Conversations & Insights May 6, 2015

Luxury Hotels 2015

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Global online travel sales reached $400 billion in 2013 and will grow 10 percent a year to $670 billion by 2018, mostly fueled by China.

To-date, Luxury Hotels’ investment in digital does not match the opportunity. The result? Firms that are now worth more than many of the hotel and airline companies whose seats and rooms they fill.

Only eighty-four percent of Luxury Hotel brands offer a mobile-optimized site experience. And just forty-five percent offer a branded app.

The mobile offerings facilitate basic room reservations, however more advanced functions including mobile check-in/check-out, keyless entry, and room selection have experienced slower adoption.

The 2015 Digital IQ Index: Luxury Hotels welcomes two newcomers to the genius circle.

Marriott jumped to #1 this year, spurred by investment in content creation, including the 17-minute short film Two Bellmen, which has registered over five million views on YouTube and boasts its own microsite on the Marriott platform.

The Hilton brand tied for top honors with mobile innovations including its HHonors loyalty program app, which enables guests to check-in and check-out, and select their room via a digital floor plan.

Genius incumbent Westin offers the industry’s first keyless entry system through the SPG mobile app, and “Westin Finds,” a destination guide microsite that curates recommendations and lets the traveller book restaurant and tickets to attractions without leaving the site.

This study attempts to quantify the digital competence of 50 luxury hotel brands that operate globally. Members can download the full report at L2inc.com.

http://www.l2inc.com/research/luxury-hotels-2015

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