Internet Marketing for Hotel Revenue Managers

2009 is turning out to be one of the toughest years for hotel revenue managers in more than a decade. In these trying times, it is critical to cut back on unnecessary expenses and invest more in money-generating initiatives. Most hoteliers reevaluate their marketing plans during this time and there are some hoteliers who decide that tightening their marketing purses is necessary. Don’t let this be the case for you.

While offline marketing is no longer as effective as before, eliminating promotions altogether is never a good idea. Shifting the focus to online marketing might be the best method to cope in today’s challenging environment. It is crucial to ask whether or not your property is Web 2.0 ready. A lot of research suggests that a bulk of travel expenditures from both business and leisure travelers will come from hotel electronic sales.

Hoteliers are aware of this fact and they are gearing up to make the most out of it. When asked about traditional marketing, internet marketing, and combining a mixture of both, majority (around 56%) of hotel revenue managers surveyed revealed that internet marketing is the best solution with regards to hotel distribution channels. This realization has urged hotel revenue managers to spend more on internet marketing. 63% of those surveyed said that they will increase their internet marketing spending for the year.

However, having a general idea about what internet marketing is like would not be enough to boost hotel sales. Hoteliers still need to discover which exact strategy would work best for them. Currently, there are a myriad of tools available to them including social media, search engine optimization, viral marketing, and email marketing. Certain strategies will work for some but not for others.

In general though, search engine optimization (SEO) and search engine marketing (SEM) are proven to be effective as long as the right keywords are targeted. Likewise, travelers are now relying more on “word-of-mouth” on the internet before booking their reservations. Property owners can benefit a lot in terms of increasing hotel revenue if they receive good reviews from past clients. Utilizing travel portals that offer reviews, information, and online bookings can likewise work for their benefit.

Another tactic that should be considered is pay-per-click advertising. Many hoteliers have reaped hotel revenue optimization by using this tactic. Similar to SEO though, the success of this initiative lies in the careful selection of keywords. In addition, even the short ad content included in the campaign can have a significant effect on the bottom line.