Six months ago, Tripadvisor announced its newest membership program Tripadvisor Plus which is a brand new method to enhance your travel experience. An innovative method that has sparked many different opinions, however it also raised some issues from the hotel industry particularly in relation to price parity issues. Tripadvisor has just announced a significant twist in its initial strategy (link to the Plus program) moving from a instant savings (or discount to travelers) model to an "reward" model (to the same travelers but for future bookings and the possibility of cashing the rewards). The company plans to gradually end the instant savings model based on hotelier and consumer adoption. The purpose of this article is to give the hotel industry with all answers to the numerous concerns Tripadvisor Plus still raises. What exactly is Tripadvisor Plus and what does it mean to the users?It's an annual membership for customers (travelers) with hotel rewards and other perks when they book through the Tripadvisor Plus platform. Users earn cash rewards they can use in future bookings, or during their stay in the hotel (restaurants bars, spas, etc.). ). How does Tripadvisor Plus work for hotels?Plus's initial approach was to "instant savings" for travelers. This meant that hotels had to offer the net rate which was typically 15% less than the public rate and any perks they were willing to provide. Hotels didn't have to pay any commission for these bookings (some wrongly said they didn't have any expense). The new Plus reward model works very differently. There's no requirement to provide an exclusive discounted rate. Tripadvisor Plus will operate with similar rates to OTAs. This is the most important issue that hoteliers faced with the old model. Additionally, hotels will have to pay an amount of net commission (cancellations and no-shows are excluded) to Tripadvisor. The minimum amount of commission is 10 percent (15 percent is recommended to increase visibility) and it is applied to the amount before taxes (something normal, but you should keep in mind that hotels pay commissions on taxes with several OTAs such as Booking.com). Tripadvisor states that hotels pay commissions to travelers to be "rewards" to encourage future bookings. Tripadvisor Plus is open to both OTAs and agenciesYes. Any channel that was able to connect rooms and rates with Instant Booking will be welcome to take part in Plus. So, Plus is not an exclusive placement of the direct channel. In the end, hotels would be competing with OTAs to access the Plus placement. Here's the problem. OTAs are charging hotels between 18% and 25 percent. What is the amount they willing to offer for free? This will decide whether the minimum requirement of 10% (recommended 15%) plus any additional requests are enough to compete with OTAs. An obvious proof of the commissions hotels pay to OTAs go to competing against themselves in online marketing placements. An interesting paradox. What is the rate of participation in Plus in major cities around the globe?This is the participation rate as of the date this post is put on the market. Based on our testing, it shows that there are 550,000 hotels who have joined for Plus in major cities. This is a combination of "instant savings", "discount" or "reward" models. Be aware that this is only an image of what the program looks like in the present.
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TripAdvisor has over 490 million monthly visitors and is the most popular and most popular online travel website. The site gathers information and reviews about tourist attractions and companies to give tourists an insight into the destinations they would like to visit. According to their own words, the website provides travelers with the knowledge of crowds, helping them determine which hotel to stay in, what to fly, what to do and where to eat. Look at LITTLESMM site if you need details information regarding Tripadvisor. Why TripAdvisor?Established in February 2000, this free service covers every part of the world There are some of the reasons your business should sign up if you haven't already. CommunityBe part of the largest travel community in the world, where consumers go for information, opinions, or reviews on travel destinations and related products throughout the globe. ExposureWith more and more travel transactions going online, a presence on one of the largest travel review websites worldwide can be no bad thing You can make an TripAdvisor listingThere are two ways your company can be featured or listed. Either a representative of your company may apply for a listing, or a TripAdvisor customer can evaluate your business and request an account. It is crucial to determine if you already have a listing and to claim your business as quickly as possible. TripAdvisor allows only one listing per property. If you already have a listing, it is better to claim it rather than creating one. TripAdvisor lets you search for a company. Click the "Get listed now" button if you're business is not yet on TripAdvisor. You'll be taken to a page where you'll have to submit information about your business to get started. This form should be completed in detail so TripAdvisor will be able to accurately list your business. or GIF file format and have a maximum file size of 100 KB. There should be no borders or logos on the image. Verifying your companyBy phone Verify via phone if need to confirm your business number. After you've verified the number, you are able to choose to receive the verification code via text message or by phone. Credit cardYou can also verify your credit card information. The details of your credit card are only for authorisation purposes and you will not be charged (a PS1 hold will be placed on the card but there will be no actual charges will be made). Your name should appear on the card. After verifying your listing After confirming your listing, you'll be eligible to login to the Management Centre, TripAdvisor’s hub to run and manage your company. How to respond to reviewsIn responding to reviews, it's crucial to be friendly and personal. If there's a concern respond in a short and humble and, if it is necessary, ask the person to contact you directly. Respond quicklyCustomers who have left negative feedback must not be ignored. By setting aside time to respond to reviewers promptly this will show that you take your customer service seriously. Thank the customerThank the customer for their feedback. It is polite and it could win you more business. Do not ignore problems Instead, you must address them. Be sure to take care to address the specific concerns that are raised in each review. Every business will receive an unfavorable review. If you're at fault, make sure you don't repeat the mistake and make sure you acknowledge it in your response. Beware of general responses. Focus on the positivesAlways take the positives! The majority of reviews will include at least some positive feedback. It's OK to mention this in your responses but then go on to highlight the positive things you can say about your company. |
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