I read with interest the news, via Travolution, that Thomson Holidays have “fixed” £1.5 million (3 million USD) worth of “lost bookings” after having identified issues with their website. It makes a good headline - but I am not convinced that this is a real number.
- This number is probably generated, internally, from a ROI metric rather than actual bookings. From my experience at working with large travel companies every development has to have an ROI calculation - and when you can’t think of one (as it is a minor usability tweak) you devise an ROI return value that would at least cover the development cost of making the change. Although ideally the ROI metric should match actual expectation…. often it doesn’t…..
- Can they be sure that an abandoned transaction wasn’t just a “channel” abandonment - as with these large, multi-channel, companies - it could just be that the customer has booked over the phone in the end (rather than not booking at all with their company)
Anyway, the principle is sound - evaluating abandonment (and tweaking design to address these issues) can have a positive benefit to transaction volume (and reduce strain on call centres). I am not arguing with the principle - just how the headline number is calculated before being published as “fact”.
Which brings me to another area…… here is an email I received today from a senior industry insider….
Blimey, booking a hotel on line is very difficult. I say this tongue in cheek to some extent, because I have some years experience in hotel technology and web distribution.
So with some disappointment I find The Lygon Arms website has no availability. Knowing a little about contracting/yielding etc, I check an aggregator. Superbreak are top in Google. They have availability but at something approaching Rack.
So i call the chain central res office. They say on the phone they DO have availability and some good rates. Why after a decade of web distribution is the hotel industry such a shambles!?!?!?!?
I tried another well known country house hotel last night. The web booking engine crashed, so I couldn’t get rates. Its supplied by a mainstream PMS supplier. Yet the hotel owner… and they must be turning over say £15-20m… think so little of their customer facing property (web) that they serve up the drivel I saw last night. I am sure this property invest hugely in their property (physical) and yet they don’t appreciate that before a customer can get to be physical… they are increasingly virtual and need to be wowed by their online service
Would they have a really amazing bar, and restaurant, and rooms, but leave the front office with no plaster on the walls, a bare screed floor and cement mixer standing in the corner? i don’t think so.
Web front ends should be checked, polished, and attended to as diligently as front offices
This week we have had rants, reviews and a bit of strategy. What do you want me to write about?
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keep on going with startup ideas and insight
how about taking a break for a while??!?
i have the figures that show Thomson admitted to losing £1.5m a year in ‘lost bookings’.
of course it’s a good headline!
@ Kevin- yeah - like going to Cyprus for a week!
@ Toby - Thanks. I will see what I can do. I like writing the reviews (although not many people comment on them or are interested in them)
Alex
Thanks, Alex!
An excellent opportunity to remind your readers of Travolution and Travel Weekly’s plans for covering the ITT conference in Cyprus next week.
* Daily podcasts for Travolution
* Web news on TW
* Live blogging on Travo and exclusive ITT Blog
* TW Television
* SMS alerts
* Daily edition of TW in-resort
Do you want to add some of the links, or shall I put them in a separate post??
Yep seen it with many site. Most direct hotel booking engine quote nearly rack rate. If you go to the consolidators you see better rates. Then phone the hotel direct and they will match the consolidated rate.
Why not just have best rates always available on their own site? I guess they are trying to rip us off?