THE MOMENTS OF TRUTH
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- David Hicks
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1 THE MOMENTS OF TRUTH George Corbin S V P, D i g i t a l M a r r i o t t i n t e r n a t i o n a G e o r g e C o r b i n 1 1
2 9 0 Y E A R S O L D T E C H N O L O G Y I S D I S R U P T I N G O U R I N D U S T R Y W E A R E B E I N G I N T E R M E D I A T E D O U R C U S T O M E R I S C H A N G I N G WE ARE AT AN INFLECTION POINT
3 Millions (Age 18 65) Baby Boomers Generation X Generation Y and later THE MILLENIAL WAVE 50% of US work force by BILLION worldwide
4 Millions (Age 18 65) Baby Boomers Generation X Generation Y and later THE MILLENIAL WAVE More purchasing power in the next 10 years than any generation in history 2X more likely to travel vs. Boomers Half of all travel purchases by 2020
5 NEXT GENERATION TRAVELERS 76% of room nights by x the use of technology
6 powering the TRAVEL MOMENTS with DIGITAL
7 powering the TRAVEL MOMENTS with DIGITAL W I N T H E B O O K I N G W I N T H E S TAY CONSIDER & EVALUATE SHOP & BOOK PRE- DEPARTURE GO ARRIVE STAY WORK PLAY RETURN ACQUIRE CONVERT SERVE & DELIGHT
8 HALO MOMENTS
9
10
11
12
13
14
15
16
17 find the MOMENTS that matter most
18 and serve those moments FLAWLESSLY
19 W I N T H E B O O K I N G SEO hotel websites CONSIDER & EVALUATE SHOP & BOOK PRE- DEPARTURE GO ARRIVE STAY WORK PLAY RETURN mobile marriott.com hotel reviews affiliates paid search responsive design sort order retargeting globalization redeem online merchandising spanish site german site targeting MVT chinese app russian site click-to-chat french site tripadvisor instant booking MDS arabic site Dynamic bid management
20 W I N T H E B O O K I N G CONSIDER & EVALUATE SHOP & BOOK PRE- DEPARTURE GO ARRIVE STAY WORK PLAY RETURN DIGITAL PLATFORM GROSS BOOKED REVENUE in billions $13.4B +11% YoY MOBILE APP GROSS BOOKED REVENUE in millions $197M $358M $628M $1B $1.7B +70% YoY
21 W I N T H E B O O K I N G W I N T H E S TAY CONSIDER & EVALUATE SHOP & BOOK PRE- DEPARTURE GO ARRIVE STAY WORK PLAY RETURN ACQUIRE CONVERT SERVE & DELIGHT
22 W I N T H E B O O K I N G life time value of customer W I N T H E S T A Y CONSIDER & EVALUATE SHOP & BOOK PRE- DEPARTURE GO ARRIVE STAY WORK PLAY RETURN ACQUIRE CONVERT SERVE & DELIGHT? the value of WINNING the STAY +35% +52% 1 st stay 2 nd stay 3 rd stay
23 69% Allow me to check-in in advance 72% Upgrade my room before I arrive 73% Where should I go eat? 75% How do I get there? 64% I need to text the hotel; alert me if my room is fixed CONSIDER & EVALUATE SHOP & BOOK PRE- DEPARTURE GO ARRIVE STAY WORK PLAY RETURN 71% I need a ride 70% Alert me when my room is ready 57% I want to pre-order room service 63% Is there a hotel special today? 66% I want more TV options in my room 73% I need to check out on the go Sources: *Marriott IPSOS study 2011 (N = ~1,500 travelers). Scores are top-2 box. Marriott IPSOS study 2013 (N = ~3,000 travelers). Scores are top-2 box. First number is FBTs, second is Gen Y.
24 CONSIDER & EVALUATE SHOP & BOOK PRE- DEPARTURE GO ARRIVE STAY WORK PLAY RETURN
25 And it s working 20,000,000 MOBILE CHECK INs/OUTs AND GROWING 4.5% 16% MOBILE CHECK-IN PACE TRIPLED +2.5 pts GEN Y GUESTS HAVE STRONGER IMPRESSION OF MARRIOTT VS. COMPETITION BASED ON APP EXPERIENCE HIGHER SATISFACTION MOBILE vs. NON-MOBILE ARRIVAL EXPERIENCE
26 find the MOMENTS that matter most
27 and serve those moments FLAWLESSLY
28 easy, right?
29 HOTELS ROOMS COUNTRIES 1/3 MANAGED 2/3 FRANCHISED EMPLOYEES LEGACY SYSTEMS
30 t h i s j o u r n e y i s n o t a b o u t technology i t i s a b o u t t r a n s f o r m i n g a service model
31 6 THINGS that can block digital transformation and how we overcame them NO
32 Problem? What problem? War games make it real and break mindsets 1. Create clarity and urgency around the problem
33 Vague, superficial, or overly technical strategies 2. Make the destination clear, relatable, achievable and inspiring
34 brand digital marketing operations digital IT brand operations marketing Develop the strategy & tactics together Joint execution teams Retool key jobs 3. Break the siloes hunt as a pack
35 brand digital marketing operations digital Shared purpose Joint accountability Clear priority across depts Affects compensation 4. Align your Goals ceiling to floor
36 Use the familiar as the vehicle for the new Reduces how much unfamiliar change employees must absorb 5. Ride the existing rails where you can
37 CUSTOMER ADOPTION RISK! risk aversion TECHNOLOGY S C A L E OPERATIONS RISK 6. Use pilots to de-risk 3 critical factors
38 focus on the real threat
39 outdated technology
40 revenue
41 market share
42 RELEVANCE
43 We tend to over-estimate what will happen in the next 2 years and underestimate what will happen in the next 10.
44 thank you > F O L L O W > / G e o r g e C o r b i G e o r g e C o r b i n 1
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