SALES & MARKETING
strategy at Outrigger Hospitality Group . That ’ s especially true in a destination like Hawaii , where the company is based , and where a mandatory 14-day quarantine and geography have decimated hotel demand .
The consensus long has been that discounting has the potential to do more harm than good , but this time around hotel companies are handling it more shrewdly .
“ Discounting doesn ’ t create demand , and we are not in a demand period now , at any rate ,” says Honolulu , Hawaii-based consultant Dan Wacksman of Sassato , currently HSMAI marketing advisory board chair . “ Should you be priced as high as you were before ? Absolutely not ,” he says , adding that “ it ’ s hard to maintain price integrity without some ( unique selling proposition ).” In any event , many travelers value flexible booking terms and safety over discounts .
Accor has turned to one-night deposits , which provide a fence around discounts , providing the guest some peace of mind and helping hotels project occupancy more reliably . “ We want to stay competitive , but we also don ’ t want to do across-the-board discounting ,” Hiyashi says . “ We want to focus on being targeted and fenced , really focused on certain segments , such as our loyalty members or drive-to business .”
KNOW YOUR AUDIENCE By now , it ’ s common knowledge that
WE ARE UTILIZING DISCOUNTS AND PACKAGES ONLY TO INCREASE THE SHOULDER NIGHTS .
LINDA GULRAJANI , MARCUS HOTELS
travelers are looking for reassurances about safety and for more information before pulling the trigger . But their concerns go beyond cleanliness .
“ Post-COVID promotion communication is different than previous economic downturns , which focused solely on a pricepoint recovery ,” Villalobos says . “ Knowing the customer and understanding what is important to them will guide a property in designing value-adds which are more meaningful .” One recent successful promotion for Outrigger was an offer that donated free roomnights to nurses and respiratory therapists for each paid booking .
Rosewood guests are looking for luxury staycation-style experiences . Immersive summer programming and offers , value-adds and experiences like private destination tours , resort credits , free overnight parking and discounted or free nights for longer stays resonate with these guests , MacDonald says .
Milwaukee , Wisconsin-based Marcus Hotels & Resorts is making strategic use of packages and value-add promotions mainly in urban markets , where demand is especially soft , says Linda Gulrajani , vice president of revenue strategy and distribution .
“ Our resorts are performing a lot more like they have historically , and we are utilizing discounts and packages only to increase the shoulder nights ,” she adds .
WHAT TRAVELERS
NEED NOW
Regardless of channel , the more relevant information a booking source can provide for jittery travelers , the better . Regaining trust is essential . “ We ’ re focusing on updating our content throughout all of our channels ,” says Jennifer Schneider , VP of revenue optimization , Americas , at Radisson Hotel Group . The goal is for guests to find answers to their questions and details about the company ’ s safety protocols .
That craving for details might be an opportunity to drive direct bookings , says Sassato consultant Dan Wacksman . Are the property ’ s restaurants open ? If not , where can guests grab food nearby ? Are lower-level floors available to avoid the need for elevators ? What cleaning and social-distancing protocols are in place ? What are the local restrictions on businesses ?
“ OTAs are not going to have that level of information ,” Wacksman says . “ Smart hotels would create a page , or even post the information on their home page , addressing those issues .”
Ultimately , says Trevor Stuart-Hill , president of Parker , Colorado-based Revenue Matters , the questions are : Is the supplier going to provide care for me and my family ? And what do I need to know about staying at this property ? “ Staying at a hotel is a much more intimate one-on-one relationship than it has been in the past ,” he says .
52 hotelsmag . com September / October 2020