Fuel Hotel Marketing Podcast: Episode 78 – Your Hotel Isn’t Ready For The Second Mobile Tipping Point
Has the world not realized yet? Mobile is a big deal and you need to be doing everything you can to cater to the consumer’s desire to book on mobile. In this episode, we look at a recent white paper from Criteo and also dig into some of our own data to show just how close we are to becoming a mobile-first industry.
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Criteo’s White Paper highlights some interesting mobile stats for the travel industry. Keep in mind, this is not exclusively hotel data.
Stand out stats:
- 45% of OTA bookings are Mobile (excluding apps) Vs. 16% for suppliers (aka: you, the hotelier)
- 30% of bookings were preceded by a click from another device.
- Up to 80% of last-minute bookings are mobile
- Apps account for up to 41% of last-minute traffic
- Tablets account for approximately 6% of total bookings (we are seeing this number decrease)
What is the second mobile tipping point?
There are going to be three tipping points. The vast majority of our clients have already hit the first. This is when more traffic is coming to their website from a mobile device than from a desktop/laptop. The second tipping point which will happen later this year for some of our clients, is here the number of bookings on mobile outweighs the bookings from desktops/laptops. This will be follow shortly by the third mobile tipping point, when revenue from mobile outpaces revenue from desktops/laptops.
When will the second mobile tipping point occur?
For some properties, with lower ADR and lower income guests, it will be December 2018. With the third tipping point following in early 2019.
Why do lower ADR properties seem to be ahead of other properties?
There are a few theories regarding this.
1, It’s a smaller purchase and therefore doesn’t require as much thought
- Lower income guests are less likely to have a computer in their home and therefore they rely on their phone as their main device for accessing the Internet.
- Lower income guests may not work on a computer and therefore don’t have time to do their vacation planning during the day.
Fuel’s HSMAI presentation on the second mobile tipping point:
What can hotels do to get ready for the second mobile tipping point?
- Integration of the booking engine
- Smarter search functionality
- Streamlined forms
- Use psychology like a boss. See this episode for more examples:
My snarky response would have to be the elimination of all OTAs but we both know that will never happen. That being said, I would love to see the amount of paper eliminated at check-in. I’m sure other properties have solutions to get rid of the paper stack that is handed out at check in (parking pass, property map, room key, discount card, etc.). We taut ourselves as being “green” but we give each one of our guests these bulky packets filled with papers when they check in. Most of our market is a drive market and this seems to me something that could be downloaded by John Smith on the trip down while his wife is at the wheel. Maybe the MB guest isn’t savvy enough for this?
Streamlining social media postings would be nice as well. Instead of having to post on FB, Instagram, Twitter, and Snap Chat (FB and Twitter at least connect), it would be nice if all posts were picked up across all platforms.
An unlimited budget and an inside track to how the powers at be with Google think would also be highly beneficial!
In The Newsies
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Google Updates the “People Also Search For” Feature
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