Online Marketing for Tourism: Social Media can Drive Sales to Hotels and Airlines

This post is inspired on the Mashable post about Social Media and how it can drive revenue to airlines and hotels. Therefore I would like to thank Shashank Nigam, its writer for the inspiration.

As Shashank very accurately says Social media is no longer the “new” thing, especially for airlines. Looking at JetBlue or Lufthansa we understand that social Media is part of their daily routine. However, most airlines are still wondering or even worse are still doubting that Social Media can drive them Euros in their accounts. In resort areas, and especially in the Mediterranean, things are even “harder” since the big tour operators are dominating the market and the average airline manager is Social Media illiterate and this because of working habits and lack of training. Cyprus Airways, Olympic Air, Egypt Air etc are companies with long tradition in bureaucracy and difficulty in change of Business Culture. Maybe the exception is Turkish Airlines who has lately been very Social Media oriented and I am sure their seeing the benefit.

If Dell can makes $6.5 million from Twitter, why can’t airlines and hotels? The 5 tips given from Mashable are very helpful. Here I twisted them a bit and added ideas for resort hotels and local airlines.

1. Clear Distressed and Early Booking Inventory of rooms and seats on Twitter

Like Mashable points out, running an airline or hotel is much like running a cinema, with more operational complexity though. It costs about the same to operate the plane or the hotel no matter how many seats or rooms are filled up. Any unsold seats or rooms at the last minute are called “distressed inventory.” Combine the last-minute nature of such seat/room availability with the real-time features of tools like Twitter and you create the opportunity for airlines and hotels to generate cold, hard cash. Any seat sold there before departure is less money lost.

Resort hotels and Airlines should be able to create a new tariff category. Twitter tariff that would be valid only for twitter followers and it should have an expiring hour. This will avoid conflicts with travel agents and tour operators. Of course, you have to set clear expectations with your followers that the account will only be sending out deals, and is not a customer service vehicle.

Ultimately, using real-time platforms like Twitter helps the airline circulate cheap very last minute or early booking fares and get people to fly more often, or even for the first time. Hotels could similarly post unfilled room inventory on Twitter. Those rooms they are trapped after the cut off dates of the Tour Operators. Ultimately this could fill up the planes and hotels and drives more revenue. Especially in the two edges of the steam, Early booking and Last minute.

2. Integrate Social Media Into the Booking Engine


Hotels should use social Media driven booking engines such as Sybelio version 5.0. This platform creates unique URLs for special offers in 14 Languages and is capable to post them on the most popular Social Media Platforms such as Twitter and Facebook (fun page and profile). Highly recommendable to test drive the tool, you will love it.

Airlines should be able to connect with Social Media seamless and the sign up forms could be the start point. Instead of the check box, “Would you like to receive emails about our offers” they could have “ would like to share with us your travel experience on social Media?”.

3. Integrate with Social Media Travel Applications with the frequent flier and loyalty programmes.

For example, an airline could integrate TripIt data with their frequent flier database to create a list of their loyal customers and the destinations those customers are planning to visit. The airline could then reach out to them with a custom-tailored travel deal.

A hotel could do something similar, taking into account the location the traveller, and in case the company does not have a hotel in the area suggest a third party one. This will increase trust, loyalty and industry solidarity.

4. Create Private Online Communities


This a great tip for independent hotels that have from season to season repeaters. Small and medium size stand alone hotels could forget the complex loyalty schemes. A small, simple and user friendly online community, will do a great job. Ning is a good start, and it has all the above characteristics. It can be as private as you like and it has the capacity to create groups. People would feel special and defiantly it will increase return business.

5. Remember: Social Media is About Relationships

It’s important to remember that social media is always about relationships first.
A good example of relationship building is Lufthansa’s MySkyStatus, which allows you to share your location with your Facebook and Twitter friends during the flight. Right now, it’s not generating any revenue for Lufthansa, but if they integrate a field to input a passenger’s frequent flyer number, they might be able to mine the data for some unique insights. However, right now, they are concentrating on building a relationship with passengers through social media, not hammering them with ads.

It is important to always set the right expectations with your fans or followers on what you’re going to be doing. If you’re only selling seats or rooms, let them know. If you are providing customer service, let them know that, too.

In the hotel industry we know very well how painful is to loose a relationship and hard it is to create one. So do NOT confuse advertising with Social Media. People will walk away if you bang them every day with sales and offers. So treat your customer online as if he was standing in front of your front-office or even better as if he was having a coffee in your lobby.

Here I would like to thank again  Shashank Nigam for his post.