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Travel Tech

In travel, banner ads have bad click-through rates and even if consumers click-through, this does not necessarily mean that it will lead to a sale. This is quite an important thing to consider and understand when talking about digital advertising in travel. There is an issue in tourism concerning what impacts on the effectiveness of banner ads. Many travel organizations are lacking deep understanding about digital advertising. However, with budgets for digital advertisement becoming increasingly tighter, investments need to be made smartly. Tourism organizations need to try and achieve the most click-throughs and conversions as possible through smart and efficient investments into ads. In the following some of the major things that need to be considered will be discussed (Tnooz August 2013).

AUDIENCE

Data on audiences regarding transactional, behavioural and consumer attitudes is available and tourism organisations that plan to become more efficient in digital advertisement need to make use of these. This allows these tourism organisations to get a deeper understanding of the consumers, they would like to target and gives greater opportunities. However, there are some important points to consider when looking at consumer data. Timeliness is one major part, as data is only useful if it is up to date. Another thing is inferred audience, which provides no real data on consumer behaviour. This is needed to align actions to their behaviour. Data needs to be good quality or it will not be worth anything!

TIMELY OFFERS

Digital advertising is all about timeliness, which means that target audiences not only need to be targeted but this also needs to happen in quite a timely manner. The more data is being used to analyse, the better it is for tourism organisations to identify and finely segment consumers’. Advertisement that is precisely targeted at segments and answers their needs are the most efficient. Consumers that previously clicked on a travel site already have an interest in the products and services on offer. Data on recent bookings of a flight ticket for example can be an indication for additional travel needs and an easy target for specific ads on hotel rooms, calling plans or attractions.

IMPORTANCE OF SCALE AND QUALITY

Scale is an issue when it comes to digital advertising, as an audience needs to be big enough to allocate resources to an ad campaign. Nevertheless, quality is still an important factor and should not be compromised when achieving scale. Data therefore needs to be looked at in terms of providing both scale and quality for advertisement.

MOBILE AND ADS

Audience mobility is something a lot of tourism organisations are experiencing. Consumers are increasingly booking through mobile devices than using their desktop computers, which also needs to be taken into consideration when it comes to digital advertisement. Many consumers are spending more than $500 when purchasing travel through their mobile devices. This is very interesting and indicates an important factor to consider regarding digital advertisement. The need to optimise ad campaigns for mobile phones, tablets and computers is very high, as non-optimised ads or sites can lead to consumers not purchasing. Tying in all channels is crucial for digital advertisement and many organizations in travel still need to learn that.

CAMPAIGN INSIGHTS

After an ad campaign, tourism organisations should always collect insights into the performance of the ad campaign. This is very important, as companies need to understand what worked, and what did not as well as making revisions and changes to improve advertising campaigns in the future. Consumer data should also be used after an ad campaign, tracking consumer behaviour and any transactions made. It is rather important to consider all points in terms of audience, timely offers, scale and quality and mobile and ads in order to get digital advertising done in the most efficient way.

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