In today’s multi-channel marketplace, the success and measurement of sales and marketing campaigns is becoming more challenging, yet more imperative. With that in mind, and recognizing that return on investment (ROI) is the most powerful and useful marketing measure, the Hospitality Sales & Marketing Association International (HSMAI) Foundation embarked on a comprehensive and ambitious Best Practices Marketing ROI and Measurements Study, the fourth in a series of Resort Best Practices Initiatives.

Believing that improved profitability can come from better measurements, the “Best Practices and ROI in Resort Sales and Marketing Campaigns: Maximizing Revenue and Brand Image through Promotional Communications” study reviewed campaigns from nearly 30 participating resorts that were built on quantitative ROI as well as those intended to deliver brand awareness.

The sales and marketing campaigns that were covered include:

• Electronic Marketing
  
• Direct Marketing (online and offline)


• Public Relations


• Group Sales


• Advertising (offline)


• Integrated Campaigns

In each of the categories, the report presents case studies, best practices and trends, as well as offers valuable insight into measurement, effective ROI, challenges and qualities of effective campaigns.

“This study is invaluable and essential for any resort that is looking to be thorough in its sales and marketing efforts,” states Robert A. Gilbert, CHME, CHA, president & CEO of HSMAI. “Packed with successful case studies matched by ROI measurement, the study is chock full of ideas and executions every sales and marketing individual should have in their knowledge base.”

According to Cindy Estis Green, co-author of the report and managing partner, The Estis Group, “There are so many sales and marketing initiatives a resort deploys in the course of a year, it can be hard to measure results from each. This report put forth many types of campaigns and provided a rich array of techniques as well as metrics that can be utilized. The Best Practices studies are most valuable when they provide examples that can be adapted to the unique situation of each resort and this one was particularly good in the range of illustrations presented.”

Following are highlights and excerpts from the six categories featured in the report.

ELECTRONIC MARKETING

Banner advertising, making up half of the 13 best practices documented, proves to be a successful and reliable method for driving online promotional messages and branding awareness. The remaining initiatives are equally divided between pay-per-click (PPC) campaigns and third party alliances. Promoting through the use of multiple keywords in PPC campaign feeder markets has helped properties improve the volume and quality of traffic to their Web site while affiliations and links with targeted sites have been highly effective in capturing new business.

Sampling of Best Practices:

• Placed ads on highly relevant sites to grow brand recognition, drive traffic and grow incremental revenue


• Communicated promotions with precisely targeted keywords and key phrases in feeder markets


• Created special landing pages to leverage positive ratings from a third party site and for specific offerings

Sampling of Trends:

• Adopt more sophisticated targeting techniques by identifying consumers based on where they live and their online behavior


• Develop Web site as a resource by offering useful destination information to attract new customers, activities, attractions, maps, and area travel guides


• Use behavioral targeting to deliver more personalized and relevant messages to improve conversion rates

DIRECT MARKETING (Online & Offline)

Online: Tactical e-mail promotions are clearly the most popular technique among best online practices followed by electronic newsletters, which are generally used for customer relationship strategies.

Sampling of Best Practices:

• Using personalized text for different customers with strong calls to action


• Embedding multiple links in the body of the message to drive a connection to the Web site


• Participating in online sweepstakes to grow e-database

Sampling of Trends:

• Targeting customers with tailored offers to their area of interest


• Promoting viral marketing through “forward this e-mail to a friend” link


• Introduce mini-surveys that ask potential customers three to four questions about their interests

Offline: Brochures and postcards are the preferred forms of traditional direct marketing. While self-mailing brochures have proved successful in conveying multiple offers, seasonal activities, events or multi-faceted promotions, resorts have also experienced positive results with inexpensive and highly personalized letters.

Sampling of Best Practices:

• Encouraging past guests to book a future date by contacting them just before they booked the previous year


• Forming partnerships with non lodging companies that have a similar customer base to increase media reach and share promotional costs


• Segmenting the database with unique and personalized messages given interests and/or familiarity with the property

PUBLIC RELATIONS

In some cases, traditional media may be most appropriate while in others, new media channels may be the principal source. In most situations, the two will become integrated. There is a definite mix of press, promotions and special events among the nine best practices disclosed in the study. As media is splintering into a host of channels and perspectives, the Internet has provided public relations specialists with the ability to closely focus on the resort’s most important markets. While online public relations is effective for direct customer communications, the new phenomena of social media is now the medium of the consumer.

Sampling of Best Practices:

• Re-positioned the brand by targeting key press in main geographic feeder markets for specific placement


• Ascertained trends and developed compelling story angles to pique media interest


• Entertained qualified familiarization trips for travel writers to experience resort and build relationship

Sampling of Trends:

• Add written customer reviews to your Web site and press releases to dramatically increase conversions


• Include blog content in public relations campaigns to facilitate spread of buzz and encourage conversation


• Optimize press releases for search engines to increase relevant, newsworthy information about your resort to your customer

The study also addresses how return is measured differently for each form of marketing promotion, including quantity and quality of media coverage; coverage by publication or media type; and other key evaluations.

GROUP SALES

The hotel industry has entered an interesting phase where meeting planners expect exceptional service and personalized sales when communicating with sales staff, yet look to the Internet to gather information and send RFPs online. Resorts must now deliver comprehensive online information about their meeting facilities, room availability and pricing to best meet these expectations. Best practices provided a variety of winning group sales tactics – from lead generation and sales blitzes to partnerships and promotions.

Sampling of Best Practices:

• Obtained groups sales and catering leads from professional and non-professional meeting planners through a third party automated online RFP process


• Sent personalized, timely e-card confirmations in response to potential sales leads followed by mailed sales collateral


• United with other independent resorts in a “road show” to gain new accounts and further relationships with existing clients in feeder cities

Sampling of Trends:

Everyone today wants more information and they want it now – meeting planners are no different. The resort’s Web site architecture needs to satisfy this expectation by providing relevant information that is frequently updated and highly interactive. Beyond the basics, value dates, online RFPs, meeting room configurations, transportation, entertainment, merchandising, local search, and mapping are some of the automated tools sought after.

• Establish listings with third party meeting sites and travel group booking engines such as: grouptravelplanet.com and groople.com


• Utilize pay-per-click, e-mail and electronic newsletter campaigns to complement online marketing strategies


• Keep abreast of popular community websites such as TripHub.com and Triporama.com geared to offer group-booking services, local search and mapping with social networking tools

ADVERTISING (Offline)

The newest development in advertising has been the increasing shift of resources online. Traditional advertising still plays a fundamental role in reaching customers but the playing field has forever changed. This offline advertising section contains widespread tactical and strategic ads that account for two thirds of the nine best practices. All three tactical ads feature short term offers in local newspapers while the strategic campaigns focus on developing identity and image through varied mediums. The remaining co-op, outdoor and test market campaigns signify some interesting twists from the norm.

Sampling of Best Practices:

• Gained significant radio exposure by donating two tickets as a ‘prize’ to local radio station


• Utilized out-of-home advertising (posters, bus wraps, bulletin boards and toll booths) in support of other media to generate buzz and attention


• Tracked ad effectiveness of image advertising through URLs representing unique publications


• Entered co-op with company sharing similar clientele to increase awareness and grow customer base at no cost to resort

Sampling of Trends:

• Communicate with customers in an engaging and relevant manner that catches their attention


• Shift advertising dollars online as the ROI is second only to direct mail


• Target the right customer; supplement experiential research with qualitative and quantitative

INTEGRATED CAMPAIGNS

Integrated multi-channel campaigns are becoming increasingly vital to marketers given their ability to deliver timely, relevant messages. When working together in a unified fashion, online and offline marketing functions can be successfully orchestrated to attract and keep customers. This approach can activate the full potential of a marketing program.

Sampling of Best Practices:

• Effectively incorporated an online (Web site and e-mail) campaign with an offline (print advertising and direct mail) campaign followed by personal phone calls


• Introduced television and radio spots in drive markets through a barter initiative with key local media


• Integrated television, radio, print advertising and e-mail to increase leisure business during a valley period

Sampling of Trends:

• Utilize automated solutions and expert advice to assess possibilities and gain support in measuring the effectiveness of integration


• Verify customer data captured at every touch point – push your Web site to your offline customer base and vice versa to drive better results


• Design program content – core message, brand elements and objectives – that can be developed across numerous channels

Additionally, the Best Practices Study addressed key components of successful campaigns and ROI. Among the topics covered are:

• Measurement System


• Effective Campaigns


• When there should be a ROI


• Key Challenges