Trying to keep up to date with what’s going on in the industry? We give you a rundown of the latest news and offer our insight.
AND THE WINNER IS…
This week, Hostelworld announced their annual HOSCAR winners – and two of our clients were crowned winners!
Mountain Hostel Tarter was named the best hostel in Andorra and Atlantic Point Backpackers in Cape Town made it into the top 3 hostels on the whole African continent – and both are absolutely well deserved.
Other winners included Hostel One who swept the floor in the solo traveller category picking up three gongs in three of their locations as well as 5 Terre Backpackers who walked away with ‘Best Hostel in Europe’ and ‘Best Atmosphere’.
New kids on the block COSTELLO and Yust Antwerp have also made their presence known in the ‘best new’ category and we’re excited to see what they do next.
The awards – which are based on over one million Hostelworld customer reviews – list their version of ‘the best hostels in the world’ at the start of each year.
They may be somewhat controversial in the industry but hey, hostels receiving the recognition they deserve is always a positive for us.
WHAT’S UP WITH THE NEXT BIG THING IN DIGITAL MARKETING?
New decade, new platform… but before you groan and think ‘not another one’, fear not because it’s actually the popular instant messaging app, *drum roll*, WhatsApp.
With close to 1.5 billion users across the globe, WhatsApp is one of the most popular apps globally.
According to Business Insider, WhatsApp has been a relatively untapped marketing tool for travel brands around the world – but it all could be about to change. While Facebook (who own both Whatsapp and Instagram) halted their plans recently to introduce ads to the platform, there are many other ways the travel sector can use the app to connect and interact with their customers.
For a long time, marketing and advertising was all about one way interaction from the business to the customer. However, as technology has developed and the demands of travellers have transformed, hotels and hostels have had to adapt and get closer to their guests with more two-way communications. And this is exactly what WhatsApp allows brands to do.
One example that Business Insider gives of a brand in the hospitality industry effectively using Whatsapp to create a ‘flawless user experience’ is OYO, the Indian hotel booking site. They use the app to assist their customers with personalised alerts regarding booking confirmation, directions to the hotel on the day of check-in and even makes cancelling their bookings easy and hassle-free.
As travellers expect an increasingly personalised experience with the travel brands they choose, WhatsApp is a budget-friendly way to get your hotel or hostel’s customer service down – but a clear strategy and effective execution is key.
HILTON LAUNCH NEW LIFESTYLE BRAND
Last week, Hilton launched their brand new affordable lifestyle brand Tempo – the sixth brand the hotel empire have brought to market in just over three years and its 18th overall.
Two years on since Motto by Hilton was announced, they are taking another dip into the travel world of millennials and Gen-zers, this time with an “approachable lifestyle brand” for the “modern achiever.”
Phil Cordell, Hilton’s senior vice president and global head of new brand development: “The modern achiever, they’re the ones who will work hard. They still travel but at the same time, they don’t want travel to disrupt their needs.
“It’s more within reach from a cost-perspective for this customer, who expects and wants a little bit more but can’t step all the way up to a super hip, cool expensive lifestyle.”
But, are they entering an already saturated market? “I think as long as you can differentiate and speak with a voice that is appealing, there’s space for some more.”
Is this truly different enough to what we are seeing? Only time will tell…
OTA ANTICS CAUSE HOTEL’S CONCERN
Hotels continue to be deeply concerned at the continued hold that OTAs have over their ability to control rates to travellers, according to Phocuswire’s most recent webinar with wholesaler, HotelBeds.
During the webinar – which was attended by 600+ hotel industry professionals – 7 out of 10 respondents claim that they feel “powerless to stop large OTAs discounting their prices.”
Despite being unhappy with the actions of OTAs though, half said that they are still reliant on bookings from OTAs. Those who have no choice but to continue working with them believe that their ‘prices are not respected’.
Paul Anthony, global sourcing relations and commercial excellence director at Hotelbeds, says: “As we already knew, based on our private conversations with hoteliers across the industry, this surveys confirms just how widespread concern is in the accommodation sector.
Hoteliers are asking themselves ‘how can I stop rogue players selling online rates we’d intended for other channels?’.
With rising fees and unfair rate changes from OTAs, it is more important than ever for your website to be secure and easy to use and your digital marketing to be strong, reaching your target audience and effectively converting to confirmed direct bookings. Need help? Just drop us a message.
TRIBE THEORY SECURE INVESTMENT
This week, Tribe Theory announced a $3.5 million funding from American venture capitalist Tim Draper and rebranded it to Draper Startup House.
In March 2018, Vikram Bharati founded Tribe Theory, a global chain of business based hostels targeted for startups and entrepreneurs. Starting out with a single unit in Singapore, the brand has since been expanded to eight locations around the world.
The new funding from billionaire investor Tim Draper – which many dub as ‘every entrepreneur’s dream – will now start a transition period. Over the coming months, each location will offer ‘co-working spaces, custom programming focused on entrepreneurship and access to venture capital funding’. It also gives entrepreneurs the opportunity to submit pitch decks to the Draper Venture Network.
Owner Vikram Barati said: “The rebranding of Tribe Theory helps us propel our mission forward in a bigger way, so it was an easy decision.
Tribe Theory is rebranding to reinforce the new combined vision — to enable one million entrepreneurs by 2030.“Through the use of the real human connection, inspired business travel, a diverse-minded community and access to global citizens — one is able to connect to new opportunities, inspire one another to innovate and execute, and empower one another to go big, give back, and drive progress.”
It’s been great to watch this brand grow and we’re looking forward to seeing what’s next for them.
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