Wednesday, July 27, 2011

Top 10 Hotel groups with Twitter


Recently I read on hotel-blogs.com that International hotel groups have given a lot of thoughts in the last 2 years about what they should be doing with Twitter. There is quite a gap between this hotel group and others Not sure if there will be another hotel group to reach this fan base anytime soon.

Wyndham is still without any Twitter account set up for the head office. Maybe Twitter is not in their communication strategy.

Monday, July 11, 2011

Groupon, Expedia and Hoinga

When travelers sign up for the new Groupon Getaways with Expedia and with Hoinga they are told this is the best thing to happen to travel since the inflatable neck pillow. That may be true for the traveler, but what does it mean to you or your hotel?


In a recent article, “What Groupon Getaways With Expedia Means for Hotels” Expedia puts forth the proposition that it makes good business sense to sell your $200 room for $50. Here’s their thought process:
Also Hoinga is a great place to find great hotel at great discounts by using group power.

To start – cut your $200 room price in half (to $100)
Then make Expedia/Groupon/hoinga a 50/50 partner. For every room night sold you get $50 and Expedia/Groupon and Hoinga gets $50.
If your hotel’s operating cost is $40 you’ll make $10 for each room sold. Sell 1,000 rooms and make $10,000. (Somehow I suspect Expedia/Groupon/hoinga achieves a better ROI. Do the math using your own operating costs.)


Deal: 50% off $200 room at Amazing Hotel

Value of offer: $200

Cost to consumer: $100

Revenue to hotel: $50

Operating cost to hotel: $40

Hotel margin/room: $10

Total margin generated if 1000 vouchers are sold: $10,000