Advertising in Hotels.

Psl

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If you had the option of advertising in hotels via a dedicated advertising platform, that can be viewed by the hotel guests on either the TV in the hotel room or via the hotels internet portal, what do you think would be a reasonable advertising rate per annum for a single, double page or video advert?
 
Exactly what freelancesam said.

If my business could benefit from advertising within hotels, I'd expect to pay considerably more to advertise in The Portobello in Notting Hill than the budget hotel just off the A38 in Derbyshire.

On top of this, the type of products people who stop in the Portobello are interested in is likely to be significantly different from those who stop in the budget hotel, just off the A38 in Derbyshire.

There are too many variables that mean a generic answer cannot be given to this question, others include;

- How many rooms are within the hotel?
- Percentage of booked rooms per night/week?
- As freelancesam has already suggested, demographics, socio-economic status of people staying there?
- Size/positioning/style (Print/TV) of advert? (Wouldn't want to pay for a TV advert showing in a locked room, I'd want it annoying them at the bar/reception.
- There are many more factors to consider that I haven't covered.
 
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Psl

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It depends on the size and a rough demographic of the people that stay there.

I don't think the size of the hotel guest is relevant!!:p:)

On the in-room TV advertising platform:
The rates will be based on the number of rooms per hotel, with occupancy levels of 73%. So a 150 bed hotel would give you an approx occupancy level of 39,000 guests per annum. You can however choose to advertise in more than one hotel per city/town.

On the hotel internet portal it is slightly different figures as the additional hotel footfall,business people using the foyer for meetings and conferences etc, have to be added into the figures, so add another 20% - 46,000 on a 150 bed hotel.

Demographics are - 80% business traveller, 20% Tourist but these vary due to the location of the hotels,i.e. London V Stratford-upon-Avon.
 
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generation4business

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I'm in agreement with you about hotels not bothering too much with print, it's normally the high end or top social group magazines that they still work with.
Digital is the way forward in my opinion.
In terms of pricing I think all of your contracts should be specific to each hotel in terms of pricing as they all have their own market area that they wish to attract
 
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Psl

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I'm in agreement with you about hotels not bothering too much with print, it's normally the high end or top social group magazines that they still work with.
Digital is the way forward in my opinion.
In terms of pricing I think all of your contracts should be specific to each hotel in terms of pricing as they all have their own market area that they wish to attract

More and more hotels are upgrading their systems to digital and this includes providing guests with a system that enables them to search for businesses and services in the local area that they may want to use.
The two separate advertising platforms enable the hotels to achieve this.

it is all about local businesses and services advertising to hotel guests either via the TV in the room advertising platform or via the advertising platform linked into the hotels internet access portal.
 
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generation4business

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Totally right, the days of being in every publication are going.
I recently won a contract selling ad space on an out of home tv channel, the forward I think.
In my opinion once this has been proposed to business on benefits that come with it as opposed to features of it then this will be the way forward for the majority of businesses
 
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Psl

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Totally right, the days of being in every publication are going.
I recently won a contract selling ad space on an out of home tv channel, the forward I think.
In my opinion once this has been proposed to business on benefits that come with it as opposed to features of it then this will be the way forward for the majority of businesses


What DOOH channel was it?
 
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We checked into a Marriott hotel and when I logged on to the Internet an ad popped up on the computer and I quickly deleted it.

Now I am not unknown to digital signage, either indoor or outdoor but when it intrudes it has crossed the line, similar to bluetooth marketing.
 
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Psl

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We checked into a Marriott hotel and when I logged on to the Internet an ad popped up on the computer and I quickly deleted it.

Now I am not unknown to digital signage, either indoor or outdoor but when it intrudes it has crossed the line, similar to bluetooth marketing.


I too dislike that type of intrusive advertising and at no time will any hotel guests have adverts 'pop-up' with requesting the information.

My ad platforms are directories of local businesses and services that are local to the hotel that guests may want to use whilst staying at the hotel.

Hotel guests will have the choice to access this information either via the hotel TV, using the existing TV remote control to navigate the application and they will no more than '4 clicks' away from the information they wish to see.

When scrolling through the information menus presented to them on the hotel TV the can opt to click the link 'What's on in London' let's say,and this will take them to the advertising platform.
There will be main categories - bars, clubs, restaurants, health & beauty ( hairdressers etc), location attractions etc with more specific sub categories containing adverts about the local businesses and services.i.e a chinese restaurant will have an advert under the Chinese Restaurants subcategory, a comedy club will have an advert under the Comedy Clubs sub category of the main Bars & Club category.

If a hotel guests accesses the directory via the hotels internet portal, by opting to click the link 'What's on in London' let's say, then they get taken to the main categories where they can choose to view the more specific sub categories for the information they want to see.
 
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Psl

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I thought someone may have suggested a price based on the original post:|

If the price was based on the number of rooms per hotel per annum .
i.e. 150 x ad rate, would that appeal to advertisers?

Say £4 per room, per hotel, per annum? - 150 rooms x £4 = £600 per annum for a one page advert, with second page at £3 per annum?

And £8 per annum for a video advert?


Any feedback would be appreciated.:)
 
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generation4business

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I think the best way to approach this would be to, when a hotel signs up to the service would be for them to give you a list of some of their contacts i.e. flower shops for wedding services, taxi company that may be on auto dial and types of services like these who would also sell or do business with consumers. Give them a good "partner" price and then you will get a feel of where the price point should be on this based on feedback and business gained as a result.
From this their local competitors should then feel the need to be included and I think, yes more work but a price bracket for individual services as opposed to the same straight down the line.
 
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Psl

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May 4, 2010
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I think the best way to approach this would be to, when a hotel signs up to the service would be for them to give you a list of some of their contacts i.e. flower shops for wedding services, taxi company that may be on auto dial and types of services like these who would also sell or do business with consumers. Give them a good "partner" price and then you will get a feel of where the price point should be on this based on feedback and business gained as a result.
From this their local competitors should then feel the need to be included and I think, yes more work but a price bracket for individual services as opposed to the same straight down the line.

Good points.The hotels I deal with don't really deal directly with the types of services mentioned, except taxis and the conference and banqueting dep will deal with florists etc for weddings. It is more the concierge that have the contacts and they are easily dealt with and then some hotels do not have any concierge services at all.

I don't want to sound arrogant but becasue there is nothing else like this in the market, at present, and there will be only six advertisers per category, I don't want to give 'partner' prices because quite frankly, if the businessess and services already associated with the hotels want to maintain their relationship with the hotel they will have to pay the 'going rate'. And this strategy is backed up by the hotels as they receive a revenue share, so they want to as much as they can get.

There will be businesses and services that don't currently have 'realationships' with hotels who 'should' jump at the chance of getting in front of hotel guests and generating some business.

This is such a unqiue opportunity I can't compare the price of local advertising, newspapers, radio etc to the in room ad platform.

I need to set a price that is commercially viable for each hotel and at the same time have a price that is flexible for the various regions of the UK.
 
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