Monday, September 3, 2007

USA Today: "Travelers arrive at Facebook"



So USA today has a big scoop that people are using Facebook.com to talk about their travels and share where they have been. It talks about the Facebook applications like "Where I've Been", TripAdvisor's "Cities I've Visited", and TravelPod's "Traveler IQ Challenge". It talks about "Where I've Been's" 2.6 million download and rumored $3 million deals. It lists Web 2.0 companies like Sidestep and Couchswap. It quotes John DiScala of Johnnyjet.com. Hey, it even quotes PhoCusWright saying that Facebook.com "is certainly making an impact on travel".

Ok hoteliers, let's go out there and join facebook and get your hotels on "Where I've Been" and "Cities I've Visited". You have to. Everyone is doing it! You are missing the boat!! The OTAs are getting on!!! Your competitors are getting on!!!!

Whoa... hold on here. Take a deep breath... now breath out while chanting "OOommm...". Repeat 5 times and let the sound vibrate throughout your lungs...

OK... So what does this really mean? So I know what Facebook is. I re-registered recently (since I lost/forgot my first registration a year or so ago. This rarely happens to other people. Nah. Just silly ol' me). I started looking around for the three mentioned applications. Well unless you know your way around, you aren't going to find the Applications easily. So those hoteliers registering for Facebook for the first time because of this article, don't give up. You will find it.

Anyhow, these applications - just like a social networking app should - allows you to share where you have been and connect it to your profile and share it with your friends. Travel IQ is a contest which is more about geography than travel, but hey, it's better than working. So you can load up a world map with places you have been and share it with your "network" which might be 2 people or 100 people. They may do up their own "map'o'world according to me" and share it back with you. Maybe you chat with each other and wind up thinking about going to that place or even that hotel that your "friend" recommended - because you want the EXACT experience that he/she had.

So you start looking at hotels. There's TripAdvisor selling Expedia stuff. You check the rates quickly there but it doesn't seem as cheap as your friend had told you. Then you google the hotel and start your search there - just like you do every time you plan your travel. But at least you have good an idea of what you are getting into and where you are going.

However, the fact of the matter is:
1) There are hundreds of thousands, if not millions, of these "networks". Everyone has their own groups and friends.
2) You can not jump into people's maps and promote yourself if you are not a member of that network
3) The above works because these entities develop applications that the members use and promote VIRALLY. Not unlike Widgets.
4) Hey these apps get traffic. "Where I've Been" gets over 90,000 daily users and "Cities I've Visited" gets over 40,000 daily users. But remember, they only see what is in their network; they don't see what everyone puts up.

For a consumer, it's great. If you are an intermediary, it's another R&D project that you need to get into in order to keep that traffic going to your site; because once the person is in your site, you can offer them tons of stuff and lots of choices.

But what's in it for a hotelier? What can you really do? At this point, not much; you can experiment as Ken Burglin of Profitable Hospitality suggests here. If you are Accor or InterCon or Marriott or Starwood, you can spend some money and develop a Facebook application that will let people ... um.. do something interesting or whatever. Maybe use it as an outlet for distressed inventory (instead of going to say lastminute.com or priceline.com). People will swarm looking for deals and the hotel group keeps a bit of margins going direct.

Hmm.. that's a cool thought: Use Web 2.0 to get rid of distressed inventory DIRECT to consumers (You heard it on this blog first!!!). They are the right target: these people are price-sensitive leisure travelers who are always looking for deals. Many access from home since big corps also filter out facebook, youtube, and flickr. (You know.. productivity.)

Anyhoo... for individual hotels and smaller chains, just check Facebook.com out. See what it's all about. Don't worry, there is no rush. Let the big guys make the mistakes; remember that Starwood just pulled out of Second Life (also on Time.com and LA Times ) after putting in a chunk of money. They are going to donate ALOFT's Second Life to some charity or other rather than sending it to a proper after life.


I must admit though that the applications on Facebook are pretty cool and relatively easy to develop. If I was an online marketing person in any FMCG (fast moving consumer goods) line, I would definitely give it a go with my marketing/branding dollars.

But alas, I am in... roi-DRIVEN, kpi-OBSESSED, bottomline-ASSESSED ... hotel eCommerce.

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