Best Western Annual Conference 2011

Brands, Brands, Brands.

It’s getting harder to stand out

“Companies deploying successful brand & service

strategies have enjoyed significant increases in loyalty,

sales and margin”Downton, Rustima & Van Veen

A constant: The power of strong brands and great service

“Companies deploying successful brand & service

strategies have enjoyed significant increases in

loyalty, sales and margin”Downton, Rustima & Van Veen

Power lies in their unique capability to...

Differentiate

Connect

Create value

The ability to stimulate choice

Strong brand

Choice

DemandRev PAR

ROCE

£

?

Taking commodities

Commodity ? ?? ?

£1.80 £1.50£2.00£2.00

Adding product features & personality

Commodity

Features & personality

Two in One Honest valueUltra modern Family values

? ?? ?

£1.80 £1.50£2.00£2.00

Creating brands that are Different in a way that’s Relevant

Commodity

Features & personality

Brands

Two in One Honest valueUltra modern Family values

? ?? ?

£1.80 £1.50£2.00£2.00

Creating PREFERENCE and influencing CHOICE

Consumable

Service

Fashion

But difference and relevance don’t get the job done

Choice and Trust

Different Relevant ?

There’s a third ingredient VITAL to building TRUST

Choice and Trust

Different Relevant Dependable

Critically important

68% of customers who were dissatisfied

Because of failure to deliver... ..the brand promise

Do you wanna tell ‘im?

“Waddya mean you don’t do

Grandeskinny ChocaMoccaLocca

Frappacappuchinno in this branch?”

Failing to deliver can be costly

Does this apply to hotels?

The influence of hotel branding (bdrc)

72 7073

78

% great deal/fair amount of influence

EuropeUK Middle East Asia Pacific

The price of breaking a promise: it’s immediate and it’s public

RoomLocations

Consistency

Comfort/Clean

WiFi

Loyalty scheme

Must have’s

BASELINE

Experience

Welcoming

Dependable

Stylish

DIFFERENTIATORS DIFFERENTIATORs

Features

Entertainment

Staff service

Hassle free

Hotel customer expectations are changing too

(bdrc / Cambridge / Kae)

Personalised

But there’s a recurring theme : Henley Management College

Helpfulness Value for time

Recognition Problem solving

Personalisation Competence

Promise fulfilment

Two vital components: evolving to stay relevant and competitive

Promise Experience

Create expectation

Bring it to life

Evolving to stay relevant and competitive

Promise Experience

?

Competitor propositions

Stay yourself Sleep tight

Hotels with personality

Everything’s premier but the price

Creating the Best Western experience

Promise Experience

•People•Products •Services

What’s different?What’s better?What can I count on?

Case study: starting point

Positive

• International

• Individual

• Stature

Negative

• Not innovating

• Inconsistent

• Aging profile

Case study: commercial priority

• Lift quality & build consistency in the core customer experience

• Exploit this commercially by promoting the strength of the core experience

Case study: Identify the ‘make or break’ experiences

Enquiry & reservation

Arrival

Room Leisure

stays &

children

Business

services

Meetings

Connectivit

y

Food &

Drink

Fitness

HHonors

Departure

Post stay

Customer journey mapping

People

Products

Case study: Innovation Hubs

Core Promise

Develop the products &

services driving

customer choice

Hotel teams

Brand

Suppliers

Experts

Customers

Case study: Leisure

Core features

• Packaging

• Kids’ dining

• Kids pack

• Late check out

Enhancers

• Pricing

• Kids menu

• Local attractions

• Welcome

Case study: Executive Floor

Core features• Packaging

• Bedroom

• Water

• Robe / slippers

• Lounge

• Food concept

• Services

• Opening hours

Enhancers• Pricing

• Bedroom

• Design

• Additional items

• Lounge

• Menu detail

• Design

• Service style

Case study: Meetings

Core features

• Packaging

• FF&E

• Support services

• Menu concept

Enhancers

• Pricing

• Menu detail

• Support services delivery

• Non-HM Rooms

Case study: benefits

Buying power

Case study: benefits

Buying power

Promotional impact

Case study: benefits

Buying power

Promotional impact

Staff engagement

Product: development & packaging = revenue impact

Meetings x-sell £ Upgrade sales £

Leisure sales £

Contracting £ Loyalty £

Buying power £

People: engagement & skills = revenue impact

ChangeManagementProgramme

4.Training

5.Recognition

3.Engagement

6.Communication

Hilton Moments

Conversion/upsell £

Room service £

Wine sales £ Staff satisfaction £

2.Recruitment1.Brand vision

Quality training

Lounge sales £

The world is changing. Standing still isn’t a sustainable option.

“There’s just no future in saying it can’t be done.

The future goes to those who make it happen”

BJ Hintz

Divisional President, Procter & Gamble

Questions?