July 24 – July 30 – On giving a great experience, OTAs fall, Getting personal and differentiating, Foreign Office gets tweeting and more…our pick of the week’s stories
Over the next few weeks EyeforTravel.com will be looking at the importance of delivering a great user experience both online and offline. As the EyeforTravel Social Media and Mobile in Travel Distribution Report, 2013 shows, brands really do need to stand out – customers are increasingly picky with customers visiting as many as 22 different travel sites before making a decision. In this in depth piece we talk to Cheryl Reynolds, Manager, Distribution of Virgin America (who will be speaking at the Travel Distribution Summit, North America) about how they are collaborating with suppliers, online travel agents and meta-search players. She argues that it’s “important all parties work together to address any issues, and that customer service teams stay in close contact with each other.” We also look at how mobile is influencing the user experience and talk to
Concorde Hotels Resorts which has spotted an opportunity in mobile check in and check out.
State of the industry
Expedia shares fell by 25% this week after announcing a plummet in second quarter profit. Shares of Orbitz Worldwide have also fallen over 4%, Priceline.com is down 3% and TripAdvisor 1.4%. This raises questions about the state of the big names in online travel which have been hit, in particular, by a slowing European market and increased competition. Art Hogan, a market strategist at Lazard Capital Markets, is reported in MarketWatch saying: “The online travel world is not looking altogether robust; Expedia wasn’t able to transition well last quarter.” It seems consumers are getting wiser and booking hotels and airlines directly, or increasingly using meta-search firms to find the cheapest deals.
On EyeforTravel.com this week we take a look at how airlines are focusing on delivering a personalised shopping experience while also differentiating with their product offering. We take an in depth look at the power of personalisation and find that simple steps, like offering optional services based on previous purchasing patterns, can yield positive benefits. When it comes to differentiating with product, Stuart Lattimore, eCommerce Manager at Aer Lingus has four top tips: inspire and educate your customer, be relevant, use rich imagery and don’t make assumptions. To read the tips in more detail see the full story on EyeforTravel.com.
Heat is on
Low-cost airline Ryanair has been hit by the heat wave, reports the Daily Mail. The company has seen a 21% dip in profits which it attributes to soaring fuel costs, the timing of Easter and French air traffic control strikes – and of course the weather which has kept northern Europeans at home. Expedia.co.uk has also released statistics showing that British beach resorts are seeing a 100% rise in visitor numbers compared to the same time last year. Ryanair’s performance in the second quarter is expected to improve, although the airline’s outlook remains cautious due to the recession and austerity measures, high fuel costs, and tax policies.
Delivering better conversion rates for accommodation websites is an ongoing process that requires clear brand positioning supported by appropriate content and technology initiatives, writes Ritesh Gupta on EyeforTravel.com this week. He talks to two industry groups – Singapore based CapitaLand serviced residence unit ‘The Ascott’ and Preferred Hotel Group (PHG). The two firms have different business models and are approaching the challenges in different ways. The Ascott recently introduced new web and mobile booking features with the aim was of letting users better navigate its properties with user-friendly search functions, filters and reservation options. Preferred Hotel Group (PHG) on the other hand is implementing tools necessary to make a multi-generation vacation easy and streamlined and is also boosting its loyalty programme. For more insights read the full story on EyeforTravel.com
Travel advice via Twitter
Moving with the times, the British foreign office has launched a new Twitter account @FCOtravel which provides direct access to consular teams dedicated to giving travel advice. People will be available to respond to Twitter inquiries between 9am and 6pm from Monday to Friday. Within 30 minutes in working hours, travellers will be able to obtain advice on passports, visas, travel safety or any other travel concerns or problems encountered abroad via Twitter. Most inquiries will be answered on the social network but those involving personal data will be addressed offline. Questions raised outside that time will be answered only in emergency crisis situations, while others will be taken up on the next consecutive working day.
Smart moves
London’s Heathrow airport is rolling out a new system of smart boarding cards that it believes will end delays caused by passengers failing to turn up to the boarding gate on time. Boarding passes already include a bar code with passenger’s flight details including the gate and terminal. Instead of being read by airport staff, the pass is scanned by an automatic gate. If the passenger turns up less than 30 minutes before departure — the time required by most airlines for passengers to reach the gate — the traveller is sent back to the check-in desk. The smart boarding pass is also able to redirect a passenger to the correct terminal where necessary.
Travel is good for the economy, says US report
In a new US Travel Association report, the government is being encouraged to travel to more meetings, reports the Washington Post. Meetings, the report claims, are great for collaboration and coordination but also make a significant contribution to the economy. In the US this led to 343,800 jobs, and a total economic impact of $24.4 billion in 2011 and at a cost of just 0.2% to the national budget.
The Weekly Eye – UX really does matter, OTAs under the cosh…and more
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