by Peter J. Bates

Monday, March 5, 2012

Understanding The 'Human Element'

Many of us travel marketers subscribe to the idea that today’s consumers are driving the sales process. With this acceptance comes a constant redefinition (and in some cases a reinvigoration) of our role as influencers and as profit generators. Times have indeed changed – we don’t have the control we once did but we must still steer an effective strategy. A provocative and insightful article I read in Advertising Age titled “The Dawn of the Relationship Era” gave me a lot to consider on the subject (and I’ve quoted the article throughout this e-mail) because it is indeed the ‘human element’ wherein the power lies.

As marketers, we are often also researchers, analysts, strategists, and in some cases prognosticators navigating the channels of our science while staying attuned to the needs and desires of our target demographic. The Ad Age piece tapped right into what travel marketers, travel advisors and anyone in the hospitality and tourism industry needs to recognize more than ever before in order to keep pace with the modern-day consumer mindset – brand integrity, relationships and trust are vital when “you are being evaluated 24/7 in countless conversations that have zero to do with your ad slogan.”

Wednesday, February 8, 2012

Moving Forward in 2012 - Listen to Clients, Engage Them For Life

As travel professionals, we are constantly on the quest to understand what our luxury clients want from their travel experiences, the latest ‘in’ destinations, and how economics, political unrest and other global events impact the consumer mindset and the future course of worldwide exploration. We have to keep pace like never before! This makes the development and implementation of an effective – and modern – strategy extremely crucial. For me, devising a smart strategy starts with research. To that end, I surveyed approximately 50 advisors at the owner or manager level who graciously shared some enlightening feedback so I’m pleased to recount with you some of their thoughts on “what’s hot” and trends in the luxury marketplace as we move ahead in 2012.


Don’t Just Speak – Listen
“When to book?” is a question constantly on the minds of both travel advisors and their clients. Leads times of 12 – 18 months are not typical anymore, whether consumers are seeking a deal or determining the ‘right’ time to travel. Said the advisors I contacted: “Consumers buy when the price, economic environment, workplace atmosphere, etc. are all aligned” and “Planning ahead doesn’t ‘pay off’ anymore due to unpredictable volatility on all fronts” – currency fluctuations, political instability, natural disasters, and pricing.

Therefore, it is vital for advisors to ensure they don’t just ‘speak’ to their clients but ‘listen’ to them. Genuine engagement can result in loyal clients – and profitability – for life. When travel advisors are indeed speaking with their clients, they should tap into their power to paint an intriguing vacation picture and inspire travelers with a global narrative of adventure, reward and enrichment. The portraits of memories created during a vacation will last a lifetime.

Monday, January 16, 2012

My Top Hotels in 2011...And My 2012 'Wish List'

During the first month of the year, I like to pause and consider all the hotels I’ve been privileged to visit – and will encounter the coming year – during my global travels. In the spirit of ‘recaps’ and ‘lists’ that celebrate the launch of a New Year, I wanted to share with you my thoughts on the top five hotels I experienced in 2011 as well as the top five properties I can’t wait to discover in 2012.

Top 5 in 2011

Shangri-La’s Villingili Resort and Spa, Maldives – Nestled 75 miles south of the equator on Villingili Island on the Addu Atoll in the Maldives, Shangri-La’s Villingili Resort and Spa is exceedingly exceptional in every regard. Fabulous accommodations (132 villas in all), a superb roster of outdoor activity (such as biking, tennis and fishing), watersports (including diving, a huge passion in the Maldives), the CHI spa, superior dining, and flawless service make this luxurious tropical resort that is truly family friendly a gem in the glorious Maldives. Created on a deserted island from scratch, Shangri-La’s Villingili Resort and Spa is a dreamy vacation getaway that is one of the few places I can confidently say allows the ‘globe-trotting road warrior’ in myself to actually relax. I visited last summer and I can’t wait to return.

Corinthia Hotel, London – Several new hotels emerged on the scene in London, and the Corinthia may be the best new property there. I’m in the city at least twice a year so new hotels are always on my radar. The Corinthia’s design is striking and impressive; bold and cutting-edge spaces (that are open and welcome tons of natural light) and spectacular workmanship enhance the stunning city views. Innovative culinary dishes and the revolutionary ESPA Life spa concept also make the Corinthia a distinct stand-out in London. It sets a new standard for luxury and style in one of the most cosmopolitan and culturally-rich cities in the world.

Monday, November 21, 2011

Are We in Social Media and Technology Overload?

iPad, Kindle Fire, Samsung Galaxy – these names, among others, dominate our daily lives, whether we’re reading about these devices or utilizing them ourselves. And, today’s marketers are tasked with determining how best to take advantage of consumers’ obsessions with these latest and greatest technology ‘toys’ as well as how to effectively incorporate social media (Twitter, Facebook and more) into their strategies. It seems that every recent conversation I have had with marketing executives includes these topics to some extent as the hospitality and tourism industries try to figure out the best way to embrace new technology and communications channels.

In our effort to be innovative and strategic, it is crucial not to get carried away. For example, on a recent trip to London I dined at a well-known restaurant that recently opened following an extensive renovation. As always the food was excellent, but I was disturbed when the professional and efficient sommelier presented the wine list on an iPad. Was this really necessary? Leafing through the pages of a wine list is part of the enjoyment of selecting a good wine. I grew more concerned when that same sommelier had to spend several minutes at a nearby table explaining to the guest how to use the iPad. What was the restaurant trying to prove? Surely, a wine list on an iPad is no more than a gimmick. Is there any added value in the experience or was something authentic stripped from my lunch?

Tuesday, October 25, 2011

The State of Tourism in Asia

I have been privileged to visit Asia many times during the course of my career, and the destination continues to surprise and delight me. Having just completed a three-week tour of the region from Tokyo to Shanghai with many cities in between, I remain impressed by the vitality and ingenuity of the tourism and hospitality industry there.

While oversupply in some markets and staff retention seem to be key issues, it is quite apparent that tourism and hospitality are healthy and resilient in nearly every case.

Japan continues to face challenges from the earthquake and tsunami earlier this year, however the WTTC recently announced that business is beginning to return. Here is a link to the informative WTTC report: http://www.wttc.org/bin/pdf/original_pdf_file/japan_report_update_2_october_.pdf

During my stay in Tokyo, I learned that business travel is back and leisure travel enquiries are beginning to show some momentum. It appears the last few months have seen an improvement in occupancy at the top end of the market.

Friday, September 23, 2011

Evolve + Adapt = Staying Relevant

I wanted to share with you a recent experience from a weekend getaway that reminded me of the importance of two key elements to operating a successful luxury hotel – the importance of keenly knowing your customers and recognizing how to stay relevant to them.  For me, in-room Internet was the subject at hand.  I stayed at an exquisite Martha’s Vineyard inn, which was outstanding from the accommodations to the food to the service – but the lack of in-room Internet as an option should I want to stay connected was somewhat troubling to me. 

This drove home the point to me that giving travelers what they want is essential – there’s no option – but you need to know what is pertinent to your customers and then execute flawless service delivery. Finding the right balance of staying true to what defines a luxury product as authentic, genuine and unique while still providing the services consumers not only seek but have come to expect remains a challenge for those of us in the hospitality and tourism industry.

This drove home the point to me that giving travelers what they want is essential – there’s no option – but you need to know what is pertinent to your customers and then execute flawless service delivery.  Finding the right balance of staying true to what defines a luxury product as authentic, genuine and unique while still providing the services consumers not only seek but have come to expect remains a challenge for those of us in the hospitality and tourism industry. 

Luxury consumers can’t be pigeon-holed into one category of needs and desires.  As hoteliers and tourism companies, we endeavor to retain our existing customers while also cultivating a new audience as we work toward a goal of unparalleled customer satisfaction and prosperity.  Creating the right recipe for success indeed seems to require a master craftsman!

So, what’s the proper strategy?  Through my consultancy I implore hoteliers and tourism companies to evolve and adapt to stay relevant. 

Thursday, July 28, 2011

The Crucial Keys to Success - Cultivating Remarkable Experiences & Getting Delivery 'Right'


From numerous research reports on the hospitality and leisure sectors and discussion at tourism conferences, it is clear that leisure travel is back in a big way and consumers are on the move – a tremendous vote of confidence for the luxury travel market.




Embracing Regional Sales Power


With this travel resurgence, major city center hotels and the world’s resorts have a much more balanced mix of high-net-worth guests. Gone are the days when top suites were filled with wealthy Americans or Middle Eastern guests paying top dollar. Today’s mix is much broader with affluent guests from around the globe – Latin America, China, Russia and India, for example – vying for the best suite accommodations. Therefore, hoteliers must broaden their sales and marketing initiatives to include sales trips beyond the East and West coasts of the U.S. to cities such as Beijing, Shanghai, Mumbai, Rio and Moscow. The regional sales office will play an increasingly greater role in driving profitability whether as a member of a chain or representation company.




The Importance of Maximizing Rate


With occupancy back on the rise, hoteliers, cruise lines and airlines should emphasize a focus on maximizing rate. While consumers still are looking for value – not to be confused with discounts – the industry must now employ the very best revenue managers to improve the ADR (average daily rate), which unfortunately, in many cases, still lags behind where room rates were four years ago. Now that consumers are traveling again, they will have to book with a longer lead time in order to secure their preferred accommodations, itineraries and flights – and this will propel travel counselors to work more effectively with their clients to coordinate trips further in advance of departure. Clients unable to plan far in advance will require greater flexibility and more options. How will the travel industry rise to the occasion and meet these consumer needs? Consider ‘delivery’ – in terms of service, experience and value for money – as crucial to your strategic planning going forward.