Weitere ähnliche Inhalte Ähnlich wie Gaining Greater Share of the Wallet with Millennial Travelers (20) Kürzlich hochgeladen (20) Gaining Greater Share of the Wallet with Millennial Travelers1. Gaining greater
share of wallet with
Millennial travelers.
Insights into the expectations and preferences
of Millennial travelers.
2. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 2
Who we are.
• Fully integrated brand development
and marketing agency
• Founded in 1985
• Work with B2B and B2C clients across
multiple industries, specifically hospitality,
insurance, healthcare and industrial
• Travel & Hospitality experience includes:
• Over 100 full-service hotels and resorts
• Dining cruises
• Restaurants
• Luxury rail service
3. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 3
Millennials are:
The biggest demographic – outpacing their
Boomer generation parents. They are frequent
travelers – valuing new experiences in both
business and leisure contexts. They demand
attention – leaving the travel, tourism and
hospitality industries scrambling to serve them.
4. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 4
Working with the hospitality industry led
us to appreciate the critical importance
of understanding this quickly growing
market. We wanted to know more about
how Millennials make decisions and their
expectations and preferences in regards
to travel, in order to help businesses better
differentiate, attract and serve this audience.
Our experience.
5. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 5
• 25-question survey conducted in Q4 2014
• Respondents born between 1982 and 1992
• Qualified respondents took or planned to take
a minimum of two leisure trips in 2014 (not
including visiting family)
What we did.
6. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 6
445 completed responses
Who we heard from.
Female
Male
32%
68%
Single
Married or
in Relationship
43%
57%
13%
48%
27%
12%
Post-graduate degree
Some high school/GED
Some college/no degree
Bachelor's degree
9. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 9
Millennials are frequent travelers.
Millennials as travelers
Travel is dominated by
family visits, but also
includes leisure and
business trips
Business travelers
frequently extend trips to
include leisure travel
(How many trips have you taken or are you planning to take in 2014? Indicate the purpose of those trips.)
Leisure/pleasure Visiting family Business only Leisure travel extended
on a business trip
89.33% 83.01% 41.1% 31.63%
10. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 10
Travel is a clear priority
in the lives of Millennials.
Millennials as travelers
(Please indicate your agreement with each statement as it describes you as a traveler.)
Being able to travel is an
important part of who I am
I place a high priority on travel in my life
Spending money on travel generally comes
before spending on any other category for me
1
Disagree Agree
2 3 4 5 6 7
5.47
5.09
4.41
11. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 11
When traveling, comfort and new
experiences motivate Millennials.
Millennials as travelers
I place a high value on being comfortable
Regardless of who I am traveling with,
I look for some time to be alone –
even for just a few minutes
I like to be immersed in the local culture
I like to be pampered
When I travel, I’ll skimp on housing costs to be able to
spend on experiences and attractions
One of the best parts of a leisure travel
experience is meeting new people
1
Disagree Agree
2 3 4 5 6 7
5.71
5.24
5.24
5.22
4.83
4.69
(Please indicate your agreement with each statement as it describes you as a traveler.)
12. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 12
Balance of planning and spontaneity
is important.
Millennials as travelers
I enjoy trying new things having new experiences
I prefer to be spontaneous when on vacation
All expenditures for my trip are budgeted
before I leave home
I get into “vacation mode” where money is no object
I consider myself to be a risk taker
I like going to the same destination year after year
1
Disagree Agree
2 3 4 5 6 7
5.01
4.89
4.50
4.45
5.71
4.32
(Please indicate your agreement with each statement as it describes you as a traveler.)
14. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 14
Costs and local attractions lead criteria
when determining a travel destination.
(How important are each of the following in making a decision about the destination of travel?)
In addition, open-ended comments remind us that food and restaurants were very or extremely important to several respondents.
Cost
Lots of local
attractions
Opportunity
to engage in a
specific activity
such as skiing
or golf
Culture
different than
where I live
Weather
Location of an
event such as a
business meeting,
wedding or other
occasion
81% 77% 75% 74% 70% 66%
Decision making
15. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 15
Nearly 1/3 of respondents
still use travel agents.
32.6% of respondents
agreed that they would
use travel agents.
32.6%
Decision making
16. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 16
Millennials do online research
as part of the planning process.
Decision making
100
90
80
70
60
50
40
30
20
10
0
TripAdvisor
or similar sites
(please name the site)
Local websites
such as those for
hotels/resorts
Percentage
Visitor bureaus Travel agents
(Which of the following resources are you likely to consult when planning your travel? Check all that apply.)
17. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 17
Millennials place significant value
on online reviews.
Decision making
50
40
30
20
10
0
Not at all
important
Very
unimportant
Very
important
Extremely
important
Somewhat
unimportant
Neither
important nor
unimportant
Somewhat
important
Percentage
18. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 18
Millennials are likely to change plans
based on what they read on review sites.
Decision making
100
90
80
70
60
50
40
30
20
10
0
Ignore the review
and go with my
original plan
Change plans
somewhat based
on the review
Percentage
Change my plans
completely and
look for new
options
Follow what others
are saying and make
plans according to
reviews
Does
not apply
19. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 19
Many post their own reviews
on social media.
Decision making
Whenever I travel
Often
Several times
Once
Never
(How often have you created an online review?)
42.66%
8.35%
4.29%
25.51%
19.19%
21. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 21
Hotels still lead choice
of accommodations.
Accommodations
(Stayed at least once in 2014)
Hotel
Private
residence
Resort AirBNB Hostel
90% 74% 53% 32% 15.5%
22. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 22
50
45
40
35
30
25
20
15
10
5
0
Numberofvotes
Among those who stayed at an AirBNB,
satisfaction was high.
Very
dissatisfied
Dissatisfied Satisfied Very
satisfied
Somewhat
dissatisfied
Neutral Somewhat
satisfied
Accommodations
23. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 23
100
90
80
70
60
50
40
30
20
10
0
Numberofvotes
Most respondents were likely to consider
AirBNB in the future.
Very
unlikely
Unlikely Likely Very
likely
Somewhat
unlikely
Undecided Somewhat
likely
Accommodations
24. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 24
Accommodations
Rate and location are important when
selecting paid lodging.
(Thinking about your selection of a hotel. How important are each of the following factors when selecting paid lodging?)
Room rate
Location
Free WiFi
Hotel brand
Dining options on site
Opportunity to earn loyalty rewards
1
Not Important Important
2 3 4 5 6 7
5.89
5.82
5.53
4.92
4.76
4.45
25. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 25
Accommodations
Millennials are looking for flexibility and
personal choice in loyalty perks.
(If the following opportunities were available to you through a hotel loyalty program,
how likely would you be to take advantage of them?)
Dining credits at restaurants within the hotel
Dollars to spend at hotel bars
Credit that could be applied toward in-room dining
Credit that could be applied to mini-bar, in-room purchases
Invitations to special events during a hotel stay
Free wireless services
Early check-in privileges
Late check-out privileges
In-room movies
Parking vouchers
100%80%60%40%20%
Very unlikely Unlikely Somewhat unlikely Undecided Somewhat likely Likely Very likely
27. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 27
Millennials travel often and form deep and intractable preferences as
they do. Get Millennials to appreciate your offer and they’ll tell others
and come back to you again and again.
To successfully reach your share of the Millennial traveling pie, invest
in understanding the profile of your specific segment to know who they
are, where they are, and how to reach and keep them.
Key Takeaways
Travel is an integral part of the identity
of Millennials.
28. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 28
Your offering must perform on these basic criteria to earn its way into
the decision set. However, final decisions are made and loyalty is won
on the experience delivered.
To better differentiate your products or services, create and promote
experiences – ideally ones that are authentic to the local culture. Telling
stories about how visitors have engaged with your product or service
can further the sell.
Key Takeaways
Cost, comfort and convenience
are “table stakes.”
29. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 29
While these travelers do a lot of research and take the time to plan their
travel, they also appreciate a certain level of spontaneity.
Give them something unexpected to talk about and keep them coming
back by providing new and unanticipated experiences and services,
such as:
• “Pop-up” events featuring local personalities
• Experiences tied into limited time local events such as festivals
• Local chefs for a cooking demonstration
• Musicians or other artist demonstrations
• Local wine or beer tastings
Key Takeaways
Millennials stay open to new opportunities.
30. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 30
Accommodate this need to be online all the time by ensuring that
wireless access is easily available throughout your venue and ensure
the connection is fast. Free WiFi is also likely to be appreciated, if not
expected.
Connectivity doesn’t end with wireless access. Make charging stations
(conventional outlet and USB) easily available and plentiful. It’s also a
good idea to have extra chargers on hand.
Key Takeaways
Being connected all of the time
is a given for Millennials.
31. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 31
Your online and social presence is likely a Millennial’s first impression of
your brand or offering. Whether thinking about your own website or your
listing in directories, keep information up-to-date, complete, easy to
access and consistent.
Further, ensure your online experience is seamless between devices
(i.e., computer, tablet, phone) and continually monitor that experience
from the perspective of your user. Any changes or updates should
be tested to ensure that information is still easy to access and intuitive
to find.
Key Takeaways
Millennials do their travel research
using a variety of sources.
32. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 32
Your social media presence and review sites speak volumes. It’s not
only what the reviews say but also how you respond to those reviews –
what you post and what you don’t. It is absolutely critical to invest in a
comprehensive social media strategy and follow it. A successful social
strategy will take resources, but may be the most powerful tool for
attracting and engaging with Millennial travelers.
Key Takeaways
Millennials are social beings.
33. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 33
A surprising third of our survey respondents reported using travel agents as part of their
travel research. Continue to include travel agents as part of the hospitality promotion plan.
Key Takeaways
While use of travel agents may be
diminishing, it hasn’t gone away.
34. ©MAGNANI CONTINUUM MARKETING • ALL RIGHTS RESERVED • MAGNANI.COM 34
Our research indicated that Millennials make decisions on cost, location, comfort
and convenience. Likely the same decision making criteria as the generations who
preceded them.
Yet there are notable expectations of this generation of travelers. As Millennials become
a greater presence, these expectations must be met, otherwise they are likely to take
their significant travel dollars elsewhere and tell a lot of people on the way.
Key Takeaways
Conclusion
35. 35
For more information, thoughts
and ideas. Check us out.
Magnani.com/knows/hospitality
Twitter @Magnani_Dot_Com
Facebook facebook.com/MagnaniContinuumMarketing
LinkedIn linkedin.com/company/magnani-continuum-marketing
Blog magnani.com/blog