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EXECUTIVE	SUMMARY:	
	
Sandbanks Hotel is a 4-star small family hotel operated under the brand name of FJB Hotels, which
is situated on the Sandbanks peninsula in Poole, Dorset on the South Coast of England. Their large
target audience consists predominately of families and offers various unique selling points (USP),
such as ‘kids go free’ deals, combined with having exceptional family sea view rooms with direct
access to the blue flag beach, providing a choice of water activities. A customer persona is created to
identify a value proposition in order to develop a strategic digital marketing plan by using the
SOSTAC framework as a guideline throughout the report to develop recommendations based on
objectives. Objectives include, reducing dependency of online travel agents by converting to affiliate
marketing networks to increase direct bookings. Expanding social media presence by interacting
with potential customers through user-generated content. Furthermore, retaining customer loyalty by
optimising repeat sales through increasing outbound e-mail marketing providing exclusive offers.
The recommendations could potentially be achieved by executing promotional campaigns to retain
customer advocacy.
	
Word count: 2,746
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TABLE OF CONTENTS
Executive	Summary: ........................................................................................................................ 2
1.0	Introduction:.............................................................................................................................. 4
2.0	Situation	Analysis: ..................................................................................................................... 5
3.0	Customer	Persona:..................................................................................................................... 6
4.0	Customer	Journey:..................................................................................................................... 8
5.0	Value	Proposition: ................................................................................................................... 11
6.0	Objectives:............................................................................................................................... 13
7.0	Current	Marketing	Strategy:.................................................................................................... 15
8.0	Tactics	and	Recommendations: ............................................................................................... 17
9.0	Actions:.................................................................................................................................... 22
10.0	Conclusion: ............................................................................................................................ 23
11.0	Refernces: .............................................................................................................................. 24
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1.0	INTRODUCTION:	
According to Mahajan and Wind (2002, p.3), the digital uprising has “shaken marketing to its core”.
Digital marketing has revolutionized the way consumers engage with products by putting them in
charge, and therefore creating an important modification in the dynamics of marketing.
	
The Sandbanks Hotel has recently adjusted their marketing plan to integrate more with consumers
through digital platforms in order to gain further customer insight. By focusing on the upcoming
digital trend of mobile search and social, Sandbanks Hotel invested £60,000 to their website in 2014
with web developers, Shotgun Front. However, the website consists of tools such as videos of the
hotels facilities and features, which are unresponsive on mobile devices. Brands should optimize
their website for Search Engine Optimization (SEO) to ensure all devices are responsive on all
search platforms to increase recall and engagement (Tilton 2012). Additionally, navigation on the
website can be confusing, particularly for the older generation who are a key target market that
favour a more simplistic design and approach.
The structure of the report will initially outline the customer’s demographic persona in order to
further understand consumers journey and behaviour. This will allow for a clear marketing
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integration plan to impose a value proposition by convincing potential customers to successfully
rectify Sandbanks Hotel current situation by driving website traffic, increase direct bookings and
revenue. Evidently, this will be achieved by using PR Smith’s SOSTAC Model as a guideline to
implement a strategic plan based on the objectives. The RACE framework will be applied to ensure a
tactical approach is followed by providing recommendations through key performance indicators
(KPI’s).
2.0	SITUATION	ANALYSIS:	
In order to critically analyse and plan the Sandbanks Hotel’s digital marketing strategy, PR Smith’s
SOSTAC Model (Figure 1 below) will act as a foundation to the structure of this report. Specific key
aspects of the SOSTAC Model will be analysed throughout to implement certain marketing planning
frameworks and to make feasible recommendations going forward.
Figure	1:	PR	Smith’s	SOSTAC	Model	
	
The model is becoming increasingly common amongst industry professionals to produce marketing,
e-marketing and advertising plans (Chaffey and Smith 2013). SOSTAC stands for: Situation
analysis, Objectives and Strategy, Tactics, Action and Control. To gain a further understanding of
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customer insights, the situation analysis is a key component in identifying personas. The broad
segmentation of situation analysis is, ‘where are we now’ in terms of the number of customers who
are currently buying or influenced by the online content offered (Chaffey and Smith 2013). These
include areas such as, how Sandbanks Hotel are currently performing, competitors, utilising the
appropriate communication channels and how effective is the current marketing mix (Swan 2016).
However, to optimize future online marketing growth, a customer persona needs to be created to
enhance the existing customer base and understand their motivations (Swan 2016).
3.0	CUSTOMER	PERSONA:	
	
According to Target Internet (2016) a marketing persona is a fictional character that has been created
to characterise specific key traits of a certain group associated with your target audience. According
to Vaughan (2015), understanding your buyer’s personas is crucial to driving content creation and
sales to maximise customer acquisition and retention. As seen in figure 2 below, Ben Simmers is a
38-year-old male who is married with two children, Lucy 8 and George 11.
Ben is significantly tech savvy due to his young age and became heavily influenced by the rise of
social media once he graduated from Warwick University. The Simmers are a very adventurous
family who enjoy trying new activities and exploring new destinations. Ben thoroughly enjoys
capturing quality moments with his family on his Canon camera and sharing the experiences to his
social media followers.
His key attributes are implementing social media for his Letting Agency to advertise and promote a
specific target market of students. Social media engagement has allowed for significant reach due to
the increasing popularity of mobile search, by targeting key demographic areas within the suburbs of
London. His wife, Mary describes her husband as “utilising their broadband to the maximum by
browsing the web on his mobile an average of 2 hours a night”.
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Figure 2: Customer Insight Persona
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4.0	CUSTOMER	JOURNEY:	
	
Understanding consumer behaviour has never been more important due to constantly changing as a
result of advances in technology (Calcott and Weller 2012). As consumer behaviour changes so must
the ways in which companies engage with their audience by interacting every step of the customers’
journey (Lecinski 2014). As a result, Zero Moment of Truth (ZMOT) was introduced as a framework
for companies to revolutionize the way “consumers search for information online and make
decisions regarding brands” (Lecinski 2014, p.28). Creating a stimulus is a key component to
interacting with customers and generating interest to successfully incorporate the four moments of
truth, which is key to understanding the customer journey (Solis 2013). A customer journey is the
full lifecycle view of a customer’s engagement and interaction with a particular brand, which allows
for a feasible prediction of establishing certain behavioural patterns towards purchasing (Zener
2013).
“42% of businesses have no digital customer journey”
Brian Solis (2013)
“Touch points are only updated with new social and mobile technologies”
The stimulus occurs the moment a customer is first exposed to a brand through advertising such as
radio, video or podcasts (Sharma 2013). Ben is driving to work listening to his local radio station
when he hears Sandbanks Hotel in Poole are offering a ‘kids go free’ campaign throughout
September. Due to work commitments and saving for a bigger family house, Ben advised his
children that a summer holiday was unlikely this year, however his awareness to Sandbanks Hotel
promotion was too good to turn down and acted as a stimulus. Figure 3 below identifies the ZMOT
model, which is key to the customer journey as it shapes the consumers purchase decision.
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Figure	3:	PR	Smith’s	Zero	Moment	of	Truth	Model
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According to Solis (2013), the connected consumers of today value information from friends,
reviews and shared experiences the most, compared to what companies publish online. Therefore,
influence is a key component to the experience a customer encounters in the Zero Moment of Truth
(ZMOT), as this defines the expression people share of your company. Sandbanks Hotel has a good
online presence of digital channels that allows the customer to engage and share their experience.
More importantly, understanding the new customer journey throughout the ultimate moment of truth
(UMOT) is important to discovering touch points and sources that influence truth to what people
share online through their experience (Solis 2013). Sandbanks Hotel has numerous bad reviews on
TripAdvisor in conjunction with their afternoon tea service and quality. However, responding to the
reviews through action will ultimately create positive word of mouth by generating awareness,
advocacy and influence for the next persons ZMOT (Chaffey and Smith 2013). A customer’s journey
showing how people leap from one channel to another during the buying process is illustrated in
figure 4 below.
Figure 4: Customer Journey Touch Points
	
Source:	B2B	Marketing	Experiences-	De	Baere	(2015)
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5.0	VALUE	PROPOSITION:		
	
Online value proposition concerns emphasising core brand values and effectively summarise what a
customer can get from you online, which they can’t find anywhere else (Chaffey and Smith 2013).
According to Chaffey and Smith (2013, p.300) there are 3 core online proposition components that
an organisations website should ensure they are offering that; “is different from your competitors, is
not available in the real world and makes a difference to your customers lives.” To help businesses
create a suitable strategy to develop products or services that customers want to buy, Peter Thomson
(2013) created the ‘Value Proposition Design Canvas’ as seen below in figure 5, with the purpose of
examining the human experience of their customers. The design specifically for Sandbanks Hotel
can be seen in figure 6.
The success of a service industry is heavily dependent on its positioning and differentiation strategy
that determines a well-crafted value proposition, which gives the company a competitive advantage
(Murray 2013). Marketers should compare their value proposition in conjunction with competitors to
ensure how they can optimise and develop a unique online experience (Chaffey and Smith 2013).
Figure 5: Peter Thomson Value Proposition Canvas
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Sandbanks Hotel is in the service industry offering a variety of products that forms a value
proposition for specific customer segments (Thomson 2013). The hotel offers unique selling points
(USP) in terms of being located on the sea front offering a variety of water activities, which
differentiates itself to other competitors. Additionally, the hotel offers easy access to a variety of
kids’ activities and entertainment such as; kids club and water sports summer camp, therefore
offering touch points to customers needs and wants. A core aspect of the value proposition is to
address the fundamental needs of the customers by fulfilling their happiness. A solution to rectify
this customer’s pain is to provide a set of objectives surrounding the unique products or services
offered, such as watersports, parking facilities and family rooms whilst implementing strategy by
offering great value for money. As a result, this will improve gain by developing brand loyalty and
engagement. 	
Figure 6: Adapted Value Proposition Canvas
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6.0	OBJECTIVES:	
Objectives are a key component to the long-term strategy of a business to develop clear benefits that
will gain a competitive advantage (Smith and Chaffey 2013). To achieve this, appropriate resources
need to be allocated to achieve the objectives of where Sandbanks Hotel is going before deciding on
strategy of how to get there. A useful framework to achieve the objectives is utilising the 5’s (Sell,
Serve, Speak, Save and Sizzle) as seen in figure 7. According to Smith and Chaffey (2013, p.24)
there are five broad benefits to optimise e-marketing as seen in table 1 below.
Table 1: 5 key objectives for e-marketing
1. Grow sales through wider distribution, promotion and sales.
2. Add value by giving customers extra benefits online.
3. Get closer to customers by tracking them online, asking questions and creating
dialogue.
4. Save costs of service, promotions, sales transactions, print and post to increase profits
on transactions.
5. Extend the brand online. Reinforce brand values in a totally new medium.
The main objectives for improving the business of Sandbanks Hotel is by creating a content hub to
extend presence online through sizzle by refining branding metrics such as, reach and engagement
(Marketing Insights 2016). The dependency of independent hoteliers on online travel agencies
(OTA) is rapidly increasing with 74% of bookings in Europe believed to come from OTA’s in 2015,
see figure 6 (Kearney 2016).
“87% of hotels named Booking.com as their top producing OTA” (Kearney 2016)
One of the main objectives is to substantially decrease the heavy presence of dependency Sandbanks
Hotel currently has on OTA’s, which falls under sell of the 5’s. The hotel presently deals with over
ten OTA’s including Booking.com and Expedia (see figure 7 below), with the key objective set to
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reduce this by 20% in the next 12 months, thus optimising direct online bookings and evidently
increasing customer acquisition. Currently, Sandbanks Hotel guarantees their customers the best rate
if booked directly on their website. However, to increase reach and direct bookings to landing pages,
a call to action instruction, such as ‘book today for guaranteed best rates’ can be implemented to
owned media channels such as Facebook.
Search engine marketing (SEM) encourages click through rates to the website when user types a
specific keyword phrase targeting audiences at moments of intent to increase Sandbanks Hotel’s
average position. Additionally, Sandbanks Hotel currently lacks paid media tools such as Google
AdWords to measure SEO, which is important to boost
average position amongst competitors to achieve high
levels of traffic and improve conversion results (Kaushik
2010). Integrating retargeting, keywords and PPC will
drive more direct searchers to owned media sites. ‘Speak’
is key to getting closer to customers by improving
response rates by 50% through optimising social media
marketing. As a result, this will increase Sandbanks Hotel
awareness by sizzling customers experience through content media by showcasing videos, therefore
generating social engagement such as shares and comments. Content marketing allows businesses to
potentially create a better customer experience and add significant value (Angulo 2016). Video will
account for 75% of all Internet traffic in 2017 according to Angulo (2016).
Figure 7: Objectives for the 5s e-marketing
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7.0	CURRENT	MARKETING	STRATEGY:	
	
Media is a key component to contribute a fundamental digital marketing strategy through earned,
owned and paid media (see figure 8). In order to rectify the current situation of Sandbanks Hotel and
improve service, the existing marketing strategy needs to be assessed. The hotel integrates well with
content participation through third party websites, such as TripAdvisor by responding to feedback
and therefore maximising favourable mentions. However, backlink distribution can optimise website
traffic when responding to feedback, which can also be integrated amongst other owned media, such
as Facebook and Twitter.
The website contains content media on the homepage of aerial footage of Sandbanks to engage site
visitors. However, videos, interactive and user generated content can be improved on owned digital
properties to increase awareness to drive visitors to the website, which can influence and convert
potential buyers. This can be paramount to gaining credibility online by encouraging click through
rates. Evidently, the content media can be uploaded to owned social media accounts, which can
generate mentions, shares, likes and online word of mouth to promote Sandbanks Hotel by targeting
specific segments. Current marketing also consists of dependency of online travel agents (OTA) such
as Booking.com, Trivago and Expedia, which increases substantial reach on high-ranking websites.
Alternatively, by providing a proposition value of combining products such as family room with
watersports for a special price can add value through service.
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Figure 8: Showing Sandbanks Hotel current paid, owned and earned media content
with recommendations for future strategy
	
	
	
	
EarnedOwnedPaid
Facebook
Twitter
Linkedin
YouTube
Google Plus
Website
Facebook images
and video shares
TripAdvisor
Reviews
Facebook Reviews
Geo­tagging
Google AdWords
Booking.com
Expedia
Trivago
Kayak
Secret Escapes
Sanbanks Hotel have a high presence on owned media such as
Facebook, however limited engagement with customers is evident.
Therefore implementing a strategy to increase response rates on
reviews by commenting and sharing posts will substantially increase
awareness and engagement. Additionally, acting to reviews by
responding on third party website such as TripAdvisor (earned media)
with backlinks to peoples issues or problems will lead customers
directly to the website, therefore reducing bounce rates, converting
potential customers to buyers and building customer reputation.
Increasing conversion rates through marketing investment (Paid
media) using influencers with high number of social media followers to
blog about Sandbanks Hotel to raise awareness and promote offers.
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8.0	TACTICS	AND	RECOMMENDATIONS:	
Essentially, tactics are the core details of strategy by requiring an understanding of how each tactical
e-tools work or cannot work, such as opt-in email, social media marketing or display ads (Chaffey
and Smith 2013). In order to successfully implement Sandbanks Hotel’s objectives through content
marketing, a tactical approach is needed to ensure each stage of the RACE framework is analysed by
giving recommendations of how to achieve the strategic goals, as seen in figure 9 below (Chaffey
and Smith 2013). Key performance indicators (KPI’s) are implemented to measure and control
performance as demonstrated in the last section of the SOSTAC planning framework.
Figure 9: PRACE Framework combining objectives to E- marketing tactics
	
Source: Smart Insights by Dave Chaffey (2015)
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Objectives Recommendations to achieve strategic
goal
KPI
Boost search
engine
optimisation
(SEO)
Increase reach
and awareness
by building a
relationship
with 1-2
influencers
within 12
According to websitegrader.com (2016),
Sandbanks Hotel is currently ranked 30 out
of 30 for SEO suggesting the website to be
easily reached via Google search engine,
therefore creating substantial reach.
Additionally, utilising keywords such as
‘best hotels in Poole’ are heavily occupied
by OTA’s who significant levels of reach in
Google search engine, which may suggest
their dependency of OTA’s. However, a
more holistic approach is recommended to
increase reach and direct bookings to
landing pages, a call to action instruction,
such as ‘book today for guaranteed best
rates’ can be implemented to owned media
channels such as Facebook through SEO to
boost organic visibility.
Sandbanks Hotel has a large social media
following with nearly 5,000 Facebook likes,
40,000 check-ins and over 3,000 Twitter
followers. However, they do not utilise their
large following by externally targeting
influencers within the travel industry.
Targeting influencers such as bloggers can
Create a Google
AdWords account to
effectively measure
‘Click Through Rates’
to convert traffic to
Sandbanks Hotel
landing page. Our
Google AdWords
campaign budget was
only $200; however
increasing the budget
could considerably
increase a return on
investment (ROI).
Monitor social media
performance by the
number of followers
converted and the
engagement rate.
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months generate substantial reach through their
large following, which can influence trust,
exposure and popularity for the hotel
through promotional campaign. Shares,
comments and e-word of mouth can convert
potential new customers to buying the
service and saving costs on traditional
media. Marketers look at influencers as a top
of the funnel tactic to generate the most
awareness through familiar and trusted
online channels such as Facebook
(Doughetry 2015).
Objectives Recommendations to achieve strategic goal KPI
Create and
deliver at least
one online
content media
per month to
enhance brand
image and
reduce the
bounce rate by
25%
Although the home page engages with
customer with video content consisting of
drone footage of Sandbanks, minimal
engagement is created via owned social media
channels. Interactive tools are recommended
to create video content to interact with new
customers, which leads traffic directly to the
website and reduces bounce rate. Uploading
videos of user-generated content of
families/couples using gifts offered by the
hotel such as watersports can increase social
media engagement and fuel lead generation
by reducing bounce rate due to exploring
Sandbanks Hotel website further.
Use social media
management system such
as Hootsuite to measure
conversion rates before
and after implementing
content media across
owned channels.
Similarly, measuring
bounce rates using
Google Analytics to
analyse percentage of
visitors who explore the
website past the landing
page
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Objectives Recommendations to achieve strategic goal KPI
Reduce
dependency of
OTA’s by 20%
in the next 12
months
Sandbanks Hotel is heavily dependent on
OTA’s to fill empty rooms but this also
increases reach. Consequently, Sandbanks
Hotel pays 15-20% commission to online
travel agents, resulting in a reduction of
revenue. To successfully convert the number
of customers booking directly to the website,
a clear and simple engagement funnel is
required to increase customer acquisition. To
increase conversion rate and reduce third
party bookings, developing affiliate marketing
partners such as Affiliate Window, can
subsequently reduce high commission sites
such as Booking.com. Engaging with affiliate
marketing networks such as Affiliate
Window, only charge commission of 6-8%
opposed to 20-25% by OTA’s once a
customer has purchased a hotel room (Weston
2013). This e-retailer marketing strategy can
significantly reduce costs (save) by less
commission and increase ‘sales’ through
reach. According to Affiliate Window (2016),
UK consumers spent over £150m via affiliate
websites in 2013, suggesting a growing digital
trend.
Reduce dependency of
online travel agents by
20%, which can be
measured using the
conversion rate metric
on Google Analytics.
Additionally, affiliate
networks provide
regular advertising
methods such as PPC
and SEO.
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Objectives Recommendations to achieve strategic goal KPI
Increase
customer
engagement
and response
rates online by
50% through
social media
(Owned media)
Increase
outbound e-
mail marketing
by 50% in next
12 months
through
exclusive offers
to increase
repeat
customers
Reviews equal ‘trust and social proof’ (Chaffey
2013, p.128). Increasing reviews from 0-50
significantly increases conversions by 4%.
Sandbanks Hotel is good at engaging with
customers on TripAdvisor by responding to nearly
all reviews. However, Facebook reviews and
Twitter reviews are becoming increasingly
popular, which the hotel fails to engage with.
Commenting on posts will lead to growth in
conversions on their owned media, contribute to
SEO by optimising content and encourages
prospective buyers to buy rooms.
Developing long-term customer loyalty is seen as
one of the most challenging components for
marketers (Chaffey 2013). E-mail marketing is
applied by Sandbanks Hotel using ‘promotion’ of
the marketing mix to promote offers and serve
previous customers on a monthly basis with
dialogue updates through e-newsletters. However,
developing a lifecycle marketing automation by
integrating a promotional email campaign will
significantly add customer advocacy and benefit
Sandbanks Hotel due to having a large distribution
net. To optimise repeat sales, the client can
implement special offers to existing customers via
Measure performance
drivers such as active
social followers and
active customers via
website and email.
Measure customer
advocacy by customer
satisfaction surveys
distributed by email.
Measuring the number
of repeat bookings per
customer is another
key performance
indicator (KPI).
Additionally,
measuring the exact
return on investment
using Google
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9.0	ACTIONS:		
	
According to Chaffey and Smith (2013), action includes executing the tactical details of strategy by
putting the marketing plan to work. In order to action the plan, three key budget resources are
needed: Men (manpower to do the job), money (financial resources) and resources (time to meet
deadline) (Krishnan 2015). Sandbanks Hotel’s marketing department consists of three members of
staff who must action the objectives and tactics mentioned within the marketing plan by distributing
the workload. Social media channels must be constantly monitored and managed by uploading
content media and creating dialogue by responding to queries to generate USP by offering
competitive advantage as ‘95% of Facebook questions remain unanswered’ (Meyer 2014). Boosting
SEO requires constant attention to measure and update specific keywords in order to improve the
performance of organic searches to increase average position. Engaging with influencers and
communicating with affiliate networks to reduce OTA’s is another key component that requires
resources. Frequent meetings and project management schedules need careful preparation in order to
implement the series of action for each tactic. Furthermore, a realistic budget must be integrated to
efficiently measure ROI and amend costs depending if sales are lower or higher than expected.
	
	
online distribution channel, consisting of email
that must be booked directly on the website to
redeem offer, therefore potentially converting
existing customers to purchase again, creating a
sizzle effect. A price marketing mix can be
applied through exclusive offers that include
booking a family room, which includes half price
offer on watersports or kids club to maintain
satisfaction and customer loyalty.
Analytics ‘Beyond the
click tracking’, which
measures customer
behaviour of people
who clicked directly
to the website through
the email (Chaffey
2016).
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10.0	CONCLUSION:		
	
Creating a customer persona allowed for a detailed analysis of Sandbanks Hotel’s current situation in
order to identify potential customers online behaviour and motivations. A key aspect of utilising the
customer journey effectively is for Sandbanks Hotel to optimise the ultimate moment of truth, which
lead to developing a ‘speak’ objective of increasing customer response rate and engagement by 50%
through owned social media channels, will raise conversion rates allowing to influence another
persons ZMOT. With being a service industry, the hotel is heavily dependent on positioning and
differentiation. Evidently, a focus on USP was recommended to enhance their value proposition with
the aim of increasing outbound e-mail marketing by 50% in the next 12 months. Achieved by
combining products to optimise repeat sales by implementing special offers exclusively to existing
customers via e-mail marketing to save costs, therefore increasing satisfaction and loyalty. To
reduce Sandbanks Hotel’s heavy dependency of OTA’s by 20% in the next 12 months, it was
recommended to develop affiliate marketing partners to reduce commission rates, increase reach,
boost average position and ultimately drive traffic directly to the website and potentially increase
direct bookings.
According to Angulo (2016) digital video and social media will become the biggest game changers
within content marketing by triggering brand advocates. Furthermore, video is set to account for
74% of Internet traffic by 2017. Therefore, it was recommended for Sandbanks Hotel to create and
distribute at least one video content per month to reduce the bounce rate by 25%. Uploading user-
generated content will raise social media engagement through sharing and commenting on content
and provide an incentive for lead generation by exploring the website further past the landing page.
According to Smart Insights (2016), the most common starting points for mobile research are
through search (48%) with travel/tourism accounting for 28%. Providing web pages that are
responsive to mobile use is highly recommended, with mobile users estimated to spend 94% of their
time on apps in 2017. A feasible recommendation would be for Sandbanks Hotel to create an app to
ultimately increase direct bookings and optimise revenue.
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11.0	REFERNCES:		
	
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dependency [online]. Malaga: The Sight Theme. Available from:
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Lecinski, J., 2011. Winning the zero moment of truth [online]. 1st edition. Mountain View: Google
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Sharma, H., 2013. How to use ZMOT to increase Conversions and Sales exponentially [online].
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Digital Marketing Report PDF i7901137

  • 1. 1
  • 2. 2 EXECUTIVE SUMMARY: Sandbanks Hotel is a 4-star small family hotel operated under the brand name of FJB Hotels, which is situated on the Sandbanks peninsula in Poole, Dorset on the South Coast of England. Their large target audience consists predominately of families and offers various unique selling points (USP), such as ‘kids go free’ deals, combined with having exceptional family sea view rooms with direct access to the blue flag beach, providing a choice of water activities. A customer persona is created to identify a value proposition in order to develop a strategic digital marketing plan by using the SOSTAC framework as a guideline throughout the report to develop recommendations based on objectives. Objectives include, reducing dependency of online travel agents by converting to affiliate marketing networks to increase direct bookings. Expanding social media presence by interacting with potential customers through user-generated content. Furthermore, retaining customer loyalty by optimising repeat sales through increasing outbound e-mail marketing providing exclusive offers. The recommendations could potentially be achieved by executing promotional campaigns to retain customer advocacy. Word count: 2,746
  • 3. 3 TABLE OF CONTENTS Executive Summary: ........................................................................................................................ 2 1.0 Introduction:.............................................................................................................................. 4 2.0 Situation Analysis: ..................................................................................................................... 5 3.0 Customer Persona:..................................................................................................................... 6 4.0 Customer Journey:..................................................................................................................... 8 5.0 Value Proposition: ................................................................................................................... 11 6.0 Objectives:............................................................................................................................... 13 7.0 Current Marketing Strategy:.................................................................................................... 15 8.0 Tactics and Recommendations: ............................................................................................... 17 9.0 Actions:.................................................................................................................................... 22 10.0 Conclusion: ............................................................................................................................ 23 11.0 Refernces: .............................................................................................................................. 24
  • 4. 4 1.0 INTRODUCTION: According to Mahajan and Wind (2002, p.3), the digital uprising has “shaken marketing to its core”. Digital marketing has revolutionized the way consumers engage with products by putting them in charge, and therefore creating an important modification in the dynamics of marketing. The Sandbanks Hotel has recently adjusted their marketing plan to integrate more with consumers through digital platforms in order to gain further customer insight. By focusing on the upcoming digital trend of mobile search and social, Sandbanks Hotel invested £60,000 to their website in 2014 with web developers, Shotgun Front. However, the website consists of tools such as videos of the hotels facilities and features, which are unresponsive on mobile devices. Brands should optimize their website for Search Engine Optimization (SEO) to ensure all devices are responsive on all search platforms to increase recall and engagement (Tilton 2012). Additionally, navigation on the website can be confusing, particularly for the older generation who are a key target market that favour a more simplistic design and approach. The structure of the report will initially outline the customer’s demographic persona in order to further understand consumers journey and behaviour. This will allow for a clear marketing
  • 5. 5 integration plan to impose a value proposition by convincing potential customers to successfully rectify Sandbanks Hotel current situation by driving website traffic, increase direct bookings and revenue. Evidently, this will be achieved by using PR Smith’s SOSTAC Model as a guideline to implement a strategic plan based on the objectives. The RACE framework will be applied to ensure a tactical approach is followed by providing recommendations through key performance indicators (KPI’s). 2.0 SITUATION ANALYSIS: In order to critically analyse and plan the Sandbanks Hotel’s digital marketing strategy, PR Smith’s SOSTAC Model (Figure 1 below) will act as a foundation to the structure of this report. Specific key aspects of the SOSTAC Model will be analysed throughout to implement certain marketing planning frameworks and to make feasible recommendations going forward. Figure 1: PR Smith’s SOSTAC Model The model is becoming increasingly common amongst industry professionals to produce marketing, e-marketing and advertising plans (Chaffey and Smith 2013). SOSTAC stands for: Situation analysis, Objectives and Strategy, Tactics, Action and Control. To gain a further understanding of
  • 6. 6 customer insights, the situation analysis is a key component in identifying personas. The broad segmentation of situation analysis is, ‘where are we now’ in terms of the number of customers who are currently buying or influenced by the online content offered (Chaffey and Smith 2013). These include areas such as, how Sandbanks Hotel are currently performing, competitors, utilising the appropriate communication channels and how effective is the current marketing mix (Swan 2016). However, to optimize future online marketing growth, a customer persona needs to be created to enhance the existing customer base and understand their motivations (Swan 2016). 3.0 CUSTOMER PERSONA: According to Target Internet (2016) a marketing persona is a fictional character that has been created to characterise specific key traits of a certain group associated with your target audience. According to Vaughan (2015), understanding your buyer’s personas is crucial to driving content creation and sales to maximise customer acquisition and retention. As seen in figure 2 below, Ben Simmers is a 38-year-old male who is married with two children, Lucy 8 and George 11. Ben is significantly tech savvy due to his young age and became heavily influenced by the rise of social media once he graduated from Warwick University. The Simmers are a very adventurous family who enjoy trying new activities and exploring new destinations. Ben thoroughly enjoys capturing quality moments with his family on his Canon camera and sharing the experiences to his social media followers. His key attributes are implementing social media for his Letting Agency to advertise and promote a specific target market of students. Social media engagement has allowed for significant reach due to the increasing popularity of mobile search, by targeting key demographic areas within the suburbs of London. His wife, Mary describes her husband as “utilising their broadband to the maximum by browsing the web on his mobile an average of 2 hours a night”.
  • 7. 7 Figure 2: Customer Insight Persona
  • 8. 8 4.0 CUSTOMER JOURNEY: Understanding consumer behaviour has never been more important due to constantly changing as a result of advances in technology (Calcott and Weller 2012). As consumer behaviour changes so must the ways in which companies engage with their audience by interacting every step of the customers’ journey (Lecinski 2014). As a result, Zero Moment of Truth (ZMOT) was introduced as a framework for companies to revolutionize the way “consumers search for information online and make decisions regarding brands” (Lecinski 2014, p.28). Creating a stimulus is a key component to interacting with customers and generating interest to successfully incorporate the four moments of truth, which is key to understanding the customer journey (Solis 2013). A customer journey is the full lifecycle view of a customer’s engagement and interaction with a particular brand, which allows for a feasible prediction of establishing certain behavioural patterns towards purchasing (Zener 2013). “42% of businesses have no digital customer journey” Brian Solis (2013) “Touch points are only updated with new social and mobile technologies” The stimulus occurs the moment a customer is first exposed to a brand through advertising such as radio, video or podcasts (Sharma 2013). Ben is driving to work listening to his local radio station when he hears Sandbanks Hotel in Poole are offering a ‘kids go free’ campaign throughout September. Due to work commitments and saving for a bigger family house, Ben advised his children that a summer holiday was unlikely this year, however his awareness to Sandbanks Hotel promotion was too good to turn down and acted as a stimulus. Figure 3 below identifies the ZMOT model, which is key to the customer journey as it shapes the consumers purchase decision.
  • 10. 10 According to Solis (2013), the connected consumers of today value information from friends, reviews and shared experiences the most, compared to what companies publish online. Therefore, influence is a key component to the experience a customer encounters in the Zero Moment of Truth (ZMOT), as this defines the expression people share of your company. Sandbanks Hotel has a good online presence of digital channels that allows the customer to engage and share their experience. More importantly, understanding the new customer journey throughout the ultimate moment of truth (UMOT) is important to discovering touch points and sources that influence truth to what people share online through their experience (Solis 2013). Sandbanks Hotel has numerous bad reviews on TripAdvisor in conjunction with their afternoon tea service and quality. However, responding to the reviews through action will ultimately create positive word of mouth by generating awareness, advocacy and influence for the next persons ZMOT (Chaffey and Smith 2013). A customer’s journey showing how people leap from one channel to another during the buying process is illustrated in figure 4 below. Figure 4: Customer Journey Touch Points Source: B2B Marketing Experiences- De Baere (2015)
  • 11. 11 5.0 VALUE PROPOSITION: Online value proposition concerns emphasising core brand values and effectively summarise what a customer can get from you online, which they can’t find anywhere else (Chaffey and Smith 2013). According to Chaffey and Smith (2013, p.300) there are 3 core online proposition components that an organisations website should ensure they are offering that; “is different from your competitors, is not available in the real world and makes a difference to your customers lives.” To help businesses create a suitable strategy to develop products or services that customers want to buy, Peter Thomson (2013) created the ‘Value Proposition Design Canvas’ as seen below in figure 5, with the purpose of examining the human experience of their customers. The design specifically for Sandbanks Hotel can be seen in figure 6. The success of a service industry is heavily dependent on its positioning and differentiation strategy that determines a well-crafted value proposition, which gives the company a competitive advantage (Murray 2013). Marketers should compare their value proposition in conjunction with competitors to ensure how they can optimise and develop a unique online experience (Chaffey and Smith 2013). Figure 5: Peter Thomson Value Proposition Canvas
  • 12. 12 Sandbanks Hotel is in the service industry offering a variety of products that forms a value proposition for specific customer segments (Thomson 2013). The hotel offers unique selling points (USP) in terms of being located on the sea front offering a variety of water activities, which differentiates itself to other competitors. Additionally, the hotel offers easy access to a variety of kids’ activities and entertainment such as; kids club and water sports summer camp, therefore offering touch points to customers needs and wants. A core aspect of the value proposition is to address the fundamental needs of the customers by fulfilling their happiness. A solution to rectify this customer’s pain is to provide a set of objectives surrounding the unique products or services offered, such as watersports, parking facilities and family rooms whilst implementing strategy by offering great value for money. As a result, this will improve gain by developing brand loyalty and engagement. Figure 6: Adapted Value Proposition Canvas
  • 13. 13 6.0 OBJECTIVES: Objectives are a key component to the long-term strategy of a business to develop clear benefits that will gain a competitive advantage (Smith and Chaffey 2013). To achieve this, appropriate resources need to be allocated to achieve the objectives of where Sandbanks Hotel is going before deciding on strategy of how to get there. A useful framework to achieve the objectives is utilising the 5’s (Sell, Serve, Speak, Save and Sizzle) as seen in figure 7. According to Smith and Chaffey (2013, p.24) there are five broad benefits to optimise e-marketing as seen in table 1 below. Table 1: 5 key objectives for e-marketing 1. Grow sales through wider distribution, promotion and sales. 2. Add value by giving customers extra benefits online. 3. Get closer to customers by tracking them online, asking questions and creating dialogue. 4. Save costs of service, promotions, sales transactions, print and post to increase profits on transactions. 5. Extend the brand online. Reinforce brand values in a totally new medium. The main objectives for improving the business of Sandbanks Hotel is by creating a content hub to extend presence online through sizzle by refining branding metrics such as, reach and engagement (Marketing Insights 2016). The dependency of independent hoteliers on online travel agencies (OTA) is rapidly increasing with 74% of bookings in Europe believed to come from OTA’s in 2015, see figure 6 (Kearney 2016). “87% of hotels named Booking.com as their top producing OTA” (Kearney 2016) One of the main objectives is to substantially decrease the heavy presence of dependency Sandbanks Hotel currently has on OTA’s, which falls under sell of the 5’s. The hotel presently deals with over ten OTA’s including Booking.com and Expedia (see figure 7 below), with the key objective set to
  • 14. 14 reduce this by 20% in the next 12 months, thus optimising direct online bookings and evidently increasing customer acquisition. Currently, Sandbanks Hotel guarantees their customers the best rate if booked directly on their website. However, to increase reach and direct bookings to landing pages, a call to action instruction, such as ‘book today for guaranteed best rates’ can be implemented to owned media channels such as Facebook. Search engine marketing (SEM) encourages click through rates to the website when user types a specific keyword phrase targeting audiences at moments of intent to increase Sandbanks Hotel’s average position. Additionally, Sandbanks Hotel currently lacks paid media tools such as Google AdWords to measure SEO, which is important to boost average position amongst competitors to achieve high levels of traffic and improve conversion results (Kaushik 2010). Integrating retargeting, keywords and PPC will drive more direct searchers to owned media sites. ‘Speak’ is key to getting closer to customers by improving response rates by 50% through optimising social media marketing. As a result, this will increase Sandbanks Hotel awareness by sizzling customers experience through content media by showcasing videos, therefore generating social engagement such as shares and comments. Content marketing allows businesses to potentially create a better customer experience and add significant value (Angulo 2016). Video will account for 75% of all Internet traffic in 2017 according to Angulo (2016). Figure 7: Objectives for the 5s e-marketing
  • 15. 15 7.0 CURRENT MARKETING STRATEGY: Media is a key component to contribute a fundamental digital marketing strategy through earned, owned and paid media (see figure 8). In order to rectify the current situation of Sandbanks Hotel and improve service, the existing marketing strategy needs to be assessed. The hotel integrates well with content participation through third party websites, such as TripAdvisor by responding to feedback and therefore maximising favourable mentions. However, backlink distribution can optimise website traffic when responding to feedback, which can also be integrated amongst other owned media, such as Facebook and Twitter. The website contains content media on the homepage of aerial footage of Sandbanks to engage site visitors. However, videos, interactive and user generated content can be improved on owned digital properties to increase awareness to drive visitors to the website, which can influence and convert potential buyers. This can be paramount to gaining credibility online by encouraging click through rates. Evidently, the content media can be uploaded to owned social media accounts, which can generate mentions, shares, likes and online word of mouth to promote Sandbanks Hotel by targeting specific segments. Current marketing also consists of dependency of online travel agents (OTA) such as Booking.com, Trivago and Expedia, which increases substantial reach on high-ranking websites. Alternatively, by providing a proposition value of combining products such as family room with watersports for a special price can add value through service.
  • 16. 16 Figure 8: Showing Sandbanks Hotel current paid, owned and earned media content with recommendations for future strategy EarnedOwnedPaid Facebook Twitter Linkedin YouTube Google Plus Website Facebook images and video shares TripAdvisor Reviews Facebook Reviews Geo­tagging Google AdWords Booking.com Expedia Trivago Kayak Secret Escapes Sanbanks Hotel have a high presence on owned media such as Facebook, however limited engagement with customers is evident. Therefore implementing a strategy to increase response rates on reviews by commenting and sharing posts will substantially increase awareness and engagement. Additionally, acting to reviews by responding on third party website such as TripAdvisor (earned media) with backlinks to peoples issues or problems will lead customers directly to the website, therefore reducing bounce rates, converting potential customers to buyers and building customer reputation. Increasing conversion rates through marketing investment (Paid media) using influencers with high number of social media followers to blog about Sandbanks Hotel to raise awareness and promote offers.
  • 17. 17 8.0 TACTICS AND RECOMMENDATIONS: Essentially, tactics are the core details of strategy by requiring an understanding of how each tactical e-tools work or cannot work, such as opt-in email, social media marketing or display ads (Chaffey and Smith 2013). In order to successfully implement Sandbanks Hotel’s objectives through content marketing, a tactical approach is needed to ensure each stage of the RACE framework is analysed by giving recommendations of how to achieve the strategic goals, as seen in figure 9 below (Chaffey and Smith 2013). Key performance indicators (KPI’s) are implemented to measure and control performance as demonstrated in the last section of the SOSTAC planning framework. Figure 9: PRACE Framework combining objectives to E- marketing tactics Source: Smart Insights by Dave Chaffey (2015)
  • 18. 18 Objectives Recommendations to achieve strategic goal KPI Boost search engine optimisation (SEO) Increase reach and awareness by building a relationship with 1-2 influencers within 12 According to websitegrader.com (2016), Sandbanks Hotel is currently ranked 30 out of 30 for SEO suggesting the website to be easily reached via Google search engine, therefore creating substantial reach. Additionally, utilising keywords such as ‘best hotels in Poole’ are heavily occupied by OTA’s who significant levels of reach in Google search engine, which may suggest their dependency of OTA’s. However, a more holistic approach is recommended to increase reach and direct bookings to landing pages, a call to action instruction, such as ‘book today for guaranteed best rates’ can be implemented to owned media channels such as Facebook through SEO to boost organic visibility. Sandbanks Hotel has a large social media following with nearly 5,000 Facebook likes, 40,000 check-ins and over 3,000 Twitter followers. However, they do not utilise their large following by externally targeting influencers within the travel industry. Targeting influencers such as bloggers can Create a Google AdWords account to effectively measure ‘Click Through Rates’ to convert traffic to Sandbanks Hotel landing page. Our Google AdWords campaign budget was only $200; however increasing the budget could considerably increase a return on investment (ROI). Monitor social media performance by the number of followers converted and the engagement rate.
  • 19. 19 months generate substantial reach through their large following, which can influence trust, exposure and popularity for the hotel through promotional campaign. Shares, comments and e-word of mouth can convert potential new customers to buying the service and saving costs on traditional media. Marketers look at influencers as a top of the funnel tactic to generate the most awareness through familiar and trusted online channels such as Facebook (Doughetry 2015). Objectives Recommendations to achieve strategic goal KPI Create and deliver at least one online content media per month to enhance brand image and reduce the bounce rate by 25% Although the home page engages with customer with video content consisting of drone footage of Sandbanks, minimal engagement is created via owned social media channels. Interactive tools are recommended to create video content to interact with new customers, which leads traffic directly to the website and reduces bounce rate. Uploading videos of user-generated content of families/couples using gifts offered by the hotel such as watersports can increase social media engagement and fuel lead generation by reducing bounce rate due to exploring Sandbanks Hotel website further. Use social media management system such as Hootsuite to measure conversion rates before and after implementing content media across owned channels. Similarly, measuring bounce rates using Google Analytics to analyse percentage of visitors who explore the website past the landing page
  • 20. 20 Objectives Recommendations to achieve strategic goal KPI Reduce dependency of OTA’s by 20% in the next 12 months Sandbanks Hotel is heavily dependent on OTA’s to fill empty rooms but this also increases reach. Consequently, Sandbanks Hotel pays 15-20% commission to online travel agents, resulting in a reduction of revenue. To successfully convert the number of customers booking directly to the website, a clear and simple engagement funnel is required to increase customer acquisition. To increase conversion rate and reduce third party bookings, developing affiliate marketing partners such as Affiliate Window, can subsequently reduce high commission sites such as Booking.com. Engaging with affiliate marketing networks such as Affiliate Window, only charge commission of 6-8% opposed to 20-25% by OTA’s once a customer has purchased a hotel room (Weston 2013). This e-retailer marketing strategy can significantly reduce costs (save) by less commission and increase ‘sales’ through reach. According to Affiliate Window (2016), UK consumers spent over £150m via affiliate websites in 2013, suggesting a growing digital trend. Reduce dependency of online travel agents by 20%, which can be measured using the conversion rate metric on Google Analytics. Additionally, affiliate networks provide regular advertising methods such as PPC and SEO.
  • 21. 21 Objectives Recommendations to achieve strategic goal KPI Increase customer engagement and response rates online by 50% through social media (Owned media) Increase outbound e- mail marketing by 50% in next 12 months through exclusive offers to increase repeat customers Reviews equal ‘trust and social proof’ (Chaffey 2013, p.128). Increasing reviews from 0-50 significantly increases conversions by 4%. Sandbanks Hotel is good at engaging with customers on TripAdvisor by responding to nearly all reviews. However, Facebook reviews and Twitter reviews are becoming increasingly popular, which the hotel fails to engage with. Commenting on posts will lead to growth in conversions on their owned media, contribute to SEO by optimising content and encourages prospective buyers to buy rooms. Developing long-term customer loyalty is seen as one of the most challenging components for marketers (Chaffey 2013). E-mail marketing is applied by Sandbanks Hotel using ‘promotion’ of the marketing mix to promote offers and serve previous customers on a monthly basis with dialogue updates through e-newsletters. However, developing a lifecycle marketing automation by integrating a promotional email campaign will significantly add customer advocacy and benefit Sandbanks Hotel due to having a large distribution net. To optimise repeat sales, the client can implement special offers to existing customers via Measure performance drivers such as active social followers and active customers via website and email. Measure customer advocacy by customer satisfaction surveys distributed by email. Measuring the number of repeat bookings per customer is another key performance indicator (KPI). Additionally, measuring the exact return on investment using Google
  • 22. 22 9.0 ACTIONS: According to Chaffey and Smith (2013), action includes executing the tactical details of strategy by putting the marketing plan to work. In order to action the plan, three key budget resources are needed: Men (manpower to do the job), money (financial resources) and resources (time to meet deadline) (Krishnan 2015). Sandbanks Hotel’s marketing department consists of three members of staff who must action the objectives and tactics mentioned within the marketing plan by distributing the workload. Social media channels must be constantly monitored and managed by uploading content media and creating dialogue by responding to queries to generate USP by offering competitive advantage as ‘95% of Facebook questions remain unanswered’ (Meyer 2014). Boosting SEO requires constant attention to measure and update specific keywords in order to improve the performance of organic searches to increase average position. Engaging with influencers and communicating with affiliate networks to reduce OTA’s is another key component that requires resources. Frequent meetings and project management schedules need careful preparation in order to implement the series of action for each tactic. Furthermore, a realistic budget must be integrated to efficiently measure ROI and amend costs depending if sales are lower or higher than expected. online distribution channel, consisting of email that must be booked directly on the website to redeem offer, therefore potentially converting existing customers to purchase again, creating a sizzle effect. A price marketing mix can be applied through exclusive offers that include booking a family room, which includes half price offer on watersports or kids club to maintain satisfaction and customer loyalty. Analytics ‘Beyond the click tracking’, which measures customer behaviour of people who clicked directly to the website through the email (Chaffey 2016).
  • 23. 23 10.0 CONCLUSION: Creating a customer persona allowed for a detailed analysis of Sandbanks Hotel’s current situation in order to identify potential customers online behaviour and motivations. A key aspect of utilising the customer journey effectively is for Sandbanks Hotel to optimise the ultimate moment of truth, which lead to developing a ‘speak’ objective of increasing customer response rate and engagement by 50% through owned social media channels, will raise conversion rates allowing to influence another persons ZMOT. With being a service industry, the hotel is heavily dependent on positioning and differentiation. Evidently, a focus on USP was recommended to enhance their value proposition with the aim of increasing outbound e-mail marketing by 50% in the next 12 months. Achieved by combining products to optimise repeat sales by implementing special offers exclusively to existing customers via e-mail marketing to save costs, therefore increasing satisfaction and loyalty. To reduce Sandbanks Hotel’s heavy dependency of OTA’s by 20% in the next 12 months, it was recommended to develop affiliate marketing partners to reduce commission rates, increase reach, boost average position and ultimately drive traffic directly to the website and potentially increase direct bookings. According to Angulo (2016) digital video and social media will become the biggest game changers within content marketing by triggering brand advocates. Furthermore, video is set to account for 74% of Internet traffic by 2017. Therefore, it was recommended for Sandbanks Hotel to create and distribute at least one video content per month to reduce the bounce rate by 25%. Uploading user- generated content will raise social media engagement through sharing and commenting on content and provide an incentive for lead generation by exploring the website further past the landing page. According to Smart Insights (2016), the most common starting points for mobile research are through search (48%) with travel/tourism accounting for 28%. Providing web pages that are responsive to mobile use is highly recommended, with mobile users estimated to spend 94% of their time on apps in 2017. A feasible recommendation would be for Sandbanks Hotel to create an app to ultimately increase direct bookings and optimise revenue.
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