Building a Digital Strategy within Travel April 2011

Building a Digital Strategy

Don’t be left out
in the cold

Presented by: David Atkins, Principal Digital DNA Infusion, LLC
david@digitaldnainfusion.com
Twitter: @atkinsdavid

Stating the obvious
For consumer attention you compete with:

Resorts Airlines
Hotels VRM
OTA’s
CVBs/DMO’s
Timeshare Car Rental Companies

Question is what does the consumer know?

www.digitaldnainfusion.com | Copyright 2011 Digital DNA Infusion, LLC

Updates April 2011
• TripAdvisor
• Google ITA
• Google- Hotel Price Ads (Google Places)
• F-Commerce
• Consumer Behavior data
• Mobile explosion

www.digitaldnainfusion.com | Copyright 2011 Digital DNA Infusion, LLC |

Internet Continues to Grow as Consumers’ Primary
Source for Travel Information

Travel Planning Sources

Base: Personal Traveler (2010: 3500; 2009: 3450); Business Traveler (2010: 1500; 2009: 1552).
Q. Which of the following sources do you typically use to plan?
Note: Box indicates a significant difference between 2009 to 2010 at the 95% confidence level


The only constant
imperative when it
comes to Digital is

CHANGE

Google’s View 2010
Where we stand today


Moves Digital to Physical World
• No more platforms
• No more technical requirements
• Just be “human” & transparent


Digital, Social, Mobile?
• 39% of consumers have no destination in mind when starting their
travel research online
• Consumers are searching less-
– Searches down to 6 (circa 12 in 2009)
– Sites visited at 20 before a booking Private Sales?
• “Only” 50% of shoppers use search in the research process
• 92% of online bookings are “latent”
• Mobile anyone- 18% of biz and 15% of leisure travelers checked hotels
in 2009

The Planning and Review category (i.e.
TripAdvisor) grew its share of all site visits
by over 50% since 2008

Source: Forrester, Compete & Google Dec 2009- Sept 201


Where to start?

Video
Brand

SEO/S Owner
PPC Sales
EM ship

Site Market
Social IT
Conver ing
Media
sion

Reven Distrib
Displa
OTA’s ue ution
y Ads


Follow the basics
• Your customer
• Your business Benchmark!
• What metric?
• What platform?


Influential Features in Leisure Travel
Planning

Source: PhoCusWright May 201

Curators
•Content, Experiences
•Not always of our own creation


Where does your customer shop?

Source: PhoCusWright Oct 2010

Marketing Channel Evaluation
Awareness Display Media
Social Media
Consideration
Social Media Marketing
Affiliate Marketing
Search Engine Marketing
Purchase
Intent Social Media Marketing
Purchase Affiliate Marketing

Loyalty Email Marketing
Social Media Marketing

Google 2011


Why Hotel Price Ads from Google?


Mobile/LBS


Mary Meeker @ Google on Mobile


Mobile WORKS for Marketing


Who has the share?


Why Mobile IS a KEY to your $$


Social media are media for social
interaction, using highly accessible
and scalable publishing techniques.

Source: Wikipedia

Basic Principles for Social Media

Be Authentic
Emulate your hotel culture
Formality, use of the guest name etc
Be Transparent
Be respectful
Customers, clients, competitors
Listen
Invite direct contact and future stays

www.digitaldnainfusion.com | Copyright 2011 Digital DNA Infusion, LLC Sept 2010

Types of Social Media that matter most for travel

Review Sites

Photo Sharing
The priority will
change based on
your business &
customer Video Sharing
objectives

Blogs

www.digitaldnainfusion.com | Copyright 2011 Digital DNA Infusion, LLC | For North America and EMEA

Facebook Like/Fan $$
spend an additional $71.84
on products for which they
are like the company
compared to those who are
not fans.

Average Value of a Fan/Like
(Synaptic Report 2010)
are 28% more likely than
non-fans to continue using
the brand. Spend - $71.84

Loyalty - $43.71

Recommendations
- $13.57
Earned Media -
are 41% more likely than non- $6.79
fans to recommend a fanned
product to their friends.

The average annualized
value of an individual fan is
$136.38.

www.digitaldnainfusion.com | Copyright 2010 Digital DNA Infusion, LLC (Syncapse’s Report 2010)

Build a framework
• The key: alignment and education


Some of the paid monitoring solutions
• Radian 6
• Revinate
• Prophesy
• eBuzz Connect
• Vocus
• Chatter Guard
• Brand Karma


Trip Advisor & FB Social Graph


Trip Advisor Best Practices


Trip Advisor Owners Central


Digital Best Practices- Simply
Enable

Results Inspire

Pick your partners wisely

Metrics Engage

Outreac
Involve
h


It’s AboutBrand “AND”
The

It’s NOT about the “OR”

Performance

Digital programs that work!
• SEM
• SEO
• OTA Advertising
• Social Media
• Mobile
• Display Ads
• Private Sales
• Classified
• Video


How to reach me?
•David@digitaldnainfusion.com
• Twitter @atkinsdavid
• Old School:
Digital DNA Infusion
6619 South Dixie Hwy
Ste 306
Miami FL 33143
David- 305-458-2311


Key questions to ask partners
1. What do I get?
– Distribution
– Marketing
– Sales
– SEO
– SEM
– Mobile
– Website
– Social
– F- Commerce
– Social Media Monitoring
2. What reporting do you provide?
3. What does it cost all in?
4. What is the commitment term?


Does Social Media impact pricing?

• PhoCusWright answers this with:
– Social Travel Advocacy Index mapped to ADR
• Shows a distinct correlation that is quantifiable
• Beyond the ADR/RevPar impact of your
social media profile
– What does this due to transparency of pricing?
– What will the consumer accept?
– How well does your organization understand
SM?


Beresford Data on Social Networks

Beresford Research June 2009 www.digitaldnainfusion.com | Copyright 2010 Digital DNA Infusion, LLC

Does Social Media sell travel??
•PhoCusWright answers this with:


Customer View of travel sites- Areas of
Opportunity

Frommers Unlimited April 2010

Digital consumer behavioral data

•65 % of consumers have had a digital experience change their perception
of the brand/product

•97% of consumers report that their digital experiences influence whether or not to purchases goods, services or
products from the brand/product

•97% of consumers have searched out a brand online

•69% have read a corporate blog

•73% have posted a review of a product or service

•44% of consumers who follow a brand on twitter do it for DEALS

Source: Razorfish Q4 2009

Video


Who Matters?

Trip Advisor

Who is your customer?

Source: Quantcast Dec 2009www.digitaldnainfusion.com | Copyright 2011 Digital DNA Infusion, LLC |

Does Social Media impact pricing?

“ Done correctly, ratings and reviews
deliver a significant increase in sales. One
third of retailers reported an 11-20% or more
overall increase in conversions as a result of
adding reviews to their sites, while consumers
are willing to pay up to 22-49% more for a 5-
star rated product than for a 4-star rated
product in the hospitality and travel industries”

www.digitaldnainfusion.com | Copyright 2011 Digital DNA Infusion, LLC | Source: Mashable Feb 2010

Building a Digital Strategy within Travel April 2011

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