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Penta Hotels: A successful direct channel growth strategy

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Penta hotels photo

 

Campaign Results

Time period: 1 year

 

17%

in website conversion rate

 

+244%

uplift in conversion rate for low-intent users

 

+€11,7K

additional revenue from bookings from low-intent users

 

Penta Hotels, a new generation of neighborhood lifestyle hotels, chose The Hotels Network (THN) on their mission of enhancing the online guest experience from September 2019 to September 2020.

Inspired by THN’s pioneering and customer-centric approach, the team’s overall aim with the partnership was to boost conversion rates by improving the direct booking experience from the second the visitor lands on the hotel website.

"Thanks to the innovative solution from THN we have been able to increase our conversion by 25% within days after deployment. Besides that, THN also supports us to inform our website visitors on news about our brand or the neighborhood of our hotels. THN is dynamic and reacts fast with new solutions, always easy to deploy and catered to most recent trends."

Heiko Rieder
Vice President Revenue Management and Reservations, Penta Hotels

Trial & A/B Test

An A/B was conducted on six properties to measure the impact that THN's tools had on the hotels' direct channel conversion rates.

After splitting the website users into two groups – group A saw the THN tools but they were hidden for the control group B –  the test results showed an average increase of 17% in website conversion rate.

 

Predictive Personalization in action

After using THN tools extensively, Penta Hotel decided to test some new initiatives: THN's Predictive Personalization.

The aim was to generate additional revenue from website visitors with a very low probability of converting, while reducing overall promotional spend.

To measure the impact, a control group was added for the A/B test (90% of low-intent users saw the Predictive Personalization campaign, 10% in the control group did not). The trial was set up on the website of three properties within the group.

 

Campaign for low-intent users

When a low-intent visitor was identified, a Smart Note was displayed in the booking engine highlighting a targeted incentive. By only showing the offer to those who really need an extra nudge, the brand experienced an uplift in conversion rate for low-intent users (versus the control group).

 

Download the full PDF to discover the full story.

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Smart notes Penta HotelsSmart Note nudging users down the booking funnel

 

Price comparisonPrice Comparison displayed on the booking engine

 

Oraculo

Predictive Personalization testing setup

Direct booking

Predictive Personalization campaign for low-intent users

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