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Online Marketing Strategy and Consumer Behavior - IHG Owners ...

Online Marketing Strategy and Consumer Behavior - IHG Owners ...

Online Marketing Strategy and Consumer Behavior - IHG Owners

Online Marketing Strategy and Consumer Behavior This chapter will discuss three major marketing issues that affect the travel marketers’ strategy and will summarize with a list of ten recommended action areas that can leverage a hotel’s presence in the distribution arena. (Refer to the Distribution Landscape chapter for more information about emerging distribution channels such as mobile, social and meta-search). 4 the current consumer travel shopping and buying process 4 attribution models for online marketing (who to credit for the booking) 4 media messaging and penetration in the u.s. Much has been written and researched about the travel shopping and buying experience. According to Forrester Research, a typical travel buyer will research three out of four trips, and buy more than two-thirds of all travel online. 1 Metasearch is used to research in more than one-fourth of all leisure/personal travel with one in five buyers (22%) using a consumer review site like TripAdvisor and about the same number (19%) using a tourism/destination site such as a CVB; approximately one in ten used a “deal of the day” site like GroupOn or Travelzoo (9%) or a social networking site such as Facebook (8%). 2 Y Partnership’s 2011 Portrait of American 1Forrester’s leisure and unmanaged business travel online forecast 2011-2016 2Forrester north American technographics travel online survey, Q1’11 (u.s.) Travelers further breaks down the nature of the research claiming that family and friends still dominate during the inspiration and advice phase of the research, but that online travel agencies (OTAs), travel supplier sites (e.g., hotel and airline websites) and other search websites come into play when the traveler is looking at pricing, comparing, and ultimately, getting to the point of booking. U.S. Travel published the Travelers Use of the Internet, 2010 that indicates there are approximately 122 million adult Americans who take overnight trips that might include a hotel purchase with 93 million using the Internet for travel shopping/planning and 75 million actually booking travel online. More than eight in ten travel planners (86%) claim to “know how to find what they want on the Internet” so they are confident in their ability to search and know where to look for needed information. From 2007 to 2010, the consumers in the U.S. Travel study reduced their use of OTAs for planning purposes from 66% to 59% and increased their use of hotel and airline company sites. Search engines were used by almost two-thirds (61%) of all travel planners and bookers for business and pleasure trip planning purposes. For those using an OTA for planning purposes but not for booking, a third (31%) indicated that they could get better rates either offline or through another website. 3 3u.s. travel Association and y Partnership, travelhorizons, october 2009 4 If we fully understand the traveler’s shopping behavior, we can better allocate our limited marketing resources to those points along the path that are most likely to yield a booking or build a meaningful relationship. Published by the hsMAi FoundAtion 121

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