Writings
Expedia InSights Travel Industry Newsletter
Welcome
to ExpediaInsights
Just
over a year ago, Expedia’s Partner Services
Group was established with the goal of providing world-class
service to our travel industry partners across our
growing family of brands and all markets worldwide.
Over the past year, we’ve strived to deliver
to our partners enhanced business services such as
a powerful new set of partner marketing and merchandising
tools, as well as improved technology solutions, like
ExpediaConnect. We’re working to create more
efficient, easy-to-use payment and contracting processes.
And we’ve made particular efforts toward enhancing
communications with our partners – both in our
day-to-day conversations and through channels such
as Travel Trendwatch and now ExpediaInsights.
Beginning
today, each monthly issue of ExpediaInsights will
provide important information about sales and marketing
opportunities available through Expedia’s global
network of premier brands, valuable market insights,
informative case studies, and other news useful to
you and your business.
Expedia
PSG is here, first and foremost, to provide our partners
with outstanding service and more of the tools and
information you need to succeed in your business goals.
Because, when it comes down to it, your success is
our success.
Regards,
Paul Brown, President
Celebrating 10 Years of Growing Together
Ten years
ago next month, a few technologists with a shared
case of wanderlust dreamed up a way to buy and sell
travel online – and Expedia.com was born. Today,
Expedia’s family of consumer brands –
from the original Expedia.com to deutsch.hotels.com
to eLong.com in China – represents the world’s
preeminent online travel network. Beginning next month,
we’re marking the occasion by featuring some
of the many partners whose growth over the past decade
has both mirrored and enabled our own.
So, in
early October, in Travel Weekly and most other major
travel industry publications, you’ll find features
like the one at right, telling the story of how partners
such as Continental, Hawaiian Airlines, Hertz, Highgate,
ResortQuest, and others have built lasting, strategic
partnerships with the Expedia network as a key component
of their respective business growth strategies.
This series
of partner features is just one way we’re marking
our 10th anniversary and celebrating ten remarkable
years of growing together.
(Look for
details on Expedia’s annual partner forum in
the next issue of ExpediaInsights.)
Partner Case Studies
Each month,
ExpediaInsights will feature actual case studies that
represent the myriad of ways Expedia account managers
work creatively with businesses like yours to deliver
unsurpassed value – proving again and again
that partnering with Expedia translates to value in
any language, any market, and any line of business
in this wonderful world of travel.
This issue’s
focus is on resort and urban market hotels.
Case Study: Small Resort Market Hotel
While it’s
certainly noteworthy that Expedia books tens of thousands
of four and five star room nights in large metropolitan
and well-known resort markets, it’s particularly
fascinating when it happens in a secondary resort
market off the beaten track. One collaborative effort
between an independent four star resort and their
Expedia Market Manager resulted in growing bookings
from an average of 75 room nights monthly in the fall
of 2005 to an all-time high of over 1,300 room nights
in July 2006.
How did
this happen? Effective communication and marketing
were key. The Shores Resort in Daytona Beach is a
newly renovated Noble House Resort whose luxurious
rooms offer stunning views of the Atlantic Ocean.
The resort features a wonderful lounge and an outstanding
restaurant. And it’s important to add that the
staff is absolutely first class. The resort’s
sales team had successfully built the property’s
reputation in the group and incentive markets, and
they were open to seeing how Expedia could add to
their upscale transient business.
Through
open communication and by testing the waters, Expedia
has been able to reach clients coming to the beach
area and looking for a truly upscale experience. Though
the property’s average rate is double the market
average, they are consistently among the area’s
top performing properties on the Expedia network.
The high quality photography, detailed descriptions,
and the hotel’s openness to participating in
marketing and merchandising opportunities combined
to capture the target audience’s attention.
Obviously, success is measured in conversion, room
nights and revenue booked. And those metrics couldn’t
be better proof of a successful strategic partnership.
Case Study: Urban Market Hotel
July
and August are slow months in New York, with hotels
typically struggling to capture a portion of the limited
business. The Hudson is an 802-room hotel in Manhattan.
And, by virtue of being so large, it’s a Herculean
feat to fill during this traditionally slow season.
The Expedia PSG team met with The Hudson in early
June of this year, and charted out our strategies
and tactics to maximize revenues during their need
period. These included devising a 'domestic strategy',
a 'package strategy', and an 'international strategy',
whereby the hotel would extend competitive pricing
for Expedia customers (only), and Expedia in exchange
would feature The Hudson across all channels of business
and market the hotel. As we entered the summer months,
we revisited and revised some of our strategies based
on what was and was not delivering results. As an
upscale 3 1/2 star hotel, it was important to drive
high volume without affecting the integrity of the
brand. This was a valuable exercise, as we were able
to attract precisely the right the type of customer
at the right rate.
The results have been remarkable. For July and August,
over 4,200 room nights were booked through Expedia
points of sale, contributing approximately 10% occupancy
to The Hudson (again, during the hotel’s highest
need period). Needless to say, the hotel is thrilled
with their performance. In the words of Tanja Headford,
Director of Revenue at the hotel, "It was the
best August we have ever had, thanks to Expedia. You
have (once again) demonstrated the power of partnership."
Celebrating Our Partners
Next month,
Expedia celebrates its 10th anniversary. In marking
this milestone, we felt it appropriate to shine the
spotlight on some of the many partners whose own successes
over the past decade have made our success possible.
After all, without the special, strategic relationships
Expedia enjoys throughout the global travel industry,
we simply wouldn’t have much to celebrate. And
so, here’s to partners like Kelvin Bloom, President
of ResortQuest Hawaii, pictured in the feature above
– and the many others with whom we celebrate
a decade of growing together.
Partner Snapshots
Responding
to the challenge of low awareness of its new service
in four highly competitive leisure markets, a major
airline used Hotwire to address low demand and fill
empty seats during the first month of the new service.
Since Enterprise’s
addition to Expedia’s Preferred Partner program
in early 2004, their bookings have gone from fewer
than 5,000 per month to well in excess of 500,000
bookings per year …and growing! Since our customers
predominantly rent at airport locations, we’ve
been able to help them greatly expand their on-airport
business.
With Expedia’s
help, Advantage Rent a Car has recently opened new
locations in Las Vegas, Orlando, and Tampa, and we’re
already sending these destinations a significant number
of bookings.
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