Brand
We have properties in Amsterdam as well as Copenhagen, Paris and Vienna. Zoku It redefines the business hotel by providing a unique and homelike environment to long-stay guests who usually stay for at least 14 days. Zoku provides a relaxing place to work, live, meet and socialize.
The Challenge
The Zoku Marketing Team recognized three years ago the need for a guest email marketing solution that was more effective to combat the OTAs’ stronghold over travelers. They needed to establish meaningful touchpoints before, during and after guests’ stay in order to drive direct bookings. Their current tool, however, was inadequate, limiting the ability of the small team to scale their marketing efforts, as the portfolio grew to four properties. Automation, segmentation of guests, and reporting on campaigns were all crucial for the transition from ad hoc campaigns to strategic ones. They also had strict brand guidelines and needed a solution to help them execute campaigns efficiently while maintaining brand compliance.
The solution
Three years after the partnership, Zoku is still happy with its decision. The team previously used Revinate. After working with a CRM that did not specialize in hospitality and was not specialized, the team realized how important it is to have a specialist. The PMS is integrated with Revinate MarketingThe team can then target certain guest segments with specific promotional offers, and set up automated campaigns which trigger instantly. Before guests arrive, an upsells campaign or post-check-in emails by room type can be used to inform them of rooftop amenities and local events.
Zoku’s automated campaign for guests has an open rate of 59%. This is in line with regional averages. There are more than six automated campaigns in the group that generate revenue. However, two stand out above all others: pre-arrival emails and “we missed you” emails.
The campaign includes two touchpoints, including a room upgrade, as well as an offer to purchase daily breakfast. This was recommended by Zoku’s Customer Experience Manager at Revinate. It is important for the brand to send the campaign at the right time, as it coincides with the traveler’s journey. Automated “We miss You” campaigns that encourage past guests book directly with hotels are sent out two days following check-out, and then again 365 post-checkout. These types of campaigns have brought in additional direct revenue, which would otherwise have been paid to OTAs. More than 2,500 nights have been filled across all properties. These campaigns have proven to be essential in ensuring that previous guests book directly on their next visit.
The marketing team, consisting of only three people, is a small one, so it is important to be able to easily create and send automated campaigns. The team can quickly customize on-brand templates for each campaign type. This allows them to adhere to custom and unique branding guidelines.
The detailed campaign reports from Revinate Marketing have also helped the Zoku team to understand its campaign results, as well as what drives revenue. Revinate Marketing’s click tracking allows the marketing team see what their guests are interested in and where to focus their efforts.
The group uses Revinate Guest Feedback The solution allows for the management of online reviews within the system and the sending out of in-stay and after-stay surveys that collect feedback from guests. Zoku is proactive in responding to all reviews and follows Revinate’s best practices. It also outperforms the competition when it comes to the number of reviews. This solution arms the Concept & Brand Director with data to inform her strategy for the coming months and years. Guest feedback has helped to shape decisions regarding guest experience and long-stay benefits. Restaurant menu changes have also been influenced by the data collected.
The results
Revinate Marketing’s automated campaign has increased the upsell revenue for the entire group by more than 300%. The hotels can also gain market share by maintaining a level of engagement with guests, even when they are not at the hotel. This leads to direct bookings.
Revinate’s amazing automation features allow us to have a large impact on revenue despite having a small team. – Poly Bhatt, Marketing & Communications Lead
Performance highlights include:
- Revenues from upsells increase by 300% in one year
- Average revenue per one-time campaign: €7,595
- Average revenue per automated campaign: €11,500