Wednesday, 21 November 2012

Horror stories (3) - Restaurateur jailed!


All our clients know that responses to reviews have to be:
  • Polite
  • Conciliatory
  • Constructive
...and above all - legal! Only last week one of our moderators spotted a potential PR nightmare in the making where the hotel guest was demanding compensation for a sleepless night and the hotelier seemed to be suspecting a mild form of blackmail and was about to include an allusion to this in their response. We spoke to the hotelier and suggested that an offer of 'three nights for two' next time the guest stayed might be a more constructive solution - the hotel adopted this strategy and the guest was satisfied (and did not go on to post a negative review).

In Ottowa things panned out slightly differently - and the result was 90 days in jail for the business owner.

Read the full story as reported in the Ottowa Citizen here
 

Sunday, 18 November 2012

Don't think they're reading about you?

Helpful votes are a good guide to the number of people actually reading a review...

One of our directors wrote a review of a small hotel in France in June this year - the hotel gets about 1 review a week from guests, but just look how many potential guests have read that review in the last four months (and it's now down on page 3 of their TripAdvisor listing). 

He's a bit miserable about the number of 'helpful' votes he's received, but we don't think that's a particular reflection on his review, just a good guide to the proportion of readers who bother to vote (about one in 75).

This is also a good rule of thumb for our clients to apply to their reviews on Dialogue...

Click to enlarge
...on that basis just how many people have read this review on a client's Dialogue module?

Not just a bed for the night

Many hotels provide more than just a bed for the night - and for their customers it is vital that they are able to judge the service they want. One of our clients, for instance, does a roaring trade in weddings...


 ...so they have a Dialogue module dedicated to that service (see how many potential clients have voted the review above 'helpful'). 

As well as weddings they have two restaurants, conference facilities and a wine bar - and Dialogue enables their guests to review them all...



...so guests can instantly access reviews for the specific service they require.

Dialogue is tailored to every client - so whatever service you provide (and whatever questions you want to ask your guests about that service) we will accommodate you.

Learn from the Top 20



If you look at the shining examples (and the hotel industry, which has been subject to consumer reviews more and for longer than any other is a good case in point) - you will see that hotels that rank in the top 20 out of over 1000 hotels in London on TripAdvisor aren't always the obvious ones (the Ritz is at 47, Claridges 63, the Connaught 135 and the Westbury at 329).

So what are the top hotels on TripAdvisor doing right? The answer is simple: they have strategies in place to manage their online reputations.

The benefits: higher occupancy, higher relative rates, better staff morale (and retention) and maybe best of all - more direct bookings from returning guests who don't need to check their online reputations at all.

While Dialogue cannot guarantee you a place in the top 20, it can help you do what so many of the top 20 hotels are doing at a fraction of the cost - and a fraction of the effort

On top of that...

Click to enlarge

...showing credible reviews on your own website to attract more direct bookings.

All it takes is an email, Dialogue will do the rest.

Thursday, 15 November 2012

Mobilising the silent majority

Yesterday TripAdvisor released the results of a major survey of traveller behaviour - you can read a good summary by Hospitality.net here

This survey needs to be taken in context. According to a report by Market Metrix which compares TripAdvisor users' behaviour with results from hotels' own surveys "there were nearly 300% more negative responses (1- and 2-star ratings) when compared to survey research, and positive responses (5-star ratings) were underrepresented by 35%." They call this the 'Negative Tilt':


This dovetails with our own analysis and anecdotal evidence from hotel clients. In reality the 'tilt' is even greater. Why?

Because the silent majority don't write reviews (and don't respond to guest surveys either). 

Let's expand on this:

Point 1

On average only one in 1400 guests write any kind of review on TripAdvisor

Point 2

Response rates to guest surveys average less than half of one percent

An example:

A recent client - a hotel in London which has recently undergone a change of ownership and complete refurbishment (significant enough for TripAdvisor to delete previous reviews) has had nearly 5000 guests since then. They have received less than 20 reviews on TripAdvisor - almost half of those being negative. 

Conclusion:

They have done 'better than average' (on the figures above you might expect them to have about 4 reviews) but has this helped them? No - because unhappy guests are MUCH more likely to post a review than the 'silent majority' of happy guests. And everyone in the hotel trade knows how damaging negative reviews on TripAdvisor can be - driving the hotel's relative ranking down and impacting on bookings/occupancy/rates, especially when the negative remains on page 1.

The Solution

There are two alternatives - denial (and we do come across this) or a proactive effort to engage with the 'silent majority'. 

Dialogue™ - engaging with the 'silent majority'

Response rates to Dialogue vary from 4-6% (more for hotels who maximise* their engagement). And Resolution's success in enabling clients to manage negatives means that very few of those are ultimately published.

This gives our hotel clients a much better chance of getting the satisfied 'silent majority' to voice their opinion - both to their own websites and then on to TripAdvisor - with a fighting chance of enhancing their rankings - leading to wins in occupancy and rates as well as the potential for increased direct bookings through their own websites.

* Contact Karen or your business membership advisor for details

P.S. This works for Booking.com and the other OTAs as well - see this recent post

Monday, 12 November 2012

Dialogue vs. conventional CRM

Clients often ask us...

"Why does Dialogue get such a high response when compared to our own CRM?"

We have collated a wealth of evidence, both numeric and anecdotal, over the years; here's our answer:

First - the promise to publish



When consumers know that they will be heard by more than just the business, they are more likely to respond.When they know that their review will definitely be published they are even more likely to respond

Second - the opportunity to get an issue resolved



Most people who post negatives don't want to hurt the business, they want to get an issue that's important to them resolved - and Resolution™ does just that for them. Often they actively want to continue to use the business concerned, providing they get a meaningful response to the issue they raise

Third - it's non-confrontational

Some people hate the thought of complaining face-to-face (or even direct by email). Dialogue gives them a completely non-confrontational channel to communicate issues that concern them - a massive benefit for businesses as well

Fourth - independence



They like the fact that HelpHound is verifying that they are a 'real customer' and that we impartially oversee the conversation.

Fifth - the 'thank you letter' syndrome

It's used as a modern way of writing a 'thank-you letter' for good service, and Dialogue gives consumers that opportunity at the click of a mouse

Sixth - it's not seen as 'an invitation to help the business run its business'

A lot of consumers we have spoken to have stressed this aspect - they expressed an aversion to the kind of CRM that 'simply helps the business'

Seventh - and perhaps most important of all:
The overwhelming majority of people who complain through Dialogue want to use the business again! In effect they are using Resolution™to get reassurance - that 'they'll get a better room next time', that 'next time they ring the [estate agent] they won't be put through to a recorded message' (Yes - it's happened).

Sunday, 4 November 2012

Resolution™ - why it works




Resolution works so effectively that some clients 'know it works, but don't exactly know why it works'. This is understandable, so in this post we address the 'Why?'

First - some statistics:
  • about 3% of all reviews we moderate are put into Resolution for a response from our client - and they can range from an outright complaint to an issue we feel our client should have the opportunity to address privately
  • Of those, just over 98% result in a satisfactory outcome - a improved final review or...
  • In over 95% of cases - no final review at all
Let's examine these further...

Why are only 3% of initial reviews negative?

All of our clients are paragons! Seriously though, only good businesses join HelpHound. Dialogue simply doesn't work for a badly run business. But no business is perfect, and that's why Dialogue exists - not to give consumers a way of hurting businesses, but a way for them to get mistakes rectified. 

For some, let's call them the 'mildly dissatisfied', the simple act of inviting the review through HelpHound will be enough to make them think again about posting anything, anywhere - they simply say to themselves 'never mind' and nothing happens.

How does Dialogue achieve such a high rate of 'satisfactory outcomes'?

The answer to this is partly because our clients take reviews in Resolution seriously - they respond immediately and the reassure their customer that their point has been taken on board and acted upon. 

And its partly because our moderators are very good at overseeing the process - they won't let a reviewer 'rant' and they won't let our clients 'rant back'.

Why do so few customers go on to post a 'final review'?


We know the answer to this because we see both sides of the conversation: it's because they didn't really want to write a review in the first place. They simply wanted an acknowledgment from the business that it had a point to answer.

Examples of this include:
  • Mistakes - Customers who say "Something went wrong - if you can reassure me that it won't happen again I'll continue to use your business."
  • Financial issues - Customers who wanted clarification: "I didn't understand your charges."
  • Misunderstandings - customers who thought the service included something when it did not: "We were expecting a spa at your hotel."
  • Personality - the customer who 'got out of the wrong side of bed' - often resolved by explanation or simple apology "We're sorry." 

The bottom line is that Resolution works - it's one of the core features of Dialogue - helping our business members ensure that their customers have a way of communicating with them without having to post publicly on the web.

We hope this helps, if you would like further clarification please contact Karen Hutchings (karen.hutchings@helphound.com) or your business membership advisor.