The recession is not quite over. But after almost two years of a downward spiral, PKF Hospitality Research (PKF-HR) recently forecast that the decline in U.S. hotel demand will be over in the second quarter of 2010. Whether that happens in the next few months is yet to be seen, but a long road to recovery is imminent.
There’s one channel, however, that seems undaunted and is growing at a rapid pace again – online marketing. Although PKF-HR’s research shows that RevPAR will drop another 1.1% in 2010, and occupancy will basically remain even, they’re also optimistic that online marketing will continue to grow. Their research shows Internet bookings for the top 30 hotel brands grew by 6.6% in 2009’s third quarter, compared to 2008. With constantly evolving search marketing, increased social media popularity and the advent of mobile marketing, sound strategies will keep direct online bookings on the rise.
Vizergy has also seen signs that point to online revenue growth and economic recovery. Vizergy clients have seen a staggering 49% increase in Website traffic in the first quarter of 2010, compared to the same period in 2009. This significant boost in visibility is seen particularly by the clients fully embracing the online channel, using a full suite of Website marketing services, including search engine optimization, pay-per-click advertising and social media.
“Clients that are most engaged online are seeing the best results,” according to Vizergy President & CEO Joe Hyman. “Those properties that take full advantage of their direct Website, have regular strategic planning sessions and execute their strategies are seeing the most rapidly improving stats.”
Another positive indicator that the travel market is gaining momentum comes from Smith Travel Research. Orlando, one of the most competitive hotel markets in the U.S., saw occupancy rise from 66.8% March 7-13 of last year, to 71.2% the same time this year. RevPAR also increased almost 2%.
Lastly, some more encouraging news came from TripAdvisor’s recent annual family travel survey, which found that 92% of families plan to take at least one vacation this year, up from 88% in 2009, with 33% planning to take both domestic and international trips, up from 28%.
