Introduction
The 4-star hotel can increase its sales through affiliate marketing. This form of marketing entails
the use of third parties, also known as affiliates in advertising the services offered by the hotel.
The hotel has three sets of facilities, which can all be advertised through affiliate marketing; the
accommodation component with 60 rooms, 2 restaurants and the bar. Through affiliate marketing,
traffic is generated through the efforts of affiliates, who are further compensated based on the
actual guests they are able to attract to bring to the hotel. Ideally, the model of compensating the
affiliates is through commission fees. In the age of digital technology, affiliates are leveraging
on social media and other digital components to drive traffic, with an aim of driving sales.
Advantages of Affiliate Marketing
The hotel can reap big in terms of traffic, which is generated through affiliate marketing. The
return on investment by the hotel is assured. The hotel will be required to compensate for the
traffic that translates into actual sales. Further, affiliate marketing is a low-cost advertising as
compared to the conventional methods through broadcast and print media. It is also important to note
that the traffic is not driven by a single individual; affiliate marketing provides an opportunity
for affiliates to compete in being creative, something is likely to help the hotel gain
international recognition. If the hotel be trending in a week, many people would yearn to explore
its whereabouts. With advancements in technology, it is difficult to cheat the company through false
impressions and leads. The efforts of the affiliate marketers have to be seen through room bookings
and visits to the restaurants and the bar.
Disadvantages of Affiliate Marketing
Affiliate marketing is susceptible to fraud. Unscrupulous affiliates can choose to use spyware and
other online software that targets personal data and other illegal engagements all in pursuit of
higher commissions. For the hotel to be successful with affiliate marketing, the program ought to be
keenly monitored to ensure strict compliance to terms and conditions set by the company.
Costs Involved in Affiliate Marketing
Affiliate marketing is affordable because t guarantees a return-on-investment. Compared to the
conventional methods, affiliate marketing provides certainty in regards to driving of traffic and
actual sales. The amount of cost involved is dependent on the level of engagement by the affiliate
marketers.
Best Practice Examples
The adoption of associate marketing by Hotels.com is one of its major contributors to its success.
Likewise, our 4-star hotel can follow suit. Hotels.com has widespread affiliates across the world.
The company offers the affiliates with tools that allow them to share their accommodation facilities
including deep link generators and data feeds. They are capable of optimizing their campaigns
through the efforts of the affiliate marketers. The Sirenis Hotels are a family-owned business that
is doing right with affiliate marketing. Many affiliates are attracted to the rates offered by the
hotel to share their products and services, hence driving traffic. They provide commissions at the
rate of 6%, with an affiliate having the potential of earning up to $62 for a referral.
Conclusion
Affiliate marketing will help the hotel increase its occupancy, including an increase in the number
of restaurant and bar guests. The approach is effective because it guarantees the company a return
on investment; every shilling put into advertising is recovered through sales.
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