Softbank China & India Holdings China Travel - Social Marketing Case Study

April 2010April 2010

China Travel and Social Marketing

WILLIAM BAO BEAN

SOFTBANK CHINA & INDIA HOLDINGS

WILLIAM BAO BEAN

SOFTBANK CHINA & INDIA HOLDINGS

“Beware the social media charlatans”

“Lately it seems I can’t go anywhere without running into a gaggle of social media consultants bloviating about the wonders of social network marketing. Sure, you’ve seen ‘em, too. Slick shake-and-bake “experts” promising to help you leverage the power of Twitter and Facebook to raise your profile and, inexplicably, boost your profits. But scratch the surface on most of these claims and they instantly crumble. Meanwhile, it seems the only people making any money in social media are the consultants themselves.”

Source: PC World - Robert Strohmeyer; HT Churbuck.com

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Going shopping for 1st grade

Online listings & directories – 4BBS – 100sMothers – 18Friends – 3

Who do you trust to tell you where to put your son for the next 5 years?

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Marketing in social media: handle with care

AwarenessEngagementConversationMetrics

Social media comes after the conversation

Trust and Value

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Source : Agenda

How do Chinese netizens select a hotel?

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SELECTING HOTEL

Information Comments Inquiry

Searching for specific hotel information and filtering from various choices.

Looking for existing comments from previous hotel visitors and take their experiences for reference.

Directly raising questions online and then waiting for answers from other netizens.

Search Engine (Google, Baidu)

BBS/REVIEW/SNS (Ctrip, Douban, DaoDao)

Q&A Platform (Baidu Zhidao)

Measuring Buzz

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Source: CIC

Measuring Buzz

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Note: The pie chart shows the distribution of GROUP Top 20 hotels.

Unit: Post; Source: CIC

Measuring Buzz

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Unit: Post; Source: CIC

Leveraging the China Internet culture

Net language - bondNet creativity - DIYNet cartoon – brand imageNet star – brand ambassador

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Source: CIC

Traditional hotel marketing – China style

MarketingCommissionSales forceHigh turnover practicesPaid pressMembership club

Large Marketing Expense

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Social hotel marketing – China style

ReviewsBloggersPressSocial mediaUser groupsMembership club

No Marketing Expense

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Orange Hotel: Case Study – social hotel

Founded by a marketer Ctrip Founder Fortune Trip; sold to Sina VP marketing eLong/Expedia

Unique challenges Fringe locations Budget Poor environments

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Orange Hotel: Designer boutique…budget

Modern Design UC Berkeley architect

Detailing counts Double pane glass Faux wood floors Natural lighting Free Internet Sheets Fish + Rubix Blocked calls after 9 Hall guards

Luxury + Emerging middle class

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Orange Hotel: Standing apart

Unique design elements Charlie Chaplin film Marilyn Monroe portraits Cities of the world Chandeliers Fish and Rubix

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Social marketing 101: Keep it real

Provide real value Entertainment Product Status

Leverage net promotersOngoing relationship, not staticTrackingProactive reaction

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1. Provide real value

Quality product – reasonable priceEntertain – fish + rubixEnable sharing – breakfast bagsReward – prizes for return customersPromote your promoters – clubNot about selling, they are already sold

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2. Leverage net promoters

Campaigns never end Reviews Bloggers Press

CCTV CEO as ambassador

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3. Ongoing relationship

Membership clubUpdating the experienceKeep it interesting

Marilyn wall 60% posts Fish & Rubix 30%

Keep it real Donate to help needy

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4. Tracking

What is the social graph saying? The brand and also by hotel Competitors What other brands do the net promoters like?

BBS comment tracking Google Trends CIC Sinotech Brand Karma

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5. Proactive reaction

Managing complaintsCall out promotersFish deadContentMini-barEco-friendlyNo smokingQuiet signs after 9

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Crystal Orange Hangzhou

Hangzhou RMB400/night Westlake lakefront In-hotel restaurant Dragonfly massage “Best boutique hotel in China

2009” by Hotel Professional Executive” magazine and "American Hotel & Lodging Educational Institute"

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The numbers

No marketing spend93% occupancy 82% repeat customers

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Thank You!

William Bao BeanPartner

wbean@softbankci.com +86 139 1789 8171

+852 9131 0218