CRM in Travel USA 2008 SpecialTravel service providers are increasingly seeking ways to influence people while they are in the research phase on the Internet. Also, they are working on ways to reinforce brand messages during the post booking communication that is increasingly taking place on the Internet.

Published: 12 Feb 2008

CRM in Travel USA 2008 Special
Travel service providers are increasingly seeking ways to influence people while they are in the research phase on the Internet. Also, they are working on ways to reinforce brand messages during the post booking communication that is increasingly taking place on the Internet.

There are host of travel content and Travel 2.0 sites, which are, too, trying to differentiate their offerings.

One of the new age sites is TripHub, which enables creation of a central "hub" for all trip information and discussions and invites people to join your trip and track who is coming apart from host of other features.

In an interview with EyeforTravel.com's Ritesh Gupta, TripHub's VP Marketing John Pope spoke about building trust with consumers, CRM and other issues. Excerpts:

Firstly, talking of CRM or loyalty, I would like to ask you who owns the customer in this new online environment? The online intermediary, which made the booking, or the hotel where the guest stayed or the airline that provided the service or even the CGC/ Review site, where consumer got influenced?

If we think we own our customers, we're wrong. We are given a chance to build a trusted relationship with customers when they are interacting with us but that does not equate to ownership. Customers will choose who they deal with and will take their business wherever they find value at any given time. They cannot be "owned". Having said that, they can be biased and prefer to deal with entities that have served them well. So, that is what we must do.

One of the web 2.0 travel sites stated that the majority of the more than half a million people that come to the site each month to plan a trip are 40+ year old family's with a household income of more than $100,000. The Internet is no longer for young males and early adopters. What kind of implication do you think it has on travel companies CRM initiatives? How can they capitalize on the trend of broader demographic adoption?

The Internet has increasingly been used by all age ranges for several years now. CRM initiatives should factor in age segmentation which makes life a little more complex for travel marketers. Not all ages use the Internet/technology/e-mail in the same way. So deploying CRM initiatives that are most relevant for various customer segments adds complexity. It is not a one size fits all proposition.

Research has shown that consumers trust other travelers opinions more than television, magazine, newspaper and radio marketing. In this context, should monitoring sites with reviews be included in CRM?

Absolutely! Users scan trusted sources for information. As social networking sites aggregate and rank trusted reviews from other travelers, and as the semantic Web becomes a reality, travel providers should participate in the conversation and use the medium to address issues head on and to serve the needs of customers. Customers begin planning many months ahead and by engaging with them when they are researching the best options, travel providers expand their opportunities to develop a trusted relationship.

People are taking more control of their travel planning online and any trip planning tool must provide the flexibility for people to do what they want. So what impact Web 2.0 can have on CRM process?

Again I believe this comes down to trust and confidence. By providing flexibility and allowing customers to do what they want - particularly if it can be done in a travel providers branded context, stronger customer relationships can be formed. The beauty of Web 2.0 is the inherent flexibility in creating solutions that meet customer needs. Planning and development cycles are shorter and customer feedback is real time. This allows nimble companies to move more quickly and make whatever adjustments are necessary to delight customers.

Do you think be it supplies or OTAs, there would be a concerted effort to increase personalisation on travel websites to increase loyalty from consumers?

Yes. Personalisation drives relevance and relevance drives brand affinity.

Last year, Starwood Hotels & Resorts had introduced the redesigned version of its website for members of Starwood Preferred Guest hotel loyalty programme, SPG.com. It offers greater access to the tools and features consumers want. How do you assess such initiatives from suppliers to serve their loyal customers?

I think when done well, it sends a very powerful message. You are special. We care about you. This is just for you. Ultimately the most accurate measurement comes from direct customer feedback and actual use.

How can hoteliers and CGC/ Review sites establish mutually beneficial interactive relationships with their customers in order to increase repeat business, boost revenues, and retain loyalty?

Hoteliers should show CGC reviews on their sites. CGC review sites should provide great tools for hoteliers to promote their properties, address issues, and engage with reviewers and readers.