Article

Brady Cassidy
Brady Cassidy 20 February 2014
Categories Advertising

The missed branding opportunity

It still blows my mind how many hotels charge for Internet service. I recently stayed at the Hilton Universal City in LA during part of my vacation. When I started up my laptop, I got the following page

It still blows my mind how many hotels charge for Internet service.
 

I recently stayed at the Hilton Universal City in LA during part of my vacation. 
 

If you are not a Hilton Honors member, you are forced to pay to access Internet services.

 

What Hilton didn’t know, was my intentions of going online. It wasn’t to browse the web, but simply to “check-in” via social networks. Now, think about this. Is the $10 of additional revenue worth the lost branding opportunity to my 600-700 Facebook friends?
 

Say, for example, Hilton had 100 guests access the Internet in one night. This translates into roughly $1000. At almost $300 per night for a room (excluding any other additional amenities purchased at the hotel), they would only need 3-4 guests to become aware of their hotel via social networks and visit at a later date. Think about this. If say only 10 of those 100 people “check-in” or do a relevant status update, at an average of 200 friends on their social network, this translates into 2000 people. All Hilton would need is a 0.2% conversion rate from word-of-mouth to surpass their Internet revenue.
 

Now, to be fair, with Facebook’s new updates your message or updates are only broadcasted to about 16% of your friends. Therefore, 2000 x 16% means 320 friends will likely see the messages. This would require a conversion rate of 1.25%, which is highly likely given the conversion rates with word-of-mouth (WOM) marketing.
 

Allowing free Internet to your guests, in my opinion, is a no brainer. The marginal cost of allowing a guest to access the Internet is negligible. At most, they would have to upgrade their bandwidth.

 

Possible Solutions:

1) Free Internet for guests – hotel is already paying for it anyways

2) Allow guests to have the first 15-20 minutes free of charge

3) Free Internet, but limit the bandwidth for each user

4) Pay with a post to a chosen social network (this is possible with several solutions available today such asJustUno or PayWithATweet

 

This article was previously posted here http://fixedsocial.com/missed-branding-opportunity/ 

Please login or register to add a comment.

Contribute Now!

Loving our articles? Do you have an insightful post that you want to shout about? Well, you've come to the right place! We are always looking for fresh Doughnuts to be a part of our community.

Popular Articles

See all
The Impact of New Technology on Marketing

The Impact of New Technology on Marketing

Technology has impacted every part of our lives. From household chores to business disciplines and etiquette, there's a gadget or app for it. Marketing has changed dramatically over the years, but what is the...

Alex Lysak
Alex Lysak 3 April 2024
Read more
How to Review a Website — A Guide for Beginners

How to Review a Website — A Guide for Beginners

A company website is crucial for any business's digital marketing strategy. To keep up with the changing trends and customer buying behaviors, it's important to review and make necessary changes regularly...

Digital Doughnut Contributor
Digital Doughnut Contributor 25 March 2024
Read more
10 Factors that Influence Customer Buying Behaviour Online

10 Factors that Influence Customer Buying Behaviour Online

Now is an era where customers take the center stags influencing business strategies across industries. No business can afford to overlook factors that could either break the customer experience or even pose a risk of...

Edward Roesch
Edward Roesch 4 June 2018
Read more
A New Framework for the Marketing Mix – ‘The Customer Mix or 6W’s’

A New Framework for the Marketing Mix – ‘The Customer Mix or 6W’s’

Many of you will have studied marketing at University. You will have learnt all about the marketing mix. My question is whether or not the Marketing Mix is still meaningful in this day and age?

Martin Newman
Martin Newman 6 August 2018
Read more
5 films with Brilliantly Designed Websites

5 films with Brilliantly Designed Websites

The best websites take visitors on a journey that will leave them wanting more. So set aside an hour or three and explore these five brilliantly designed film websites.

Nathan Jones
Nathan Jones 15 April 2016
Read more