®
Travel SCOTT GALLOWAY NYU Stern
A P R I L 2 6 , 2 0 11 A Think Tank for DIGITAL INNOVATION
© L2 2011 L2ThinkTank.com
Clinic
05.20.11 NYU Stern
Emerging Digital Media Platforms The Long Tail of Social Media
While Facebook dominates the social media landscape, a multitude of other digital platforms have emerged that provide fertile ground for brands to: • Reach new consumers • Run creative experiments • Explore new forms of digital expression and consumer online behavior These platforms range from the bold experiments of incumbent behemoths (Facebook Places and Google’s Boutiques.com) to smaller players who are gaining traction (Foursquare and Tumblr) to new entrants with small, passionate user bases (Pinterest, GetGlue, and Layar). This half-day intensive Clinic will help managers and senior marketers identify the relevant platforms for their brands and prioritize incremental investment in the long-tail of social media.
http://L2EmergingMedia.eventbrite.com/
Digital IQ Index ®:
Travel
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INTRODUCTION
Killer App: The Internet Massive choice coupled with a product that can be distilled to zeroes and ones makes the Internet a killer app for the travel industry. While e-com’s share of U.S. retail stands at 5.9 percent, travel garners 38 percent of revenue from the ether.1 The browser is the booking agent of choice for 87 million Americans, however the industry dedicates a meager seven percent of its marketing budgets to digital channels.2 Many iconic travel brands struggle to leverage the online environment.
The Social Web
The Empire Strikes Back
The rise of social media presents a fresh set of opportunities
Brands are starting to fight back. From Delta’s fully integrated
and challenges to hotels, airlines, and cruise lines. Although
Facebook booking to Four Seasons’ active customer service
two thirds of customers are influenced by online user reviews,
via Twitter, brands are beginning to recapture lost ground and
only nine percent of the brands in the Index offer reviews, or
move to the center of the customer conversation.
any form of user-generated content, on their sites. Social-sharing tools, live chat, and customer service via social media are more common, but are still employed by less than half of the 89 brands analyzed. As brands debate the merits of transparency, online travel agents (OTAs) and comparison engines, including Expedia, Orbitz, TripAdvisor, and Kayak, fill the void with authentic reviews and pricing clarity. Brands have paid a steep price for staring at their navels while intermediaries give the consumer what they want. Of the 10 most-trafficked travel sites, only one, Southwest, belongs to a supplier.
In December 2010, American Airlines announced it would bypass the central reservation system that supplies flight information to popular OTAs, opting to develop its own technology that provides additional customization for passengers and travel agents. Expedia responded by indicating that it would not be renewing its contract with the airline and refused to integrate the new system. Although the two parties came to an agreement in early April, the dispute is a signal that brands will not just roll over online.
1. U.S. Department of Commerce, February 2011 2. eMarketer, April 2011 © L2 2011 L2ThinkTank.com
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Digital IQ Index ®:
Travel
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INTRODUCTION Digital IQ = Shareholder Value
TRAVEL BOOKING
Our thesis is that digital competence is inextricably linked to
Online Marketing Share by Channel 1
shareholder value in the travel industry. Key to managing and developing a competence is an actionable metric. This study attempts to quantify the digital competence of 89 global airline,
100%
hotel, and cruise brands. Our aim is to provide a robust tool to
69% 67% 66%
59% 56% 54%
41% 44% 44%
= ONLINE TRAVEL AGENT (OTA)
diagnose digital strengths and weaknesses and help managers at travel brands achieve greater return on incremental investment.
= BRAND WEBSITE
80%
Like the medium we are assessing, our methodology is dynamic, and we hope you will reach out to us with comments that improve our approach, investigation, and findings. You can contact me at scott@stern.nyu.edu.
60%
59%
Sincerely,
40%
41%
Scott Galloway Founder, L2 Clinical Professor of Marketing, NYU Stern
31%
44%
56% 56%
46%
33% 34%
20%
0%
2008 2009 2010
2008 2009 2010
2008 2009 2010
AIRLINES
HOTELS
CRUISE LINES
1. “Nothing But Net,” J.P. Morgan, January 2011
© L2 2011 L2ThinkTank.com
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Digital IQ Index ®:
Travel
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A B O U T T H E R A NK I N G S C AT E G O R I E S
140+ Genius Digital competence is a point of competitive differentiation for these brands. Sites are more than just transactional. These brands have creatively engineered their messaging to reach travelers on a variety of devices and online environments.
110-139 Gifted Sites are highly functional. These brands typically are active in mobile and social media, are visible on top search engines, and offer email marketing.
90-109 Average Digital presence is functional yet predictable, and innovation efforts are uninspired and lack ambition. Boilerplate marketing.
70-89 Challenged These brands bare-bones sites provide only basic functionality. Digital campaigns are an afterthought. Demonstrate an inability to activate their social communities and many are missing from mobile.
<70 Feeble These brands are digitally off the map. They are marked by poorly designed sites and a failure to leverage digital to market to consumers. Mobile and social media are not meaningful elements of their strategies.
© L2 2011 L2ThinkTank.com
M E T H O D O LO G Y
Site - 30%: Effectiveness of brand site. • Functionality & Content (75%)
• Site Technology • Site Search & Navigation • Reservations • Flight/Hotel/Cruise Information • Checkout & Special Offers • Customer Service • Rewards/Loyalty Programs
• Brand Translation (25%) • Aesthetics • Messaging & Interactivity
Digital Marketing - 30%: Marketing efforts, off-site brand presence, and visibility on search engines. • Search: Traffic, SEM, SEO, Web Authority • Email: Frequency, Content, Social Media Integration, Promotion • Digital Marketing Innovation: Presence, Innovation • Blog Presence: Mentions, Sentiment
Social Media - 20%: Brand presence, following, content, & influence on major social media platforms. • Facebook: Likes, Growth, Post Frequency, Ability to Transact, Responsiveness • Twitter: Followers, Growth, Tweet Frequency, Online Voice • YouTube: Views, Number of Uploads, Subscriber Growth, Content
Mobile - 20%: Compatibility and marketing on smartphones and other mobile devices. • Mobile Sites: Compatibility, Functionality, Ability to Transact • Smartphone Applications: Availability, Popularity, Functionality • iPad Integration: Marketing, Applications
5
Digital IQ Index ®:
Travel
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D I G I T A L I Q R A NK I N G Airline
Cruise
Rank Brand
Category
1
Delta
Airline
168 Genius
From mile high check-ins on Foursquare to Facebook booking, Delta’s digital efforts are first in class
2
Southwest
Airline
165 Genius
SWA’s superior marketing translates across digital touch points; strongest site in the Index
3
American AIRLINES
Airline
158 Genius
Content-rich site, strong Twitter and Facebook following, and efficient mobile app help AA soar
4
W Hotels
Hotel
149 Genius
“Welcome to Wonderland” delivers W experience straight from your browser
5
Hilton
Hotel
143 Genius
Managing more than 530 properties on one site is no small feat; 22 percent ROI through mobile channels
6
Westin
Hotel
141 Genius
Amazon storefront allows enthusiasts to purchase the Heavenly bed online
7
Continental
Airline
140 Genius
Facebook frequent flier enrollment and international mobile check-in give Continental lift
8
Lufthansa
Airline
139 Gifted
MySkyStatus posts your flight coordinates to Twitter or Facebook from the air
9
Four Seasons
Hotel
138 Gifted
Luxury leader buttresses customer service excellence via Twitter
10
InterContinental
Hotel
137 Gifted
Insider iPad app boasts local concierge recommendations for more than 120 destinations
10
JetBlue
Airline
137 Gifted
1.6 million Twitter followers may come for deals, but stay for responsive customer service
12
Hyatt
Hotel
136 Gifted
Site leads in function and findability
13
British Airways
Airline
135 Gifted
Carbon offset add-on when booking signals innovation around sustainability
13
Royal Caribbean
Cruise
135 Gifted
Community reviews, YouTube videos, and mobile app offer consumers a buffet of digital options
© L2 2011 L2ThinkTank.com
Digital IQ Class
Hotel
Description
6
Digital IQ Index ®:
Travel
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D I G I T A L I Q R A NK I N G Airline
Cruise
Rank Brand
Category
15
Fairmont Hotels
Hotel
134 Gifted
Everyonesanoriginal.com social community allows guests and employees to share their stories, pictures, and videos
15
KLM
Airline
134 Gifted
Social darling of the industry is not afraid to take risks; surprise campaign rewarded Twitterers with personalized gifts while they waited to board
17
Sheraton
Hotel
132 Gifted
Sheratonbetterwhenshared.com features guest stories from across the globe
18
Marriott
Hotel
131 Gifted
A giant in search, but doesn’t score as well on social media platforms
19
Cathay Pacific
Airline
130 Gifted
Prolific presence on YouTube boosts Asia’s airline leader; iPad app profiles airline employees
20
Air France
Airline
129 Gifted
Facebook fan base increased almost 400 percent from February to mid-March on the wings of F-Commerce
21
Holland America
Cruise
127 Gifted
One of the few luxury cruise lines aggressively purchasing search terms on Bing
21
Qantas
Airline
127 Gifted
Extends a warm Aussie welcome to site visitors with top-notch customer service and informative airport guides
21
United
Airline
127 Gifted
Brand is in transition and it shows; site’s strong transaction-functionality is handicapped by dated aesthetics
24
Le MÉridien
Hotel
126 Gifted
“LM 100” serve as brand ambassadors online, but Facebook presence doesn’t extend to properties
24
Virgin Atlantic
Airline
126 Gifted
The Innovation Zone showcases the best in travel mobile apps
26
Omni
Hotel
124 Gifted
Scores points for mobile apps and Facebook responsiveness, but luxe feel fails to translate online
27
Mandarin Oriental
Hotel
122 Gifted
Site customer service lags luxury peers, but makes up ground on social media
28
Air New Zealand
Airline
119 Gifted
Rico campaign on YouTube is one of the most playful in the industry, but poor site functionality keeps brand from taking off
© L2 2011 L2ThinkTank.com
Digital IQ Class
Hotel
Description
7
Digital IQ Index ®:
Travel
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D I G I T A L I Q R A NK I N G Airline
Cruise
Rank Brand
Category
28
Luxury Collection
Hotel
119 Gifted
Limited social media presence hurts, but brand gets marks for destination guides and ability to search hotels by “pursuit”
28
St. Regis
Hotel
119 Gifted
Individual properties are on Twitter, but the brand hasn’t checked in
28
US Airways
Airline
119 Gifted
Highly functional but otherwise forgettable site
32
Emirates
Airline
118 Gifted
Brand YouTube channel includes link to booking
33
Disney Cruise Line
Cruise
117 Gifted
Social media sweetheart’s fanatical following on YouTube buttresses entire Disney travel empire
34
Air Canada
Airline
115 Gifted
Connects Canada to the world, but is not connecting with passengers via social media
35
Ritz-Carlton
Hotel
110 Gifted
Interactive Facebook page garners five stars but bland site fails to deliver
35
Singapore Airlines
Airline
110 Gifted
Cabin Experience videos on site highlight each class of service, including menu and entertainment options
37
Norwegian Cruise Line
Cruise
109 Average
Engages cruise community through user reviews and Facebook countdown clock
37
Sofitel
Hotel
109 Average
Facebook page has grown fast on heels of strong app that allows guests to interact with individual properties
39
Kimpton
Hotel
106 Average
Boutique chain scores innovation points offline, but is still figuring out social media
40
Korean Air
Airline
105 Average
Features one of industry’s only video newsletters
41
Walt Disney World Resort
Hotel
104 Average
Social media presence brings Disney magic to life, but no photographs of rooms on site
42
Frontier
Airline
103 Average
Strong synergy between site, print, and social media but will need more than its “spokesanimal” mascots to woo fans online
© L2 2011 L2ThinkTank.com
Digital IQ Class
Hotel
Description
8
Digital IQ Index ®:
Travel
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D I G I T A L I Q R A NK I N G Airline
Cruise
Rank Brand
Category
43
Virgin America
Airline
102 Average
44
Cunard LINE
Cruise
99 Average
Facebook presence and YouTube videos suggest brand is willing to extend its regal heritage
45
Etihad Airways
Airline
98 Average
Experience Etihad provides virtual tours of the luxury cabin, lounge, and transportation services
46
Waldorf Astoria
Hotel
96 Average
Inconsistent site varies by property, but scores points for translating on a mobile device
47
Shangri-La
Hotel
95 Average
Strong mobile and social media efforts keep brand out of the challenged ranks
48
Swissôtel
Hotel
94 Average
Facebook ski jump app attempts to tap into gamification phenomenon
49
Loews
Hotel
93 Average
Seamless booking and strong customer service, but brand lacks digital differentiation
50
Thai Airways
Airline
92 Average
Limited site functionality and social presence make Thai just average
51
Joie de Vivre
Hotel
90 Average
Attributes more than 1,000 bookings to tweets and Facebook posts
52
The Leading Hotels
Hotel
89 Challenged
Broken links show lack of digital leadership
53
South African Airways
Airline
88 Challenged
Poor technology and outdated information leaves site at the gate
54
JW Marriott
Hotel
87 Challenged
Limited social media outreach suggests brand forgot the turndown service
55
Jumeirah
Hotel
86 Challenged
My Jumeirah virtual space allows guests to customize their travel and site browsing experience
55
Lindblad Expeditions
Cruise
86 Challenged
Clunky reservation system renders visitors queezy
© L2 2011 L2ThinkTank.com
Digital IQ Class
Hotel
Description Hip brand is not part of the cool crowd online
9
Digital IQ Index ®:
Travel
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D I G I T A L I Q R A NK I N G Airline
Cruise
Rank Brand
Category
55
Peninsula Hotels
Hotel
86 Challenged
Visually appealing site falls flat on functionality
58
Banyan Tree
Hotel
84 Challenged
Brand gets needed boost from high engagement and growth on Facebook
58
Relais & ChÂteaux
Hotel
84 Challenged
Site lacks functionality, but iPhone app delights
60
Kempinski
Hotel
82 Challenged
Europe’s oldest luxury hotel chain seems stuck in the digital Dark Ages
60
Qatar Airways
Airline
82 Challenged
Public company with a private Twitter account?
62
P&O Cruises
Cruise
81 Challenged
Cruise webcams score points for “Britain’s favorite cruise line”
62
Raffles
Hotel
81 Challenged
Strong aesthetics provide only partial reprieve from dated and glitchy website
64
Crystal Cruises
Cruise
78 Challenged
Brand site remains docked without e-commerce capability
64
Seabourn
Cruise
78 Challenged
Luxury feel but limited social media presence
66
Morgans Hotel Group
Hotel
77 Challenged
Lifestyle content differentiates brand; UrbanDaddy partnership amplifies message
66
Oceania Cruises
Cruise
77 Challenged
Average website functionality and limited social media usage places Oceania in steerage
66
Regent seven Seas Cruises
Cruise
77 Challenged
Subtle reservation box on site is easy on the eyes but loses points on conversion
66
Warwick International
Hotel
77 Challenged
Limited community suggests social media late arrival
70
Conrad
Hotel
75 Challenged
Fails to step out of shadow of larger Hilton brand online
© L2 2011 L2ThinkTank.com
Digital IQ Class
Hotel
Description
10
Digital IQ Index ®:
Travel
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D I G I T A L I Q R A NK I N G Airline
Cruise
Rank Brand
Category
71
Oberoi
Hotel
74
Challenged
No email opt-in limits online communication
71
Preferred
Hotel
74
Challenged
Strong loyalty program fails to unite brand online
73
WindStar Cruises
Cruise
73
Challenged
Generates more traffic than most luxury cruise lines, but without booking capability what is it worth?
74
One&Only
Hotel
72
Challenged
Elegant site is hampered by poor functionality
75
Silversea Cruises
Cruise
71
Challenged
Social sharing hints at digital aptitude, but no booking capability causes IQ to sink
76
Azamara CLUB Cruises
Cruise
68
Feeble
Destinations dominate on gorgeous site, but social media efforts have yet to embark
77
Taj Group of Hotels
Hotel
67
Feeble
Lackluster social media impairs India’s luxury leader
78
Park Hyatt
Hotel
65
Feeble
Limited stand-alone social media presence and hard-to-find site hinder differentiation online
79
Asiana
Airline
64
Feeble
Limited unique visitors and page rank hurt brand
80
RockResorts
Hotel
62
Feeble
No customer loyalty program and limited social media use constrain hospitality online
81
Seadream Yacht Club
Cruise
61
Feeble
Mobile presence prevents shipwreck, but limited transaction-capability damages IQ
82
Regent International
Hotel
54
Feeble
Inaccurate, text-heavy site coupled with social media absence leaves this brand trailing its peers
83
Air China
Airline
52
Feeble
Dated website and lack of social media presence limit brand in U.S. market, but mobile effort provides a boost
84
Pan Pacific
Hotel
51
Feeble
One of a handful of hotel brands that has ignored Twitter
© L2 2011 L2ThinkTank.com
Digital IQ Class
Hotel
Description
11
Digital IQ Index ®:
Travel
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D I G I T A L I Q R A NK I N G Airline
Rank Brand
Category
85
Rosewood
Hotel
50
Feeble
URL architecture assures each property can stand alone but fails to yield economies in search, traffic, or authority
86
Hainan Airlines
Airline
48
Feeble
One of the few airlines with no mobile offering
87
Orient-Express
Hotel
45
Feeble
Without online upgrades hotel chain risks digital oblivion
88
Japan Airlines
Airline
36
Feeble
Outdated site and lack of social media leaves the brand sitting on the tarmac
89
Swan Hellenic
Cruise
31
Feeble
Facebook launch in February may put some needed wind in its sails
© L2 2011 L2ThinkTank.com
Digital IQ Class
Hotel
Cruise
Description
12
Digital IQ Index ®:
Travel
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KEY FINDINGS Selling Is Knowing
average digital iq &
There is a direct relationship between the average Digital IQ
perce n t of B oo k i n gs o n li n e
by category and the percentage of purchases made online.
By Category
Nearly half of Airline bookings are made online. The 29 airlines 120
studied registered an average Digital IQ of 113, and 62 percent of brands were classified as Genius or Gifted. The Cruise
60%
113
category lags the industry, and generates only nine percent of its bookings online. Cruise lines posted an average Digital IQ
110
of 86 and six of the 16 brands in the Index do not provide basic
50%
48%
e-commerce capability.
consumer interactions with hospitality brands, based
40%
97
30%
90
30%
86
upon past preferences and current online behavior. This mass customization will cut across all digital media as the consumer researches, purchases, takes part in, and reflects upon the travel experience.
80
% of Bookings Online
“ What’s next? Look for increased personalization of
Digital IQ Score
100
20%
”
—Stuart Levy | Assistant Professor, Dept. of Tourism & Hospitality Management, The George Washington University School of Business
70
9%
60
0%
AIRLINES
© L2 2011 L2ThinkTank.com
10%
HOTELS
CRUISE LINES
13
Digital IQ Index ®:
Travel
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KEY FINDINGS
D I G I TA L I Q D I S P E R S I O N % of Organizations per Digital IQ Class
Bifurcation The dispersion of Digital IQ demonstrates that the prestige travel
Lufthansa
Le Méridien
industry does not follow a traditional bell curve when it comes
Four Seasons
Virgin Atlantic
to digital innovation. A remarkable 41 percent of brands were
InterContinental
Omni
JetBlue
Mandarin Oriental
classified as Genius or Gifted, however an additional 43 percent were Challenged or Feeble. The dispersion of scoring suggests the winners are pulling away from the losers when it comes to online aptitude.
Hyatt British Airways Royal Caribbean Fairmont Hotels
There is also a relationship between Digital IQ and the amount of time users spend on the brand site. Genius and Gifted brands register average user time of 6.2 minutes and 4.9 minutes, respectively, while users spend only 3.4 minutes on the sites of Feeble brands.
KLM Sheraton Marriott Cathay Pacific
8%
Delta Digital IQ
>140
Continental
St. Regis US Airways Emirates
Digital IQ
110-139
33%
Disney Cruise Line Air Canada Ritz-Carlton Singapore Airlines
AVERAGE
average time o n T R A V E L site S
17%
by Digital IQ Class South African Airways JW Marriott
6.2
Jumeirah
6
Lindblad Expeditions
Minutes
4.9 4.0
4
Peninsula Hotels
4.2 3.4
Banyan Tree Relais & Chateaux Kempinski
2
Qatar Airways
0 Genius
Gifted
© L2 2011 L2ThinkTank.com
Average
Challenged
Feeble
Cruise Line
90-109
Conrad Hotels & Resorts
Digital IQ
70-89
27%
Oberoi Preferred Hotels and Resorts
Raffles International
One&Only Silversea Cruises
Cunard
Sofitel
Waldorf Astoria
Kimpton Korean Air Walt Disney World Resorts Virgin America
CHALLENGED
Regent 7 Seas Cruises Warwick International
Norwegian Cruise Line
Frontier
Oceania Cruises
P&O Cruises
Seabourn
Digital IQ
Morgans Hotel Group
WindStar Cruises
Crystal Cruises
W Hotels Westin
GIFTED
United
8
American
Luxury Collection
Holland America
The Leading Hotels
Southwest
Hilton
Air New Zealand
Air France
Qantas
GENIUS
16%
Loews Thai Airways Joie de Vivre
Taj Group of Hotels
Rosewood Hotels
RockResorts
<70
Swissôtel
Air China
Asiana Airlines
Digital IQ
Shangri-La
Azamara Cruises
Park Hyatt
FEEBLE
Etihad Airways
SeaDream Yacht Club Regent International Hotels
Pan Pacific
Hainan Airlines Orient-Express Hotels Japan Airlines Swan Hellenic
14
Digital IQ Index ®:
Travel
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KEY FINDINGS Digital IQ = Pricing Power
D igital I Q v s . year - over -year c h a n ge i n
The recession forced the prestige hotel industry to slash its
A verage D aily R oom R ate
room rates. Our analysis demonstrates a positive correlation
(Hotels with Published Data: 2010 vs. 2009)
of 0.60 between Digital IQ and 2010 versus 2009 changes in Average Daily Rate among the nine hotels with published data,
180
suggesting hotel brands that are more digitally competent have been able to rebound faster.
Correlation = .60 160
Innovation Silos? Examination of Digital IQ across portfolio companies suggests travel industry conglomerates are good at leveraging
140
economies of scale online across multiple brands. The average 40 points, versus a dispersion of 77 points across parent companies in the 2010 Digital IQ Index®: Luxury and 47 points in the 2010 Digital IQ Index : Beauty. ®
With six brands in the study, Starwood highlights the benefits of an organization-wide approach to digital. All of the company’s
Digital IQ
Digital IQ dispersion of parent companies in the industry was 120
100
brands sit on the same site platform, providing enhanced SEO, cross-sell opportunities, and best-in-class customer service without compromising the distinct identity of each hotel. Star-
80
wood has taken a similar approach on Facebook, where the company boasts a page for nearly every property. Each page highlights unique features of the property, brand, and destination while leveraging community engagement tactics and content from across the Starwood organization.
© L2 2011 L2ThinkTank.com
60
0%
1%
2%
3%
4%
5%
6%
7%
8%
% Change in Average Daily Rate
15
Digital IQ Index ®:
Travel
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KEY FINDINGS Airline
Hotel
Cruise
A verage D igital I Q by P ortfolio C ompa n y Organizations with More than One Brand
GENIUS
170
Disparity
30
Disparity
68
Disparity Disparity
140
53
Disparity
GIFTED
AVG IQ
44
Disparity
66
131
Disparity
Disparity
71
5
13
Disparity
67
AVG IQ
134
AVG IQ
132
Disparity
24
Disparity
13
AVG IQ
110
109
AVERAGE
90
AVG IQ
105
AVG IQ
103
AVG IQ
111
AVG IQ
AVG IQ
102
101
AVG IQ
CHALLENGED
70
114
AVG IQ
89
Disparity
23
AVG IQ
FEEBLE
66
© L2 2011 L2ThinkTank.com
2
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40
16
Digital IQ Index ®:
Travel
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KEY FINDINGS The Hare Although travel brands sped to the front of the pack with
SITE CONTENT & TOOLS
commerce-enabled sites, analysis across airlines, cruise lines,
% of Brand Sites with and Without the Following Tools:
and hotels suggests progress in the digital medium has slowed. Nearly 40 percent of travel brand sites fail to incorporate video. Less than half provide an online customer loyalty or frequent flier program. Only 28 percent have some form of social sharing, and
Online Booking
93%
Video
62%
38%
Online Loyalty Program
45%
55%
Social Sharing
28%
72%
Facebook “Like”
20%
80%
Live Chat
17%
83%
9%
91%
7%
= NO
just 20 percent incorporate the Facebook Like button. While prestige travel is largely built around customer service, only 17 percent of the brands in the study offer live chat. Southwest, the leader in site scoring, provides a glimpse into
= YES
the future of brand travel sites, blending function, technology, and community.
“ Leading travel brands recognize the opportunity to
use digital and social media as more than a booking channel. Genius brands use their websites and social
media communities to extend and enhance the customer service experience; creating deeper connections with travelers and allowing guests to experience the quality of their customer service before, during and after their stay.
”
—Melissa Dowler | Chief Marketing Officer, ISM
© L2 2011 L2ThinkTank.com
User Reviews
0%
20%
40%
60%
80%
100%
17
Digital IQ Index ®:
Travel
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KEY FINDINGS Under Review Although two-thirds of consumers report being influenced by
I mpact of S I T E F E AT U R E S o n traffic gro w t h
traveler-generated ratings, only nine percent of the brands in
(March 2010–March 2011)
the study offer reviews on their sites.3 Even among those offering reviews, most segregate them from the booking experi-
50%
ence or sanitize the feedback. Examples include Fairmont’s Everyone’s an Original microsite or Kepinski Hotels, which link to pages on TripAdvisor. Although laggard in other dimensions, the Cruise category has been the first to embrace guest
40%
feedback, and four brands include user reviews. Traffic to sites that incorporate user reviews grew 24 percent, versus seven percent for those without reviews, suggesting user-generated
The Increasing Cost of Search Industry revenues are up significantly following the recession, but traffic to the 89 travel brand sites in the Index is down eight
Traffic Growth
content provides more authenticity and traffic.
30%
24% 20%
17%
percent year-on-year. One of the reasons is the increasing cost of paid search, one of the industry’s primary traffic drivers. Of the brands in the Index, 72 percent engage in key-word purchase on Google, and 64 percent purchase terms on Bing.
10%
7%
6%
Average cost-per-click search advertising was up 21.3 percent in the travel industry January 2010 through January 2011, suggesting it is becoming increasingly expensive for brands to compete for prime search engine real estate.4 Google’s April
0%
YES
NO
YES
NO
acquisition of ITA, a software company that powers the majority of flight fare search on brand sites and travel portals, provides additional cause for pause, and many predict search engine
User Reviews
Social Sharing
marketing pricing will continue to skyrocket.
3. “Top Traveler Technology Trends,” PhoCusWright, August 26, 2010 4. Company Blog, EfficientFrontier, February 4, 2011 © L2 2011 L2ThinkTank.com
18
Digital IQ Index ®:
Travel
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KEY FINDINGS T op 8 R E F E R R A L & D E S T I N AT I O N S I T E S : T R A V E L B R A N d S I T E S
The Online Itinerary
Upstream and Downstream Traffic to and from
The average online consumer visits more than 20 sites while
Social Media Sites, Online Travel Agents, and Competitor Sites
researching travel online.5 Examining the upstream and downstream referral sites across the 89 brands reveals that social
= Social media site
100%
media, online travel agents such as Travelocity and Expedia, and competitor sites factor considerably into this
= ONLINE TRAVEL AGENTS (OTAs)
90%
sample set. In addition, brands are driving significant traffic to and from 80%
Facebook. Of the brands in the Index, 78 percent registered
= COMPETITOR
81%
Facebook as a top-eight source of referral traffic, and on average Facebook drove seven percent of traffic to brand sites. Even more staggering, 90 percent of the brands recorded Facebook as a top destination site after leaving the brand site.
60% 52% 47%
“
While many travel sites have evolved into purely
40%
transactional platforms, your customer may have
35%
just come from your competitor’s site. The best sites communicate a unique brand experience in a way that doesn’t interfere with the transaction.
29%
” —Bob Minihan | Chief Creative Officer, ISM
20% 11%
“
7%
Hospitality companies should not view OTAs as competitors. Rather, they can be strategic collaborators and super-marketers. Recent research termed the
0% % of Brands
“Billboard Effect” demonstrates that hotel exposure on OTA listings can drive significant additional booking traffic though brand websites. —Stuart Levy | Assistant Professor, Dept. of Tourism & Hospitality Management, The George Washington University School of Business
”
5%
6% 2%
% of Traffic Upstream Traffic To Brand Site
% of Brands
3%
% of Traffic
Downstream Traffic From Brand Site
5. “Refining the Travel Search Process,” Compete & Google, December 15, 2009 © L2 2011 L2ThinkTank.com
19
Digital IQ Index ®:
Travel
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KEY FINDINGS The Web Is Dying & Facebook Is Thriving Another reason for diminishing traffic to brand sites is the
bra n d fa n post respo n sive n ess
maturation of the web and the rise of Facebook. In 2001, the 10
A c r o s s 8 5 B r a n d Fa c e b o o k Pa g e s
most-visited sites on the web accounted for 31 percent of U.S.
(March 2011)
page views, in 2006 it was 40 percent, and it is now 75 percent, suggesting the medium and long tail of the web is decreasing
50%
in importance.6 Facebook alone accounts for 12.3 percent of all consumer time on the Internet.7 Facebook usage is nearly ubiquitous across the travel category, and all but four brands feature at least one dedicated page. During the first quarter
40%
2011 measurement period, travel brand Facebook communities grew an average of 20 percent. 30%
27%
21%
“ Your customers already spend their time on Face-
20%
book, so targeting them there is more efficient and
16%
effective than driving them to custom-built social
16%
15%
networking portals. Facebook continues to enhance its flexibility for custom fan page and application development, making the social networking site an increasingly attractive option for brands.
”
10%
—Melissa Dowler | Chief Marketing Officer, ISM
4% 0%
2 Hours or Less
2-6 Hours
7-12 Hours
13-24 Hours
Over 24 Hours
Does Not Respond
6. “The Web is Dead, Long Live the Internet,” Chris Anderson and Michael Wolff, Wired Magazine, August 17, 2010 7. “The 2010 Digital Year in Review,” comScore, February 8, 2011 © L2 2011 L2ThinkTank.com
20
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Travel
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KEY FINDINGS S O C I A L media strategies
Social Media Management
Across All Brands
Travel brands take a variety of approaches (marketing, customer service, commerce, etc.) when it comes to managing social media across properties and regions. Almost half of the Hotel brands had more than one account on Facebook and Twitter. Four Seasons maintains accounts on both social media
49%
50%
48%
= brand page & property/ regional pages
40%
33%
= brand page only
28%
30%
= property/ regional pages ONLY
platforms for each of its properties. Norwegian Cruise Line maintains separate pages by region, including specific pages
20%
= no presence
for Argentinean and Brazilian passengers. Nine percent of brands on Facebook and 12 percent of those on Twitter have
8%
10%
11% 12%
9%
no centralized accounts, opting to let properties manage their 0%
own social media efforts.
TWITTER CONTENT % of Brands on Twitter with the Following: = YES
Regional Twitter page for Four Seasons’ Beverly Hills location © L2 2011 L2ThinkTank.com
News/Info
83%
17%
Deals
65%
35%
Contests
52%
48%
Customer Service
46%
54%
0%
20%
40%
60%
80%
= NO
100%
21
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Travel
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KEY FINDINGS
top 1 0 B R A N D S : FA C E B O O K L I K es
top 1 0 FA S T E S T- gro w i n g faceboo k accou n ts
(March 2011)
(January–March 2011)
Air France
377%
Regent International
Walt Disney World Resort
5,699,438
239%
British Airways
144%
P&O Cruises
Southwest
1,330,073
Disney Cruise Line
514,793
JetBlue Airways
471,787
Air France
AIR FRANCE TRAVEL CHALLENGE
54%
South African Airways
53%
Cathay Pacific
Drove significant “like” growth. Fans guessed the location of the “photo of the day” to be entered into a sweepstakes for 30 pairs of round trip tickets. Chance of winning increased by inviting friends to enter.
45%
315,803
Royal Caribbean
265,751
United
255,970
Emirates
226,926
Lufthansa
178,146
American
One&Only
39%
Frontier
39%
Air New Zealand
34%
Hyatt
32%
136,385 0
100%
200%
300%
400%
= 50,000 FACEBOOK LIKES
© L2 2011 L2ThinkTank.com
22
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KEY FINDINGS
B E S T I N T W E E T: top 1 0 followers
T op 1 0 FA S T E S T- G R O W I N G T W I T T E R A C C O U N T S
(March 2011)
(January–March 2011)
@AIRNZUSA
83%
@JetBlue @WindstarCruises
70%
1,606,910 @SAAUSA
58%
@SouthwestAir 1,088,473 @VirginAmerica
@RelaisChateaux
47%
170,452 @MarriottHotels
@UnitedAirlines
163,660
@AmericanAir
163,084
@Delta
142,552
@WaltDisneyWorld
127,301
@continental
42%
@AirCanada
38%
@jumeirah
32%
@AzamaraVoyages
26%
@Lufthansa_USA
25%
118,444
@USAirways
105,233
@BritishAirways
95,797
@EtihadDeals
23% 0
20%
40%
60%
80%
= 25,000 TWITTER FoLLOWERS
© L2 2011 L2ThinkTank.com
23
Digital IQ Index ®:
Travel
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KEY FINDINGS Rapid Response Seventy percent of U.S. hoteliers monitor guest reviews on
T O P 1 0 brands : T W eets per day
their own and third-party sites weekly at a minimum.8 Although
(January–March 2011)
third-party review sites, such as TripAdvisor and Yelp, used to be consumers’ soapboxes of choice, Facebook, and Twitter have taken their place. Across the 85 brand Facebook pages in the study, four-in-five travel brands respond to customer service
Korean Air
inquiries.
35.0
On Twitter, brands are not as proactive, and less than half
Windstar Cruises 29.5
are actively responding to customer service concerns. While adoption has been mixed, many brands are using social media responsiveness as a point of differentiation. The Palms
Hilton 24.6
Hotel, which was not included in the study, integrates guest Klout scores, a measure of influence on Twitter and Facebook, directly into its registration system and provides upgrades to guests with substantial online influence.
Peninsula Hotels
15.4
Ritz-Carlton
12.2
JetBlue
“
12.1
Virgin Atlantic
11.6
Sofitel
11.5
Surprisingly, many travel brands are not utilizing Twitter and Facebook to quickly address consumer complaints. Companies cannot afford to simply
“dip their toes” in the social media current—they must dive in with a “listen, react, and engage” strategy.
”
—Stuart Levy | Assistant Professor, Dept. of Tourism & Hospitality Management, The George Washington University School of Business
Four Seasons
11.1
Hyatt
10.4
= 1 TWEET
8. “Best Practices for Maximizing Your Hotel, Online Revenue, and ROI”, HSMAI Foundation & Vizergy, June 2010 © L2 2011 L2ThinkTank.com
24
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KEY FINDINGS The Travel Channel T op 1 0 B rands : Y O U T U B E
All but eight brands in the Index maintain a YouTube channel.
Brand Channels with the Most Upload Views
For many brands, YouTube merely provides another platform
(March 2011)
for television commercials, flight safety demonstrations, and promotional videos. However, a few organizations are pushing the boundaries of viral video. Disney Parks’ YouTube channel features 576 videos about the magic of Disney, including a user-generated musical marriage proposal that has garnered
Walt Disney World Resort & Cruises
more than 3.6 million views. The majority of Air New Zealand’s
17,022,148
playful videos feature sassy spokespuppet, Rico, who flirts with flight attendants and raps with Snoop Dogg.
Southwest
6,031,820
Delta
4,222,536
Air New Zealand
Hyatt
1,666,208
Virgin America
1,586,449
Qantas
1,172,643
KLM
1,052,966
Norwegian Cruise Line American YouTube channels for Air New Zealand and Disney Parks
© L2 2011 L2ThinkTank.com
2,841,066
858,310 713,470
= 250,000 YOUTUBE VIDEO VIEWS
25
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KEY FINDINGS You’ve Got Mail
T op 1 0 B R A N D S : A V E R A G E E M A I L S P E R W E E K (January–March 2011)
Sixty-three percent of consumers who receive email from a travel supplier are more likely to purchase from the brand.9 Even with the rise of social media, email remains one of the
American
highest ROI marketing tools. Ninety percent of the brands in
4.6
the study maintain an email marketing program. Most averaged only one email every two weeks. American Airlines was the
Continental
1.9
most prolific, averaging almost five emails a week, more than
Airline
2.5 times the number of messages from the next brand.
Emirates
1.2
There is still significant low-hanging fruit in email marketing.
Cruise
Ten brands that offered email opt-in failed to correspond within
Air Canada
1.0
a six-week period. Across categories, 87 percent of email messaging from brands was not optimized for a mobile device.
EMAIL MARKETING % of Brands
Email Opt-in
90%
10%
Welcome Email
66%
34%
Additional Marketing Emails
79%
Link to Social Media on Email Email Viewable on Mobile
Hotel
Southwest
0.9
JetBlue
0.9
Lindblad Expeditions
0.8
Qantas
0.7
21%
Hilton
0.7
56%
44%
Frontier
0.7
13%
87%
Etihad Airways
0.7
= NO = YES
0%
25%
50%
75%
100%
0
1
2
3
4
5
9. “Flying High: Measuring the Value of Email Marketing for the Travel Industry”, Epsilon Data Management, February 2009 © L2 2011 L2ThinkTank.com
26
Digital IQ Index ®:
Travel
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KEY FINDINGS An Approved Portable Electronic Device
M O B I L E P R E S E N C E by category % of Brands with the Following:
Increasingly, travelers are turning to their mobile devices to help research, plan, manage, document, and share their travel ex-
100%
periences. Next year, 15.1 million people are expected to book travel using a mobile device.10 Of the brands in the Index, 56 percent have a mobile site and 48 percent have a smart-phone
75%
AirlineS
76%
application. Twelve brands have apps designed for the latest must-have accessory, the iPad. Hotels and Airlines are the
66%
61%
Cruise LINES
50%
50%
most active in the mobile space, with many allowing customers to book, check in, and track their loyalty points online.
HotelS
24%
25%
13%
11%
6%
0%
0% Mobile Site
Smartphone App
iPad App
“ Genius brands are optimizing their existing sites for
mobile and going further by creating mobile-specific tools to target travelers.
”
—Melissa Dowler | Chief Marketing Officer, ISM
i P h o n e A pp C apabilities by category % of Brand Apps with the Following:
“ Mobile applications will be of relatively less
100%
importance, given the increased technological sophistication of mobile sites along with the limited
number of apps that smart-phone users tend to download.
”
—Stuart Levy | Assistant Professor, Dept. of Tourism & Hospitality Management, The George Washington University School of Business
73%
75%
79%
AirlineS
63% 55% 50%
25%
14% NA
0% 10. “Mobile Travel Takes Off: Emerging Trends and Best Practices for Marketers,” eMarketer, March 2011 © L2 2011 L2ThinkTank.com
HotelS
47%
42%
Book
Check-In
Loyalty
Boarding Pass
27
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FLASH OF GENIUS Airlines Soar on Twitter Nine of the 10 most followed travel brands on Twitter are airlines. From the brand perspective, airlines are trying to combat
Air New Zealand’s “12 Days of Valentine’s” campaign prompts tweets from its followers
increasing consumer frustration in the face of rising fees by proactively engaging their communities. During Air New Zealand’s “12 Days of Valentines” Twitter campaign, followers were encouraged to respond to the question, “What is your favorite cuddle position?” Each day the most creative answer was selected by judges to win a round-trip flight for two on a Skycouch to Auckland or London. @AirNZUSA grew its followers 76 percent two weeks into the promotion. To celebrate the inaugural Airbus A380 flight from Germany to New York City, @Lufthansa_USA Twitter followers were allowed to select one seat on the virtual A380 seat map. Each day for four days, one virtual passenger was randomly selected to win a vacation package to Frankfurt. In two weeks, @Lufthansa_USA gained 2,000 new followers. The airline also paired the online campaign with an offline component, a one-day scavenger hunt in New York’s trendy SoHo neighborhood to win a pair of roundtrip tickets to Europe, with clues posted on its Twitter account.
Lufthansa utilizes Twitter for flight give-aways © L2 2011 L2ThinkTank.com
28
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FLASH OF GENIUS
Delta uses Twitter to address both customer service issues and real-time travel information
Delta uses Twitter to monitor customer service issues and complaints 24/7, employing its @Delta and @DeltaAssist accounts to preempt passenger issues. The latter account is particularly active, rebooking customers’ flights when they Tweet in-flight, offering reimbursements, posting travel advisories, and using realtime info to adjust on-the-ground operations at boarding gates. True to its value DNA, JetBlue was one of the first airlines to embrace Twitter as a platform to broadcast last-minute deals. Its @JetBlueCheeps account was launched in July 2009 with tantalizingly low fares ($49 each way to Las Vegas!).
“ The importance of mobile to the travel category is right there in its name: mobile. From the moment your customer leaves Point A on their way to any Point B, their mobile devices are going to be their primary means of consuming—and generating content.
”
—Bob Minihan | Chief Creative Officer, ISM
JetBlue broadcasts last-minute deals through Twitter
© L2 2011 L2ThinkTank.com
29
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FLASH OF GENIUS
Norwegian Cruise Line allows users to start a countdown and connect with cruisers preembarkment
Playing Offense Taking a page from the playbooks of travel portals Expedia and TripAdvisor, travel brands are attempting to foster the same sense of community and brand loyalty that the OTAs have achieved. Norwegian Cruise Line’s online forum, “Freestyle Voices,” allows past cruisers to post reviews on the ship and shore excursions. Future passengers can ask questions about their upcoming trip and start a countdown clock that doubles as a vehicle for connecting cruisers preembarkment. Sheraton’s “Better When Shared” virtual community allows travelers to recount their experiences at and memories of various Sheraton properties and give advice on local attractions, dining, shopping, and more to future travelers. With Facebook sharing and an interactive interface, the microsite is a good first step to building a digital community. Many of the posted stories, however, read as little more than advertisements for a specific property’s amenities. Fairmont’s highly interactive “Everyone’s an Original” is a more robust community effort, with a large library of usergenerated content across a wide breadth of categories, including mixology and the 2010 Olympics. Fairmont salts original content, including recipes from property chefs.
Sheraton has built a digital community through customer’s shared experiences and memories
“ Savvy travel brands provide a forum for customers to share feedback on their own web and social media
sites. This lets them monitor and participate in conversations and scores authenticity points with potential customers.
”
—Melissa Dowler | Chief Marketing Officer, ISM
© L2 2011 L2ThinkTank.com
Fairmont boosts community spirit through its interactive “Everyone’s an Original” site
30
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flas h of ge n ius KLM Surprise in the Skies KLM introduced a campaign this past holiday season to surprise, delight, and reward its customers. The KLM Surprise team monitored Foursquare activity at its locations. For each passenger who checked in, the team searched for corresponding Facebook, Twitter, and LinkedIn accounts to determine a personalized surprise gift for the customer waiting in the terminal. Gifts included champagne, notebooks, and a custom itinerary of New York’s best soccer bars. Not satisfied to stop there, KLM uploaded pictures of surprised passengers to Facebook and monitored conversations about the campaign across social media platforms.
KLM uses Foursquare to surprise passengers with hand-selected gifts
© L2 2011 L2ThinkTank.com
31
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FLASH OF GENIUS KLM DJs on a Plane! In March, a Dutch DJ and filmmaker tweeted disappointment that KLM’s recently reinstated Amsterdam-Miami flight would depart one week too late for the annual preeminent Ultra Music Festival. KLM responded, challenging the duo to find enough passengers to fill an earlier flight. Five hours later, 150 travelers were signed up and shortly thereafter were airborne in what became the Guinness World Record for the world’s highest dance party.
KLM’s in-flight DJ dance party all began with a tweet
© L2 2011 L2ThinkTank.com
32
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FLASH OF GENIUS AA (The) Upwardly Mobile American Leaving its competitors in its airstream, American Airlines has blazed a path to mobile dominance. American’s mobile footprint includes commerce functionality across its mobile iPhone, iPad, and Android apps. All three apps enable fliers to quickly book reservations, monitor flight status, check in, and generate an electronic boarding pass. American’s mobile apps provide upgrades to the travel experience with offers such as AA sudoku, terminal maps, and one-day passes to Admirals Club lounges.
American Airlines allows passengers to search, book, track, and even board flights all from their mobile device
© L2 2011 L2ThinkTank.com
33
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FLASH OF GENIUS Mandarin Oriental A Luxury Hotel in the Palm of Your Hand Mandarin Oriental’s free iPhone app matches the brand’s reputation for timely service and a chic aesthetic. Using stunning imagery from properties around the world, the app features seamless This app provides guests with detailed amenities, city information, and special offers worldwide
search and reservation functionality. Users can find a hotel and immerse themselves in the brand with photos, detailed amenities, city information, and special offers.
Mandarin Oriental’s homepage
© L2 2011 L2ThinkTank.com
34
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FLASH OF GENIUS Lufthansa The Digital Carry-On Combating boredom in the skies, Lufthansa recently unveiled CloudStream, a social content site. Users can “pack” articles, music, videos, and other online content for quick access while traveling. With a browser bookmark, adding content to their “My carry-on” is as simple as a click and is accessible over any Internet connection, including Lufthansa’s in-flight Wi-Fi, Wi-Fi on other airlines, or at home. Additionally, Lufthansa takes the extra step of curating content feeds across categories such as art, travel, and business. This is not the airline’s first foray into enhancing the flight experience. In 2009, Lufthansa launched the MySkyStatus website app that sent passengers’ altitude, location, departure, and arrival updates to their Facebook and Twitter accounts, regardless of what airline they were flying.
Lufthansa’s digital carry-on helps passengers curate content to access while traveling
© L2 2011 L2ThinkTank.com
35
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FLASH OF GENIUS WALT DISNEY WORLD RESORT / CRUISES Mickey Meets Zuck One of the most iconic travel destinations in the world, Walt Disney World has no trouble attracting a massive fan base on Facebook. Feature-rich tabs include Share Memories, I’m Going to Walt Disney World, and Epcot® Flower & Garden. Mickey’s Facebook page offers behind-the-scenes videos, travel advice, and planning resources, and solicits user-generated content. Antithetical to social media, however, is users’ inability to post on Disney’s wall.
Share memories and plan your trip through Disney’s Facebook page
© L2 2011 L2ThinkTank.com
36
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FLASH OF GENIUS Four Seasons A Season for Families / Family for All Seasons Four Seasons has always been synonymous with the highest quality service, creating a “home away from home.” No surprise then that the brand’s latest campaign focuses on families and memories. The recently launched “Have Family Will Travel” blog offers varied tales from writers who have traveled the world with family in tow. Featuring rich media, tips, stories, and more, it’s quickly becoming a go-to blog for the family on the move. Four Seasons has incorporated the blog as the landing tab on its Facebook page, unifying its web presence. In conjunction with the blog, the Facebook tab also solicits guests to upload photos of their vacation memories to an easy-to-use music video generator.
The Four Seasons blog has developed a community of like-users who share experiences of traveling with a family in tow
© L2 2011 L2ThinkTank.com
37
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FLASH OF GENIUS INTERCONTINENTAL The Virtual Concierge Recognizing that a trip starts well before their guest receives a room key, many hotels offer itinerary-enhancing content on their sites. Intercontinental Hotels & Resorts leads the way, encouraging guests to “Explore the Area” around each property with a variety of virtual services. Each hotel’s chief concierge has recorded videos featuring spotlights on hotel amenities, dining, local attractions, shopping advice, and more. Each video is shareable via email and downloadable for use on the go. Property pages also recommend the “perfect day” itinerary for that locale.
InterContinental’s Chief Concierge highlights the area hotspots and can be viewed on the go
The “Perfect Day” itinerary assists guests in making the most of their stay
© L2 2011 L2ThinkTank.com
38
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FLASH OF GENIUS DELTA Facebook Friends Want to Fly Too Delta is turning its social communities into customers. Its sleek “Ticket Counter” feature on Facebook works efficiently, enabling users to search flights, book reservations, manage their rewards miles, obtain flight status and check in for a flight. The app, which requires no installation or application, drives incremental traffic to Delta.com with call-outs to learn more about travel advisories, in-flight amenities, and the SkyMiles program. Code-share partner, Air France, followed Delta’s lead, launching F-Commerce, resulting in a tripling of its Facebook fan base.
Delta’s Facebook ticket counter drives incremental traffic to their site
© L2 2011 L2ThinkTank.com
39
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TEAM: L2 SCOTT GALLOWAY
marking projects for hospitals, including UCLA Medi-
recently, she led creative services at ELLE during
Professor of Marketing, NYU Stern Founder, L2
cal Center, UCSF, and HCA. She has gone on to lead
the most successful years of the magazine’s history,
research and consulting efforts focused on digital
developing innovative integrated marketing programs
Scott is a Clinical Associate Professor at the NYU
media, private banking, M&A, insurance industry risk
for advertisers. Christine received a B.A. in Econom-
Stern School of Business where he teaches brand
management, and renewable energy economics for
ics and Journalism from the University of Connecticut
strategy and luxury marketing and is the founder of
professional firms and academics. Maureen has a
and an M.B.A from NYU Stern.
L2, a think tank for digital innovation. Scott is also
B.A. in Human Biology from Stanford University and
the founder of Firebrand Partners, an operational
an M.B.A. from NYU Stern.
TANUJ PARIKH L2
activist firm that has invested more than $1 billion in U.S. consumer and media companies. In 1997, he
R. DANIELLE BAILEY
founded Red Envelope, an Internet-based branded
L2
consumer gift retailer (2007 revenues: $100 million).
Danielle began her career at The Home Depot, Inc.,
City Economic Development Corporation, where he
In 1992, Scott started Prophet, a brand strategy
where she led a variety of internal consulting engage-
worked on a variety of initiatives designed to grow
consultancy that employs more than 250 profession-
ments focused on supply chain, merchandising,
the city’s innovation economy. Tanuj is also the co-
als in the United States, Europe, and Asia. Scott was
and in-store process improvement. She went on to
founder and director of UniThrive.org, a peer-to-peer
elected to the World Economic Forum’s “Global Lead-
manage the implementation of award-winning mobile
student lending social enterprise. In 2007, he was
ers of Tomorrow,” which recognizes 100 individuals
initiatives for several large media clients, including
a Kenya-based Fellow for Kiva.org, the world’s first
under the age of 40 “whose accomplishments have
The New York Times Co., NBC Universal, Disney/
peer-to-peer lending marketplace for the poor. Tanuj
had impact on a global level.”
ABC, Maxim magazine, and Zagat. Danielle has a
received his A.B. in government with a secondary in
B.S. in systems engineering from the University of
economics from Harvard University.
Scott has served on the boards of directors of Eddie Bauer (Nasdaq: EBHI), The New York Times Company (NYSE: NYT), Gateway Computer, eco-America, and UC Berkeley’s Haas School of Business. He received a B.A. from UCLA and an M.B.A. from UC Berkeley. MAUREEN MULLEN L2 Maureen leads L2’s research and advisory group and has benchmarked and/or developed digital and social media initiatives for more than 300 prestige brands. She began her career at Triage Consulting Group in San Francisco. At Triage, she led several managed care payment review and payment bench© L2 2011 L2ThinkTank.com
Tanuj began his career as a project manager at the Center for Economic Transformation at the New York
Virginia and an M.B.A. from NYU Stern. CANDICE MORTIMER CHRISTINE PATTON
L2
Creative Director, L2
Candice started her career in hotel group sales for
Christine is a brand and marketing consultant with
Marriott in White Plains, New York. She then moved
more than 15 years of experience creating brand
into logistical planning of special events in Miami and
identities and marketing communications for aspi-
later Lower Manhattan. Candice is a member of the
rational and luxury brands. She began her career at
Professional Convention Management Association
Cosí, where she developed the brand and oversaw
and serves on the International Meetings task force.
its evolution from concept through growth to 100
She earned a B.S. in hospitality management from
restaurants. Since then she has provided creative
Syracuse University and a will receive a master’s in
direction for a wide array of clients, including the
tourism administration from The George Washington
launch of Kidville and CosmoGIRL! magazine. Most
University in May.
40
Digital IQ Index ®:
Travel
Want to know more about your brand’s ranking? CONTACT US
TEAM: ISM & GWSB GARY LEOPOLD
and Partner at Holland Mark in Boston, ADWEEK
STUART LEVY
President & CEO, ISM
magazine named the agency one of the top 10
Gary is the President and CEO at ISM, where he sets
creative agencies in the United States. His resume
the vision and serves as lead strategic advisor for all
also includes the title of Creative Director at Arnold
Assistant Professor, Department of Tourism & Hospitality Mangagement, The George Washington University School of Business
clients. His thinking has influenced such brands and
Worldwide and additional brand experience including
Stuart is an Assistant Professor in the Department of
destinations as Four Seasons Hotels and Resorts,
McDonald’s, T.J. Maxx, Titleist, Foot-Joy, Pinnacle,
Tourism and Hospitality Management at The George
Sheraton, Abercrombie & Kent, American Express,
Dreyfus Funds, Citizens Bank, and the Massachu-
Washington University School of Business, where
Hong Kong, The Islands of the Bahamas, Barbados,
setts Office of Travel and Tourism. His awards include
he teaches hospitality industry management and
Emirates, Harley-Davidson, and more. Gary often lec-
the One Show, Cannes, CA, Mercury, Athena, Kelley,
internet marketing courses to undergraduate and
tures at universities, while being regularly published
Obie, and Clio.
graduate students. Stuart’s current research focuses on relationship marketing, mobile technology, and
in leading travel industry publications. MELISSA DOWLER
corporate social responsibility in the hospitality
Prior to co-founding ISM, Gary held the position of
Chief Marketing Officer, ISM
industry, and his work can be found in academic
Worldwide Corporate Director of Public Relations for
Melissa brings a wealth of digital and social media
publications including the Journal of Travel Research
Sonesta International Hotels Corporation. Gary is also
experience to her position as Chief Marketing Officer
the proud recipient of the Albert E. Koehl Lifetime
at ISM. She is a builder of teams, relationships, and
Achievement Award in travel advertising from the
successful marketing campaigns with a career his-
Hospitality Sales & Marketing Association International
tory that spans industries, media, and continents.
(HSMAI), an honor he shares with Michael Eisner and
Melissa offers a dozen years of international strategic
Sir Richard Branson, among others. Gary is a past
marketing experience to ISM clients, having worked
President of HSMAI and serves on the board of the
in London at IMC.UK and Arc Integrated Market-
HSMAI Foundation. He is also the current president of
ing on global brands including Kellogg’s, Tesco,
the MAGNET global agency network.
Shell, and The Government of Jamaica Food & Drink Exports. In addition to her extensive traditional
BOB MINIHAN
marketing background, Melissa has brought innova-
Chief Creative Officer, ISM
tive digital and social media strategy to brands such
As Executive Creative Director and Partner at ISM,
as Reebok and The Drew Company (World Trade
Bob is responsible for all ISM creative content. His travel brand experience includes Four Seasons Ho-
and the Journal of Hospitality and Leisure Marketing. Before academia, Stuart worked as a consultant for PricewaterhouseCoopers’ Global Hospitality and Leisure Practice, and he has also served in management positions for tour operations and internet marketing firms. He received a B.S. in Hotel Administration from Cornell University, an M.B.A from Georgetown University, and a Ph.D. from the University of Calgary.
Center, Ronald Reagan International Trade Center, Seaport Hotels).
tels and Resorts, Emirates airline, American Express Travel Services, Best Western Hotels, Barbados, Abercrombie & Kent Residence Club, Fodor’s, and FareCompare. In his previous position as ECD © L2 2011 L2ThinkTank.com
41
U PCOM ING EVE NTS
05.20 .11 L2 Clinic Emerging Digital Media Platforms While Facebook dominates the social media landscape, a multitude of other digital platforms and new consumer behaviors that surround them have emerged. In isolation, these platforms may not have reached critical mass; but in
L2 is a think tank for digital innovation.
aggregate, they provide a fertile ground for brands to run
We are a membership organization that brings together thought leadership from academia and industry to drive digital marketing innovation.
insights into wholly new forms of digital self-expression and
creative experiments, reach new consumers, and glean consumer activity.
06 . 24 .11 L2 Clinic Mobile & Geolocal R esearc h
Digital IQ Index®: The definitive benchmark for online competence, Digital IQ Index® reports score brands against peers on more than 350 quantitative and qualitative data points, diagnosing their digital strengths and weaknesses. EVE NTS
Forums: Big-picture thinking and game-changing innovations meet education and entertainment.
Every year has been touted the “year of mobile.” However, looking back at 2010, predictions and estimates on the explosive growth of mobile devices, smart phones, and the ubiquity of mobile web have all reigned true; we are now at an inflection point.
07. 22.11 L2 Clinic Video & Celebrity
The largest gatherings of prestige executives in North America.
This half-day immersion explores successful strategies to drive
300+ attendees
engagement and brand awareness through the use of online video and traditional—and untraditional—celebrities.
Clinics: Executive education in a classroom setting with a balance of theory, tactics, and case studies.
60 –120 attendees Working Lunches: Members-only lunches led by digital thought leaders and academics.
U PCOM ING R esearc h Digital IQ Index® Reports
Topic immersion in a relaxed environment that encourages open discussion.
Financial Services
Beauty
Prestige Facebook Index
Fashion & Leather Goods
Magazines
Watches & Jewelry
China: Prestige 100
Gen Y Affluents: Prestige Brand Ranking
12 – 24 attendees MBA Mashups: Access and introduction to digital marketing talent from top MBA schools. co nsu lt ing
Advisory Services: L2 works with brands to garner greater return on investment in digital initiatives. Advisory work includes Brand Digital Roadmaps, Social Media Strategy, and Site Optimization engagements. MEMBERS HIP
For membership info and inquiries: membership@L2ThinkTank.com
Specialty Retail
A Think Tank for DIGITAL INNOVATION
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Š L2 2011 L2ThinkTank.com