What Is the Future for Hotel Centeral Reservation Center?

In a recent post I shared on MultiBriefs.com, I discussed the future of the traditional central reservation centers (CRCs) in hotels.  If CRCs are determined to "step down from the stage," what can hotels do to prepare for the future?  Will a mobile service center be the answer?  If so, what will a mobile service center do?

What changes do you anticipate in CRCs?  If you work in a hotel's CRCs, what changes have you seen in the past five years?

References:
The picture was downloaded from PhonePhunnies.com

Brand Loyalty Programs: Let the Customer Work for You (Contributed by Cesar Tenorio)

One of the biggest issues that the hotel industry has been facing today is the lack of guest retention to a certain brand.  With the added competition of online travel agencies (OTA's) today, hotels are scrambling to try and get guests to stick around for more reasons than just room rates and complimentary Wi-Fi.
 

Cue in the loyalty program: a business technique that awards those returning guests through free parking, free snacks, a fancy name, and you guessed it, complimentary Wi-Fi.  However, even with the opportunity with all the perks and salty snacks that a hotel offers, marketing researchers are still scratching their heads as to what will make people not only prefer a certain brand, but also desire it.  It strongly poses the question, what do we have to do next? Or what new thing can we offer? Maybe it's time to start asking, is it time to step back and view the issue in a new lens?

To begin, we need to boil down this issue to its core: satisfying the guests' wants in a unique way.  I observed how many loyalty programs offer generally the same amenities along with the same customer service.  This leaves customers with no choice but to base loyalty programs off of price and free nights than rather the distinguishable experience that the hotel strives for.  Additionally, with the rapid advancement of technology, companies are slowly implementing online strategies to differentiate themselves.  The answer? Companies need to take some time to rethink their online presence and generate a solid, online game plan to stay ahead of the competition.

According to Access and Fast Company statistics, 66% of 18-24 year olds are more loyal to companies with a strong social media presence.  Meanwhile, the fastest growing demographic on Twitter consists of those in the 55-64 year old age bracket.  As you scroll down the tons of stories on Facebook or view the amount of Twitter 'favorites' a single tweet generates from Justin Bieber's latest arrest, the fact seems apparent that online social media is how people quickly  communicate today.  It has no longer become a hobby, but a lifestyle.  More and more people are implementing social media into their lives ranging from posting pictures of adorable puppies on Facebook to young women incorporating Pintrest ideas into their weddings.  If every brand boasts of such a unique culture, why not let guests become a part of it?  Better yet, why not let them take the wheel and drive?

It is a common rule of thumb that one satisfied guest may speak with two people about their experience, but will tell twenty people if they had a bad stay.  With the advantage of social media, those satisfied guests can now tell hundreds of people on a single media source.  The catch?  To find the motivation for guests to pull out their media device and capture moments that you want captured.

One of the more straight forward techniques is to visually impress the guest so that they will take a picture and share it with their friends.  Want to take it one step further?  Actively encourage guests to share their experiences through social media by taking photos of their drinks, views from their hotel room, and their trips that they embark while they're out of the hotel. Is there a bartender who can serve drinks while performing tricks?  Let the guests take a Snapchat video of the bartender expertly tossing bottles around and finish the spectacle by pouring a perfect long island iced tea.  Another way to get guests incorporated is by asking what plans future guests have when they stay at a particular hotel.  Even a simple 'Tag someone you love/know' while posting a picture of a popular destination is enough to get people talking and start tagging their friends.  The idea is participation in the organization.  The more that people are incorporated into the hotel culture, the more they will feel inclined to return to a certain brand. 

One amazing thing that I have seen is how small operations are able to have a hold on so many followers.  One Instagram user that I am impressed is Beautiful Destinations.  They have over a million followers on Instagram and the only things they post are beautiful photos of various locations around the world and ask their followers to tag someone else.  They constantly update their feed two or three times a day all while receiving over 10k favorites on at least every photo.  Large name brands such as Hilton and Marriott have just over 5K followers.  The demand for a shift towards a new loyalty program is higher than ever before.

What do you think would be a huge factor in guest retention?  Do you think small business tactics such as Beautiful Destinations would work for a large name brand?  Do you think social media can play a part in guest retention?

About the Author

Cesar Tenorio is a full-time undergraduate student at the Collins College of Hospitality Management in California State Polytechnic University, Pomona, where he is currently pursuing a degree in Hospitality Management.  He has held several different positions on campus including Resident Advisor, Orientation Leader, Executive Director for the Up 'Til Dawn fundraising event, and more.  He also held an internship position this past summer in the selective Hilton Worldwide program.  He has also received scholarships from both The Collins College and the American Hotel & Lodging Association.  Cesar currently aspires to receive a management program upon graduation and pursue an MBA in Finance.

References:

Lodging Staff. "Your Good Name." Lodging. n.p., n.d. Web. 30 Jan. 2014.

Wengen, Deidre. "Building Guest Loyalty in the Digital Age." Lodging. N.p., n.d. Web. 30 Jan. 2014.

Cooper, Belle B. "10 Surprising Social Media Statistics That Will Make You Rethink Your Social Strategy | Fast Company | Business + Innovation." Fast Company. N.p., 18 Nov. 2013. Web. 29 Jan. 2014.

Carter, Brandon. "The Access Loyalty Blog." The Access Loyalty Blog. N.p., 21 Nov. 2013. Web. 30 Jan. 2014.

Social Media in Hotel Operations - by Yu Hsan Wang

The amount of smart phone users are ever-growing, and ownership of smartphones have become the norm.  With carriers rolling out cheap data plans, wireless internet on the go has become extremely affordable.  The widespread access to internet content on mobile devices has made it possible for millions of smartphone users to stay connected through social media regardless of their location.  

According to the article, Social Media Inspires Hotel Design by Terence Baker, many hotels are incorporating social media into their hotel designs in order to keep up with the trends of the digital age.  By capitalizing this idea, hoteliers are able to attract consumers and provide them with a brand new experience where they can “meet, interact, have fun, compete, experience, flirt, tweet and much, much more” (Baker).  A hotel property in Dublin offers Twitter-themed rooms where customers can “tweet” requests such as filling their mini bars.  This innovative service makes it extremely easy for the room service department to keep track of requests; and on the other hand, the sales for mini bar items may increase due to the curiosity to try out this service.

Aside from offering a wide array of unique services through social media, hotel owners can also utilize this platform as a source of research.  The 1888 Hotel re-designed the rooms by browsing through countless hotel design photos that were shared on Instagram, where “every angle, detail and element of the hotel was looked at through the prism of an Instagram photograph” (Baker).  

By looking at the trend on Instagram, hoteliers can have a grasp of what is liked and what is not by consumers and remodel their properties to cater to the likes and wants of customers.  When digital meets design, hotels are able to provide customers with a sense of participation where their voice is heard and their meets met. Besides offering a brand new experience to customers, hotels are able to save money on their R&D sector by crowdsourcing ideas from various social media sites, creating a win-win situation where they make more money by spending less.  These secondary data are an inexpensive, yet valuable asset to hotel owners; they can keep track of real-time trends and interact with users to improvise on the service they deliver.

The trend utilizing social media in hotels have also become a marketing scheme for hotels where customers can gain access to live updates about the events and happenings of the hotels in which they plan to stay.  This way, not only can guests obtain information easily, they can also share this information with their friends and create a word of mouth effect, which can bring in even more potential customers to the property. 

What kind of service would you, as a guest, wish to see in hotels that incorporates social media?  If hotels are a place where people go for getaways, will the incorporation of social media contradict the very essence of taking a rest from life?

About the author: 

Hi all, my name is Yu Hsuan Wang, but you can call me Alicia.  I am a third year hospitality management student in The Collins College of Hospitality Management at Cal Poly Pomona, with an emphasis on hotel management.  I was a transfer student from Mt. San Antonio College, the school that opened my eyes to the world of the hospitality industry.  I am originally from Taiwan where tourism is an integral part of the country’s economy; and because of that, there is a bright outlook for the hospitality industry.  I hope that I can learn as much as possible and bring it with me back to my home country one day and make practicing it into a career.

Creating Original Content --- First and Foremost for Blogging

Do you know many websites are built on a WordPress (blog) theme?  Oh yes.  People are very likely reading blogs when they browse contents on the internet, and blogging can be very effective in marketing communications and making sales.  Yet, how does blogging different from Facebook or Twitter updates?  What can we expected from a good blog post?

Blog is definitely different from Facebook, Twitter, or other social media sites.  Blogging is more than just an update.  There is no set limit on how many characters a blog post can have, allowing people to publish longer and more in-depth discussion.  Plus, bloggers can embed other social media contents in a post (e.g., pictures and videos).

I started blogging about four years ago.  When I first started, I did more “sharing” than “creating.”  I shared the news articles that I found interesting and relevant to my target audience.  My blog posts read more like summaries of relevant news articles with very little in-depth discussion.  Over time, I saw a steady increase of pageviews, but I wondered why would people want to read my “summaries.”  They can easily find summaries of news updates on the internet.  If they only want to read the news articles that are relevant to them (e.g., my blog is related to hospitality management and social media), they can sign up for those subscription services available on the internet and the news will “find” them instead.  Moreover, if I only want to share news articles, I can do that just as well on Twitter or Facebook.  Why do I bother to talk about those updates on my blog?

To me, a good blog discussion must reveal what is “inside” of the author, and good bloggers post original content.  They share their unique perspectives of an event or develop knowledge-based propositions.  If a blogger simply shares a summary of somebody else’s work, s/he is just “manipulating content.” Creating original content should be the first and foremost indication of a good blog post. 

In fact, creating original content has become extremely important in social media marketing and business communications. Taco Bell, for example, shared in the Big Data Idea Exchange Workshop @UCIrvine that the company had sent the social media team to The New York Times and The Huffington Post for training because Taco Bell also wants to be a content creator on social media.  Evidence from Taco Bell’s social media presence has shown the training had paid off.

Do you read blogs? Please share with us what blogs or websites you visit often and what draws you back to those blogs or websites. 

References:

The picture was downloaded from Profalbrecht.wordpress.com 

Integrating Mobile Technology into Customer Service

Today, 52% of the population have smartphones, of whom over 94% are expected to use smartphones in searching for local business, according to a recent newsletter I received from the California Lodging Industry Association.  Many OTAs (online travel agents such as Expedia.com and Priceline.com) and entrepreneurs are getting into the “app business,” and they are doing very well (as suggested in the Bloomberg video).  Hotels and restaurants for sure would also like to have a piece of the pie. 

Indeed, many hotels follow the SoLoMo (Social, Local, and Mobile) movement and have introduced many mobile apps.  The big hotel groups, for example, all have mobile apps, allowing customers to search and make reservations using mobile devices; but at the same time, there are also other apps for different hotel brands within the same hotel group and even apps for individual properties.  Moreover, there are concierge (service) apps for luxury and upper upscale brands.  Really?  Does a hotel group need that many apps?  Will customers get confused in front of “the sea of mobile apps?”  If people are not using those apps, how much can mobile technology help hotels improve customer satisfaction and business?

To provide customers exceptional “total guest experience,” hotels must ensure high service quality when customers search information prior to purchase (i.e., “search quality”), when they actually make a purchase and stay in the hotel (i.e., “experience quality”), and even after they leave the hotel (i.e., “credence quality”).  Most mobile apps that are available in the app store right now, however, only have one focus on either search quality or experience quality.  Personally, I have not seen a mobile app that truly integrates technology into all three stages of service quality.  As a traveler, I would prefer one powerful app that provides me the total guest experience.  With this powerful app, I can search and make reservations on my phone, check into a hotel with the same app, use the same app to request anything I need during my stay, such as wake-up calls, extra towels, and room service, and lastly use the same app to retrieve and track the information of my previous stays and/or complaints.  Am I asking for too much?

I am not sure if hotels have the mindset of competing with OTAs when they invest in mobile apps.  I hope they don’t.  Because without the big picture of providing exceptional total guest experience, they will never be able to develop a powerful mobile app that truly integrates mobile technology into customer service, and they will not be able to compete with those OTAs that are specialized in “search experience.”

Do you use any hotel (or restaurant) mobile apps?  How do you like or dislike those apps?  What can hotels (or restaurants) do to improve customers’ mobile app experience? 

 

Some relevant discussions within this blog: 

SoLoMo for Social Media Strategists 

 “SoLoMo”and Legislation

Is It a Good Business Strategy to Offer Phone-Free Discount?

Renaissance Hotels Replaced Concierge with “Navigator”

References:

The picture was downloaded from BlogOnline.co.uk.