Tripadvisor gives the hotels a link to the website: is it of interest to partecipate? The costs outweight the benefits?

In the last few weeks we have seen a strong campaign from Tripadvisor directed to hoteliers to promote its 2 programs:
CPC (Costo Per Click) e Business Listings.

The Highbookings‘ team, in May 2012, has carried out a study in order to answer specific questions on the actual benefit to the hotels to have their own web site on Tripadvisor along with Booking.com, Expedia, Venere, etc showing rates and availability in real time, the objective being to get direct bookings.

The study focuses on two main themes:
Will we receive recervations? the costs are justified by the volume of bookings generated?

Let’s see in detail the proposals:

1- CPC: Costo Per Click

CPC Hotel River Palace (RM) su Tripadvisor

The link to the website of the Hotel is in first position with respect to the portals

The CPC has a variable cost in relation to the number of click received. The cost varies from 0.60 to 0.85 Euro for each click on the link to the website of the hotel.
The window “ Show Prices ” has some limitations: slow opening and sometimes the hotel offering does not appear in first position.

To participate in the program the Hotel has to sign an agreement with the online marketing agencies.

2- Business Listings

Albergo Del senato (RM) su Tripadvisor

The site and the hotel phone number appear under his name

I Business Listings has a fixed annual cost, it varies in relation to the characteristics of the hotel.

The hotel partecipates in the program by signing an agreement directly with Tripadvisor.

Considerations

Hotels are very different from each other and there are many elements that make a promotional program valid for an hotel and inefficient for another. To benefit from any promotional action, it is necessary to keep in mind:

- Reputation
- Ranking in Tripadvisor
- Number of reviews
- Location
- Parity rate
- Rooms availability
- User friendly website
- Booking engine fast,  easy and safe
- Images that represent the reality

Pro

The Hotel is protecting its brand by competing against the on line agencies, such as Booking, Expedia, etc, in offering its users the possibility to book through its own website.

Pay attention to:
- do not exhibit higher rates that would be immediately detected by comparison with the OTA;
- make sure to have a good number of bookable rooms;
- provide the customer with all the necessary information to allow him to evaluate the offering and carry out the purchase.

Otherwise the Hotel would support a cost without the certainty to receive reservations.

Contro

We have taken in account the above issues, but the coste will produce reservations?

a) Users primerely use Tripadvisor to evaluate the reputation of the hotel. It is known that the time of this search does not always coincides with the act of booking. In fact about 75% of Tripadvisor users do not book at the time of the research.

b) Costs are uncertain and somewhat high, when compared with other offers, in addition the hotel receives only at the end of the month the cost report, this puts the Hotel in no position to verify any moment the costs he is supporting.

In summary:

Tripadvisor is for the hotels un excellent visibility tool, to affirm its brand, to monitor its reputation, as with other social re iews sites, such as Trivago, Holidaycheck, etc.
Through these sites the hotel makes his voice heard, communicates with its customers by responding to reviews, audit its own weakness and becomes more involved In the needs of the customers.
Doing so, the Hotel will surely receive certain benefits.

After many years of experience in promoting hotels online, we can say with confidence that the hotel, in defining a promotional strategy, needs to be supported by experts to develop a many facet program. This should be the result of a careful a analysis that will highlight Hotel characteristic and needs. Focusing the action on initiatives by certain results, rather than on advertised initiatives with uncertain results ….this is our aim!

If you need an analysis that show you what is needed to increase your online sales, please contact us!

Is free and we will make certain to increase your online visibility to generate direct sales “the most difficult to get” but the most “profitable one”.

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