Wednesday 7 October 2015

Millennial Brand Loyalty and how to not use Social Media in Hotels

Last week’s Hotel Show in Dubai was again a well-attended event, although the conference was a little underwhelming, or at least the TecSec Summit, the technology focused branch of the conference program was.  Generally I believe that great expos have average conferences and vice versa for the
simple reason that each format attracts different types of attendees, so inevitably the part with lesser emphasis will suffer. This was the case for the TecSec Summit which had a great program but suffered from bad accoustics and a lack of a dedicated conference manager who would keep time and more effectively moderate the audience-speaker interaction.

Millennials in the Middle East are different – buy why?
Nonetheless, there were a number of interesting presentations worth battling the ambient noise for. Millennials featured in more than just one presentation and while the general consensus is that this new dominant demographic is picky and demanding, a presentation from Google pointed out that unlike their peers elsewhere in the world, Millennials in the Middle East are very brand loyal.

Why? According to Google, the Millennials in the ME are not quite as sophisticated when it comes to brands but will catch up soon. 

Really? In a region that has become synonymous with brand shopping and conspicuous consumption and boasts large membership of social networks it seems a little far-fetched to blame a lack of sophistication. It would be welcome to get a greater perspective here, as the results may also provide a better understanding of brand loyalty in this demographic in general. I hope the good folks at Google take up the mantle and dig a little deeper here (the essence of the Google presentation can be found here).

Big Data or Big Brother?
Another big topic was Big Data and how hoteliers can use it to their advantage. It’s a topic close to my heart, as IPTV systems by nature can reveal a lot of information about guests through their in-room entertainment system usage. However, most hotels today tend to just look at general statistics, rather than ‘customising’ a guest’s experience.

Copyright Pauline Siebers
Social media is at another level of course and it is tempting to look at the data available surrounding travelers on the net as this big, easily mined pot of gold, ready to be exploited. But just how dangerous it is to approach this topic without a sound strategy and thorough research was evident in the TecSec panel discussion on this topic.

It’s all fair and well to engage with guests on Twitter and Facebook but what about using guest data from social networks to customise his/her visit? Where to draw the line between usefulness and invasive creepiness? Sadly, the panelists only had shrugs rather than enlightened answers, which is a shame, as this question had come up in other sessions of the conference (it does help to attend some other sessions than just your own to get a feel for what is top of mind).

While some people may find it a ‘wow’ factor when the hotel spots from my various social media sites that I like Hello Kitty and stacks my guest room with references to them, an equal amount may find it very creepy and will feel they have been stalked and run a mile, never to be seen at that hotel ever again. The problem is that you may not glance from my online profiles to which camp I belong.

The rather limp response from the panelists was to adopt a ‘trial and error’ approach, which I doubt any hotelier would risk, less a bad experience not only repels one guest, but also presumably his/her 10,000 twitter followers.

Those advocating these purportedly ‘tailored’ initiatives really want an algorithm that neatly takes care of seeking out the info and delivering the right call to action to the hotel for fulfilment. But, as much as culture, conditioning and commerce have forced us into certain stereotypes that behave more or less predictably, there is a core individualism inherent in us that spoils the party for those who want us all to ‘like’ the same thing. And thank heavens for that, too.

Don’t get me wrong, I think data mining could play a much bigger role, especially when determining which pages/services/offers are more popular than others, what content is looked at how often, to better the experience etc. But hotels understand very well that there is a creepiness factor and are mindful of not straying too far into their guests’ privacy.

Beware the 'Beacon' Effect
For now, and unless there is a more solid, empirical approach to this, I believe the most productive way to mine the social media data is to look out for broad trends, rather than individual targeting. Yes, it means business cannot use all that fabulous data out there but as even Facebook learned with their disastrous ad platform Beacon, which resulted in a class action law suit and was eventually scrapped, we are not quite ready yet to accept being completely manipulated.