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Accor Hotels Increases Online Revenues by $250M while Reducing Marketing Expenses

Case Study Published By: Neolane, Inc.

Accor is one of the world's largest travel, tourism and corporate services companies. With over 4,000 hotels worldwide, Accor Hotels covers all segments from economy to upscale. Sofitel, Novotel and Motel 6 are just a few of Accor's hotel brands. Accor's online relationship marketing strategy aims to convert prospects into customers and build customer value through increasing the depth of relationships and growing revenues from repeat bookings, cross-sales, up-sales and referrals.



Tags : 
neolane, accor hotels, improve reactivity rates, campaign personalization, collaborative content management, crm software, custom content, deliverability
Neolane, Inc.
Published:  Dec 30, 2008
Type:  Case Study
Length:  2 pages

AccorAutomatesOnlineRevenue
GrowthwithNeolane
AccorHotels.com,partoftheAccorhotelandservicegroup,implementedNeolane'sCustomername:AccorHotelssolutiontoimproveprospectandcustomeronlinecommunications.CombiningIndustry:Travel/LeisureBusinessNeed:Multi-channelcampaignpersonalization,collaborativecontentmanagementandautomationdirectmarketingenabledthecompanytoincreaseonlinerevenueby$250millionwhilereducingTechnologyenvironment:marketingexpensesby$400,000.Sun,Linux,Oracle
Globalhotelierseekstoboostrepeat.Targetingwaslimited,leadingtorather"Thetimetakentobusinessthroughpersonalized,onlinegenericcampaigns.directmarketing.Therewereproblemswithdataownershipcreatecommunica-Accorisoneoftheworld'slargesttravel,andconfidentiality,causingcompliancetourismandcorporateservicescompanies.issues.tionshasbeencutbyWithover4,000hotelsworldwide,AccorHotelscoversallsegmentsfromeconomy.Therewasnoscenarioorautomationtoupscale.Sofitel,NovotelandMotel6arefunctionality.half.Inthefirst12justafewofAccor'shotelbrands..TheprocesswaslaborintensiveandmonthswesavedanManycustomersbooktheirAccorpronetohumanerror.hotelaccommodationthroughCampaignsrequiredaninordinateamountestimated$400,000."www.accorhotels.comandassociatedoftime,effortandresourcetodeliverandbrand-specificwebsites,wheretheyareoncefinallylaunched,click-throughratesMathieuStaat,offeredtheopportunitytoopt-intoanweredisappointing.TheservicesimplyCustomerRelationshipandonlinecommunicationsprogram.couldn'tscalewithAccor'sgrowingMarketingDirectorofdemands.Accorhotels.comAccor'sonlinerelationshipmarketingstrate-gyaimstoconvertprospectsintocustomers"Inaddition,wehadtopaytheserviceandbuildcustomervaluethroughincreas-providerforeachcampaignandtherewasingthedepthofrelationshipsandgrowingOBJECTIVESnowaytolinkthisactivityinreal-timewithrevenuesfromrepeatbookings,cross-sales,ourin-housemarketingsystems,"explainedDriveonlinerevenuethroughup-salesandreferrals.Staat.personalizeddirectemailmarketing.AccorfounditstraditionalemailAftercomparison,AccorselectsShortencampaigncyclesbymarketingserviceinflexibleandNeolaneforitscomprehensiveonlineswitchingfromemailASPtotimeconsumingmarketingfeaturesandeaseofusein-housesolution."Onlinerelationshipmarketingisanimpor-AccorbeganthesearchforanewsoftwareReduceoverallmarketingtant,butcomplexactivityforus,"saidsolutionoffering:spendbyeliminatingprocessMathieuStaat,customerrelationshipandinefficiencies.marketingdirectorofAccorhotels.com."We.Supportforadistributed,multi-lingualRESULTShaveseveralhotelbrandsandofferonlineandmulti-brandenvironment,enablingcommunicationsinuptofivelanguagestocollaboration,yetcentralizedcontrol;Onlinerevenuegrewby$630M.subscribersacross15zones.Wealsorunsix.In-housecontrolofcustomerdata;Timetocreatecommunicationsdifferentloyaltyandsubscriptioncards."hasbeencutinhalf..Sophisticatedtargetingandsegmentation;ConductingeffectivecampaignsinthisExecutedtwo-and-a-halftimescomplexmulti-brandenvironmentrequires.Cost-effectivegenerationoflargenumbersmorecampaigns,whilereducingautomation.PriortoNeolane,Accorusedofsmall,focusedcampaigns;marketingcostsby$400,000inthefirst12months.aservice-basedapplicationtomanageits.Easyreal-timeintegrationwithotheronlinecampaigns-butasthevolumeReactivityratesmorethaninformationsystems;andofcommunicationsgrew,itdidnotmeetdoubledto30percent.Accor'sneedsinanumberofways:.Enhanceddatasecurity.35percentofsubscribers.Therewaslittlecontent-managementAnotherkeyrequirementwasthatthesolu-bookingroomsdeclaredbeingdirectlyinfluencedbyfunctionality.Itwasnotpossibleformoretionneededtohaveashortlearningcurvepersonalizedemail.thanonepersontoworkonthesameandbegintodeliverareturnoninvestmentcampaign,causingdelaysandconflict.(ROI)within12months.Atahigherlevel,"In2007,usingNeolanewesentover50millionemailsinfivelanguagesandactuallycarriedouttwoandahalftimesthenumberofcampaignsweraninthepreviousyear."
theimplementationalsohadtocontributetoResult:Reactivityratesdoubled,acorporate-wideobjectiveofdrivinggrowthrevenuegrewby$630million,costsinonlinereservations.reducedby$400,000Accorbenchmarkedaseriesofpotential"NeolanehasstronglysupportedAccor'ssolutions.Iteliminatedseveralproductsthattargetsforincreasingonlinereservations,"weretechnicallyincompatible,CRMtoolsStaatsaid.thatrequiredsubstantialinvestments(withAnalysisofcampaignstatisticsdemon-typicallylong-termROI),andsolutionsthatstrateshowNeolaneisaddingvalue.requiredburdensomelevelsofintegration."InourfirstyearusingNeolane,wesentAccorultimatelyselectedNeolaneasalmost20millionema... [download for more]

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