Digital Marketing Strategy Report: Hyatt Hotel's Integrated Approach

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This report provides a detailed analysis of Hyatt Hotel's integrated digital strategy. It begins with an executive summary and introduction, outlining background information and marketing objectives. The report then delves into an analysis of Hyatt's digital marketing opportunities, including situation analysis, Google Analytics customization, target audience personas, and a SWOT analysis of digital channels. The core of the report details the strategies employed to achieve objectives, including SMART objectives, KPI tracking, digital channel growth analysis, and a core digital governance plan. It also examines customer segmentation, online value propositions, and the effectiveness of various digital media channels, such as search marketing, owned and earned media, and paid media. The report further includes action plans for customer journey analysis, content optimization, and lead capture. Finally, it discusses lead conversion strategies, customer engagement tactics, and the importance of customer experience in the digital landscape, providing a comprehensive overview of Hyatt's approach to digital marketing.
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Running head: DIGITAL MARKETING
Digital Marketing
Name of the Student:
Name of the University:
Author Note:
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1DIGITAL MARKETING
Executive Summary:
The report discusses about the integrated digital Strategy of Hyatt Hotel through the mention of
background information and the marketing objectives. Analysis of the company’s opportunity
from digital marketing is done through a situation analysis, Google analytics customization,
target audience and SWOT in the report. The report also describes strategies adopted by Hyatt
Hotel in achieving those objectives. A review on digital market channel effectiveness and the
action plan implemented by the company is also a part of the report. Further, the report discusses
about the converting leads of the Hyatt Hotels and their focus on engaging customers through
digital means.
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Table of Contents
Introduction:....................................................................................................................................5
1. Summary of Integrated Digital Strategy......................................................................................5
a. Background Information of Tourism or Hospitality Company...............................................5
b. Analyze the company Marketing Objectives...........................................................................6
2. Analyse the Company Opportunity from Digital Marketing.......................................................6
a. Situation Analysis – Where Are We Now...............................................................................6
b. Google Analytics customization..............................................................................................7
c. Target Audience Personas........................................................................................................7
d. Digital channel specific SWOT analysis.................................................................................8
3. Strategy to Achieve Objectives...................................................................................................9
a. Smart Objectives and track KPIs using a digital marketing performance...............................9
b. Digital Channel Growth Opportunity Analysis.....................................................................10
c. Core Digital Governance or Management plan.....................................................................10
d. Digital Marketing Strategy – How do we get there?.............................................................10
e. Customer Segmentation and Targeting..................................................................................11
f. Online Value Proposition and Experience.............................................................................11
4. Digital Media Channel Effectiveness Review...........................................................................12
a. Search Marketing...................................................................................................................12
b. Owned and Earned Media.....................................................................................................12
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3DIGITAL MARKETING
c. Paid media..............................................................................................................................12
d. Online Customer Acquisition, Campaign plans and budgets................................................12
5. Actions Plans.............................................................................................................................13
a. Customer Journey Analysis...................................................................................................13
b. Website visitor and customer lead capture and profiling......................................................13
c. Optimize content....................................................................................................................14
d. Optimize Landing or Entry Pages..........................................................................................14
e. Content - Campaign planning................................................................................................14
6. Converting Leads.......................................................................................................................14
a. Lead Nurturing.......................................................................................................................14
b. Web Personalization..............................................................................................................15
c. Multichannel selling...............................................................................................................15
d. Conversion Rate Optimization (CRO)...................................................................................15
7. Engage Customers.....................................................................................................................15
a. Customer Digital Experience.................................................................................................15
b. Customer Service and Success..............................................................................................16
c. Customer Email marketing....................................................................................................16
d. Social media...........................................................................................................................16
Conclusion:....................................................................................................................................17
References:....................................................................................................................................17
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4DIGITAL MARKETING
Introduction:
The report gives an overview of the integrated digital Strategy of Hyatt Hotel through
background information and the marketing objectives. The report also analyses the company’s
opportunity from digital marketing through a situation analysis, Google analytics customization,
target audience and SWOT analysis. The report also gives a description of the strategies adopted
by Hyatt Hotel in achieving those objectives. There is also a review on digital market channel
effectiveness and the action plan implemented by the company. The report also discusses about
the converting leads followed by Hyatt Hotels and their focus on engaging customers through
various digital means.
1. Summary of Integrated Digital Strategy
a. Background Information of Tourism or Hospitality Company
Jay Pritzker purchased Hyatt House Motel located near Los Angeles International Airport
in 1957 and renamed it Hyatt. Over the decade, Jay Pritzker and his brother, Donald Pritzker
worked in unison with other members of the family to grow the company into a hotel ownership
and North American management company. The Hyatt international formed in the year 1968 as a
separate public company. However, Hyatt International Corporation and Hyatt Corporation taken
over by the Pritzker family as separate business entities in the year 1979 and 1982 respectively.
However, the Hyatt International Corporation and Hyatt Corporation consolidated under a single
entity in December 31, 2004 and known as Hyatt Hotel Corporation. The Hyatt Hotels
Corporation operates in several chains (Cannon & Summers, 2014). The Hyatt Regency brand
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has been the oldest brand in the company with the introduction of Park Hyatt and Grand Hyatt in
the year 1980. Some Hyatt brands are resort properties and facilitated with recreational and spa
facilities. Hyatt Corporation also has a brand known as Hyatt Place specifically meant for
business travelers. The company has five portfolio hotels in Australia known as Park Hyatt
Sydney, Park Hyatt Melbourne, Grand Hyatt Melbourne, Park Hyatt Canberra, and Hyatt
Regency Perth.
b. Analyze the company Marketing Objectives
The marketing objectives of Hyatt is designed for securing and building a brand value
and awareness while maintaining the specific needs for business necessary for its operations. The
company believes in differentiating and building a brand position of itself and its sub brands in
order to not only increase the company’s demand and brand preference but also enhance the
other business related imperatives (Green & Lomanno, 2012). The company along with each of
its brands focuses and targets on a specific customer segment and thereby supports the need of
the hotels through application and analysis of analytics and data. Thus, the company adopts a
marketing objective which is SMART, an acronym essential for analyzing the marketing
objectives of a company and is elaborated as follows:
Specific: The Company makes sure that the goals are defined in a clear manner
Measurable: The Company adopts goals that are measurable and can be defined with the
help of required metrics
Achievable: Hyatt Hotel focuses on objectives that are attainable
Relevant: The Company also set goals keeping in mind the overall goals of the business
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Time Sensitive: The Company also set a goal that is attainable in attainable within a
defined time period.
2. Analyse the Company Opportunity from Digital Marketing
a. Situation Analysis – Where Are We Now
The electronic distribution channels have been a vital contributor in Hyatt’s total number
of reservations. The guests might have valuable interactions through the company’s website that
is Hyatt.com and these messages considered important in determining the marketing and sales
effort. The company continuously tries to optimize the brand experience, effectiveness in
marketing and efficiency in booking so that the online purchase process facilitated in driving
maximum revenue. The company also has dedicated teams that focus mainly on design,
architecture, functionality, content of the site, driving enough traffic for site through integrated
marketing communication that includes social media, viral marketing, email programs and
search engine optimization and marketing (Hsieh, 2012). The company employs sophisticated
analytics through its business intelligence unit for increasing the efficiencies in digital marketing
and enhancing e-commerce performance.
b. Google Analytics customization
The company used the Google Analytics customization by establishing a goal with a set
of performance indicators, tracking those goals and through creation of a dashboard. While
establishing the goal the Hyatt Hotel considered the traffic medium and source, the bounce rate,
the rate conversion, special offer clicks and requests for proposal submissions and clicks to call.
After deciding on the site metrics, the company implemented goal tracking and goal
prioritization. However, the traffic source medium and bounce tracked it automatically so the
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company created clicks to call and check rate for further tracking the goal. Further, the company
also creates a dashboard through the user-friendly interface and straightforward implementation
of Google analytics.
c. Target Audience Personas
The Hyatt Hotel has a varied range of target audience that ranges from business travelers
to families out on an international and domestic leisure holiday, teenagers and elderly. Therefore,
the company also provides varied offerings catering to the need of every client. This may range
from the size of the room, food, meeting, rejuvenation and spa facilities. The company believes
in creating a memorable experience through its marketing (Tsai, Suh, & Fong, 2012). The
company tries to embrace the local culture and maintain a community friendly experience.
d. Digital channel specific SWOT analysis
The digital channel specific SWOT analysis of Hyatt Hotels is as follows (Chaffey &
Bosomworth, 2012):
Strengths
There is a universal agreement regarding the site of the company being perfect and does
not create any hindrance and hence requires no sorting
The company also has an existing web team that takes care of any updates from time to
time
The company uses upgraded technology from time to time.
Weakness
There is always a conflict between various teams for undertaking the role of the website.
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The web team of the company is busy in undertaking minor updates and does not think in
a strategic manner.
There are also some limitations on the kind of content published due to the fear of legal
risks or the competition.
Opportunities
The company also has made its presence felt in the social media where competition has
little chance of affecting.
Through the web, the company gets a unique opportunity of gathering information on
leads and target audience.
Threats
Sometimes analytics shows a very slow decline in the web traffic.
The competitors of Hyatt Hotels also have their site relaunched and they might have
offering better that what Hyatt has.
3. Strategy to Achieve Objectives
a. SMART Objectives and track KPIs using a digital marketing performance
The SMART objectives adopted by Hyatt Hotel are specific, measurable, relevant, actionable
and time bound that contributes in drawing more visitors to their site thereby leading online
revenue generation (Chaffey & Patron, 2012).
The company tracks seven key performance indicators using the digital marketing
performance which are mentioned as follows:
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1. Tracks website engagement including number unique site visitors, return visits, time spent
on website and opt in registrations.
2. Tries to understand whether web traffic is direct, referral or organic. Here the bounce rates,
total conversion and success indicators are also considered.
3. By measuring online campaign performance through cost per click, cost through rate and
acquisition
4. Measuring the engagement levels of campaigns undertaken in social media platforms like
Face book and Twitter
5. The company also tracks the conversion rate of the landing page
b. Digital Channel Growth Opportunity Analysis
Hyatt Hotel has made quite a presence did not have to struggle for making an online
presence. With a good mobile presence, everything was quite easy to find for the company.
However, the company needs to redesign the website in order to match it with modern design by
RoomKey (Miniankova, 2015). There is also need for richer content on the hotel website that
would allow more of the hotel atmosphere and brand ethos to mingle up with the booking and
browsing process.
c. Core Digital Governance or Management plan
Thus, in order to understand the quality of customers experience on the digital channels
the management of the Hyatt Hotel decided to track some additional key performance indicators.
These included:
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1. Look to Book Ratio (LTB): This indicates a comparison between the numbers of times
a hotel property viewed compared to the number of times the customer makes a booking
2. Anticipating the Number of Cross Sells: Indicates the number of times a service sold
with a booking in return.
3. Keeping Track of the bounce rates and time spent by the customers.
d. Digital Marketing Strategy – How do we get there?
The strategy for being digital is solely dependent on technology whether it in the front
end of the content management system for the hotel website or booking engines that are at play
at the backend. Thus, choice of the right kind of technology can make or break a good customer
experience (SW Chan, 2013). Therefore, the hotel enabled their preferred guests to use their
phones to not only check in but also unlock doors and get the room number.
e. Customer Segmentation and Targeting
Customer segmentation done based on demographic, geographic, psychographic, geo-
demographic and behavioral characteristics. However, selecting one of the mentioned market
segments in the need to provide better services refers to targeting. Targeting allows the Hyatt
Hotel to focus on the efforts that will help in satisfying customer needs. Thus, to cater to the
demographic segment the company mainly focuses on the occupation, income and socio
economic status since the hotel provides premium service and satisfying the segment would
mean more profit (Bowie et al., 2016). The company focuses on the geographic segment by
making sure that being a global brand they are located in every part of the country. The company
also takes into account the psychographic segment and focuses on businesses people and people
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with high disposable income as their services matches completely with their lifestyles and
personalities. The hotels also divide their marketing based on user status, customer loyalty,
purchase occasion so that these customers facilitated with special services.
f. Online Value Proposition and Experience
Online Value Proposition (OVP) defined as the reason for which the
customer is willing to avail the service provided by the company. Hyatt Hotel makes sure that it
provides the best of facilities to the customers so that they always come back.
Customer Experience (CX) refers to the interaction between an online store and the customers
throughout lifecycle of relationship. Therefore, Hyatt Hotel understands the value of customer
experience and considers it important to make any necessary changes that is required.
4. Digital Media Channel Effectiveness Review
a. Search Marketing
Hyatt hotel believe in search marketing that is a process of gaining visibility and traffic
from search engines both through unpaid and paid efforts. The kind of marketing encompasses
search engine optimization (SEO) that is a free listing or done through unpaid means while
search engine marketing (SEM) refers to buying traffic through paid means.
b. Owned and Earned Media
Owned media refers to the content that the company is in full control of. Therefore,
here the company can decide on the content of the website, blog and social media accounts. In
this case, Hyatt Hotel being a brand name has its own website where a team works in unison
in deciding its content (Stephen & Galak, 2012).
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