Hraba Hospitality Consulting

A colleague and I were bemoaning the difficulty with modern customer service, and the fact that so many tech support numbers are no longer offered as toll free unless it is someone like HP or Dell. Per usual, I fanatically inject my own experiences into the situation, and muse about the long and wild road of in-room phones at hotels… specifically the way technological innovation and advancement has, constantly, caught our industry unaware to the point that we shoot ourselves in the foot.

It isn’t right not to have access to free phone tech for a product, but it is the way modern business is happening. Telephony has altered greatly (understatement) in the last two decades…and property level we are still calling them “PBX”. What’s more is that the IT guys at hotels are well versed enough to know just to ignore it.  I have seen one or two try to explain.. “Well the PBX doesn’t really exist anymore”, the GM will point to the operator, and then the IT guy capitulates with a shrug.

We hotels used to gouge consumers for phone calls because they had no choice, and it was a BRILLIANT revenue stream. Then came calling cards, and hotels started losing lots of revenue… and per our typical furrowed brow, it took us a couple years to figure out why. Even dial-up modems for AOL and prodigy services were a complexity to us… which is why we started charging people to call out to 800 numbers. Of course this garnered more distrust from guests about our call accounting, but it also got the enraged guest at the desk who had left AOL connected for 3 days and owed the hotel $5545 for a 2910 minute phone call to an 800 number.  I had at least 3 of those that I can remember… and those people were all completely, and totally, hysterical.  Not the funny kind, either.

By the time we admitted to ourselves that the revenue stream was lost and started charging enough simply to cover costs… hotel guests had already decided to never trust in-room phones ever again. Calling cards were used almost exclusively, and guests now have cell phones that simply makes in room telephones, for all extensive purposes… obsolete. This has been patently obvious in the last 5 years…. in-room phones are nothing more than an intercom now, which is why telephony solution providers are trying to make them into a marketing gimmick with big LCD colour touch screens, etc. What’s more is that anyone silly enough to install payphones on property has them regularly taken back out within 3-5 months because it simply isn’t profitable for the companies to maintain them.

By the way – that might be my only professional advice in this post, along side the historical ramble…. stay away from that “slick” nonsense.  LCD screen phones are nothing more than an annoyingly bright & pricey business card for in house outlets where guests are already likely to contribute incremental revenue. These phones are a gimmick, and they are part of the technological in-between period of telephony companies trying to generate need and create a new niche for them while everything swirls up in the air.  These “hubs” will become something incredibly powerful, and useful… but the new tech coupled with cost and lack of dynamic functionality (beyond being flashy) makes them a poor investment for the time being.  For now, think of in-room guest phones as IP “intercoms” for your next project, and you will save a lot of money. Heck… you may start having guests order room service online before calling on the room phone…or they may plan travel without even considering a voice call – like GPS enabled hotel booking apps, or basically just making an app to make every department available by PDA as seen at the Malibu Beach Inn. Even Choice Hotels has an incredible mobile app that not only sells their brand, but it enables an entire community of brand endorsers.

So in this panic of the phone industry changing, everyone has been hit… robots handle call volumes of humans, 800 numbers are incredibly expensive, and customer service has tanked in general because of it. In 20 years we went from fully staffed calling centers with live operators to a computer voice that handles the volume of 20 employees’ worth of labour. With cell phones all but destroying traditional landlines, they have also made the 800 number obsolete. When it is used, it is strictly for high end marketing, because no one else can afford it. It usually only goes to the departments that generate revenue (SALES) and the guys doing all the real work have the fun of not having one, then fielding complaints from already unhappy consumers that have just been further inconvenienced.

As we continue forward, I think the traditional phone will die, but rise a bit like a Pheonix – the same thing existing in a different form.  It will not only take on the traditional rolls, but also a hotel intercom, then soon to be an internet hub… and slowly integrating with other guest room controls and being not unlike the new Verizon Hub, which demonstrates that you can have a phone that is highly adaptable and functional.  Think of it as the Looney Tune cartoon “House of the Future” where panels & buttons on the wall call outside, surf the web, program the house settings, washes, cools, power management, etc.  The only thing is that we are a long way off from that kind of functionality…. and for now spend as little as possible on both ends.  As for 800 numbers, if the department’s revenue can’t cover it without impacting business, it simply isn’t a wise choice.

In the future, however, someone in your hotel will also have grown up playing around with making apps, and you will have your first person on staff managing the 2.0 of your hotel.  I like to think this would be a salaried position from a truly innovative management company, but I am aware this starts with property level people engaged with the brand that have extra time and know how.  As for the salaried position, we shall see.  I know we are all looking down the road at Concierge 2.o, and few of us might have thought that could be possible. Now with IP, Google Voice, and even browser enabled chat sessions… there is an exciting future of unending real time communication with brand advocates (returning guests) and potential clients.

These conversations about archaic forms of communication will fall to the wayside during the tremendous fervour for hotels’ future comm abilities, where we will have to adopt a more pro-active and less wary view of technology, so the hospitality industry can be carried forward by technology and the advent of 2.0 – at the intersection of commerce and the community that is selling your brand.

Just thinking and riffing and pondering and what not….

As for Ryan Air… they not only wouldn’t care… I doubt they would find this anything but funny. This isn’t about a PR machine… Ryan Air’s PR is a train wreck whether this account existed or not. It’s there style, and it is to be expected. The majority of research I unearthed from the past 48 hours suggested this was a brilliant PR stunt by Ryan Air. That, even to me, is hard to swallow.

It is comforting to know, for some, that if it wasn’t this specific spoof account, it would have been something else. The new marketing model allows much more consumer control than expected, to the point of potentially (momentarily) derailing a brand with one spoof account…

There are very few brands that are self aware or playful enough to calmly approach this situation. Think about how *any* other brand would have reacted to this? It would have been in grand fashion, and this would have splashed across the world’s papers in regards to PR, etc. This didn’t show up anywhere because, frankly, Ryan Air knows not to take itself, or social media, or life… too seriously.

That being said, I am sure the faux account holder was likely aware that the immediate to long term ramifications to the brand were slight if anything at all. That person, however, might not have realized how much a funny idea would unexpectedly take off.

This is simply satire that has crossed into the business realm. Not all comedy has a point, but much of it works on different levels than one might first notice.

Performance art takes many forms…. and *this* conversation on this page might be exactly where the “lunatic blogger” was going.. eh?

In the future some poor, innocent brand (possibly not having the same reflection as Ryan Air) will be hijacked (no pun intended) by a disgruntled client that intelligently lures people into thinking a blog, account, etc with social media is real. When it happens, it will be nowhere near as overt or obvious. But it will be a disaster.

As of now, Twitter has no real verification process, nor do “user generate review” sites. If you take a quick peek at TripAdvisor, any single human being can reply as management on behalf of an entire property, let alone slander hotels at casual whim. Almost any social site has this conundrum: “How to create verification or confirm validity of an account or review.” Some don’t care yet, but when the integrity and ethics of a site is constantly brought to attention (look at yelp in the past few weeks) they will soon take notice.

There is a transparency and accountability problem in social media. A huge one. Whether it is a fake celebrity account founded by a bored blogger, or a false review written by an angry merchant…. social media might have to reflect past it’s hipster social clubs and office fridges full of beer, and start thinking about how their product effects the world of brands, and how to start making headway with repairing the relationship that is starting to make brands weary.

I for one am thrilled to see the previous marketing paradigm shifting… with consumers having ultimate control instead of corporations splashing money at marketing campaigns or for PR spinning on damage. The message is no longer in control, and the brand is only as valid as the ethos and intent behind it. If you aren’t an ethical brand that someone identifies with and endorses, you are completely and totally irrelevant.

I assume the original dork that started this was simply having fun, but like much of social media…. what started as a fun idea turned into real business.

Hopefully something like this will start more conversations in regards to the lack of accountability in social media, and the dangerous way it might erode the trust of both users and brands.

That’s it. I wouldn’t mind ending with something witty or with some flare, but I am still sad to see @ryanaironline get booted so quick! whatever the case sorry to be some random interloper! I just found it all so interesting!

@uncleFishbits aka @hhotelconsult (yeah a personal and business account… everyone does it.  I worry about transparency so often I feel it might be necessary to mention forthrightly so you don’t think I am duplicitious)

With all this bad press, I am starting to become really interested in the hospitality industry’s response to all this?

Yelp definitely effects us… but how?  Are any of you innkeepers, B&B owners, operators, managers, managing groups using yelp, or a paying advertiser on the site??  I would love to hear all your stories… good and bad.

I will start with mine:

You know I am highly skeptical of social media, and I am markedly perturbed at the style of leadership and business management from the people in charge.  But what you don’t know is this:

I am a 1100+ reviewer on yelp.  I had been using it since it’s earlier startup days, and it just sort of became a food blog for me.  There was a momentary ethical crisis when I started working for businesses that exist on yelp, so I pulled back all hotel related reviews or any reviews that may have had a conflict of interest.  I comport myself of the highest ethics on the site.  I am also one of their biggest critics, and have not endeared myself to the site as a content generator.  But I love it, and think it is a fun way for me to relive experiences, and help me remember where I have been.

As for business side of things I can’t say much.  I think it is an invaluable tool to get real time feedback and ideas for improvements on service and the like.  It really has helped the properties I am involved with grow, and I think the bad reviews are better than the good ones.  It is just a new level of comment cards.  Nothing as quantified and rigorous as Market Metrix, but a very good pulse as to the state of the business, and what direction it is heading.

That being said, I think it is odd that I have had pleasant experiences both as a user, as well as a business person (my experiences with the sales agents are PHENOMENAL.  Period.  I like the people and they are solid.  Never one problem)….

But I still don’t trust the concept.  And that is the rub…. why wouldn’t we?  Is that we know too many of the bad reviews?  Is it the way they handle themselves in the public eye?  Do I have some bitter attitude towards them and bone to pick?  I honestly don’t know… as for the latter I highly doubt it.

I think it is that I love the site so much for personal reasons, and it is useful on so many levels for professional reasons, that I get panicked by the management practices (or lack there of).  I just want to see it succeed, and I don’t see any reason to believe it will.

I would love Yelp to look forward and stop focusing on damage control and PR.  They made it so you can’t manage your brand or control the message the same way you used to…. And it is important they become a transparent, openly ethical social media company.  Like the ethicist said, “Whether someone is lying or it is just confusion, yelp has a problem”.

So I want to hear your stories… problems, great stories, etc?  Let us have it!