The use of demographic data in marketing your property can be effective, and certain hotels are currently engaged in targeting particular consumer types in their marketing programs. A study by the online travel agency, Orbitz Worldwide Inc., revealed that Mac users spend up to 30% more per night on hotels.
As a result, Orbitz has begun a program to offer these consumers higher quality travel options than PC users. It is believed that those who purchase more expensive Mac computers are also more likely to spend more on their travel. Niche marketing is not a new concept, but can be implemented in fresh ways to contact those who are more likely to be interested in a quality travel experience. Specialized marketing programs that target unique segments of the travel market can be an effective method of increasing your property’s market share.
The gathering and evaluation of individual preferences, including demographic information on purchasing patterns can be useful in marketing your hotel. Although there are many other factors including discounts, booking habits and so forth that play a significant role in what hotel a customer chooses, implementing the use of demographic information from various sources can assist you in promoting your hotel to the “right” customer.
As a hospitality executive search firm for the past 36 years, Bentley Price Associates, Inc. is watching the trends in marketing. Hotel recruiters from our firm locate the brightest applicants who will be the best match for your hotel.
You are spot on with this strategy and the more a property can drill down into the habits of a specific demographic of potential guest the higher its occupancy will become. Look at the recent STAR Reports for Group Business at the Greenbrier and how what was implemented has made such a difference between 2011 and 2012. You might also enjoy the piece below. Kind regards, Stuart Williams
Provide Experiences or Experience Mediocrity
Since 1992 our team has been conducting annual research programs with thousands of Ultra High and High Net Worth individuals and families.
It will not surprise anyone that through the 90’s the two things that everyone wanted more of were excellent health and time, ranked 1 and 2 in that order.
During the last decade time took over the number one ranking much in part because no matter what the state of anyone’s health, the respondents wanted more time. Today the rankings are as follows:
1 = Time
2 = Health
3 = Experiences
When we analyzed these results we found that the advent of the Internet had provided respondents with the ability to become exposed to more things of interest and hence they wanted more time to experience these newfound activities.
We specifically targeted travel as a sector within which to conduct even deeper research to find out which experiences were the most sought after. The results are as follows:
1. Historical Experiences
Travel related to historical (weighted toward antiquity) experiences overwhelmingly ranked number 1. The more active the experience (participatory) the better.
2. Unique, “Active” Experiences
Travel related to unique, activity driven experiences such as playing sports with pro’s (active or retired) and or celebrities, swimming with Dolphins, sky diving, cooking with world-renowned chefs etc., etc. In summary our respondents wanted to always try something new.
3. Unique “Passive” Experiences
Travel related to “sight seeing” experiences including shows, concerts etc
The one theme that respondents mentioned in each of the categories was education by participation and the more active the better.
What was interesting was that travel purely for relaxation e.g. doing nothing and being waited 24/7 in sumptuous luxury did not even rank.
In summary, it is clear to us that people want more time to experience the new things that the advent of the Internet has exposed them to. Accordingly it is imperative that hotels and resorts cater to this throughout the phases of the travel cycle.
Dreaming – be ubiquitous in your presence and immerse yourself in the market you covet so that you can become the catalyst for dreams
Research – no one can come unless they know you are there. Create unique experiences that your potential guests can find when researching and again be ubiquitous in your presence within communities and media outlets that focus on the genre of the experiences you offer
Booking – make it as simple as possible for people to book. They have already stated that the one thing they want is more time and if you take up too much of the time they have you will lose them
Experiencing – make your experiences world-class and truly unforgettable. Do not settle for anything but the very best and always look for ways to separate yourself from anyone else offering the same or similar experiences.
Sharing – if you are to truly make yourself ubiquitous within a specific genre of experiences and within a targeted demographic you must be able to quickly and efficiently share. Providing and encouraging your guests to share as well as sharing yourself is critical if you are to succeed.
No matter which phase of the travel cycle you are focused on building tools and strategies for never forget to enhance your Brand and to build brand extensions. The more your brand can become associated with a Lifestyle Asset the more valuable it will become to the consumer.
It is becoming blatantly obvious that luxury (and therefore premium pricing) is no longer only about world-class service, gourmet meals and elegant surroundings. We now live in an experiential world and hence that is what properties are going to have to provide if they are to succeed. The good news is that all of our respondents would prefer to enjoy the rests between their experiences in “luxury”.
Dennis,
Great points and opportunities with demographics. I think of branded computer use (Apple®) as more psychographic and behavioral versus demographic. Either way your point about predictive targeting works.
Segmenting gamblers based on occasion (e.g. bachelor party, entertaining “visiting friends” or a romantic evening out) changes the selection of casino brand and facility use.