Unearthing useful insights from the vast amount of hotel data at your disposal is always going to be on-going and somewhat time-consuming – but it doesn’t have to be as complicated as it seems.
By focusing your efforts on specific datasets and getting creative with how you use them, data analysis will prove to be an actionable and transformative tool for your hotel.
The overall goal of data analysis is to track patterns at your property and set yourself up to make accurate predictions.
In turn you can plan and strategise towards your ultimate desire: increased revenue.
With the right application, you’ll be able to use your data in a variety of ways to make bold plans and prudent adjustments to your pricing strategy.
For example, do you know what affect the weather has on your revenue, if any? With so much great data technology available, there is no excuse for not utilising big data and implementing creative ideas to optimise guest experience and revenue management.
Better predictions mean less risk when it comes to actioning change.
So, what are some examples?
The best ways to use hotel data
Not all guests are created equal. Some stay longer, some spend more, some have higher expectations and bigger demands. Some guests act out of character based on special circumstances such as a celebration or quicker than normal business trip.
Blanket campaigns that don’t delve deep enough into data won’t get the response the hotel wants and could even turn guests off from visiting again if they feel like the hotel has put no effort into getting to know them.
There are many unique ways to use data, as we see in these examples:
- Denihan gave its staff smartphones with access to guest analytics so they could better anticipate the needs of guests and better respond to their requests.
- Starwood had one of its Caribbean destinations look at weather trends of its core North American customer base and noticed weather patterns greatly affected what travellers were willing to pay. They then structured the system to prompt them when they need to make adjustments.
- Marriott uses a combination of structured and unstructured datasets to make flexible forecasts.
Data doesn’t have to be used simply to track hotels and travellers.
You can track energy consumption and reduce costs significantly by using it more efficiently, without sacrificing the comfort of guests.
There are modern software solutions that gather data from multiple sources, including weather data, electricity rates and a building’s energy consumption to build a comprehensive profile on which you can act.
It’s most important to be as specific as possible when breaking down data.
There’s no point separating guests into demographics and leaving it at that because there’ll be huge variation.
For instance, one 25-year-old male millennial might be an avid adventurer, another may be focused on fine wine and dining.
Even similar clusters can be diverse in their activity. Take business travellers for example. Some are frugal and simply use a hotel for overnight stays. Some are attending events and are there longer-term, giving them a chance to also participate in leisure activities. With proper profiling, you can not only influence current customers with marketing, but prospective guests as well.
In today’s industry, there’s no shortage of data, the only limit is in the creative thinking behind marketing and pricing strategies.
