So, why the move from Hotel Beds to Full Service OTA? * * as asked by Martin a few weeks back

Transcription

1 Agency Evolution

2 So, why the move from Hotel Beds to Full Service OTA? * * as asked by Martin a few weeks back

3 More than just a Product Question Product Demand UI Competition Marketing Distribution

4 A step back in time Demand Product UI Competition Marketing Distribution Launch of Expedia.com.au in December 2005 With flights, cars and packages added by October 2006 Product question solved within a year of launch Followed by immediate attempt to advertise holiday packages but, it didn t work: 20 packages sold with above coupon

5 Product Evolution in Marketing Demand UI Competition Marketing Distribution Phase 1: Phase 2: 2007 Phase 3: 2008 Phase 4: 2009 Phase 5: Hotel only, then full service launch Start of SEM, SEO Focus on CRM database Start of online brand building Opportunistic brand build: Sydney Swans sponsorship Expanding online campaigns Start of online partner marketing with local affiliates Moving into offline advertising: Price focused hotel ads in print Enhancing CRM beyond a newsletter Brand building through TVC, Cinema, Outdoor, Radio & Print Launch of Facebook, Twitter 2010: Hotel Beds 2011: No Booking Fee 2012: Design & Save SEM, SEO, CRM, OLA, OPM, Brand SEM, SEO, CRM, OLA, OPM, Offline Brand SEM, SEO, CRM, OLA, OPM SEM, SEO, CRM, OLA SEM, SEO

6 EXPEDIA BRAND Hotel Beds No Booking Fee Design & Save Moving from depth (number of hotels), to reliability and value (no fees), to inspiration and value (design & save) is all a part of the Expedia Brand Expression Pyramid

7 EXPEDIA BRAND EXPRESSION PYRAMID BRAND TAGLINE OUR STANCE Supplier-direct sites Other OTAs Being Unknown Being seduced by the lure of travel and reasons to shop or plan on Expedia vs. book DIFFERENTIATING BENEFITS Value Ease Reliability Inspiration REASONS TO BELIEVE No Flight Booking Fees No Expedia Change / Cancel Fees Dynamic packaging Price Promise Search Filter Deal Hunter Last Minute Insider Select Traveller Reviews Seat Guru & Trip Tripadvisor Rating World largest 24x7 call center Travel Guides Insider Select Expedia Holiday AGGREGATE TAKE-AWAY EXPEDIA PROVIDES THE BEST TRAVEL BOOKING EXPERIENCE

8 Product Evolution in Marketing & Distribution Demand UI Competition Marketing Distribution Phase 1: Phase 2: 2007 Phase 3: 2008 Phase 4: 2009 Phase 5: Hotel only, then full service launch Start of SEM, SEO Focus on CRM database Start of online brand building Opportunistic brand build: Sydney Swans sponsorship Expanding online campaigns Start of online partner marketing with local affiliates Moving into offline advertising: Price focused hotel ads in print Enhancing CRM beyond a newsletter Brand building through TVC, Cinema, Outdoor, Radio & Print Launch of Facebook, Twitter 2010: Hotel Beds 2011: No Booking Fee 2012: Design & Save Online, Offline, Branded & unbranded Affiliates, Meta Search, Travel Agents (TAAP) Online, Offline, Branded & unbranded Affiliates, Meta Search SEM, SEO, CRM, OLA, OPM, Brand Online, Offline, Branded & unbranded Affiliates SEM, SEO, CRM, OLA, OPM, Offline Brand Online & Offline (call center) SEM, SEO, CRM, OLA, OPM Pure Online SEM, SEO, CRM, OLA SEM, SEO

9 Expedia.com.au B2C and B2B Expedia Travel Agent Affiliate Program Provides Offline Travel Agencies with access to Expedia s dynamic inventory Travel Agents use the Expedia consumer website (identical product) Marketing Fees are paid for all land, as well as package products Fulfilling an inventory gap which is not serviced by traditional wholesalers Greater variety of rooms, rates and destination TAAP is long tail, over 2,100 different destinations booked through TAAP Australia. Now over 10,000 participating individual travel agents in Australia.

10 Evolution illustrated in one page constantly changes, with shift in online adoption, destinations and products purchased Demand Product from hotel and activities to hotel, activities, car, flights and packages UI constant evolution to meet customer demand: Simplified check-out Inspirational pages Renaming packages new competitors and existing competitors adding mainly more products towards a full service OTA Competition Distribution Marketing from SEM/SEO to full brand advertising from online only to offline 3 rd party distribution

11 THANK YOU