21May/080

9 out of 10 travel buyers say travel-related podcasts, online video influence their purchases

Interesting report coming out from PhoCusWright about online travel purchasing.  Check out the report at:  The PhoCusWright Consumer Travel Trends Survey Tenth Edition

It examines the growing influence of rich content and social media—including podcasts or live online video and traveler-generated reviews from within and outside of one's social network—in determining where leisure travel will be purchased online.Findings indicate that the vast majority of U.S. online travelers are influenced by anonymous feedback and recommendations from fellow travelers (see chart). The most popular are reviews from people they do not know (87%), travel blogs/online diaries and travel review Web sites (both at 86%). Interestingly, reviews from people travelers know ranked fifth, though still highly popular at 72%.

Online Video and Reviews Critical to Influencing Method of Purchase
Positive influence of features in determining where leisure travel will be purchased online

19May/080

More Online Bookings – Easy as Algebra?

The folks at Marketing Experiments are focused on eCommerce - which also includes online vacation rental vacation bookings in my definition of getting online bookings. 

I have always liked their 'Conversion Index':  Conversion = 4m + 3v + 2(i-f) - 2a is a great way of looking at how to dissect the various aspects of what gets prospects to book a vacation on your site. 

Here are the definitions for the Conversion Index (above) there are four elements that are critical to increasing conversion:

  •  Motivation (m) of the prospect visiting your website to make a purchase.
  • The clarity with which Value Proposition (v) is expressed. After motivation, it’s the most important factor in determining whether a customer buys from a site or not.
  • Incentives (i) such as specials, rewards, etc. are used to mitigate Friction–producing (f) elements such as finding information, clicking many buttons, etc. in the conversion process.
  • Anxiety–causing (a) elements, such as asking for personal and credit card information.

Evaluate your vacation property rental website with these principles in mind. 

Thanks.

Ralf
www.liverez.com

16May/080

Seeing the Forest for the Trees – Do you need traffic or bookings?

Today I had another one of those conversations I often have about online vacation rental solutions:

"Hi, this is Ralf"
"Hi, I need some help with getting online bookings.  I need to get SEO.  I need to get PPC.  I need to get more traffic to my site."
"Ok.  What do you know about the visitors to your site?  Where are they coming from?  What are the clicking on?  How many are booking?"
"I don't know.  I know I need more traffic"

This is when I take a long sigh, and start into my spiel about the importance of conversions.  Suddenly he says, "Well of course.  Kind of forgot about that equation."

The equation he is referring to is the "impressions turn into click-throughs, turn into site visitors, turn into bookings".  So it is as much about what you do with the visitors once they are on your site, as it is about how much traffic you generate to the site.  It is something that in the 'heat of the battle' is often forgotten because some of us are judged on characteristics such as number of visitors, or impressions.

So always remember, the key statistic is the number of bookings.  Work backwards from there and see how you can influence the numbers in the equation - whether conversion or audience.

15May/080

Relaunching the LiveRez Blog

OK, I am back from a crazy April of traveling, moving, and all the excitement that comes along with that.  First of all, let me get the move out of the way.  Last week, my family (my high-school sweetheart wife, and four kids ages 13-3) moved from Salt Lake City to Boise, ID.  The most amazing part is not all the stuff I realized we had, it was that we consciously chose to move so much of it.

In April I had the opportunity to attend the Eastern VRMA, Western VRMA, FloridaVRMA, and the Atlanta Vacation Home Expo.  I will go into some detail about all these show in future bog entries.  However, one overriding observation I have is that there is an incredible opportunity for our industry.  This opportunity comes from two direction:  (1) we have a great product, and (2) we are currently very much under-utilizing the power of the Internet and the ability to create a public movement for the vacation rental market.

One of the things I am trying to do is help educate the vacation rental community on some web marketing basics that can help us drive more bookings and awareness.  Last month I hosted a webinar on Driving Website Conversion,  this month I am hosting a webinar on Search Engine Marketing Basics.  If you are interesting in attending this free webinar, please register and join us.

27Mar/080

Conversions – that is the trick, not just traffic

There are lots of ways to increase conversions on your website. Using the right images, testing different buttons on calls to action, decreasing the number of pages in your booking process. There are tools to help you do this, multivariate and split testing tools.

But one thing you can do before you even get to that point is proper keyword research. Conversions on your site start way back here.

I have seen many people bid on (or worse yet, SEO for) a keyword because it has a lot of searches. Obviously we want traffic to our website, because more traffic = more sales. Well, yes and no, more of the right kind of traffic = more sales.

A good way to do this is to take your internal site search and run some reports. There is a lot of information about how people view and search for your vacations. For example, you may have properties in Southern California.  However, your internal search reports may show that most of your visitors search for "california beaches".

Semantics right? However, if that makes the difference in how people view your offering and influences them to book, then it's obvious what word you should use in your marketing.

The research is worth it, in the long run it will pay off. Instead of trying to fit square pegs into round holes, you can spend your conversion efforts fitting round pegs into round holes.

Ralf

25Mar/080

Upcoming Webinar by LiveRez

Here is an upcoming webinar I will be hosting, and for obvious reasons, recommend.

  Join us for a Webinar on April 16

 

   
A discussion on how to design your vacation rental website for increased conversion of visitors into booked guests.  See examples of some of the industries best.  Learn how usability, affinity, trust, and analytics play a critical role in driving bookings from your website.
Title:   Vacation Rental Website Basics - Turning Lookers into Bookers
Date: Wednesday, April 16, 2008
Time: 11:00 PM - 12:00 AM MDT

 

System Requirements
PC-based attendees
Required: Windows® 2000, XP Home, XP Pro, 2003 Server, Vista
Macintosh®-based attendees
Required: Mac OS® X 10.3.9 (Panther®) or newer

 

Space is limited.
Reserve your Webinar seat now at:
https://www2.gotomeeting.com/register/756835694

25Mar/080

Trends – PhoCusWright’s U.S. Online Travel Overview Seventh Edition

Here is a summary of what these rather educated and well-researched folks had to say about what is going on in the travel industry:

The U.S. travel market entered a new era of channel balance in 2007. This was the first year that more travel was purchased online than offline in the U.S. While online travel continues to grow faster than the market as a whole, the maturity of the channel has led to a significant slowdown in growth compared to the torrid pace of the past.

However, the gap between online and offline will continue to widen as more and more travelers shift behavior to online shopping and buying. But the future is less about share shift and more about the realization that consumers will continue to use multiple channels as long as they are available to them and the price differential is acceptable. This price differential, if there is one, will be measured against the convenience of using one channel versus another, various perks, relationships with brand, and the type and complexities of the trip.

While online sales continue to grow, the pace is not the same for certain segments of the market. Depending on the channel (online travel agency or supplier-direct Web site) or the product (point-to-point air, chain hotel, cruise, complex itineraries), online is still in various stages of development.

Consumer marketing is more complex due to search, social media and other Internet outlets that need to be more closely aligned with a holistic marketing program.

Key Findings Include:

  • While suppliers are gaining share in most segments (air, car, hotel), online travel agencies are competing via packaging and add-ons, corporate tools, distressed inventory, international expansion in Europe and Asia, independent hotel properties, U.S. chains, and cross-product and provider customer service initiatives.
  • Online travel agencies are lagging in integration of Travel 2.0 tools and will need acquisitions or partnerships to catch up even as they labor to develop targeted marketing based on their massive stores of consumer behavior data.
  • Alternative monetization of traffic will in the medium term reduce the overall significance of gross bookings to the bottom line for online agencies.
  • Search and metasearch continue to work in favor of suppliers as they drive traffic to their Web sites to book after their comparative shopping experience.
  • All travel companies must embrace the consumer desire to shift among online and offline channels.
  • Packaging components such as air, car, hotel plus local tours, spa treatments, golf, events and other destination services allows hotels and online travel agencies to upsell the customer and combat commoditization. To date, this is best done by online travel agencies, although hotels are increasing their efforts.
20Mar/080

Now we are talking cash, mula, coin, …….Ritz-Carlton in Maui

This is why our guest are getting such an awesome deal!!  They get the full house and amenities, but at a small fraction of what people are spending on buying a place.  Lets look at the stats for this latest transaction:
   - The average price was $1.9 million for 93 suites. The lowest price was $895,000.   
   -That included a Presidential Suite penthouse for $6.4 million.
   -40% of the buyers were international

People will always invest in a great location and an awesome vacation experience.  Even in a down economy.  Look at the amount of foreign investment - think about focusing on attracting international guest who are happy about the cheap dollar.

And what do they get?  Ok - they get the fantastic Maui experience.  But in terms of accommodations, they get a one or two bedroom suite.  Ahhhh, what a rip-off.   At least that is what I am going to keep telling myself.

Read the full article

20Mar/080

Online Hotel Bookings Increasing in UK

Quick Stat: 
According to the results of the BDRC British Hotel Guest Survey, 64% of holidaymakers (that would be British for vacationers) now make hotel bookings on the Internet.  Another trend identified in the survey is that the number of travellers booking through individual hotel website will continue to increase.

Read the full article

13Mar/080

Why many travelers avoid Vacation Rentals

Christine Karpinski writes a blog for HomeAway and has related, very eloquently, why every property manager needs a centralized calendar, reservation system, and a website that can take a booking.  A booking!!!  Not an inquiry. 

The most interesting part to me is that Christine seems to be blaming the customer for the poor communication and lack of information.  (I am not saying anyone is at fault, except for the system in place)  As an industry, we cannot think or operate this way.  The customer rules!!!  And we have to create an experience that meets their expectations.

Here is the post by Christine:

Christine's Blog: Juggling Inquiries from the Road (10/10/07)


Christine deals with a situation where a renter sent an inquiry about a certain weekend and expected her to hold it for her without sending payment.

Hi everyone! It was great meeting hundreds of owners at all of the seminars last week. I hope you all learned a lot –I certainly learned some new things.

Thankfully, there are always new issues that arise in my rental life which gives me plenty to write about. Though I would love to have just one week without some sort of drama!

What happened was that while I was on the road I got an email inquiry from a renter asking me if my cabin was open (it was.) So most often if I have dates open, I call the renter, because I know that's my best chance to rent the property. I called her (on both her numbers—home and cell) and left a message telling her my cabin was indeed open, and I also followed up with an email confirming my availability and rates.

Then she emailed back w/more questions, asking me if I knew of tennis courts nearby. I responded to her that I didn't know of any tennis courts (so my assumption: this could be a deal breaker for her.)

The next day she emailed me back to say she wanted to book it.  I called her and left a message and emailed her back asking her to call to solidify the reservations.

As soon as I responded to the lady's email, I called my husband telling him that I have someone who would like to book it.

Remember, I'm responding to the inquiries from the road and my husband is at home.

Now this is where it gets a bit sticky. My husband informed me that he had just gotten off the phone with a different renter. Apparently, in the meantime, another renter (who had emailed us back a few weeks prior) called my husband and booked (paid in full via credit card) for those same exact dates.

Anyhow, I immediately called this lady who I had had the email exchange with to let her know that my husband had booked it just minutes prior.

This lady was mad as all get-up! She expected that from the moment she sent the first inquiry that we should have held that time until she contacted me to tell me that either she did or did not want to book it. While in a perfect world this would be awesome—I would love to hear back from every renter who I respond to, but the reality is I just don't. I only end up booking one out of every 7-9 inquires I get.

Renters are sending multiple inquiries to multiple owners.

Anyhow, I explained to her that until she actually confirms I have no idea whether or not she's interested in booking so I never hold anything until I get a credit card. In her mind when on her original inquiry she said, "I am interested in renting this cabin," I was supposed to interpret it as “I want to book it!” She was so upset and I can't say that I can blame her. But what was I to do?

I offered to email a bunch of other owners on her behalf to see if anyone else had it open (which I did). But in the end she was still steaming mad at me. I really hate it when I cannot appease people.

Right before she hung up the phone, she told me that she was going to report me to the website that she found my home on. I told her she has that right (but I didn't have the heart to tell her I work for the website.)Happy Renting by Owner!

Christine Karpinski