It may be nearly impossible. As much as these hospitality businesses might want to rail against social media channels, particularly ones that focus on reviews – Yelp, TripAdvisor, Zagat and the like – they’re certainly not going away anytime soon. And hospitality companies know this. In fact, they fully intend to track their reviews.  For instance, a 2011 TripAdvisor survey revealed that 99% of hotels planned to respond to customer reviews online, but, according to this report, one GM believes only about 7% actually do respond.  It’s not hard to understand why – between monitoring, measuring, resolving and responding, it’s a time-consuming process to say the least.  Add in the act of encouraging reviews from happy customers (we have seen some pretty posh hotels come right out and ask satisfied guests to write a TripAdvisor review), and it’s a full-time job, one which many small businesses are not yet prepared to fully fund in the form of additional staff.

Coyle’s restaurant secret shoppers have seen that the well-trafficked review sites can certainly attract or repel customers. Our secret shoppers are on-site at hotels, restaurants and spas evaluating the guest experience every day.  Their mystery shopping evaluations help operators refine, improve and elevate the guest experience. Can this all be undone by one employee in a bad mood who sets off a ranting review online? With the latest customer satisfaction index at a two-year low, it makes the idea that there’s a megaphone for everyone that much more frightening.

Oh, and just when you thought you’d mastered Facebook, here’s one report that says Facebook booking conversions are growing. Some hoteliers are implanting stand-alone booking and shopping engines on Facebook and independent properties are differentiating themselves with booking functionality. Conversions from Facebook, apparently, are higher than from TripAdvisor, so there’s no overlooking the importance of your Facebook presences.

And yet, there’s evidence that users of these review sites – at least in the travel segment – are more likely to book.  According to a recent survey by the market research firm PhocusWright, travelers who visit planning and review sites, metasearch or other types of nontransactional websites have a higher conversion rate, and they book at higher rates through supplier sites directly. This demonstrates the importance of review sites for conversions.  But how much weight should operators place on different sites and on particular reviewers themselves?

Most outside firms who help track your social media reputation do so automatically, boasting complex algorithms and more. But it may take human analysis on an ongoing basis and a familiarity with the operation, for this analysis to be truly accurate. What’s your online rep score? You’re probably not going to get it from a computer program alone.  For restaurants, hotels or spas to really gauge where they stand in the online review realm, they need constant tracking in context, whether by an in-house staffer or an outside contractor that dedicates human analysts with indepth knowledge of the market segment.

To find out more about how Coyle Hospitality Group can assist you with mystery shopping services and social media reputation management, contact us.

We cannot overlook the importance of design in our accommodations. Think about entering a hotel and the sensations it elicits. When you first arrive, the lobby is your welcoming handshake. And that handshake is being modified by some hotels that forego the formal check-in desk, instead using roving employees who casually approach guests with tablet computers. Memorable touches create a memorable experience. The transported-to-another-place ethos is key for architects and interior designers, who want to give guests an experience apart from their everyday lives.

For more than 12 years, Starwood’s luxury boutique brand W has built innovative hotels and established properties that are described as luxurious, elegant, and even whimsical. This industry trailblazer is going strong – announcing six new properties in 2011, all unique in design.

Sure, unusual or avant-garde features don’t suit everyone’s tastes, but unique, boutique-style hotels aren’t meant to be roadside motels catering to a common denominator of aesthetics. They may run the risk that what’s in today can be passé tomorrow – and sometimes ‘form over funtion’ doesn’t translate to a better guest experience – but the market for the new, hip and different doesn’t seem to abate. Our hotel secret shoppers will tell you that what matters most when it comes to hotel facilities are that they are well-maintained and functional, but when hotels have sleek features and designs, it takes it all up a notch for guests.

Hospitality consultants say that more and more travelers are looking for authentic experiences when they travel. A hotel that captures a sense of place is part of this experience. W has harnessed this in its planned openings, creating personalities that complement locations. The W Retreat & Spa Bali’s look is inspired by the thousands of temples found in the region, for instance; W St. Petersburg plays with tones reminiscent of a Faberge Egg;  and W Paris, located in an Haussman-era building, couples French tradition and modern design. These hotels serve not only as bases for one’s time in another city, but also reminders of that city and of the different experiences they’ll encounter.

Good design done right does have value. Hospitality consultants say it must be memorable, it must be comfortable, and it must be accommodating. Styles come and go and consumer expectations and preferences constantly change (what is celebrated today can become uninspired kitsch tomorrow), but when the design resonates and reflects the destination in which it’s located, it’s a key part of the overall guest experience.

Corporate social responsibility (CSR) refers to the adoption of policies and practices that are environmentally sound, socially responsible, and ethical. Corporate programs can range from community development and investment initiatives like Sun City in the North West Province of South Africa, to simply committing to green practices, such as hotels who are members of the The Green Hotels Association do.

For example, Kimpton Hotels and Restaurants has implemented a program with local, national, and global components. On a community level Kimpton Cares works with local non-profit organizations in support of hunger initiatives, education, art, and even neighborhood beautification. On a national level the group supports organizations such as Dress for Success and hosts nation-wide Red Ribbon campaigns to raise awareness about HIV/AIDS. On a global level, partnerships with The Nature Conservancy and Trust for Public Land promote environmental conscientiousness. We’ll no doubt see many valiant efforts in the coming weeks related specifically to the crisis in Japan; those companies with experience and programs already in place will more readily be able to lend support in an organized way.

But can the regular corporate responsibility and environmentally friendly efforts that companies make improve their bottom lines? That may be difficult to quantify completely, but according to Business Link, these programs can greatly benefit companies when comprehensively implemented. CSR initiatives can strengthen the reputation of an organization, foster good relationships within the surrounding community, create opportunities for positive press, promote research and development, and overall offer a competitive edge. Employees have also been found to better identify with an ethical corporate culture where concerns for well-being and welfare extend beyond the generation of revenue, which makes both recruiting and retaining workers easier.

CSR is also a great marketing tool, particularly in a time period where green is an ethos more than a color. Consumers are concerned with lessening their carbon foot prints and they tend to respond positively when socially responsible companies appeal to their values. Last year the ImagePower Green Brands study revealed that 75% of consumers in the US seek out brands that are produced by green companies. Brands identified in the study included Burt’s Bees, Whole Foods Market, and Tom’s of Maine. Both Google and Microsoft also made the top 10 list. True, these efforts don’t always translate into dollars on the part of companies, but the long-term benefits of CSR are certainly part of the consideration.

Coyle Hospitality’s Coyle Cares program seeks to make a meaningful impact within local and global communities. Its first partner was the Strong Kids Program for children with special needs at Camp Combe in Putnam Valley, NY. For more information about how to participate in Coyle Cares, click here. For more information about Coyle’s quality assurance and mystery shopping programs, contact us.

Online reviews and customer feedback are affecting bottom lines all over the country, as word-of-mouth has become a prime motivator for customer behavior. At least one survey, conducted in the UK among 2,000 consumers, found that 39% use TripAdvisor as part of their research before booking a trip. A recent MSNBC poll showed that 86% of travelers use online review sites for hotel accommodations. It’s no wonder then that hotels are tracking, responding to, and, in some cases, soliciting reviews for, TripAdvisor and other online review sites.

As a hospitality consulting company that provides mystery shopping services for hotels across the world, Coyle Hospitality focuses on the guest experience. Can the prevalence of online reviewing sites and applications that make consumer reviewing easier enhance the guest experience if servers and bellman are constantly on their toes? It may, but hotels can’t look the other way when it comes to maintaining and protecting their online reps. And judging from a recent TripAdvisor survey of 1,000 hotel and lodging owners, more than a quarter plan to launch programs to engage guests via mobile (another 27% said they had similar strategies last year and plan to continue them in 2011) and 72% plan to respond to online reviews, whether positive or negative.

Keeping track and monitoring social media mentions and exposure is getting easier for hotels. This roundup of social media monitoring tools gives a sense of just how important monitoring online reps has become for hotels. Tools like Revinate, ReviewPro and Chatter Guard help hotels more easily and efficiently keep track of what’s being said about them.

But hoteliers are not necessarily taking the power of online hotel review sites lying down. After TripAdvisor blocked its reviews from being accessed on Google Places, Hospitality eBusiness Strategies, an internet hospitality consultant, suggested that hotels should make strides to “level the digital playing field” by promoting reviews on other consumer-generated sites like Frommers, Yelp or Rand McNally. Also, it advised hotels to add guest satisfaction surveys to their own homepages. By including customer reviews on their own sites, hotels are keeping the guest engaged with their hotel. Positive reviews should also be used on other channels like Facebook pages and Twitter feeds, and consumer-generated content should be added to a property’s profile, this hospitality consultant advised.

One thing is certain: a traveler’s willingness to stay at a hotel is, and will continue to be, affected by the reviews of others, so employing customer-centric strategies to address and engage with these consumers is essential for preserving brand integrity.

In the session “Branding: Let’s Step it Up” representatives from some of the most well-known consumer brands – Google, Disney and USA Today – gave tips on brand strategies, maintaining a consistent voice in the market and fostering brand images. What does it take to build a brand? You must have something unique, deliver consistently and remain relevant to your customers, said Lisa Becket, vice president of destination marketing strategy, Disney Destinations. Following are further tips from this session’s brand leaders.

• A strong corporate culture and an original vision are essential to a consistent brand message, said Gopi Kallayil, director of product marketing, the Americas, for Google. Kallayil said you must go to where your customers are; if they’re online, you must go online. For instance, every minute, 35 hours of video are uploaded to YouTube. Your customers blog, tweet and influence hundreds of friends. Listen to customer feedback and act on it, he said. Hotels have the opportunity to be experience-based and information rich, to capture guests’ likes and dislikes and to be able to micro-brand within the brand.
• Staying true to a brand image requires creativity in tough times, said Disney’s Becket. Disney was presented with a brand challenge in trying to discount without diminishing the perception of the brand. Becket said the company found creative ways, like a local resident promotion, that relayed discounts but focused on the “Disney story.” Stronger brands have fared better in down economies, added Becket, because people stick with what they trust.
• It’s important to be part of the context of your customers’ lives, said Jeffrey Wilks, senior vice president, brand marketing for USA Today. If you can surprise and delight customers on a regular basis, all the better, remembering that personalization and localization are important to today’s consumers. Wilks added that hotels have the opportunity for fantastic differentiation, by delivering personalized, localized experiences to everyone who walks in their doors.
• Becket added that collecting information about the guest experience and using it in ways that are meaningful for guests is a key component to building a strong brand, but you must be consistent to your brand’s core values while doing so.

During a later session, “Hotel Leaders Outlook: The Big Brands’ Perception”, the principals of major hotel brands spoke about the future of the industry and how their brands are confronting changing customer needs.

• President and COO of Marriott International, Arne Sorenson, pointed to a broad industry recovery underway, saying there will be RevPar growth in 2011. With the 7^thbiggest retail website in the world, Marriott continues to enhance how it markets to customers, he said. Migration to smartphones and other mobile devices will continue.
• Mobile reservations are up ten-fold, added Frits Van Paasschen, president and CEO of Starwood Hotels. Brands need to have a platform that’s flexible enough to accommodate consumers and provide the information they seek. He said hotels must measure customer engagement, constantly ask how they are doing and offer powerful, brand-building, rewards programs.
• Even big brands with solid reputations have difficulty differentiating their brands.  Said David Kong, president and CEO of Best Western International, loyalty programs present one opportunity for this differentiation. The ongoing challenge is that online travel agencies (OTAs) are training consumers to believe that price alone is the driver.
• Raymond Bickson, managing director and CEO of Taj Hotels, which has a majority of its hotels in Asia, said that the growing middle class in China results in about 10 million outbound travelers that are being missed by U.S. hoteliers.

For more of Coyle’s ALIS coverage, see our recent posts below.

America in 2050: The Impact of Changing Demographics

Outlook is Optimistic at Americas Lodging Investment Summit

Just how is America changing, and what will it look like in 2050? During the recent Americas Lodging Investment Summit (ALIS), Joel Kotkin, author of “The Next Hundred Million: America in 2050” presented a lucid look at demographic and cultural trends, some that are likely to change the hotel product and guest experience vastly in years to come. Here, we present just a few key points from Joel Kotkin’s session.

• The US population will continue to grow, but the population is not aging as dramatically as in other countries.  By 2050, 20% will be over the age of 65, 42% will be part of the labor force and “millennials” will make up the overwhelming majority of the population.
• Migration to smaller cities and towns will grow, a “declustering” that will create more “sub-cities” and “multipolar cities” (several small city centers rather than one huge city). Cities that were once secondary cities will experience strong growth tied to airport hub growth (such as Phoenix, Riverside, Houston).  According to Kotkin, 35% of the population want to live in the country, and 33% in a suburb near a city. But the suburbs of 2050 will have more vibrant main towns or centers, rather than be bedroom communities of major cities. And there will be a revival of the heartland.
•   The top cities that current college graduates (millennials) are moving to include Baltimore, Birmingham, Jacksonville, Louisville, Nashville, Rochester and Portland.
•  Immigration will drive American demography; the largest population in 2050 (millennials) will be the most diverse in history.  The ethnic market is where the majority of growth purchasing power will reside.
• This vast millennial population is family oriented, ethnically diverse and want to live in housing near their jobs.  More will work from home than ever before. Millenials will look for experiences that are unique and personal.

What do these trends (and many others Kotkin explores) mean for the guest experience by mid-century?  For one, businesses can build around unique places, and provide unscripted, meaningful experiences that encompass family.  Even well-known brands were warned to stay away from replica facilities in different cities – opting instead to foster a sense of place.  The role of facilities that involve or cater to the entire family will also conceivably grow in importance as the ties between generations will be closer than in previous periods of history.

Cities, and city-based hotels (and restaurants by extension,) need to nurture their unique differences, capitalizing on local cuisines, traditions, cultures and diversity. The most successful will provide experiences, products and services that consumers can’t get in any other location.

As changing demographics play out, the role of monitoring the customer experience, gaining feedback and measuring quality assurance to move with these customer shifts becomes ever more important. As Coyle’s hotel consultants and mystery shopping evaluators have often found, subtle shifts that respond to new guest needs can elevate the guest experience beyond initial expectations.

For more information on Coyle’s mystery shopping provider services and local quality assurance consultations, click here or email info@coylehospitality.com

Teching it Up a Notch: NY’s Plaza Hotel

 “Today, luxury is being redefined to not only include actual products, but how something enhances an experience or fulfills a need,” said Shane Krige, general manager of The Plaza. Toward that vein, the iconic NYC hotel now offers every guest an iPad from which they can do just about everything they need while on-site, including control the temperature in their room, order room service, make restaurant reservations, communicate with the concierge, request wake-up calls, explore NYC destination guides, and even check airline schedules and print boarding passes. The iPads are also pre-loaded with leisure and business-friendly apps and newspapers – and, of course, they’ll be able to browse the Web. Kudos to the Plaza for taking hotel iPad use up to the next level and adding convenience to every guest’s stay.

A Breath of Fresh Air: Respire by Hyatt

Answering the needs of a growing subset of guests, Hyatt last year debuted hypo-allergenic rooms installed and maintained by Buffalo, NY-based Pure Solutions. Each “Respire” room gets a one-time shock treatment to minimize irritants, hypo-allergenic mattress and pillow encasings, a powerful air purifier that’s listed as a medical device by the FDA, and other treatments that eliminate allergens on carpets and upholstery. With the number of asthma sufferers estimated to reach 400 million by 2025, we’d say focusing on rooms designed for their comfort (not to mention the comfort of millions of others with less severe respiratory sensitivities) is an excellent move.

Adios Front Desk: Andaz

It’s not just the Andaz that’s moved away from the idea of a front desk in favor of a more informal approach to check-in – it’s a phenomenon that’s been evident among super high-end hotels for quite some time. But mid-market lodgings have only just begun to rid themselves of this “false barrier,” as hospitality consultants put it, and Hyatt’s fledgling brand, Andaz, does so in a modern, refreshing way. Arriving guests are met by roving hosts, who sit down with them, offer a free glass of wine or coffee, and complete the process on a tablet computer (or iPad). It’s an of-the-moment approach that sets a welcoming, relaxed tone for the stay.

For more information on Coyle’s restaurant mystery shopping progams and services, click here or email info@coylehospitality.com

• The outlook overall was cautiously optimistic, with hospitality consultants and industry experts predicting improvement in the coming year both in RevPAR and occupancy.  During the opening panel on the outlook of the industry, Mark Woodworth, president of Colliers PKF Hospitality Research, said severe discounting in 2010 drove huge declines in RevPar, but these declines also led to a growth in demand. This, plus a limited increase in supply over the past year and year to come, should allow the lodging industry to show increased improvement in 2011-2012, although he said there wouldn’t be a meaningful increase in the supply of hotels until 2013-2014.
• While increasing average daily rates (ADR) is good news for hotels, leisure travelers may be bearing the brunt of the increases, said Gary Fritz, president, Partner Services Group, Expedia, who added that we’ll see leisure travelers taking shorter trips due to fixed budgets and higher rates in 2011. Meanwhile, ever shorter booking windows are creating revenue management issues for hotels, and leisure travelers are increasingly willing to stay further from city centers.
• There’s a broad recovery underway, according to Arne M. Sorenson, president & COO, Marriott International, who also predicts increased RevPAR growth in 2011. Sorenson, who spoke at the “Hotel Leaders Outlook” session, mentioned the potential influence of the fast-growing China travel market, from which the industry could conceivably increase room nights by 40 million.  
• Technology is a large piece of the puzzle when it comes to growth said hotel industry experts. David Kong, president & CEO, Best Western International, said three out of every four reservations are made electronically.  And Frits van Paasschen, president & CEO of Starwood Hotels & Resorts said mobile reservations are up ten-fold. Van Paasschen said hotels must engage with customers and constantly assess how they’re doing to elevate the guest experience.
• Where will America be in 2050? Futurist and author, Joel Kotkin answered the question in his presentation, with a range of statistics and insights. In 2050, about 20% of the population will be over 65, 42% will be in the active labor force, the population with “decluster” and head to smaller cities or outlying suburbs, and immigration will drive demographics, with millenials being the most diverse generation in history.
• Representatives from Disney, Google and USA Today offered tips to hoteliers during a panel discussion on building and maintaining strong brands. Lisa Becket, vice president, of destination marketing strategy for Disney Destinations advised hoteliers to stay relevant to guests while also remaining consistent to core values. Part of remaining relevant is reaching them where they are. And since your customers are online, you must follow them online, said  panelist Gopi Kallayil, Google’s director of product marketing for the Americas. Consumers want personalized, localized experiences, and hoteliers have the unique opportunity to deliver that to anyone who walks in their doors, commented Jeffrey Wilks, senior vice president of brand marketing for USA Today.

Coyle Hospitality: What prompted the introduction of the E-Butler application?

Nash: We wanted to further bring St. Regis’ guest experience into the digital age.  We understand the guests’ desire to communicate electronically. With this application, guest requests go directly into the system and are easily responded to, facilitated and managed by the hotel’s associates. It was also important to us to have an application that can be easily updated to constantly evolve.  The St. Regis E-Butler’s content can be updated instantaneously and will be continuously evolving to suit our guests’ needs.

The St. Regis’ signature butler service is well known. Does this application allow for service requests that weren’t possible in a traditional way?

Nash: With the increasing use of technology, we see more and more guests wanting to communicate via email or text messaging. The application gives guests direct access to the concierge team and butlers to assist with everything from a room service order to a restaurant reservation to purchasing tickets to the newest Broadway show. Our hotel associates have the ability to facilitate an increasing number of requests and can now communicate with guests through the application’s chat function.

What are the issues that small hotels might face in developing applications like this one?

Nash: Before hotels launch an application, they must ensure that they have the technology and personnel capabilities to support the app. Guests’ requests go directly into the system, and are handled immediately.

How important is the content (insider city guides) to the application? What was the thinking behind adding extra specialized content to the app?

Nash: With this added “Insider’s Guide”,  the hotel tapped some of New York’s most celebrated personalities – André Leon Talley, Jason Wu, Alexis Bittar, Alain Ducasse, Danny Meyer and David Rockwell – to share favorite shops, restaurants and city landmarks, offering exclusive content that only the St. Regis could curate and provide. We wanted to make the E-butler an all-purpose tool for guests, granting them access to our butler service and concierge team, as well as providing a comprehensive guide to New York City.  We have an ongoing relationship with many of the “insiders” featured in the application’s “Insider’s Guide.”  A number of them are frequent guests and longtime supporters of the hotel. For example, Jason Wu held his Resort Wear show at the hotel in June 2010 and his Spring 2010 collection at the hotel in September 2009.

In one of the IHMRS panels focused on the issue, “Customers of the Future”, were the following highlights:

Redefining the grand space:  Hoteliers say that hotels of the future will reconfigure the lobby space, moving away from the transaction-oriented approach of a front desk (barrier) to one more conducive to connecting with guests. This includes making bar and lounges more visible, removing traditional front desks, checking in guests with wireless laptops, and offering an “experience” when guests arrive.

Mobile check-ins: As it becomes easier to provide guests with cell phone applications that allow them to check-in with mobile phones, more hotels will embrace the option. Business travelers won’t need to stop and endure the usual tedious check-in process, another enhancement to the guest experience.

In-room technology initiatives: According to hospitality consultants at IHMRS, innovations like the use of iPads to control in-room technology, 3D TVs and enhanced customization to accommodate individual preferences, will make the guest room experience quite different in the years ahead. Coyle’s mystery shopping services, which include hotel and restaurant secret shoppers that spend a great deal of time focusing on facilities, have often shown that upgraded technology goes a long way to improving guest comfort. However, often the best technology improvements are “fuzzy”, meaning they improve comfort, convenience and overall experience without necessarily “wowing” guests.

Experience is golden:  Luxury in the old days was more often about luxury of service and material, and while these remain important, the “luxury of experience” is paramount say consultants. Guests, more than ever, want authenticity from property to property. They want interactivity, entertainment and diversity. The consistency in brands across properties should focus on service, but the environment of each location should offer diversity.  

Environmentalism behind the scenes: While some hotels are still reluctant to jump into fully sustainable products and approaches for fear that when standards are adopted, they may have to rework previous choices, some hotel consultants say more hotels are weaving these efforts into the hotel without promoting it as they’ve done in the past. And while there are groups of consumers looking for sustainable concepts in the hotels they choose, the million-dollar question is “are there enough of them?”

For more crucial consumer trends of 2011, see this piece in Trendwatching.com

Coyle Hospitality Consulting provides mystery shopping services, restaurant consulting, spa consulting and hotel consulting, among other services for the hospitality industry.