Karen Weiner Escalera, a veteran luxury marketing and public relations executive who heads up KWE Group in Coral Gables, recently took a look at the current economic situation and offered her outlook and advice; here’s a summary:
AVOID DISCOUNTING:
• As former Ritz-Carlton executive Joseph Freni, famously said in a previous downturn, “When times are tough, raise your rates.” Instead, highlight ways to save by traveling smart (off- season and midweek for resorts; weekend and holidays for urban hotels).
• A recent survey of millionaires by the authors of the book, “Middle Class Millionaire” revealed that close to 90% of U.S. millionaires with household incomes of $1 million to $10 million say they would increase their spending if offered a special value add.
UP THE SERVICE ANTE:
• Seek to elicit the “wow factor” among consumers. According to an Accenture study, more than half of consumers reported their expectations for better service increased over the past five years. One third said they were higher than a year ago. Guests require their every desire – expressed or unspoken – be met.
• Gather all the information you can about guests’ likes and dislikes and add to the database – down to packets of gum for the gum chewer and up to a crib from Neiman Marcus to the loyal guest/expectant mother. But beware of overly attentive service, which can become obtrusive or overbearing – a “no-no” for younger travelers in particular.
• Luxury travel brands should emulate other luxury brands like Gucci and Louis Vuitton on content-rich information – becoming a coveted online resource about their destination, connecting to their location. That may mean insider tips, the hottest power tables in town, or adding an RSS subscription or posting Trip Advisor reviews about your hotel to your site.
• And speaking of shopping, some luxury hotels are working with top designers to create limited edition collections not available anywhere else. Example: Guests of Mandarin Oriental hotels in London and New York receive a cashmere eye mask designed by Donna Karan, plus a gift certificate redeemable for matching slippers at local Karan boutiques.