If you consider the number of problems that can befall hotel customers during a stay, it can be a bit overwhelming. Broken remote controls. Plumbing problems. Noise from adjoining guestrooms. Incorrect orders from room service. Room key issues. HVAC issues. Kids running in the halls. Not enough chairs at the pool. Slow service in restaurants. Incorrect room type at check-in. And the list goes on and on. Studies show that product problems account for nearly sixty percent of all guest complaints. But there is one problem – over and above all others – that causes not only dissatisfaction, but a complete break in a hotel customer's trust. What could negatively impact hotel customer loyalty so greatly? According to data-analysis firm Market Metrix, staff-related problems in hotels can lead to a whopping 26.2% drop in guest loyalty . Service problems, on the other hand, make up a much smaller portion of reported problems, but have a much more dramatic impact on guest loyalty. Just look at staff-related problems in the table below. They are only 4.7% of reported problems. But staff problems punch way above their weight causing loyalty to plummet by over 26 points when they do occur. On the other hand, the nearly 60% of hotel customer complaints COMBINED only account for a 12% drop in hotel customer loyalty. This study begs the question: With such a large number of guest product complaints, how much time is your hotel spending to fix staff problems? Television remotes can be replaced, but a disengaged hotel customer may be lost forever.   The post The One Problem that Costs Hotels the Most Customers appeared first on Kevin Donahue.

Here are three short, compelling reads regarding customer service and sales. I found each of these very poignant for guest service and hotel sales in our industry:

3 Keys to Customer Service Training and Retention from Ritz-Carlton VP Diana Oreck Ms. Oreck expresses Ritz-Carlton's passion for customer service training through empowerment and selection. Hey You—Your Elevator Pitch Stinks. Fix It. Hannah Morgan points out that, while our jobs and roles as salespeople have evolved, our quick sales pitch has not kept up with the times. I found this to be a great wake-up call read for the hotel sales profession, in particular. You ALWAYS Need a Business Card Even in this connected era, that little paper card remains a game changer for sales and service (even if you have the best iPhone/Android app for sales and service!)

For more customer service and hospitality sales insights, please follow me on Twitter: @mrkevindonahue. The post 3 Great Sales & Customer Service Reads for the Week appeared first on Kevin Donahue.

A new study from the Cornell School of Hotel Administration details that hotel reviews posted on social travel websites, such as TripAdvisor and Travelocity, positively impact a guest's willingness to book reservations at a premium rate for a reviewed hotel. "The Impact of Social Media on Lodging Performance," by Chris K. Anderson found that the number of reviews as well as the willingness of consumers to assign credibility to hotel reviews has increased over time. Anderson also found that a 1-point increase on Travelocity's review scale – such as increasing a hotel's review from 3.3 stars to 4.3 stars – drives an 11.2 percent premium in a hotel's rate, while still maintaining occupancy and market share. Given these results, it's increasingly clear that hoteliers must dedicate resources to monitoring their social reputation, actively review online hotel reviews and invest further in guest experiences on-property to create engaged guests. (Read more on who writes hotel reviews) Beyond Travelocity, Anderson determined through regression analysis that a 1-percent gain in a hotel's social media reputation is worth 0.89% in average rate lift and a 1.42 percent increase in RevPar. The full social media impact study is available online from the Cornell School of Hotel Administration. The post New Study Shows Hotel Reviews Drive Rate & RevPar appeared first on Kevin Donahue.

Since the rocket-like launches of Twitter, Facebook, and Pinterest years ago, organizations have been asking the million dollar question in regards to social media, "How can we convert fans into buyers?" Countless books, seminars, blogs have been devoted to the topic of social media ROI, but (sadly) most seem to miss the most obvious point. While I don't proclaim to have all of the answers, the answer to the question of converting social media followers to customers seems a rather obvious one:  The same way you converted your existing customers.   From my perspective, there's too much status placed on 'fans' and 'fan counts' by most social media "experts". The people who "like" your brand are essentially giving your company a virtual high five. They appreciate something you've done or a perception you've created about your products. They may or may not be your current customers. And – unless you work to convert your followers into buyer – they may or may not be your future customers. In a traditional sense, your Facebook fans and Twitter followers are the digital equivalent of window shoppers. Some of them know your brand well, they enjoy your products  and actively share their experiences with their friends. But some  of your fans – a large majority – are standing on the sidewalk.  They like your window display, but it hasn't compelled them to open the door and try your brand. And this is where your business acumen and experience - more so than your social networking skills – come into play. Social media is a tool for increasing your sales, not the solution. So ask yourself and your team: What do you do as a brand that brings potential customers in off the sidewalk? If you can answer that question, then you can convert social media followers into buyers. The post How to Convert Social Media Followers to Buyers appeared first on Kevin Donahue.

Here's a great quote about leadership and managing priorities at work and at home that inspires me from noted author and leadership guru Jon Gordon: You have all the time in the world to do what matters most. — Jon Gordon (@JonGordon11) July 29, 2012

You can follow Jon on Twitter here: @JonGordon11 The post Leadership Quote from Jon Gordon appeared first on Kevin Donahue.

A recent presentation by Peter Yesawich, vice chairman of MMGY Global, highlighted a number of trends and insights for the hospitality market in the near term. While there was definitely a lot of beneficial information presented, one key insight may emerge as the number on trend in hospitality: multigenerational travel. "Multigenerational travel" or "mutligen travel" most commonly refers to grandparents traveling with grandchildren, but can reflect any number of generations traveling together.

According to MMGY Global, more than 20% of travelers are grandparents. Of those, 40% have taken a trip with a grandchild during the past year. And eight out of 10 times that a grandchild comes along, so does a parent. As you can see, the market is already well developed. As more affluent baby-boomers retire and begin traveling alongside children and grandchildren, this market will will just continue to mature (pardon the pun!) Several elements are key to capturing this target market, but most important among them is a well-developed recreation program that meets the needs of these guests collectively. Broadly inclusive cooking classes, walking tours, and lower-impact activities that can be enjoyed by all age groups are key. For the hospitality market, multigenerational travel represents one of the few demographics that shows extensive growth potential domestically. Beyond just welcoming family guests, multigen represents a new gateway for luxury hoteliers. Traveling alongside affluent parents and grandparents, economically stretched GenX and GenY consumers are discovering brands that can serve them for decades to come as their affluence grows, making this a significant play for the luxury market.

I happened upon a curious article entitled "How to Roll Up Your Shirt Sleeves" via a luxury company's social media and it really struck me. As a man who wears shirts, I suppose I am well-within the blog's target demographic for this post; however, what really interested wasn't the content, but rather the positioning.  The article details (with photos AND videos!) different ways for men to roll up their shirt sleeves. This is, I suppose, interesting information for a number of readers.  Beyond the content, I think this is a great example of how to position yourself as an expert. Each of us has a number of interests in which we have a great depth and breadth of knowledge. Be it personal or professional, I'm sure there are several areas in which you could be considered an expert. And therein lies the opportunity.  By taking the next logical step and SHARING your expertise, you can not only impact your audience but also establish yourself as an expert – a status that can reward you handsomly in career pursuits. After all, who would you rather hire/work with/buy from? An expert or the other guy?  In what areas are you an expert? Find your niche and roll up your sleeves!

Travelers today are innundated with resources to assist in planning trips. Among the tools are first-hand "unbiased" published on the major booking sites, including TripAdvisor, Booking.com, Expedia and others.  But, have you ever wondered, "Who writes these reviews, anyway?" Olery, a reputation management company, has taken a stab at answering that question and the answers are pretty interesting.  Generally speaking, Olery found that hotels receive about 300+ reviews per year on average and that 46% of travelers post hotel reviews. Reviewer demographics skew slightly towards female guests, with a plurality of reviews being written by 35-49 year-old guests. Interestingly, guests on vacation and leisure travel – those who are spending their own money – write the majority of hotel reviews.