the Author and HeBS Digital | May 01, 2015

By Margaret Mastrogiacomo

Recently, HeBS Digital participated in the HSMAI’s New York chapter panel entitled “A Meta Conundrum” discussing the “ins and outs” and “ups and downs” of meta search. Patrick Merryman, who leads meta search at HeBS Digital, provided an in-depth industry perspective and insight on the topic including ways hoteliers can maximize returns on the platform.

Read on for the top five questions and key takeaways discussed during the panel.

1. How would you describe the current state of Meta Search, and how would you prioritize Meta Search marketing?

Meta Search marketing is not a new frontier in digital marketing and has existed in the industry for over 12 years with original players such as Trip.com, SideStep and Kayak.com.

When talking about meta search as a marketing platform, it’s also important to note that the term meta search is industry jargon and is not known to the traveling public when referencing top travel planning resources. In fact, many travel consumers use OTAs like Expedia or Booking.com as their price comparison tool with only about 5-10% of travel consumers utilizing “true” meta search channels like Kayak.com, TripAdvisor Meta, etc. to conduct their travel planning research.

When planning for meta search marketing in your digital marketing budget, keep in mind that meta search is just one dynamic rate marketing (DRM) format. With DRM, real-time availability and pricing is projected onto various advertising initiatives such as dynamic rate display advertising, dynamic rate paid search, email marketing, dynamic promos on the hotel website, etc. DRM satisfies the consumer’s desire to receive accurate hotel information such as location, reviews, and rate and availability.

The bottom line when planning for meta search is that it should not be viewed as a standalone marketing channel and should be a part of a larger marketing mix, of the multi-channel marketing strategy of the hotel.

2. Can you discuss the bidding process utilized by meta companies? How do your companies help hotels manage this process specifically?

First and foremost, at HeBS Digital we do not view meta search as a “set and forget” distribution channel. This means we have a dedicated team that bids and optimizes campaigns on a daily basis to make sure we are getting the most return on our clients’ investment.

Managing the bidding process can be a very complex exercise based on a client’s ADR. To tackle this issue head on, HeBS Digital built a proprietary functionality, the Dynamic Rate Marketing Gateway, which uses ADR to determine the highest possible bid to maintain a Return on ad spend (ROAS) of 600% or greater. In our view, 600% is the lowest ROAS that makes meta search a smarter investment compared to distributing inventory via the OTAs, based on cost per acquisition.

3. Can you describe your connectivity solutions?

The Dynamic Rate Marketing Gateway was first released in 2010. This proprietary meta search marketing technology connects any single property, resort, or brand’s CRS to top meta search platforms and allows our dedicated team to optimize bids and track campaigns in one easy-to-use dashboard. This Gateway is a one-stop shop for meta search marketing capabilities.

On a strategic level, this allows us to view how meta search campaigns are performing across platforms, all in one place, and allows us to easily shift funds to the platform receiving more traffic and conversions. This in turn ensures we are receiving the highest returns possible.

4. What are the benefits of utilizing a third party vendor to manage your meta presence and what are the top 3 things a hotel should look for in a partner?

Meta search marketing is not for the “faint at heart” nor is it to be used in a self-service fashion at the property. This is one of the most complex digital advertising formats today and requires professional management and expertise. Some of the top benefits to utilizing a partner experienced in this space includes:

Daily bidding and optimization capabilities: technology as well as a significant time investment is needed to make sure you are getting the best return on investment from this channel. Most hoteliers simply do not have the bandwidth to do this.

Access to big data across a client portfolio: meta search marketing campaigns should not live in a “silo.” At HeBS Digital we can see meta search trends across clients in different markets and use these broad insights to make strategic bidding decisions.

Expertise and consulting as an extension of your team: hoteliers need a partner that can make proactive and strategic recommendations on whether they should increase or decrease budget based on performance.

5. TravelTripper and TripTease have developed innovative ways to help hotels add metasearch widgets on their websites. What are the positives and negatives of these? Do they impact a hotel’s direct booking conversion? How do consumers feel about them?

At HeBS Digital, we focus on driving direct online bookings for our clients. In our view, a “metasearch widget” cheapens the hotel product and commoditizes hotel rates. It shifts the entire focus of the path-to-purchase process on the price itself, and not on the value or the uniqueness of the hotel product. A “classic” Best Rate Guarantee program and a well-defined “Why Book Direct” strategy, supported by rigorous rate parity policies, achieve much better results and adhere to industry’s best practices. Don’t look further than Marriott.com, Hilton.com or Starwood.com for some great examples.

On the other hand, promoting the OTAs on your own website is definitely against all best practices – this is branding 101. Therefore we strongly recommend against a widget like this on the hotel website.

Read more from HeBS Digital about meta search marketing: