MagicStay transact a high % of their on line business through portals which charge a commission of up to 25% of their booking rate. The commission that the group were paying annually was increasing as the booking portals were recognising that the Magicstay brand was increasing and the demand for MagicStay accommodation was growing through both repeat business and word of mouth.
The research and analysis in the sector demonstrated that there were clear methods in which Wirebox could provide a return on investment for the group overall. These were:
A professional website was designed to assist with brand and confidence, utilising a booking engine for ease of booking www.haverstockhotel.co.uk The website was optimised to gain organic traffic or for people that did not necessarily know the business; such as “Boutique Hotel Hampstead” The website was optimised to capture “brand traffic”. People searching who know the business, but are currently booking through portals as opposed to direct, terms such as “Haverstock Hotel”, “Haverstock Hotel London” or “Haverstock Hill Hotel”.
Whilst the initial objectives were met and cost of bookings decreased, it was recognised that the portal websites were “buying” traffic for the website through Pay Per Click (PPC). A Google PPC campaign was created with conversion tracking, initially to recapture the direct bookings. In capturing the brand terms through PPC and utilising the cost per conversion tracking, Wirebox managed to generate bookings at less than £15 each.
Direct bookings are achieved with a mixture of organic and paid for bookings, however the overall cost saving is in excess of £25k per annum.
The WIFI within the hotel allows internet access for guests; it captures user details for future marketing and promotion whilst increasing the authority of the website and volume of traffic.