New variables in the hotel industry.
Editor’s note: This article comes from WeChat public account “Zinc Finance” (ID: xincaijing) , Author Yang Jie, single editor. Authorized release.
At a time when various industries are being stirred up by the Internet, the hotel industry, which has always been labeled as “traditional”, is also setting off a wave of waves. Unmanned hotels, smart guest housekeepers, robotic hotels … all kinds of new technologies have become one of the weapons for some brands to compete for consumers.
As an important part of clothing, food, housing, and transportation, the hotel industry has also had a time of “rapid progress”, and now at this node, “transformation” and “innovation” have become the key words of the hotel industry.
According to the latest data from STR, in September 2019, China ’s domestic hotel supply increased by 3.2% and demand increased by 2.8%. Demand growth continued to be lower than supply growth. The hotel industry has shifted from a “supply in short supply” to a “supply exceeds demand” “Status closer.
Although it can’t be called “the industry’s cold winter has fallen”, it can still give practitioners some vigilance. While the incremental market is decreasing, the competition in the stock market is still fierce.
Supply and demand changes in the hotel market in mainland China Pictures from the Internet
In this case, the main battleground for hotel brands is shifting from the traditional channel battle to the digital operation era.
The hotel industry has begun to re-examine the value of consumers. Some hotel brands are actively “touching the net” and comprehensively using the Internet platform to test the water.
On the other hand, platforms such as Alipay and WeChat are also opening up their digital capabilities to provide solutions for the transformation of the hotel industry. OTA, hotel group, Internet platform, the integration and game of the three parties are stirring up the arena of the hotel industry.
“From 2017 to 2019, the business of the hotel has changed”
Looking at the changes in the hotel business in 2017⇆2019, which was suddenly swiped before, it can be summarized as “channel sales” ⇆ “digital operation”.
In 2017, travel demand has grown rapidly with economic development, and hotel booking engines have become very urgent. Therefore, everyone is crowded on the OTA channel to “fight”. In one word,Is crazy.
For hotels, the OTA platform does allow a wide range of customer access, and also allows hotels to sit in and wait for customers to come.
Today, hotels are becoming more and more dependent on OTAs, and their own voice is getting weaker. The reason is that, on the one hand, it is the pressure of hotel marketing to obtain customers; on the other hand, the OTA platform has assumed the original operating responsibilities of the hotel industry, and at the same time has taken away the channels of members.
Game between hotel and OTA platform Pictures from the Internet
2019 is a rare moment of silence, returning to calmness. From today’s point of view, the “channel struggle” in the previous period is slowly failing, and the pain points are gradually emerging.
On the one hand, OTAs are increasingly eager for commissions. Generally speaking, the commission ratio of hotels and OTAs is generally 10%, and some hotels have even reached more than 15%.
On the other hand, customer conversion is even more difficult. Customers who come through the OTA channel can leave after their stay, and the hotel cannot have strong relationships with users, nor can it form sustainable user precipitation.
In the interview, Xu Wenlan, Member / General Manager of Digital Marketing Department of BTG Homecoming Group, expressed his views to Zinc Finance. A user provides high-quality services. As a channel for hotels to increase sales, OTA will ultimately fall on the hotel’s own official platform to complete a comprehensive guest experience. “
Hotel brands enter the era of digital in-depth operations. Pictures from the Internet
The turning point of the hotel industry is prominent, and “digital operation” has become the key word at this stage. From the traditional channel dispute, hotel brands have begun to return to the fundamental “digital operation”.
“When the hotel ran into digital”
Looking at the “digital operation” of hotelsIt looks beautiful, but it’s hard to do.
The hotel industry hand in hand with the Internet platform is a relatively convenient choice. Through the Internet platform with huge traffic and the digital self-operation tools it provides, it has established its own digital marketing system. In this regard, WeChat and Alipay provide two different solutions.
Not long ago, WeChat Pay unveiled its “Smart Wine Travel Solution”, covering operations and activities. In terms of hotel smart direct sales, it includes six major tools such as mini-program reservations, WeChat payment points, face payment, and search optimization. In terms of services, WeChat payment also provides face brushing, code scanning, and free deposit.
On the track of the hotel scene, WeChat is still a skilled social fission gameplay, online marketing, social fission incentives, online store retention and other means. Behind it is a consistent “decentralization” mentality, providing tools and solutions for hotel merchants to use tools to independently nugget WeChat traffic.
WeChat “Smart Wine Travel Solution” Picture from the Internet
In contrast, another major giant platform, Alipay, has taken a path of centralization by leveraging its power to open up official traffic positions, such as member channels and credit channels. On the other hand, it provides operating tools to release enough operating space for merchants to combine public and private domains. The cooperation between BTG Home Inns and Alipay comes from this opportunity.
“The cooperation between BTG Home Inn and Alipay is a complementary resource. Hotel groups provide high-quality hotel resources and services, and Alipay provides comprehensive customer service solutions.” Xu Wenlan said.
Taking the most concerned members of the hotel as an example, in addition to offline stores and channels with their own apps, it is not easy for the hotel to precipitate users as members. Alipay’s 800 million membership system is one of its main advantages in leveraging the hotel industry.
The data shows that after the first travel home and Alipay realized member exchange, they have harvested 100,000 new members on the first day, and now they have accumulated nearly one million new members, and nearly 30% of the daily visits from applets come from the member channel.
Brigade Home Inn Alipay Mini Program Pictures from the Internet
“Behind the members are orders, and hotels want to increase the proportion of members’ orders. Interoperability with Alipay members is the general trend.” Hao Jian, director of e-commerce at Shanghai Meihao Hotel Group, said that at present, Meihao has participated in the third phase of Alipay. Member day event, 1.28 million users visited, and over 180,000 new members have been obtained from Alipay.
On the other hand, with the help of digital tools, the hotel’s offline stores also tore off the traditional labels and become “punk”.
For example, open Meihao’s Alipay applet and authorize to obtain the current Alipay level, you can automatically match with Meihao hotel membership and enjoy membership benefits. When making a reservation, you can use the Sesame Credit to live at RMB 0 for reservations; after arriving at the store, you do n’t need to wait in a long line to wait for check-in, you can leave the room card by swiping your ID card directly at the self-service machine; You can leave the machine or the front desk, and the system automatically deducts the corresponding room charge from the credit line.
Meihao Hotel Alipay Mini Program Pictures from the Internet
Relevant data shows that the rate of No show (customers who have n’t checked in after a booking is over) has dropped to 1/10 of the industry. At present, the number of high-star hotels in cooperation with Alipay has exceeded 100.
In addition to the C-side perception above the water surface, the digital capabilities of Internet giants have also penetrated into the B-side operation level below the water surface.
“In the past, OTAs were all funded monthly, and Alipay’s account-sharing function allows real-time flow of funds in various stores to improve fund turnover capabilities. This is the embodiment of Alipay’s differentiated capabilities with OTAs.” Hao Jian Say.
“A richer business imagination”
The business space after the collision between the hotel industry and the Internet giants has a lot of imagination.
In the WeChat ecosystem, the imagination of the hotel industry is to have its own private domain traffic pool. With the help of small programs, public accounts, and corporate WeChat, it can screen WeChat huge traffic layer by layer, so that the traffic does not “flow away” , And finally settle in its own flow pool. In order to establish an exclusive direct sales channel outside the OTA.
The advantage of Alipay lies in its linkage ability with Ali Ecology and its rich cross-border possibilities. When the hotel group launches a small program, it will have the opportunity to connect with the Ali ecosystem.Gaode, Dingding, UC, Word of mouth, Flying Pig and other platforms.
At the same time, in different scenarios, the hotel can also perform differentiated operations for users. For example, using the German map to navigate to the store, the system will automatically identify the user’s identity and push exclusive member discounts. Can recommend food, enjoy member exclusive price and so on.
Alibaba hotel scene solution has rich business imagination
“In the future,” Meihao Hotel “plans to launch applets on multiple ecological platforms in Ali, such as Gaode, Barley, Tmall, etc. Applets serve as a bridge between users and offline, using frequency and average user duration Rising is an inevitable trend, “Hao Jian said.
In the long run, the digital industry is the inevitable trend of upgrading and transforming the hotel industry, and it is also a battle of life and death that has to be fought.
Looking at the “digital operation” of hotelsIt looks beautiful, but it’s hard to do.
The hotel industry hand in hand with the Internet platform is a relatively convenient choice. Through the Internet platform with huge traffic and the digital self-operation tools it provides, it has established its own digital marketing system. In this regard, WeChat and Alipay provide two different solutions.
Not long ago, WeChat Pay unveiled its “Smart Wine Travel Solution”, covering operations and activities. In terms of hotel smart direct sales, it includes six major tools such as mini-program reservations, WeChat payment points, face payment, and search optimization. In terms of services, WeChat payment also provides face brushing, code scanning, and free deposit.
On the track of the hotel scene, WeChat is still a skilled social fission gameplay, online marketing, social fission incentives, online store retention and other means. Behind it is a consistent “decentralization” mentality, providing tools and solutions for hotel merchants to use tools to independently nugget WeChat traffic.
WeChat “Smart Wine Travel Solution” Picture from the Internet
In contrast, another major giant platform, Alipay, has taken a path of centralization by leveraging its power to open up official traffic positions, such as member channels and credit channels. On the other hand, it provides operating tools to release enough operating space for merchants to combine public and private domains. The cooperation between BTG Home Inns and Alipay comes from this opportunity.
“The cooperation between BTG Home Inn and Alipay is a complementary resource. Hotel groups provide high-quality hotel resources and services, and Alipay provides comprehensive customer service solutions.” Xu Wenlan said.
Taking the most concerned members of the hotel as an example, in addition to offline stores and channels with their own apps, it is not easy for the hotel to precipitate users as members. Alipay’s 800 million membership system is one of its main advantages in leveraging the hotel industry.
The data shows that after the first travel home and Alipay realized member exchange, they have harvested 100,000 new members on the first day, and now they have accumulated nearly one million new members, and nearly 30% of the daily visits from applets come from the member channel.
Brigade Home Inn Alipay Mini Program Pictures from the Internet
“Behind the members are orders, and hotels want to increase the proportion of members’ orders. Interoperability with Alipay members is the general trend.” Hao Jian, director of e-commerce at Shanghai Meihao Hotel Group, said that at present, Meihao has participated in the third phase of Alipay. Member day event, 1.28 million users visited, and over 180,000 new members have been obtained from Alipay.
On the other hand, with the help of digital tools, the hotel’s offline stores also tore off the traditional labels and become “punk”.
For example, open Meihao’s Alipay applet and authorize to obtain the current Alipay level, you can automatically match with Meihao hotel membership and enjoy membership benefits. When making a reservation, you can use the Sesame Credit to live at RMB 0 for reservations; after arriving at the store, you do n’t need to wait in a long line to wait for check-in, you can leave the room card by swiping your ID card directly at the self-service machine; You can leave the machine or the front desk, and the system automatically deducts the corresponding room charge from the credit line.
Meihao Hotel Alipay Mini Program Pictures from the Internet
Relevant data shows that the rate of No show (customers who have n’t checked in after a booking is over) has dropped to 1/10 of the industry. At present, the number of high-star hotels in cooperation with Alipay has exceeded 100.
In addition to the C-side perception above the water surface, the digital capabilities of Internet giants have also penetrated into the B-side operation level below the water surface.
“In the past, OTAs were all funded monthly, and Alipay’s account-sharing function allows real-time flow of funds in various stores to improve fund turnover capabilities. This is the embodiment of Alipay’s differentiated capabilities with OTAs.” Hao Jian Say.
“A richer business imagination”
The business space after the collision between the hotel industry and the Internet giants has a lot of imagination.
In the WeChat ecosystem, the imagination of the hotel industry is to have its own private domain traffic pool. With the help of small programs, public accounts, and corporate WeChat, it can screen WeChat huge traffic layer by layer, so that the traffic does not “flow away” , And finally settle in its own flow pool. In order to establish an exclusive direct sales channel outside the OTA.
The advantage of Alipay lies in its linkage ability with Ali Ecology and its rich cross-border possibilities. When the hotel group launches a small program, it will have the opportunity to connect with the Ali ecosystem.Gaode, Dingding, UC, Word of mouth, Flying Pig and other platforms.
At the same time, in different scenarios, the hotel can also perform differentiated operations for users. For example, using the German map to navigate to the store, the system will automatically identify the user’s identity and push exclusive member discounts. Can recommend food, enjoy member exclusive price and so on.
Alibaba hotel scene solution has rich business imagination
“In the future,” Meihao Hotel “plans to launch applets on multiple ecological platforms in Ali, such as Gaode, Barley, Tmall, etc. Applets serve as a bridge between users and offline, using frequency and average user duration Rising is an inevitable trend, “Hao Jian said.
In the long run, the digital industry is the inevitable trend of upgrading and transforming the hotel industry, and it is also a battle of life and death that has to be fought.