Monetizing Wi-Fi Services for Hospitality

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1 1 Monetizing Wi-Fi Services for Hospitality How to turn Wi-Fi Internet connectivity into a powerful marketing channel, creating real value for business owners 2018 Cambium Networks EMEA Partner Event Luca Fronzoni

2 2 Welcome! Today s Agenda How the HSIA market in the hospitality industry evolved over the years How monetization has become a «mandatory opportunity» for hotels and public spaces in general Real Wi-Fi access monetization examples How integrators, VARs and WISPs can profit from new opportunities in the market

3 Short (sad) story about Hotel WiFi business models 3 Can Free WiFi be the only sustainable model? Near Past Self-managed paid WiFi Wi-Fi managed by property and paid service Future? WIFI HAS BECOME AN ESSENTIAL FACILITY How to keep up with guests needs without losing? Past Providers External companies providing service and fixing prices Present Free Wi-Fi Free service for everybody. No limits. Hwo long can il last?

4 Hospitality Wi-Fi in Balancing guest demand with raising costs Network: state of the art controlled accesspoints Wi-Fi That Works = COSTS Connectivity: 100Mbs+ fiber/dedicated PtP hibandwidth links Service management: platforms managing authentication, bandwidth, security, privacy Wi-Fi Generating Strategies are needed to recoup costs Value = ROI

5 5 Hotels and public spaces are seeking ideas for Fulfilling their guests expectations Enhancing their stay and improve online reputation Being able to stay up to date with the tech evolution

6 finding them is easy 6 Wi-Fi has unique key values: The first service guests ask for upon arrival The most important data collection tool within the property The only system knowing if a guest is in the property, in real-time The most direct communication channel in a hotel or public space

7 Wi-Fi Hotel and WiFinity Wi-Fi for public spaces has never been so advanced 7 Wi-Fi Hotel and WiFinity are advanced Internet access management and marketing automation platforms for the hospitality industry and public spaces in general. More than 3000 businesses across Italy and Europe run their Wi-Fi using Wi-Fi Hotel and WiFinity Our mission: provide guests and clients of any business open to the public the best Wi-Fi access that they have ever used while on the move, allowing business owners to generate positive returns on investments, thanks to the smart monetization options supported by the platforms, turning their WiFi into an innovative marketing, communication and reputation tool

8 8 Our Platforms Wi-Fi Hotel: Hotels B&Bs Campgrounds RV Parks Condos WiFinity: Retail Restaurants/Bars Shopping malls Stations/Airports Metro areas

9 9 Wi-Fi Hotel and WiFinity features allow to: offer guests an fast and reliable Wi-Fi service, controlling it in any possible way interact with guests, enriching their experience during their stay create additional revenue opportunities improve ratings on travel portals... Returning on investments

10 10 Examples of strategies for enhancing the guest experience and monetizing Wi-Fi

11 11 Monetization examples in the hospitality industry Example property: Type: business Rooms: 80 Occupancy rate: 60% Additional services: restaurant

12 12 Presenting and promoting services offered by the property s automatically sent to those inside the property every day from 4pm to 8pm advertising the restaurant (engagement feature) (40% open rate and 5% optin/reservation) = +28 reserved tables/month

13 13 Evaluating guest satisfaction during stay Auto triggered one-to-one messages sent after some hours after checking in asking if everything is fine (quick review feature) 20% replies and 5% issues (that can be solved during guest stay) = 14 potential negative reviews prevented (maybe positive stimulated) and as many satisfied guests

14 14 Review invites Post check-out review invites sento to those who replied «alright» to quick review (engagement review booster) 10% replies from quick review responders = 28 reviews/month (generally 40% higher than organic)

15 15 Questionnaires and surveys Custom surveys sent to all guests after check-out, plus review invites on portals for those leaving higher grades (survey feature). 10% survey replies and 20% leaving a review = +29 review/month (generally rating 40% rating than organic)

16 16 Direct monetization and complimentary premium accesses Different access plans for different needs: unlimited free Internet with bandwidth/apps limits + premium access with no 5 /day 5% premium plan purchases = 360 Euro/month 8 complimentary premium plan accesses given/day = 240 WOW effects/month

17 17 Monthly Recap 28 additional reserved tables at the restaurant, using time-based engagement 14,4 possible negative reviews prevented and problems solved using quick reviews 28 reviews (statistically positive) using the post-stay quick-reviews based invites 29 reviews (statistically positive) using surveys and questionnaires 360 Euro of premium accounts sold 240 wow effects thanks to gifting VIP guests with premium accounts This is completely automated! How much is this worth for a business in the hospitality industry? (And how much can it facilitate additional investments?)

18 18 Strategies in the restaurant and retail industries Example property: Type: restaurant Seats: 100 Opening days: 30/month Wi-Fi Signup: 20%

19 19 Most of the strategies used in hotels can be applied to restaurants and retail too. Post visit surveys followed by a review request on Tripadvisor / Google / Facebook Welcome messages for advertising specials, discounts, coupons, Up/cross selling messages Loyalty rewarding campaigns and

20 20 Come back campaigns sequences with coupons/discounts sent to customers not coming back within 30 days from their previous visit (engagement feature). 2% redemption = 24 additional reservations/month

21 21 Restaurants, chains and franchises can easily create and monetize their Wi-Fi service and profit from it Advantages both from a technical and a marketing/sales standpoint: Federated networks with centralized control Easy deployment: no on-site install needed Longer stay of customers during off-peak hours using hourly specials Customer base creation/crm: tens of new daily sign ups on average Wow effect by rewarding loyal users returning multiple times Increase in web reputation and better service using surveys Tens of new «coming back» visits/month using reengagement

22 22 Cambium Networks Wi-Fi: perfect fit! cnmaestro: ideal architecture for both single locations and federated networks Single cell hotspot networks can be deployed with no additional hardware in each location Native integration with Wi-Fi Hotel and WiFinity Ease of management and support Perfect market positioning

23 23 Great opportunities for distributors, WISPs, integrators, VARs Ability to sell more high performance connectivity Chance to renew obsolete infrastructures New value proposal to get in touch with new clients Update of older proprietary limited hotspot platforms Offering a solution that creates real value for clients means having higher spending clients Great value addition to existing solution portfolios (white label) Opportunity to sell the solution for complying with GDPR

24 24 Thanks!