“ differentiating your resort with creating package rates”
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“ Differentiating your resort with creating package rates”. Our expert panel. Salvatore Dickinson, CHME, Chief Executive, Dickinson & Associates Kim Schaller, Chief Marketing Officer, Hershey Entertainment Tom Trotta, President, International Lifestyles. Today’s agenda. - PowerPoint PPT PresentationTRANSCRIPT
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“Differentiating your resort with creating
package rates”
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Our expert panel
• Salvatore Dickinson, CHME, Chief Executive, Dickinson & Associates
• Kim Schaller, Chief Marketing Officer, Hershey Entertainment
• Tom Trotta, President, International Lifestyles
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Today’s agenda
• Kim & the question “to package or not to package”
• Tom & consumer behavior• Sal & dynamic packaging• Q&A from you
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“To Package or Not to Package”Kim Schaller
Vice President, Chief Marketing OfficerHershey Entertainment & Resorts Co.
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665 rooms 100,000 sq. ft. meeting space
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234 rooms 25,000 sq. ft. meeting space
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To Package…or NOT to Package……THAT is the question..
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Packaging is a 9 letter 4-letter word @#$!
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Customers Want Them vs.
We Don’t Need Them!
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We Sell More Rooms vs. We Lose Rate
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Which came first – the room night or the package?
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Everything in life is about balance!
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Today’s customers expect them
Pros
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Competition does them
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Public Relations Needs Them
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Fabulous Five!
• Points North Magazine, Atlanta, GA
• Five exclusive resorts showcased every month
• Must offer minimum 2 night package
• Discounted offer for guests
• Advantages – free, reach 81,000 readers!
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Advertising keeps us “out there in consideration set”
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Creates a USP
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Partners Request ThemMedia & Travel Partner
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Cons
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Scrooge!
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• Operationally difficult• Front Desk hates them• Potential guest dissatisfaction• They reduce revenues• We don’t need them
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Operational Solutions
Packages Task Force
Bridging the Great Divide
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Three potential types:
• Discounting elements• Elements added together not
discounted• Value added
Fully Explore the Types
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Magic Words
“Packages starting at…”
“Based on availability”
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• Work around operational challenges
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Analysis, Results Orientation
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PR
When you package…you get press!
Media calls DAILY!
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Niche Opportunities
• Golf• Spa• Family• Food & Beverage• Heritage
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Potential for long features
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• State of Today’s Media
• Meet Short & Long-term objectives
• Unique options during conventional time periods
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Secret…
“I don’t care if you ever sell one – just give me something!”
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• Dreamy Packaging options• Private culinary experiences• Tours of chocolate factory• Golf lesson with head pro• Spa chocolate sampler• Back stage access
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That about wraps it up!
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“From the Customers Perspective”
Tom TrottaPresident
International Lifestyles
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Packaging• Resorts vs. Cruises• Cruises vs. All-Inclusives• Types of All-Inclusives• Meal Plans• Air Packages• Other examples of Packages
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Resorts vs. Cruises
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Cruises vs. All-Inclusives
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Types of All-Inclusives
• Strictly All-Inclusive (definition, Club Med, etc..)• Ultra, Super, Total – Inclusives
• Adults Only (Sandals, Hedonism, Couples) vs.Families (Beaches, Breezes, RIU)
• All-Inclusive as an option (receipts, wristbands)(US Chains, Time-shares, etc…)
• US (FL, Ski, P.R., labor costs & liability)
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Inclusive Packages• Meal Plans - (EP) European Plan is standard
- Breakfast added at Courtyards, Embassy Suites...- Manager’s cocktail hours growing in use- Wyndham’s Loyalty Program has preferences for beverages, newspaper, snacks, bed type, etc…- Greenbrier has (MAP) Modified American Plan with Breakfast and Dinner- Spa packages, Golf packages, Casino match play
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Air Package Booking Engine
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Destination Weddings
• Demographics, Budgets, 2nd Time, Renewals, Gay
• Handle in-house or Partner w/ Specialists
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Slow Periods
Upgrades, Suites, Run of House, Value Adds
THE ULTIMATE UPGRADE!Enjoy an upgraded room for the standard room rate!Stay at a participating Elite Island Resort for at least 5 nights in September or October and enjoy an upgrade to an upper category room at the lowest rate at the resort! Per person rates for 5 nights begin as low as AntiguaJolly Harbour Villas (EP) $435Royal Antiguan (AI) $625Grand Pineapple Beach (AI) $999St. James’s Club (AI) $1149 St. LuciaSt. James’s Club, Morgan Bay (AI) $999Windjammer Landing (AI) $943 The GrenadinesPalm Island (AI) $1499 HURRY! First come, first served! Call now to reserve your upgrade at these great rates! (800) 345-0356 Don’t forget to mention you want the Ultimate Upgrade!!
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Web Inventory for ROH Special
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Chains can place guests where neededLET'S MAKE A DEAL!
You choose a door. We surprise you with the Best Deal in Jamaica!
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from
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SuperSurprise Plus, Plus(exclude 2 resorts)
from
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Over half a million satisfied SuperSurprise contestants since May 1995!
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“Dynamic Packaging –
The Future is NOW!”Sal Dickinson, CHME
Dickinson & Associateswww.WOWtravels.com
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What is Dynamic Packaging?
I. Integrated packaging [booking engine] of multiple travel distribution businesses
II. It is consumer driven & defined by available supplier options
III. It provides consumers (& travel agents) access to multiple, dynamic & “value driven” travel packages
IV. It can provide suppliers with more pricing & inventory control while shielding actual prices from their competitors (opaque vs. transparent)
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“On-The-Fly” Packaging of Multiple
Components• Air – Hotel – Car• Transportation/Transfers • Museums – Theatre – Events• Tours – Sports Activities - Dining
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How To Get Started
I. Understand your current packaging metrics
II. Acknowledge non-property complimentary providers
III. Set reasonable objectivesIV. Employ firms expert in
technology
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Dynamic Packaging Firms
• Neat Product Group – Cendant– Offer air, car and hotel suppliers
the dual benefits of a private label booking engine for their own Web sites, as well as expanded distribution through a growing number of Neat channels
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Dynamic Packaging Firms
• Datalex Hospitality Solutions• Trisept Solutions• Accovia• ILOG• Inntopia
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Get Started NOW
• Don’t repeat the delayed response our industry made to the Internet
• Don’t assume dynamic packaging will end the reliance on traditional tour operator products & online intermediaries
• Avoid “territorial myopia” & an “old world measures”…think RevPac, 1-to-1 and lifetime value
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Get Started NOW
Dynamic packaging is not a passing trend, but is being driven by consumer demand and technology capability…the train is leaving the station…will you be onboard???
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Q&A