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The Importance of Big Data in Hospitality Marketing

For any company to stay profitable in today’s competitive market, it must collect and analyze data about customers and trends. Strategies for big data in hospitality marketing have not always been as successful as they have been for retail marketing, but new advances are creating better results. Large hotel chains and small boutique hotels alike can now maximize their use of big data for hospitality marketing.

Gain and Retain Customers

One of the most effective ways that hotel companies can use hospitality industry data is by analyzing customer loyalty and implementing strategies to gain and retain customers. Currently available data on customer behavior can help hospitality marketers understand what guests look for in a hotel stay. Do they want a luxurious getaway? A family-friendly adventure? A convenient place to set up shop on a business trip? When hotel companies understand what their customers want, marketers can tailor their efforts accordingly.

Algorithms and software can analyze the content of reviews to improve the guest experience

Capitalizing on Review Websites’ Data

A wealth of information exists on review websites, online travel agency websites and social media platforms. Hospitality companies can use fine-tuned algorithms and software to analyze the content of thousands of reviews and not only improve the guest experience but also gauge the needs and expectations of various marketing segments.

Personalized Email Marketing Campaigns

Trends show that personalized email campaigns are among the most effective marketing tactics in today’s digital world. Hotel companies can use the information they collect on customer behavior and expectations to develop these personalized campaigns. Location and travel preferences can reveal much about a guest’s potential behavior, and the industry can use this information to develop specific deals and offers.

Targeted Marketing Campaigns

Along the same lines as email marketing, hospitality companies can use big data to develop targeted marketing campaigns for their online and mobile audiences. Hotel companies can use data gleaned from current events, weather trends and potential travel delays in specific areas of the country and around the world to predict customer demand. They can then use targeted marketing campaigns, particularly for travelers using mobile devices while away from home or the office, to be the first in line to meet the increased need for hotel rooms.

Mobile Online Surveys

Given the increase in customer dependence on mobile devices for information and shopping, the hospitality industry must keep pace and optimize marketing efforts to mobile customers. Since some hotels offer free Wi-Fi, they can, for example, collect guests’ opinions through mobile online surveys. These surveys can provide the industry with valuable data much more quickly and efficiently than the paper surveys of the past.

Partnering with third-party data analysis providers is one of the best measures the industry can adopt to capitalize on big data in hospitality marketing. To build an internal infrastructure for data aggregation and analysis, hotel companies would need to divert vast resources to IT systems that third-party providers already maintain. By hiring these providers to analyze the data, hotel companies can keep their efforts focused on what they do best: attracting guests and providing excellent customer service.

Learn about the SOSU online MBA with an emphasis in Hospitality Management program.


Sources:

Forbes: How Big Data and Analytics Are Changing Hotels and the Hospitality Industry

Hospitality Net: How the Hospitality Sector Is Slowly Waking Up to Big Data Analytics


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