in digital marketing. And we have outperformed those agencies by large margins in every case.
In large hotel chains, revenue considerations must filter through every level of the organisation. This creates a revenue culture that spans revenue management, marketing, e-commerce, sales, and any person responsible for driving the hotel’s bottom line. It focuses on the strategic and detailed exploration of profitable channels, demand and need, yield management, and cost structures. In these chains, traditionally revenue management set the price and handled the OTAs, while marketing reached the guest, tracked the time on site, and created content about the property.
Revenue culture doesn’t simply drive more business; it aspires to drive smart business that will generate the most revenue at the lowest cost. A culture centred on revenue will encourage KPIs such as Net RevPAR—revenue per available room less the cost of distribution fees, commissions, and transaction fees— and will do so against different campaigns, channels, market segments, and corporate accounts to have the clearest understanding of the path to profitable business.
Independent hotels are very much aware of the cost of OTA business vs. Direct Business, but are you happy that you are implementing the best strategy to maximise Net RevPAR? Is it an overall part of your marketing plan and is everyone from general management, sales management, marketing and reservations on board? Do you prioritise digital channels and maximise opportunities for more direct bookings at different times of the year?
As an independent hotel, you do not have the brand power of chains like Hilton or Holiday Inn. You must fight hard to grow your market share and drive greater awareness of your brand. You have no choice but to avail of the greater distribution reach of the OTAs. But you should not have to surrender bookings to OTAs that are rightly your bookings. In1 Solutions has a simple philosophy when it comes to direct bookings. We defend your brand, we grow your direct bookings and we reduce your cost of distribution. We are passionate about agreeing the right PPC strategy with you and we will use cause and effect to demonstrate effectiveness and justify PPC budgets.
We support your direct marketing strategy with the introduction of a new Brand Advocacy tool for hotels that is the most trusted way to earn new guests. With Brand Advocacy, hotels increase direct bookings, build trusted brand connections and reach a greater audience of potential guests. The platform is designed to reach potential future guests in a natural, trusted way.
By harnessing the excitement of travel, it encourages guests to advocate on the hotel’s behalf. This creates an entirely new channel of revenue and helps hotels earn direct bookings through their massive, largely untapped marketing force—their existing guests. Thoughtfully designed to have an impact at every level of the guest experience, Brand Advocacy is built with hoteliers in mind. With the help of their advocacy experts, the platform is live within days to a few weeks, leading to a significant, measurable impact on a hotel’s bottom line.
Brand Advocacy comes at an affordable flat fee per month and can be funded by the savings you make in distribution costs by implementing effective PPC campaigns with In1 Solutions.
If you would like us to send you some information on either our PPC solutions or Brand Advocacy product, then please complete the form below and we will be in touch or contact us directly on email@example.com.