webinar deck: mobile marketing for the hospitality market

Mobile Marketing for Hospitality

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Webinar Series 2011 Presented by: Michael Ahearn VP Strategic Marketing

• Industry leading technology and services make it fast and easy to create, manage and analyze mobile marketing initiatives worldwide

• Award winning iLoop Mobile Platform for creating state-of-the-art SMS/MMS campaigns and messaging services, mobile sites, native apps, mobile coupons, and other mobile marketing initiatives

• SMS messaging solutions and campaigns designed specifically for the hospitality industry

• Industry leader in mobile marketing strategy, managed service campaign delivery and professional services

• Customers include Fortune 500 brands, agencies, media companies, and other tier-one companies

About iLoop Mobile

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SMS Hospitality Campaign Platform

• Complete control over SMS campaign creation, management and analytics

• Message flow tailored for hotel/hospitality marketing and visitor experience

• Enabled for individual franchise self-serve campaign creation/management/analytics as well as centralized corporate admin control and messaging

• Campaigns can be designed for end user preference capture via Web/mobile Web for segmented SMS messaging by group or individual

• CRM functionalities for geographic segmented messaging

• International support for SMS alert messaging using short codes or international long codes

• Supports mobile SMS coupons with redemption codes

iLoop Mobile’s has a messaging platform specifically designed for hotel & hospitality properties, enabling segmented SMS messaging to groups or individual opt-in customers.

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Industry Data for Hospitality

Source: Forrester Research, Inc., North America Travel Online Survey, Q1 2011

More people use their mobile phones for discounts and coupons even more than “check in”

Mobile Promotional Offers Are Key

After basic information searches, the next key need is dining info via mobile

Source: Forrester Research, Inc., North America Travel Online Survey, Q1 2011

After Basic Travel Help, Dining is Key

Source: comScore, Mobilens July 2011

• Accessed travel service via browser

• Accessed travel service via app

• Accessed travel service via SMS

8.5M

4.1M

3.5M

Access: Travelers Prefer Mobile Web

Source: PhocusWright 2010

• 77% of frequent business travelers use mobile for trip planning

Amongst all mobile users in U.S

0

1

2

3

4

5

6

7

Received travel based message Responded to travel based message

5.8M

1.2M


58% on a smart phone


Travel Based SMS Messaging

20% of mobile users who have received a travel based message have responded to it


comScore

Travel/Hospitality: App vs. Browser

0

1

2

3

4

5

6

7

8

9

Accessed travel service via app Accessed travel service via browser

4.1M

8.5M




comScore

Access to Travel Brands Via Mobile Browser

4.1 M

8.5 M

1.0

3.3

1.6

2.1

1.0

0.7

1.9

1.2

2.6

0.9

1.4 1.2

0.8

0.3

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

US Mobile Subscribers Accessing Travel Brands Via Mobile Browser in July 2011 (3 month average/millions)

Why Mobile for Hospitality? What is the value proposition mobile offers between your customer’s needs and a hotel’s

business attributes?

• Hospitality’s customer is a traveler, who is mobile by definition, making mobile more

relevant to hospitality than any other traditional channel (email, TV, radio, outdoor,

online, print etc.)

• For reaching this mobile customer with relevant messaging—time, location, context—

mobile is the only channel for many initiatives

• HOPE MARKETING vs. KNOW MARKETING

o Rather than hope they receive the message (in-room TV, lobby poster, in-room

print) know they received it via mobile messaging—9 out of 10 SMS are opened

o How many guests are in their rooms at 2pm (not many)? How many are looking at

their phones at 2 pm (lots)?

Key Strategic Objectives Obtained by Mobile

• Increase ARPU both on-property and off

• Increase sales/reservations via mCommerce

• Increase loyalty with simple promotions—extend existing loyalty programs by

integrating mobile as part of multi-channel strategy

• Increase loyalty with more sophisticated mobile CRM messaging to customers

preferred channels (email, SMS etc.) and delivering content/offers they value

• Improve customer service through basic messaging

• Improve cost efficiencies for customer interaction and brand management

• Increase brand awareness

• Leverage mobile’s access and convenience across a hotel’s key business/

marketing disciplines (reservations, promotions etc.)

• Mobile site!optimized for mobile Align with existing brand web experience then leverage unique mobile capabilities not

offered by PC web (ex. click to call, location etc.)

• Multichannel mobile messaging: SMS + MMS database build Integrate with email, social media, online Web.

• Advanced mobile messaging with CRM integration that captures preferences and responds with relevance Customer service alerts against guest preferences, loyalty club offers, sweeps, alerts, food/beverage promos, spa discounts, event info.

• Native app and Web apps (HTML5) Rich, customized experiences with off-line access

• Mobile advertising: banners, video, click to call, SMS/MMS Mobile display ad buys placed in apps, mobile sites, delivered by SMS/MMS messages

• Mobile Analytics: Understand your customers and their behaviors Use metrics to analyze mobile initiated bookings, on-premise spending, offer redemptions

Key Tactical Mobile Marketing Tools & Uses

SMS Marketing Campaigns

• SMS subscriptions & alerts with CRM segmentation

• Promotional marketing texts • Links to mobile sites • Click-to-call (IVR) to customer service • Standard mobile coupons with redemption codes • Smart SMS Messaging integrating database

conditions (weather, location, preferences) for segmented messaging

• Mobile coupons integrating POS redemption/tracking

• On-collateral/merchandise marketing • Loyalty program messaging & offers • Consumer data gathering • Broadcast text initiatives • Instant win & sweepstakes • Quiz, poll & survey • Text to Screen & customer generated messaging • Much more

Mobile marketing offers a wide variety of text services for use in mobile hospitality/travel marketing campaigns and customer messaging including:

Welcome to Rouge Hotels Preferred Guests Alerts Champagne Brunch Saturday/Sunday. Complimentary hotel shuttles every half hour to the beach, shuttles every hour to the airport.

Web Opt-in

Customer Acquisition & CRM via Mobile • Opt-in to SMS/MMS alert messages on

events, promos, and special offers

• Integrated into any traditional marketing channel (print, in-hotel, TV, Web, outdoor, email etc.) with email integration key

• Integration with email marketing—link to Web opt-in

• Opt-in available via online Web form or mobile site capturing customer profile data

• User selectable alert message content preferences

• All preference and profile data is captured for CRM database build, analysis, targeted messaging, and use in other marketing channels

• Drive customer interaction based on stored or real time geographic customer location

Mobile Site Opt-in

Basic On-Property Messaging Components

4.1 M

8.5 M

• Combine centralized hotel brand messaging (brand owned properties) with locally controlled franchise initiatives

• International and domestic can be managed together from single solution

o Need to think about long code, local short code and local long code strategy

o Message initiative type predicates code strategy: 1-way vs. 2-way campaigns

• Option for real-time location aware messaging to know if they are on the property

• Post stay messaging after they’ve left (leveraging LBS info or Web captured location)

• In fact all messaging is “local”—need for different languages both for international service and local for international guests or dominant local second languages (Spanish in US). This underlines the advantage/need for preference capture on opt-in.

• Opt-in options: email (online reservation confirmation email), Web with CRM preference/profile capture, at front desk at check in

On-Property Messaging: What We’ve Learned

4.1 M

8.5 M

• Capturing profile and preferences are key!non-relevant messaging has nominal value

• Don’t go nuts on detail and specialization when capturing profile/prefs!don’t try to cater to every possible preference or capture every profile detail!it’s too much for you and your customer

• What you send the customer is key

o Successful messages: Offers!such as dining, spa, events reminders

o Less successful: basic info like room alerts, room is ready etc.

o Key for offers: Track redemption so you can track revenue generated

• Property location will predicate what kind of messages you send!make sure messages are relevant to the customer experience (ex. hotels in large cities vs. remote resorts). One size does not fit all, hotel locations brings different dynamics.

• Track performance by property and initiative using discreet keywords

On Property Messaging: Potential Road Bumps

4.1 M

8.5 M

• What are the support management costs? How do you optimize the work load internally?

• If local franchise control is part of your plan, what are the staff dependencies and internal training and communication requirements? What basic computer competencies are required?

• Over reliance on a single opt in channel (email, on-property check in etc.). Best practice is to integrate opt-in across all your marketing channels.

• Setting up initiatives without clear plan on who will be managing alert updates

• Language support!the most obvious point of irrelevance is a language I don’t speak

• Messages with little or no value or relevance to the individual customer

• Make sure you can measure success!analytics are a must and redemption tracking yields great benefits

• “One size fits all messaging” to groups can have unknown relevance to the individual recipient

• Smart Coupons and Messaging integrate with data sources such as zip codes/location, consumer profile/preference CRM data, room/reservation inventory, weather, etc. instantly adding relevance to the message delivered

• Smart alerts can know: ! Who the customer is ! Where they are ! What’s happening around them ! When they want something ! Why they need or want it

• Drive bookings and customer loyalty

Smart Coupons & Alerts!

Rouge Hotel London Special VIP offer, free continental breakfast during your stay. 20% off golf at the Royal Toon Course in Stanmore. Code:34ru3 Exp: 10/12/12

• Location aware messaging for single SMS offers or alert group/subscription messaging

• Message to groups or individual customers based on their geo location

• Know when a customer is near or in a property, and send relevant messages or offers

• Use real-time location lookups or single lookup at opt-in to establish customer location

• Geo-fencing for automatic just in time messaging

Location Aware Campaign

• Location lookup at opt-in

• Opt-in promoted near and in the park

• National campaign using location lookup to deliver park specific information and promotions during park visit

• Follow on messages with park promotions to get customers to come back, segmented by geo location

Location Based Services

Six Flags Great America

During your day at the park be sure to visit Jack’s Snacks in Yankee Harbor for buy 3 get 1 free 20 oz. soft drinks.

For hospitality, pictures sell better than words.

• Graphic based coupons/offers

• Option for bar code redemption for retail/restaurant POS

• Mobile billing/statements/payments

• Video and rich media delivery for property awareness

• Unlimited character length

• Option for QR and Microsoft Tag opt-in

• QR/Tag allows dynamic campaign adjustments—MMS destination (site, video etc.) can be changed anytime during the campaign

• International delivery

MMS: Adding Rich Media to Messaging

• SMS keyword/short code opt-in to receive MMS video promotion

• 5 week campaign Q4 2009

• Call to action promoted in on-property brunch posters, email, Facebook, Twitter, PC website

• MMS video enticed customers to join the hotel’s loyalty club in return for a special offer of free unlimited Bloody Marys or champagne during Sunday brunch. Customers used the video to redeem the offer.

• 75% engagement rate (video opened)

• 27% redemption rate (250 redemptions) for substantial revenue gains

• ROI 450% and growing

• Built a local database of local customers to message and drive revenue through hotel services, food & beverage, spa bookings etc. equaling their social presence

• Combined engagement rate of 61% for the SMS campaign and reminder blast

SMS/MMS Case Study: Casa del Mar (LA)

Source: Mobile Marketer Dec. 16, 2009

Create content rich mobile sites with interactivity to extend a hospitality brand and provide key customer services.

• Full branded sites • Micro sites & landing pages • Mobile content delivery • Room and services information • Reservation booking • Video downloads/streaming • Automated ad serving • RSS/XML dynamic feeds • Property locator/maps • Travel information • Viral marketing • Profile gathering • Click to call for customer service • SMS marketing opt-in • Mobile greeting cards • Coupons & promos • Social marketing

Mobile Internet Sites

• Check room rates • Reservation booking online • Click to call reserve by phone • Room information • Entertainment information & booking • Amenities information • Dining information and booking • Grazie Resort Loyalty Program • Social integration for Facebook, Twitter,

Flickr, YouTube

Las Vegas Sands Venetian & Palazzo

• Hotel chain provides “find a hotel” • Search by city, distance, price,

brand • Manage reservations • Rewards program access • City guides & traveler tools • Click to call for reservations • Mobile customer satisfaction survey

Marriott Mobile Site

Through June 2011, Marriott’s mobile site has been averaging nearly 2.6 million visits per month and $21 million in property-level revenue a month, which is more than 3 times the volume compared to the same time period in 2010.

Other Hospitality Site Environments

• Find nearby hotels

• Book reservations

• Check upcoming reservations

• Get hotel details

• Get hotel photos

• Enroll in Marriott Rewards

• Check rewards point balances

• Local information

• Cross platform support: iOS, Android, RIM

Mobile Apps

• Success with Mobile in hospitality depends on a balance of promotion and convenient utility, wrapped in relevance

• Travelers always looking for deals!throughout their entire stay or trip

• Smart phone user is your target customer!it’s the device for traveler reach, especially for business traveler

• Mobile web is most preferred channel for travelers, likely because of its natural tie in to search

• Quick tactical choice to fit the common strategic needs for hospitality? Mobile web + SMS/MMS messaging groups.

!it’s the “one two punch” offering high use (mobile web) + high response rates (20% for travel-based SMS messages) + growing database build

Key Takeaways

Thank You

Visit www.iloopmobile.com to learn how we can help you mobile enhance your marketing.

Contact [email protected] (408) 907-3360 and we’ll help you get started.

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webinar deck: mobile marketing for the hospitality market

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