Data is All Around: How to Harness it for Hotel Success
From check-in to check-out and beyond, every action and interaction in a hotel generates data. But don’t let that daunt you. With the right systems in place, the right data can be harnessed in real time and accessed as needed to improve the guest experience and your property’s bottom line.
What data and what for?
With all that data around, how do you know what’s actually useful? While the needs of every property are different, there are fundamental pieces of information that every property should be using for the good of their business.
Let’s use an example of a typical guest life cycle to identify those valuable nuggets of data at every touchpoint.
>>Research. Our soon-to-be guest, Harriet, is doing some research online to find the best place to stay on her upcoming trip. She’s looking on her favorite OTAs, reading some reviews and checking out websites of the hotels that sound good.
Here is where those first nuggets of data can be found along the guest journey. With the help of a website analytics tool like Google Analytics, your website can tell you how well your promotional efforts are doing and whether your branding and content is hitting the mark, through metrics like traffic figures, acquisition channels, bounce rates and conversions.
- Mobile-optimized website
- Website analytics tool like Google Analytics
>>Booking. Harriet likes what she sees on your website and decides to book online through your user-friendly website booking engine. Reservation data captured at this point includes guest contact information, room selection, payment method and perhaps even add-on services and preferences—and is essential for providing even basic customer service.
Reservation folio data should also be consolidated with guest profiles, building stay history and a record of other valuable information such as preferences, requests, anniversaries, etc. that can be used to enhance the guest experience now and in the future.
Let’s step back and get an even wider view. Through integration with your online booking engine (OBE) and other distribution channels (the GDS, OTAs and channel managers), your property management system (PMS) can give you a clear breakdown of where exactly your bookings are coming from. Knowing your most successful channels is key to optimizing your distribution strategy. Not to mention, integrating your channel partners with your PMS ensures inventory and pricing are automatically up-to-date across all channels.
Reservation data is also vital for compiling hotel statistics and performance metrics, including booking trends, occupancy trends, Average Daily Rate (ADR) and Revenue Per Available Room (RevPAR). Your PMS automatically collects this data and generates reports that help lodging operators make informed pricing and operational decisions.
Speaking of pricing (and your wider revenue management strategy), revenue management software (RMS) integration with your PMS greatly simplifies (and improves accuracy of) forecasting, pricing and inventory control, allowing your PMS to push reservation data to your RMS, and your RMS to update accepted pricing in your PMS.