Hospitality Marketing The Podcast Show 260 July 31st 2020
Hospitality Marketing the Podcast Show 260
Hospitality Marketing the Podcast Show 260 Transcripts (English U.S.)
Announcer — Welcome to this week in Hospitality Marketing. The podcast show number 260 with your host, Loren Gray.
Hello Everyone and welcome to Hospitality Marketing The podcast I’m your host Loren Gray, and this is episode number 260. So each week we spent around 20 to 30 minutes sharing most interesting tools, news and techniques being used in marketing for the hospitality industry. We also do a quick recap of our weekly live video show this week in Hospitality Marketing, which also airs every Friday at 11:30 a.m. Eastern U. S time so with that, lets get started.
Announcer — And now today’s new resource tool
So our tools for review and yes there’s two of them. This weeks tools are a little bit towards, of course, what are technique will be for the week, which we’ll get to, of course, and I would like to bring one that I have used and have continued to use for a number of years now, for my business, it allows me to coordinate and transparently show what we’re doing and keep record of what we’re doing and how we’re getting it done, and that his teamwork.com.
Now I went through ah, massive vetting process to determine what I wanted to use to have as a project management platform, having gone way back into the day with Microsoft’s project management software and being dumbfounded by all the things that was supposed to do and not really know how to do project management and not what to do with it and how old work and what’s again chart and all this other stuff. I had to get re familiar with what a project management platform should do. And there has been a host in a variety of platforms out there that have come to market, especially for the entrepreneurs and for small businesses and for people that, um at hockey users where your garden variety of people like we do for different projects and so forth and then, most importantly, from our client’s perspective, looking at and be able to evaluate what’s being done for them.
What’s the estimated time and consumption and work that’s being done on certain projects and tasks? And then, of course, that cost factor based on whether how you finance or monetizing for your projects and so forth? That’s what it’s really taking to get those things accomplished and done. There’s a amount of interfaces with this that are very enjoyable in the sense that you can just have lists or being a bullet points or whatever have you can have GAN charts with it, but you also have tiles in project listings based on today, Tomorrow, what you’re keeping track of or what have you.
But the real key element of Teamwork.com is adaptive. It’s also very affordable. It’s about $50 a month, and with it it allows you to add in who you’re dealing with business, their context, the relationship with the project itself. You allow them to be attached to projects or tasks and so forth. You can categorize your task into task list. You create milestones. You can create risk factors Where if this isn’t done, what’s the repercussions and what’s the Hyatt? The probability of that happening? And what’s the ramifications of it by scale?
So you can make highlights that to say if this fails, this is the room of the rollout, for this is our backup plan for this, whatever have you and I know it may be all over the board if you’re not familiar with project management tools. But it has all of these tools that has all this functionality into it, and it allows you to coordinate, organized and track all the moving pieces towards your doing, which will be important to our technique discussion here shortly. A lot of people say I don’t need a project management platform or within the hotel business is south of the hotel itself.
It’s like, Well, look, I have multiple departments have different categories of people that are doing different things. I don’t know if I really need a platform that they all have to touch and get engaged with and get assigned from and keep up today with, You know, maybe we’re just doing chats and and in Slack or Microsoft teams or things like this. And there again, these are all viable solutions to this process. I just have chosen teamwork for what it is that I need. It also loves me again, is a certain transparency with my clients that they have, and their team has the ability to go in and literally see what’s being done.
What’s the status of it being done what’s been done towards it. Make comments, add suggestions, see what the dialogue is between our team members and their team members so that we have an open dialogue. So it’s not this perpetual email string of email strings. And, of course, we all have had the complaint that the subject that created an email has long since been lost, based on the report of the reviews and the replies and over and over is of all the people that have been CCD, NBC Seed, and replied to that was convenient for them just to reply back to an old email that has nothing to do with the dialogue.
So this platform supersedes that. It brings it all that conversation in and keeps it to the task or to the project to the program that’s going on so that no dialogue is unrelated to what it’s connected to, which is but one of the strongest features of it. In addition to the transparency and organization capabilities of this platform. But from a process of going forward to where we are right now, we’re rolling in August and 2020. I don’t have to tell you what 2020 has been Um, and because of that, we have to reevaluate how we’re looking at what we’re doing.
Maybe before you had team members, maybe before you had several people that you’re working with, and now you’re finding yourself having to be the responsible person or party for a lot of variations that you weren’t from, say last year, even accept. We’ll get to that in our technique discussion. So the looking at project management platforms like teamwork dot com might be a new perspective for you might be a way of you organizing not just what you’re doing, but what you might be having third parties do or ad hoc teams or corporate relic rabbit representation.
You know, ask him to do specific things in support of you people that are doing adaptive things for you. It might be interesting platform, and the other tool that I want to refer to quickly before we get to the techniques is one that I have referred to before. For the very reason what we’re gonna talk about Stringer shortly and that is g rou dot com. Zero is a funnel modelling platform that’s very affordable. What is funnel modeling? Well, it literally allows you to create scenarios based on your marketing, your campaigns, your strategies and what have you they?
You mathematically look at traffic values, cost conversions. Retargeting is what you’re doing to communicate all these logic flows. That’s a new term. Take the time to look it up. Look at what that means. That means conditional statements will take an easy example. With emails, you can create a good workflow that says I sent out an email. It’s a newsletter. Okay. Did they open it or didn’t The open is the Why in the end, Okay, if they didn’t open it, how many days do it before you send a second email and do you change the subject matter?
Content may be the same. Subject matter may change. If there was a yes open, then they has its own logic flow. Did they open any of the links within that newsletter? Yes or no? If it’s a note, do you bring them back to seeing that the email again? Or do you send a different email to them? If it’s a yes. What? Yes. Was it? What did they open at that point? Was that your AARP offer wasn’t your family offer. If so, what did you do about that?
Did you send something different? You are unique to that interest on and on and on. Anyway, from that you can look at numbers as in email gets sent out. 20% opening rate. Okay, of the 20% did they open it again? You’re following the same logic string, but it’s helping you determine where you’re generating revenue from Of course, the nose mean OK, 80% of people didn’t so resend it again. And then then you. How many percentage of those people didn’t open after that? Is that the same? Another 20% was a 15 or 10% whatever.
But you can change these models up numbers wise to say Wow, if I get a 10% reopening for my second send and of that 10% 5% clicked on something of that 5% 1% converted at the cost of what I was offering it. Here’s my revenue stream and that allows you to, without spending a dollar, determine what you need in opening rates and sentence. And so from there you can then send it compared to what you modeled it for as to where you lost the numbers or gain the numbers that you didn’t anticipate and reevaluate the value of sending out those emails as to the opening rates and click through rates.
So it’s a great tool to model things like that funnel model things like that, and that is gear geru.com. Those are two tools off the week.
Announcer — now for this week’s hospitality technique.
So our technique of the week, of course, is related to our tools. And that is, Hey, it’s turning into August, and we are as an industry famous for having a budget season. So many industries have no budget season, but we have found it important enough to have a budget season now, having been in every chair around the table for hotels by the GM, whether it be corporate Weather it be sales with marketing operations, director of ops, food and beverage director.
Whatever it is, we have a season, and it’s a progressive season. August is usually about less dust off what we thought we thought were planning from last year, how effective it hasn’t been up to this point this year. What is it that we meet may need to re evaluate for next year. What are the impacts? Four. Next year in the sense of reef herbs or capital expands or ff any product and what have you, what’s? And for sales teams, they have to start dusting off. What is a recurring business cycle?
Who’s coming back and when. What have we lost? What is that we’re trying to gain who were trying to steal business from Is a new competitors? Sets with SWAT analysis All of this should sound very familiar, for everybody sits around the exact table When it comes to this time of year, this is the aggregation of data time. This is the beginning of our budget season, and so my technique is how to approach a budget season like no other. Never have we in my my High Street of many years 25 plus in the hotel industry have I now had a budget season approach like we’re doing now.
Um, we don’t have accurate numbers as to the impact of this year compared to last year, because all those numbers are, as we know, completely skewed to the events that happened in our industry globally as well. So We don’t have benchmarks to compare arrogance. We don’t have margins to consider improving. We don’t have return business in the capacity of what we lost versus our competitors, where we all lost business. So we have to really, literally for the first time, build what we are hoping next year will be like, based on conditions that we’ve never had to incorporate into our budgets before.
And this is we go to require a lot of strategy. Here’s the downfall to that strategy. There’s fewer of us doing this than there was even last year. Also, the data that we’re gonna be using going forward is not data that we can use historically next year. So we don’t have the benefit of short circuiting how I should say the oh, let’s just add 4% here, 5% there, 6% there. Let’s cut that part out. Let’s make sure we had that part in that can’t happen for 2021 because we have no references to its use abilities for 2021 in comparison to 2020.
What we do have to do is take all the things that we anticipated last year as a snapshot of what the world should have been had this not happened. Take a very realistic look at the numbers we have this year for those who are still surviving in our current economy is right now and see where the bottom basement is on those and then for 2021. Start creating conditional statements as to what we would have to budget towards based on certain factors happening or not happening. And these factors have nothing to do with our sales skill.
It has nothing to do other to our marketing. Skill has everything to do with society, governments, medical and trends. So we have to start planning on, if then this conditional statements. Now, back in the old golden days, we used to basically refer to the fact that we would be building three budget through this process, the one that we would really really like, which is usually fat and heavy with things were going to spend money on Ah, the second is the one that we would hope they never would get or the window you hope that they would settle for, which was huge cuts and cause, not getting other certain improvements or renovations and so forth going as is so forth and so on.
Which was the low end of the budget process that was usual. Corporate leaned into most like, No, we don’t want to give you that much money. No, we don’t want to do this. No, you have to sit on the same furniture for another year, whatever it may be. And then somewhere between those two is the one. That’s the happy medium. One, which is you get some of the stuff that you wanted. They have some of the stuff they wanted neither of your totally happy. But both of your okay with it.
And that’s usually a budget process Work. Well, this year going into next year, we don’t have that luxury. Ah, lot of it. Really? Literally. Maybe. How well can we survive what is actually our monetary capability of staying in business? We are, unfortunately, witnessing an unprecedented los An obituary lists, as it were of companies, hotels, whole sections of ownership that are shuttered, closed. Now that changes our competitive set. For those who are still surviving, it changes our competitive set for those that are gonna be acquired. Because of that.
For those that have ample funding to take on these hotels on run them better than they may have been run or refurbish them into something else that they weren’t before because they had the funding to do so and changes your competitive set a lot. And in some ways we don’t even know what these things are because those hotels may not emerge to what they’re going to become until well into next year or well into the same time next year, Or maybe even, perhaps passed this time next year.
We won’t even see some of these things actually coming in until the end of next year. But, oh, we were looking at making a 2021 budget. So unlike times past, with much budgets where you tended to make a completely annual one and then hopefully taken off the shelf frequently enough that you were comparing what you thought you were going to be doing to the realities of what you’re currently doing, you know from this podcast him from the live shows. Many times I’ve told you that budgeting is a living process and right now budgeting and finances and P and L’s and Operation ALS and marking strategies is a daily process.
There is no guideline for what we’re doing right now. It literally is by day what that normal is for that day. That’s what you’re doing that day and your concoct stint Lee, creating conditional comparisons between what’s going on, what you plant, what that was going on and what you hope goes on and have plans for. If it goes this way, we have some idea of what we were going to do, because that way we have somebody what’s going to Dio And here went this way. It was pretty close to what we has an idea going to do.
So it’s a constant variation. You’re flying the plane in no autopilot mode. You’re literally flying between the clouds up and down in the atmosphere is the storms are raging around us. There is no autopilot to this process. There is no market plan that’s on a shelf that we already have a plan. Six weeks, 12 weeks, 18 weeks, 24 weeks out. It isn’t we have ideas, but we don’t have a plan. We have process, but we don’t necessarily know that that’s going to the process we create to reality so going back to the tools we talked about teamwork dot com guru dot com thes air, the means and methodologies creating conditional budgeting with the idea that there may be few of us going through this process is more important now, more so than ever that what you’re doing to create thes conditional answers to your budgeting in the future tense gets recorded in a way that if it’s not you sitting in a chair right now that somebody looking at what you proposed understands it in a format that isn’t crib notes and sidebars, scribble notes and wacky stick it notes on a white board you need structure and organization because even if you stay in your chair and slowly in time, maybe you get more.
Resource is you need a point of truth to bring them to. That says this is my master plan. This is what I’m planning on doing. This is what I had taught anticipate doing these air on my variables. This is what I thought were going to be doing by this time. This is why I thought we’re gonna be doing it at that time. This is the timeline I gave myself to do it at that point. That’s the resource is we needed the values we needed, the costs that we needed as to what we’re planning on doing now.
Whether it comes to a fresh in, like I said, is a variable. But this method of organization, this point of truth, organizational structure like what teamwork can give you or other project management platforms are very critical to future success. You can’t remember everything about all the things you’ve created as variables. You need to put it down in a format that is consistent and understood by people beyond yourself. Now, of course, if you still have team members that you’re working with, going through this process and organized point of truth in which everybody can interact with is even more critical, because then there is no confusion, as did you get the email?
Did you follow the 15th level of the string of the email? No, we changed that plan last week. No, you weren’t on that zoom call with us that goes away when you have a structured central core point of truth, Project management platform, like teamwork. Okay, Guru allows you to create the variable choices as to with this being this way and that being this way, what do we anticipate this happening as? And you can create scenarios and make comparative scenarios so that when it does jag to the left, when you thought I was going to take a right, you can say, Oh, let’s drop in this scenario with these change numbers computer What we thought it was to know what we need to change to now be more competitive or correct with where it’s gone.
And four funnel forecasting is critical to that. Knowing that you have a base template ist what you’re looking to do. Some variations of it goes one way or another based on certain criteria points. And again, you could, uh, I’ve been told I should teach project management in a class that people can download. And who knows, maybe that might happen. But if you don’t know about project management, it’s critical to this. If you don’t know about funnel analytics and forecasting, it’s critical. You need to be able to create some methodology like a navigator looking forward to saying, I want to get there based on the tides, the currents, the winds, the sees, the storms. Whatever.
I need to constantly readjust what I’m doing to still end up where I want to be. And that’s what Funnel analytics does. That’s what project management does. And that’s why so critical that these kinds of things get incorporated into your development into your budget season. Now, because after August is accumulation of data comes September’s propositions and injections and forecasting to October’s decisions and finalization. That’s our season. Remember now it may not run that way because we’ll be constantly in flux, but that historically is the time zone of what we do budgets for.
And that’s historically the progression of budgets. How well you go through that process is how well organized you are and what tools you have to make that a successful decision. So that is our technique of the week of how to approach a budget season like no other.
Announcer — Now, this week’s hospitality news that you should know.
OK, so news and show review. Awesome show. As usual, we did a little twist this week where we have always relied upon Robert Cole from Mark Cheetah to give us a well curated listen.
He did not disappoint the shoot this week either. But he sometimes comes right about the temper. Started the show, which is great for the most recent greatest information, by also a little hard for us to prep and go through all the content in a way that makes it give us a fair do. So I asked, Because we have such a great combination of co host these days have been persistently engaged with us. If they would bring to the table kind of a show and tell, What’s your favorite talk with that?
You wanted to talk about this week that you thought would be relevant for our discussion this week off what hotels and hospitality professionals should be looking at with us was Mr Every ST Onge with Flip to Mr Dean Schmidt with Meta Search. Um, and was it based? Can’t medicine urges, while he has two platforms? One that he trains with them when they need those services with Mr Jason Freed from Hotel recovery. 2020 Adele Gutman from the library collection. But she’s opening her Aspire Review counseling services, which she again more type of the Della anytime.
Tim Peter with Computer Associates Tristan Hayward, Uh, and from three and six agency across the pound over in England. Ah, store butler. Would they fuel travel Valent Parini with nor one and Lily mucking with T crm services and thinks up enterprises between all of us. We got together. We started just hitting some pretty could read out of the gate kind of stuff. Um, Adele brought to the table discussion about the HSM ei song about what? What’s on the minds of hospitality professionals. Where is where is the industry going?
What is it looking at doing? And she brought it to the attention mainly for the interest of the fact that if HR departments are asking these questions at this late stage of the game, it is gonna be so harmful for them who they represent to get out of the mud because so much has changed. And if they’re just coming into what we should be changing these things. They’re so far behind those that have realized that months ago have already started creating changes months ago and already adapting what they’re doing for I bring in the proper people in the proper positions at the proper time.
If if so many of these HR people are looking at evaluating what’s to be done. That’s a little bit like looking at the race track of what you going to do when you run it when already the races running your kind of already lost the game. Because by the time you join everybody that started the race well ahead of you is probably already hit the finish line. So that was that conversation. Um, there was some great, um, statements made by people. Tim always has great high altitude perspectives, and he made a very interesting statement from basis.
They says basis is that your margin is my opportunity. There’s always someone coming for you. And we brought that up in conversation primarily to know that in our culture of business hotels that are waning, hotels that are lost hotels, they’re just trying to navigate their way or figure out a way to survive are going to go over and get dominated by those who don’t ask those questions. They already have answers, or at least have adaptive Lee gone through and had variables of answers so that there never caught off guard to know what they should do next.
Kind of living of earlier discussion of technique of weekend are tools. Of course. Um, another great statement was made by Stuart Butler from fuel Travel, which is And this was a great that I started this with our premise to the show. Actually, I subtitled it Enough is enough of basics. My contention is I was very frustrated and still and frustrated by the gibberish white noise of people basically magpie anger fr echoing everybody else. You know, you should be doing PPC. And if you’re not doing associate being social, they’re not elevating their dialogue to going beyond the basic diatribe of yes, you should be.
And you should have been doing this five months ago when all of this happened and you should have already been adaptive is what you’re doing by now. But there are live broadcasts of people that just harping on reminding people, How bad is your company? What’s wrong with you and what should you think should be happening Next is so much rhetoric of the same stuff. Nobody’s elevating that dialogue of advanced tactics beyond the basic diatribe of Well, you should have done this by now. You should have already combined your sales and marketing team.
If you haven’t done that by now you’re probably not gonna come out of this very well, if at all. That’s how cold I am about that thought process. But store made of excellent statement, he says the noise to signal ratio is, in his mind the worst that it’s been in a long time in our industry and truly is. There’s some you are acting like, Oh, I have the answer to this and all they’re doing is saying the same basic BS that they hear from somebody else. They’re not talking about advanced means in solutions and processes, and that’s kind of been a frustration point mind for a while.
Is that my gosh, we gotta bring this up to the level that needs to be to create solutions, not whining, bemoaning. What’s the problem past that? We got to fix the problems. We gotta work past this process. Yes, it is terrible. Yes, we’re being told to shut down. Yes, business and traveling everything. It’s the reality. Thank you, Captain. Obvious. What are you doing about it? What can we do about it? What should be doing about it? What’s being done about it? Vans conversation. Very powerful about stuff like that, um we talked a little about the Airbnb effort about the fact, and this was a closed article that I made sure that we want to say that you have to actually suggested to get to.
But they had some great points within about how it is basically building his business without leaning into Google to do so. Building a very strong direct business model, communicating directly with its guests via its hosts and how it’s building that. And it’s a lesson to be learned for us. Is hotel yours as well? There’s an article that will get to which is my feature article this week. I want to touch on this was brought to the table by Valen Parini. Um, but also, we had a pretty lively discussion about how well high tech do as a virtual event this year.
For all of you in the industry. You know, high tech is kind of like the main tech. It is the main tech conference for our industry. It has been for for decades. What’s gonna happen now with it being virtual. How is that gonna work where you can’t walk the floor and see stuff you normally wouldn’t have seen because you had to walk by to see the stuff you did. One of the things was mentioned by Jason was he feels that the education Siri’s will still be strong because people will be able to still get great education aspects from that aspect of it.
But from the exposure of products and so forth, it doesn’t lend how high tech was built. Where, Aziz pointed out, there’s a seniority system as to where you when you can place based on how often you represent yourself in high tech, where you can pick your booth well, that creates a very kind of eclectic mix of one booth of product can be next to another booth that isn’t related to each other. But because they’re all up and down the rows like that, you have to walk in the entire floor, which is a huge to see everything, or to see the boozy want to see you pass by the booze that you didn’t even know existed, which gave you a chance to exposure and see things compared to other conferences.
It was pointed out in a discussion that, you know, they kind of group the same stuff together. So, you know, uh, SAS information’s going a one room markets going another room room technology is going to get another room. So you’re all kind of gathered together so you can see over thing that you were interested in one place. Is that what’s gonna happen with them? They just don’t know. And, you know, we have several vendors, like store was on in. So too with Fallon is too. Are they going to spend that kind of money?
And it’s no cheap money that they’re asking. It was kind of a mind numbers, too. If this is uncertain thing, why you asking for so much money from the vendors? $1800 up to have a virtual booth. What are you getting for that? How is it being promoted by high tech that you’re gonna get the foot traffic, so to speak in front of your product, to validate that kind of money? You know, back in the day with the boot, that was already bad enough. Your bank, you know, for carpet and Internet and having a TV or stand, or you know we’re next to curtain or whatever, but this is just virtual and That’s, um, seriously heavy duty pricing that’s going on.
So we’re pretty good discussion about that as well. So the article that I want a feature in on is really one that’s been fun. That was out of theatlantic.com, and it was hung with scourge, hygiene theater and the premise of the article. And it was kind of interesting because, as Stewart pointed out, when I first started reading it, I was reading it to tear it apart like, No, I don’t agree with this and let me just read enough to justify my position. But eventually I got past that and actually I was buying into the dialogue about it.
Um, ultimately, what we’re looking at is that the progression of the conversation talks about the fact that as we learn more more about covert 19 and its progression and capabilities of spreading and so forth, we’re learning Mawr Mawr that this hyper hygiene cleaning sanitation programs that we’re throwing out there aren’t really doing much in the sense of the physicality of actually improving the lack of transmission. It’s been progressively showing that the rial transmission of this is airborne in proximity without proper protection, inhaling it that anything that lands on surfaces, even though there is some aspect of its stain, there isn’t insufficient density.
And as soon as it lands, it begins to die. For us to think that’s not impossible. But as it keeps saying highly, highly improbable, that you would actually contract Cove in 19 or variations of it that way. So all of the extra heightened sanitation not going into room the day after killing that inventory sale because we can’t sell the room cause it’s within 24 hours having been pre used all of that, how much is that really hurting us by doing what really is not and is helpful as it should be?
Now, of course, the first reaction is perception. Just like as we would bring up the TSA 15 years ago, someone tried to blow up a plane with sneakers were still taking our shoes off to go through. Nothing’s happened since then, but is that because we’re doing that? Or is that because that’s no longer being tried? Either way, it’s turned into a standard for us. Same, too, with the ounces of fluids and so forth. We create the’s no malice ease for ourselves and undoubtably. Some level of normality of heightened cleaning is going on.
But from a business perspective, the 20% increasing costs associate with the extra product usage is by both the team members and the actual products themselves and the time consumption of in available inventory or the stagnant separation of inventory, and certainly by the lack of common areas of the usages and so forth without proper distancing, what have you? And food and beverage operations and the list goes on and on and on. Is it really to the benefit of all this hyper sanitation that we’re doing? Or is it just out of the perception that the public is expecting that as a means of compensating for their insecurity?
And on top of that, I brought up the conversation point of I hope that in time we get past this one upsmanship. Oh, I have a UV robot like the hospitals that comes in the room and zaps that stuff. And next person pops and said, Well, I got that and I got a I got a a covert bomb, uh, sanitizer that blows up in the room and unsanitized is all the surface on top of all that you ve stuff and then you have something behind them. Go. Well, I got that.
And and the idea of it is, is we’re trying to basically in front of each other in line in front of the guest that’s currently interested to traveling that you were doing all this. The interesting twist that is the current traveler by demographics is the least concerned risk taking traveler. Right now, they’re the ones that have pretty much either thinking it’s a hoax or thinking they’re immune or thinking it’s not big deal. So all this hyper stuff we’re doing isn’t really drawing in all of the other us.
Is that air sitting back going? It’s not safe enough yet. I’m not gonna do that, you know. You don’t want to do that. Don’t want to do that. No one to do that. Not gonna tend that. Not gonna go there for that. I’m staying home from this. And of course, you know we’re looking at going thing. I’m one of those people. I would not want to goto a hotel right now that didn’t have both the team compensating for any sanitation that I would be interested in the screens, the white things, that sanitation and so forth but more importantly than their own foresee with their guests as well.
Yet when you think about it, the things that they’re doing to make me feel good about that literally are probably some of the least impactful things that will help me feel never, actually physically make me be safer. It just makes me feel safer. So it was an intriguing article, of course. The link to that and all the other links that I discussed on the show, including team working group dot com, are in our show. Notes. Remember, you can find us on Google Play Apple iTunes I Heart radio Soundcloud Stitch responded by Pandora Tune in pocket Cast Breaker a Cat.
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