The New Age of Online Hotel Reservations

The Power of Online Bookings, Mobile-Friendly Web sites and a Unique User Experience

There’s no question that the Internet has taken center stage as the hotel reservation method of choice worldwide.

As price sensitive vacationers turn to third party reservation systems for the best deal and last minute travelers turn to their mobile phones for on-the-spot hotel bookings, the use of travel agents and dial-in phone reservations continues to rapidly decline.

In an increasingly digital world, it is now second nature for most travelers to start their search for a hotel destination from their PC or mobile device.

The Internet has made it quick and easy for travelers to research properties, read reviews, compare rates and find availability, all from the comfort of their home – or from anywhere for that matter, from their mobile phone, tablet or laptop computer.

More than ever before, independent hotels and chains need to stand out online by customizing their own proprietary channel to attract and maintain loyal guests.

To gain a consistent stream of online room reservations, hotels must offer a web site that focuses on their property’s unique brand, while offering customers the ability to see rate types, room availability and purchase a la carte add-ons or pre-built packages.

These eye-catching, custom sites are vital for independent properties that lack the branding power of large chains. They ultimately result in direct bookings, eliminating 3rd-party fees and thus, increasing revenue.

When looking to develop a unique online experience with the creation of a custom booking engine, hotels should also look past the reservation itself and think about other online functionality, such as e-mail and CRM. A booking engine that can communicate with guests through pre and post-stay e-mail messaging or reservation confirmations is of added benefit to both hotels and their guests.

Internet technology news giant Mashable predicts that 98.3 million travel bookings will be made on the Internet this year.

When looking at the top 30 brands, online hotel bookings accounted for 57 percent of all reservations made in late 2010. That is an increase of 19 percent since 2006 according to an eTRACK report and speaks to the urgency for hotels to get in the game with a custom site that caters to online room reservations.

As online travel reservations have reached their highest peak, smartphones have enabled a new form of Internet-based room booking to step into the spotlight, adding to the complexity of developing a successful Internet marketing strategy.

The use of smartphones for online searches and travel planning is growing at a staggering rate.

A recent study by comScore found that over 50 percent of smartphone users (those with a iPhone, Android, Windows or Blackberry device) had accessed travel-related sites from their phones. Additionally, one in five smartphone users had actually used their device to make a hotel booking or airline reservation.

In 2010, Priceline conducted research that showed 82 percent of those who booked rooms through the Negotiator app on their mobile phone made reservations within one day of arrival and 35 percent were already within a mile of the property booked.

Priceline’s statistics support the theory that mobile bookings and real-time availability should be an increasing focus for hotel marketers.

More recent numbers released by Orbitz this May revealed that smartphone room bookings have continued to increase in popularity.

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