The first quarter of 2010 showed the earliest signs of economic recovery since the recession that began in late 2007. As consumers slowly grow more optimistic about their personal finances, the hospitality and tourism industry is in a position to benefit from a renewed enthusiasm to travel. Further, as corporate budgets re-open, business travel, a large source of revenue for many hospitality and tourism providers, is expected to increase.

However, as a new economic landscape unfolds, brands will have to evaluate the new reality and determine what, if anything, has shifted in the consumer mindset when it comes to travel planning priorities, and likely adjust their online strategies accordingly.

Price has always been an important factor in the booking decision, and the recent economic downturn has amplified its significance. Further, the pervasive online world, OTAs and specialized search engines have made it easier for consumers to focus on price and shop for the best deal. In fact, a website’s ability to save the consumer money on room rates performs as one of its weakest elements. Therefore, the continuing challenge for the hospitality and tourism providers is to elevate their brand offering beyond price as a key differentiator and motivator to book.

According to a recent Market Metrix study analyzing why guests chose a particular hotel (January 13, 2010), the “guest experience” (which includes past experience, reputation, recommendations, and online reviews) was considered important in the booking decision by 51% of respondents. With Starting Point (defined as top

of mind brand consideration) ranking last in the Attribute spectrum, an opportunity exists to bolster brand perceptions so that they remain front and center in the visitor’s mind as they look for travel ideas and evaluate their options.

 

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