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Changing world of channel
            management


    Aldona K, Sales Manager
Evolution of online distribution in travel

 Online travel bookings will make up nearly a third of worldwide
  transaction by the end of 2012 (according to yStats.com)

 In 2011 global hotel revenue rose   18%, with nights stayed up 16%*
   74%     of leisure and86%   of business travellers use the Internet to
    gather information before they book travel

 Online Channels have grown by     25% in the last four years
 Social search for word of mouth, Multi-channel marketing is the norm…

                                                                 *hotelmarketing.com
Are   YOU in control of your revenue –



          or are you too busy indulging the
                               market?
Question Time
 Where is your business coming
   from?
 Who are your competitors and
   how do you compare?
 Which channels are driving
   business our way?
 What     should be your pricing
   strategy?
 How often should you update
   your distribution channels?
 How do you monitor results?
Online distribution landscape



                       Social


              Search               Mobile



                          Sales
                       e-Commerce
                           Sales




                       S-Commerce
This is the new




                      …which is giving

                  sleepless nights……..
Facing a                                      customer

   Who will visit22    websites during   9.5
    sessions prior to booking

   Will check an OTA site   12   times, visit
    7.5 pages each time, and spend almost
    5 minutes before clicking the BOOK
    button

 68%      of them will rely on internet
    especially when planning a leisure trip

 80%      travellers research the venue
    before booking                               …in other words, YOU are
                                            always   under scanner
Strategy has changed to…..
Focus on direct sales
Reducing commission
More importance to GDS
and working out with more
Travel Agents & consortia contracts
Who can bring business ?
What will bring business?




                  Your   REPUTATION
To hit the Bull’s eye You must…
 Understand where the     value   of
  Direct Bookings derive
 Know your market
 Have better and more       flexible
  contracts with OTAs
 Experiment with new and diverse
  channels
 Install integrated and streamlined
  technology to better manage your
  online distribution
 Keep an eye on Mobile and Social
  Media
 Manage Online Reputation to build
  brand value and loyalty
What does about the Prague market?

 In 2011, Prague attracted 4.7 million visitors and was
  named as the sixth most popular city in Europe.

 The main international source markets in 2011/2012 are
  Germany ( 15%), Russia ( 9%) and UK ( 6%) .
  Other important : Italy , the USA, France and Spain

Prague 4 and 5-Star Hotel Performance Indicators:

                              2011         2010           Variance


          Rooms               68.4%        65.8%          2.6 pts
          Occupancy (%)

          Average Room        79.21        78.96          0.3%
          Rate (€)

          Rooms RevPAR        54.16        51.96          4.2%
          (€)


            Source : source: HVS ,Market Snapshot Czech Rep. May 2012 and HOTStats 2012
9 Tips for Effective online distribution
1.   Manage Rates Carefully
2.   Do not ignore historical data
3.   Invest in technology


                           Benchmarking
                                          Channel Partner
                           Rates &
                           Inventory




4.   Use effective channel partners
5.   Think like a marketer
6.   Automate allocation process
7.   Experiment with different channels and segments         GDS
8.   Measure and scale your online activities
9.   Always focus on a mutual win, build trust and loyalty
Gain full control over pricing, position & visibility
                                          Rate Shopping, Channel Management, Revenue Optimisation and
                                                   Reputation Management solutions for hotels of all sizes




   Hoteliers analyse market        Quick & efficient              Assess market competition        Consolidate customer
   positioning by comparing        management of online           and position, propose rates      reviews from connected
   competitor rate                 distribution channels          and allows for the automatic     review websites. Analyse,
   information from                through one easy to use        update and monitoring of         review and respond to
   websites & hotel sites.         interface.                     online distribution channels.    customer feedback from a
                                                                                                   single application.


  Options
                              Allocation
   Allocation Alert                                     Distribution / Shopping              Reports
                              Management / Split
                                                         GDS shopping and distribution      Shopping Reports – Daily &
                                                         Online advertising                  Weekly
    For low & sold out        Control of allocation                                        Extranet Reports – Arrival
                                across all chosen        Facebook booking engine
     allocations                                                                              reports for selected websites
                                websites
                                                                                             Booking Reports – Created
                                                                                              bookings from selected websites
Thank You
           Aldona Kaczmarczyk

                  US Sales Office:    UK Sales Office:
                     eRevMax Inc.     eRevMax Ltd.
37 North Orange Avenue, Suite 500     Monmouth House, 3rd Floor, 40 Artillery Lane
     Orlando, Florida 32801, U.S.A    London E1 7LS, United Kingdom

           Tel: +1 (321) 251 6559     Tel: +44 (0) 20 7422 7528
           Fax: +1 (321) 206 8630     Fax: +44 (0) 20 7657 4245
        E-mail: usa@ratetiger.com     E-mail: uk@ratetiger.com


                       Visit us at www.ratetiger.com
Kód | Code:
 EMRM14

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EMRM15

  • 1. Changing world of channel management Aldona K, Sales Manager
  • 2. Evolution of online distribution in travel  Online travel bookings will make up nearly a third of worldwide transaction by the end of 2012 (according to yStats.com)  In 2011 global hotel revenue rose 18%, with nights stayed up 16%*  74% of leisure and86% of business travellers use the Internet to gather information before they book travel  Online Channels have grown by 25% in the last four years Social search for word of mouth, Multi-channel marketing is the norm… *hotelmarketing.com
  • 3. Are YOU in control of your revenue – or are you too busy indulging the market?
  • 4. Question Time  Where is your business coming from?  Who are your competitors and how do you compare?  Which channels are driving business our way?  What should be your pricing strategy?  How often should you update your distribution channels?  How do you monitor results?
  • 5. Online distribution landscape Social Search Mobile Sales e-Commerce Sales S-Commerce
  • 6. This is the new …which is giving sleepless nights……..
  • 7. Facing a customer  Who will visit22 websites during 9.5 sessions prior to booking  Will check an OTA site 12 times, visit 7.5 pages each time, and spend almost 5 minutes before clicking the BOOK button  68% of them will rely on internet especially when planning a leisure trip  80% travellers research the venue before booking …in other words, YOU are always under scanner
  • 8. Strategy has changed to….. Focus on direct sales Reducing commission More importance to GDS and working out with more Travel Agents & consortia contracts
  • 9. Who can bring business ?
  • 10. What will bring business? Your REPUTATION
  • 11. To hit the Bull’s eye You must…  Understand where the value of Direct Bookings derive  Know your market  Have better and more flexible contracts with OTAs  Experiment with new and diverse channels  Install integrated and streamlined technology to better manage your online distribution  Keep an eye on Mobile and Social Media  Manage Online Reputation to build brand value and loyalty
  • 12. What does about the Prague market?  In 2011, Prague attracted 4.7 million visitors and was named as the sixth most popular city in Europe.  The main international source markets in 2011/2012 are Germany ( 15%), Russia ( 9%) and UK ( 6%) . Other important : Italy , the USA, France and Spain Prague 4 and 5-Star Hotel Performance Indicators: 2011 2010 Variance Rooms 68.4% 65.8% 2.6 pts Occupancy (%) Average Room 79.21 78.96 0.3% Rate (€) Rooms RevPAR 54.16 51.96 4.2% (€) Source : source: HVS ,Market Snapshot Czech Rep. May 2012 and HOTStats 2012
  • 13. 9 Tips for Effective online distribution 1. Manage Rates Carefully 2. Do not ignore historical data 3. Invest in technology Benchmarking Channel Partner Rates & Inventory 4. Use effective channel partners 5. Think like a marketer 6. Automate allocation process 7. Experiment with different channels and segments GDS 8. Measure and scale your online activities 9. Always focus on a mutual win, build trust and loyalty
  • 14. Gain full control over pricing, position & visibility Rate Shopping, Channel Management, Revenue Optimisation and Reputation Management solutions for hotels of all sizes Hoteliers analyse market Quick & efficient Assess market competition Consolidate customer positioning by comparing management of online and position, propose rates reviews from connected competitor rate distribution channels and allows for the automatic review websites. Analyse, information from through one easy to use update and monitoring of review and respond to websites & hotel sites. interface. online distribution channels. customer feedback from a single application. Options Allocation Allocation Alert Distribution / Shopping Reports Management / Split  GDS shopping and distribution  Shopping Reports – Daily &  Online advertising Weekly  For low & sold out  Control of allocation  Extranet Reports – Arrival across all chosen  Facebook booking engine allocations reports for selected websites websites  Booking Reports – Created bookings from selected websites
  • 15. Thank You Aldona Kaczmarczyk US Sales Office: UK Sales Office: eRevMax Inc. eRevMax Ltd. 37 North Orange Avenue, Suite 500 Monmouth House, 3rd Floor, 40 Artillery Lane Orlando, Florida 32801, U.S.A London E1 7LS, United Kingdom Tel: +1 (321) 251 6559 Tel: +44 (0) 20 7422 7528 Fax: +1 (321) 206 8630 Fax: +44 (0) 20 7657 4245 E-mail: usa@ratetiger.com E-mail: uk@ratetiger.com Visit us at www.ratetiger.com
  • 16. Kód | Code: EMRM14