Catégories
Marketing @en

Retargeting: A growing trend in advertising

The US travel industry will spend US$3.35 billion on online advertising this year, a 14% increase over 2012, according to eMarketer. When it comes to optimizing the results of ad campaigns, some methods, like retargeting, generate truly impressive results.

What is ad retargeting?

Ad retargeting, also known as remarketing, is a behavioural segmentation strategy that leverages browsing data. When visitors leave a brand’s Website, a cookie is placed on their browser, which means they will subsequently see banner ads from this same brand when navigating on other sites or search engines (see image below). The business thus boosts its return on investment for advertising by targeting these potential clients, who are more likely to purchase than those who are unfamiliar with the brand.

AL_Reciblage_publicitaire_image1
Source: LaPresse.ca

the placement of the ad is less important than the person targeted.

As Andy Kauffman, Vice President, Global eCommerce Marketing at Marriott, explains, the placement of the ad is less important than the person targeted.

Different types of ads

The three types of banner ads present different content:

  • • The first displays just the brand, with a slogan that is catchy but not personalized. This generic banner reminds consumers of their visit to the site.
  • • The second features the most recent product viewed by the searcher before leaving the site. This type of banner can be used to target visitors who failed to make a transaction or else abandoned their shopping cart before purchasing. Since visitors like these were very advanced in the buying process, it may be easier to convince them to make a purchase. The brand may also offer a discount for the product in question.
  • • Finally, the third type of banner shows products similar to those viewed or purchased. Banners like these are the most relevant and personalized, because their content responds to the interests of the individuals targeted.

Real-time bidding

Real-time bidding (RTB) platforms for the sale and purchase of advertising space make retargeting even more effective. Known as ad exchanges, they operate according to the needs of advertisers and the availability of publishers. According to online marketing firm Mediative, RTB enables buyers to assess the value of an ad impression in real time and determine its current relevance to their campaign. Publishers no longer have to set a price in advance for a predetermined number of impressions, while buyers can purchase advertising when the current bid meets their budget.

Available to a variety of businesses

businesses with relatively modest budgets can give the impression of advertising across the entire Internet

Josiah Mackenzie, Director of Business Development at ReviewPro, notes that the primary advantage of retargeting is that businesses with relatively modest budgets can give the impression of advertising across the entire Internet. While there are specialized firms such as AdRoll, ReTargeter, Mediaforge and Criteo working in the field, businesses can also create their own retargeting campaigns using the Google Display Network to publish ads on affiliated sites or the search engine itself. In addition, this system offers users the option of targeting different customer segments (e.g., customers who have made a purchase in the last 30 to 90 days, customers who have previously taken action on a site, etc.).

In the travel industry, Expedia offers retargeting to its clients (hotels, airlines, etc.) through its marketing service, PassportAds. Banner ads are then displayed on selected sites or on Facebook, and videos can be posted on YouTube as well as major news sites, with the goal of directing consumers to the advertiser’s site.

 AL_Reciblage_publicitaire_image2

Source: advertising.expedia.com

For example, the Las Vegas destination management organization used this tool to boost reservations for its member hotels listed on Expedia. The campaign enabled it to increase its return on investment for advertising expenditures by 120%.

Does retargeting work?

According to John Hach, Vice President, eMarketing Solutions, for TravelClick, retargeting is more effective than traditional advertising. Max Starkov, President and CEO at Hospitality eBusiness Strategies, maintains that Google retargeting campaigns generate more revenues for the hotel industry than the Google Hotel Finder metasearch engine.

Personalized banners are more successful than traditional banner ads. Pascal Gauthier, of Criteo, notes that the average click-through rate of a personalized banner is 0.6%, but that this rate can rise to 2.5% for certain campaigns, in other words, five or six times the rate of a generic retargeting ad.

Hipmunk, a travel metasearch engine, conducted a remarketing campaign with the help of AdRoll. The result was increased conversion rates (when a user visits the site) of 75% in the case of visitors who had previously searched its site, and 50% in the case of those who had seen the banners after having purchased a product via the metasearch engine.

Social networks get involved

Although it is still being tested on Twitter, retargeting has been available on Facebook since 2012. Using real-time bidding, Facebook Exchange (FBX) enables brands to insert their banner ads in the right sidebar of users who have visited their Websites or, since March 2013, in their news feed (see image below). The results have been dramatic: according to a report from AdRoll published in June, retargeting ads displayed in the news feed generate a click-through rate 49 times higher than those displayed in the right sidebar and 21 times higher than retargeting banners displayed outside social networks.

 AL_Reciblage_publicitaire_image3

Source: mdgadvertising.com

Facebook’s mobile application takes things a step further by enabling businesses to retarget users who have already downloaded a brand’s app. A banner ad can be inserted in the news feed with a clickable button (Book Now, Watch Video, etc.) leading to the application (see the example of Hotel Tonight below).

AL_Reciblage_publicitaire_image4

Source: mobilemarketer.com

More and more tourism businesses will likely adopt these ad campaigns, given the excellent return on investment. This communication and loyalty tool is particularly suited for mobile devices, as it can use geolocation to provide even more relevant content. The future looks bright!

Catégories
Management

Using Technology to Measure Tourist Traffic (Records of 2012 Symposium)

Measuring visitor traffic and profiles at tourism destinations was the focus of discussions at the Symposium of the Transat Chair in Tourism of UQAM’s ESG, which took place last September in Montreal. Some destinations give their tourists GPS sensors and mobile applications so that movements, habits, and impressions can be tracked during their stay. Others encourage lodging establishments and tourist attractions to use software that enables front-line staffers to poll travelers, then transmit the information directly to the organization that will process it. Following are the examples of two research organizations – one in Spain, the other in Belgium – which use technology to facilitate data collection, increase its validity, and disseminate the findings quickly.

Sensors to follow tourists’ actions

Analyzing tourist traffic at a destination is a complex yet necessary task if we are to understand the dynamics that inform the traveler’s experience. What attractions and places does he visit; how much time does he devote to each; which routes does he take; at what pace does he travel? Until recently, few tools existed to truly measure this movement, other than statistics on attraction attendance figures, which remain static indicators.

For this reason, the CICtourGUNE research team in Spain’s Basque Country, led by Ms. Aurkene Alzua-Sorzabal, developed the eGIStour system. The system is designed to measure movement while including the tourists’ profiles, habits, and impressions of their experience. In specific terms: designated travelers are given a small device that tracks their movements. They will have previously completed a short Web-based questionnaire about their personal profile, motivations, length of stay, composition of their group, etc. The image below illustrates the movements of visitors equipped with the eGIStour system in the Spanish city of San Sebastian.

Source: CICtourGUNE

Some benefits of this approach:

  • • understanding of the time spent on each tourist activity within a given time frame;
  • • measurement of the range of the destination in terms of real mobility;
  • • identification of most-visited and less-visited places;
  • • analysis of behavioural differences by visitor type.

An application to measure enjoyment of the experience

The traveler equipped with a sensor can also record real-time impressions by using a mobile application. The GPS detects the attraction the participant is visiting and, for example, the visitor might be asked to indicate his degree of appreciation for the site. Once the device is connected to the Internet, that information is sent to the research centre for analysis. The Emotionmeter (see image below) is a variation on this type of application, which can be adapted to suit an organization’s requirements.

Source: CICtourGUNE

This is an entirely new approach to tourism research. As Ms. Alzua-Sorzabal has said, the pairing of science and technology should begin to play a major role in the development of standards.

Connecting the tourism industry to a single platform: the Wallonia example

The Wallonia Tourism Observatory (WTO) recently developed four new data-gathering and dissemination tools. Behind these tools are two software programs designed to collate statistics in real time. The data are analyzed within days of being collected by Observatory experts. Ms. Véronique Cosse, head of the Observatory, presented the salient features of these new information-collection systems.

The Webropol platform is an online survey software program. The WTO uses it primarily to create newsletters that quantify tourism performance during vacations. With Webropol, these post-vacation barometers are enhanced by the following characteristics:

  • • comprises the touristic performance of a large number of businesses – scientific survey sent to some 1,800 operators;
  • • lists several indicators, such as vacancy rate, number and origin of visitors, traffic growth, operator satisfaction with their performance;
  • • enjoys a higher participation level than traditional methods (paper questionnaire);
  • • can be created quickly, since it only takes about two days to process the information and enables the production of automated reports.

The table below shows the type of information contained in the post-vacation barometers. These reports were presented in September 2012 and illustrate the results for August 2012 for the Wallonia region.

August 2012 report

Source: Wallonia Tourism Observatory

The great majority of occupants of Wallonian lodgings were the Flemish, accounting for 39% of total clients. They were followed by the Dutch, who represented 26% of clients. We then note Walloons (15%), residents of Brussels (7%), and the French (6%).

Source: Wallonia Tourism Observatory

62% of clients at attractions were composed of Belgians: 35% Walloons, 22% Flemish, and 5% from Brussels. Nonetheless, the Dutch accounted for 17% of the total visitor number, while the French represented just 11% and the Germans, 2%.

 

The second program, Windbill, is incorporated into the ticket operations of tourist attractions and museums in the region. Eighty businesses are using the system at present. It is designed to allow front-line personnel, when selling a ticket, to record some information about the visitor’s profile, such as place of origin and whether he is a child, adult or senior. The Windbill program automatically creates monthly folders that can be sent to the WTO with one click. The information – simple, and quickly gleaned from the client – not only allows a business to systematically identify the composition of its client base, but gives the region a way to easily and rapidly create a portrait of its tourism traffic. The image below illustrates the Windbill interface.

Source: Observatoire du Tourisme Wallon

A question of collaboration

Whether it be the approach of the Wallonia Tourism Observatory or that of CICtourGUNE, collaboration between tourism businesses is indispensable. In the WTO example, sharing of information is a crucial issue. It requires powers of persuasion and ensuring that the information transmitted is treated confidentially; it must be shown that findings, always published in an aggregated manner, allow each partner and the industry overall to improve competitiveness.

 

Sources:

Presentations made at the Transat Chair in Tourism 2012 Symposium on Measuring the Performance and Economic Contribution of Tourism, Montreal, September 24 and 25, 2012:

• Alzua-Sorzabal, Aurkene. “New Technology and Innovations in the Measurement Tools Used to Evaluate Tourism Performance

• Cosse, Véronique. “Innovation in the Measurement of Tourist Traffic – the Wallonia Example”

 

Websites:

CICtourGUNE

Wallonia Tourism Observatory

Click here to view the conferences:

– 2012 Symposium – Conference of Aurkene Alzua-Sorzabal

– 2012 Symposium –Tourism Indicators: New Approaches, Technical Considerations, Case Studies

Read also:

Lessard, France. «Tourism businesses as key drivers of economic development – A Symposium on measuring the performance nd economic contribution of Toursim – background document», 2012.

Catégories
Ailleurs dans le monde @en Products and activities

What’s new in tourist routes

This article was inspired by Ms. Marie-Pierre Langis, project leader for the Circuit gourmand, la nature aux mille délices, who submitted the topic as part of the contest to select the 1000th TIN analysis. Our thanks to everyone who took part, as well as our partner, Air Transat!

Thematic tourist routes abound in Quebec and around the world; there are routes to discover vineyards, cider, flowers, whales, heritage, history, the farming community, the arts and the St. Lawrence. Visitors can explore them on their own, guided and informed by a GPS, an MP3 player or a smart phone; the number of formats available is on the rise. Technology is enhancing the appeal of this type of tourist product, offering a wealth of possibilities in addition to meeting the needs of autonomous yet demanding tourists who seek experiences related to their personal interests. Welcome to a “tour” of some innovating and inspiring initiatives, as well as some of the factors behind their success. Happy trails!

What exactly is a tourist route?

A tourist route follows an itinerary featuring various sites of interest to tourists. The term “tourist circuit” is most often associated with a loop, while a “route” usually has different starting and ending points. However, these terms are not limited exclusively to these definitions. Routes vary widely in length, content and mode of transport (e.g., on foot, by bike, car or coach). Some are comprised of attractions aimed at the general public, while others group together sites of interest to a niche market.

In urban, near-urban and rural environments, tourist routes and circuits are an ideal vehicle for systematically developing and marketing a carefully planned tourism product. A means for local stakeholders to work together, routes also give regions, which are sometimes off the beaten path, an opportunity to differentiate themselves and attract new visitors. At the same time, travellers enjoy being presented with a number of clearly identified activities along the way that correspond to their interests.

A comprehensive, planned and systematic strategy

Tourism Queensland, in Australia, offers a perfect example of good management practice. This organization developed a strategy to plan the development of tourist routes within its territory and guide tourism-based businesses in the steps to follow. In the case of Queensland, we are talking about self-guided drive routes. The organization has made its guide available online: Developing & Marketing Tourism Drive Routes. Written for all stakeholders involved in planning a tourist route, this document discusses the possible benefits of a tourist route, but also mentions what it cannot do:

  • single-handedly solve all the problems facing a region’s tourism industry
  • provide a substitute for low-quality tourism products
  • easily promote a region
  • be developed quickly and inexpensively

According to Tourism Queensland, the partners involved in a thematic tourist route must make a commitment and, although they can be used to represent a large number of products, a single bad experience can ruin the reputation of all the participants along the route. After explaining how tourist routes work and listing the pitfalls to avoid, the guide provides a flow chart of the entire process, listing all the steps involved and the organizations to consult at each stage. By taking the reins, Tourism Queensland is helping ensure that its tourist routes are developed systematically and are of high quality.

Effective marketing relies on technology

A route’s use of effective marketing technology is increasingly a factor in its success. Well-equipped visitors–and there are more and more of them–want to be self-sufficient and appreciate being given the means to do so. At the very least, a route must have a Website with dynamic mapping and the option of printing the map. Many destinations now provide MP3 audio guides for download. Now, however, mobile technology is becoming indispensable, thanks to the myriad possibilities it offers. Several destinations have developed mobile applications or created Websites that enable users to view the route directly on their smart phone or GPS, locate businesses through augmented reality or even access a wealth of information simply by scanning 2D barcodes (Flashcode).

For more information on these technological tools, please see:

Le Web mobile, choisir sa présence et sa stratégie marketing

GPS et tourisme: Suivez la direction!

La réalité augmentée au service de l’expérience client

La démocratisation des audioguides: l’ère du numérique

Les «mutations génétiques» du code-barres traditionnel ouvrent des horizons au tourisme

Some eloquent examples

The Route des vins de Bordeaux en Graves et Sauternes Website suggests itineraries that encompass a number of wine-themed regional attractions. Simple and easy to use, the site features a dynamic map illustrating the location of the selected itinerary’s attractions, or visitors can use the map to plan their very own route. Local tourism bureaus also rent out multimedia GPS units to visitors, who can then follow a route at their own pace, receive alerts when they get close to a site of interest and view nearby restaurants. They can also create their own route by selecting the types of sites that interest them. A personalized, self-guided tour enabled by technology—now that’s a 21st-century tourism product!

Tourist_routes_Carte1

Tarn Tourisme, another French organization, offers a free iPhone application that presents seven tourist circuits for exploring the region by car. Travellers follow a map identifying the attractions or a list of steps displayed on their cell phone screen and get information from the videos, audio commentary and photos provided by the application. Certain stages of the route feature a family quiz. This is an excellent way to motivate children when sightseeing, for the teams with the best results of the week win prizes! For more details, view the Tarn Tourism video (in French) that introduces the mobile application.

Tarn_circuits_touristiques

Source : Tourisme-tarn.com

Strength in numbers

To improve and better coordinate the promotion of tourism in their regions, five Wallon provinces in Belgium have developed several initiatives, including Tourisme GPS, a collection of more than 170 multimedia GPS tourist circuits downloadable from the Website. Visitors input their preferences, such as mode of transport, geographic area or starting city, use key words or select a route from a list of favourites.

Tourisme_gps

Source: Tourismegps.be

Factors of success

Taken from various studies on the topic (see the sources listed at the end of this article), the prerequisites below are key elements for the development of a successful tourist route or circuit. Stakeholders must have:

  • a well-established high-quality resource to provide a focus or theme
  • familiarity with the target clientele
  • cooperation among the stakeholders involved
  • a clear, shared vision the image to project
  • a sufficient number of businesses and attractions
  • high-quality tourism products
  • a consistent level of quality from one supplier to another
  • quality controls
  • a common time schedule
  • effective signage
  • complementary tourism services and infrastructure (toilet facilities, regional tourist information, accommodations, restaurants, etc.)
  • a dedicated resource to provide a framework for the member businesses
  • a publicist
  • high-quality promotional tools with attractive visuals
  • creative use of technology

The situation in Quebec

Tourisme Québec lists some 46 thematic tourist routes and circuits, while the Association de l’agrotourisme et du tourisme gourmand (formerly the Fédération des Agricotours du Québec) proposes forty or so on its site under the heading “Québec Routes and Circuits for Food Lovers.” There are also a number of local initiatives that enhance what Quebec has to offer tourists.

It would appear that this type of tourist experience is particularly attractive to non-Quebeckers. In fact, visitor statistics from the Bonjour Québec.com site show that markets outside Québec have a greater tendency to opt for this type of product. Approximately one-third of site visitors overall are from outside the province, but this number climbs to nearly 60% when the topic is specifically tourist routes and circuits.

Quebec could actually take some inspiration from the Tourism Queensland initiative. For example, a comprehensive, planned strategy would give businesses wishing to develop a tourist route or circuit a procedure to follow. Such a strategy could also be used to organize a destination’s different themed attractions into separate centres of tourism, leading to more effective marketing on the global marketplace. Technological tools, shared strategies, unique routes—let your imaginations run wild!

Sources:

– Berki, Mónika and Janos Csapó. “Existing and future tourism potential and the geographical basis of thematic routes in south Transdanubia, Hungary,” University of Pécs, Faculty of Sciences, Institute of Geography, Department of Tourism, 2007.

– Lourens, Marlien. “Route tourism: a roadmap for successful destinations and local economic development,” Development Southern Africa, Vol. 24, No. 3, September 2007.

– Rob Tonge & Associates, Queensland Heritage Trails Network, Queensland Government and Tourism Queensland. “Developing & Marketing Tourism Drive Routes”, June 2004.

– Rogerson, Christian. “Tourism Routes as Vehicles for Local Economic Development in South Africa: The Example of the Magaliesberg Meander,” Urban Forum, Vol. 18, No. 2, Springer Science and Business Media B.V., 2007.

– Zins Beauchesne and Associés. Agrotourisme : Diagnostic sectoriel/plan de développement et de commercialisation – Rapport d’analyse de la situation et diagnostic sectoriel, June 2006.

Websites:

Route des vins de Bordeaux en Graves et Sauternes

Terroir et Saveurs.com

Tourisme GPS

Tourisme Tarn