WEBMARK Hotels Cross-national Benchmarking January 2010 Klaus Grabler

Phases of project Conception & Adaptation • start-up meeting (1 day): determination of content • preparation of proposal (1 week) • signing of the contract (at least a 3 -year contract) • revision/adaptation of content: (~ 8 weeks) § adaptation of system structure, creating users, rights etc. § adaptation of reports, input masks § benchmarking criteria, filter, segmentation criteria, § creating interfaces (languages, currency converter, data retrieving) § translation • presentation on-site, final coordination meeting and introduction to the system (1 day) • current tasks/operations 2

Elements of set-up costs Fix elements of set-up costs • 4 modules (ratios annual, ratios monthly, guest survey, employee survey) • system adaptations § additional content (reports, input mask etc. ) § project structure (state, region, cities etc. ) • coordination meetings, travel expenses • translation interface, translation into English • currency converter interface Optional elements of set-up costs • interface for retrieving data from a server in Slovenia/Croatia • server costs • further interfaces for the translation into Slovenian/Croatian (translation has to be organised by the partners) 3

Elements of current costs Overhead costs • administration of new users, assignment of user rights • adaptation of reports and input masks • setting of filters, segmentation criteria, benchmarking criteria • providing support for data cleaning • technical support • annual meetings/workshops – quarterly in the first year; semiannually in the following years (excluding travel expenses) Optional cost elements • maintenance of data retrieving interface • maintenance of translation interface as well further translation into Slovenian/Croatian 4

An all-round database for everyone WEBMARK Hotels… ü connects knowledge by gathering information from other tourism databases ü „Lohnbenchmarking“ (salary benchmarking) ü „best for people“ (employee and entrepreneur survey and certification) ü offers an efficient tool for categorizations and certifications (evaluation of stars | an example) ü is one of the most holistic and up-dated benchmarking tools for the hotel branch (the database contains more than 3000 balance sheets) ü offers benchmarks for different institutions such as destinations, associations, federal states etc. ü provides data for lobbying-activities ü provides information to demonstrate the importance of tourism 5

Benchmarking possibilities Benchmarking… >>on national level >> between federal states >>between destinations >>of different structural characteristics 6

An database for everyone Overview & advantages ü continuous monitoring of ratios (monthly and yearly basis) as well as of guest and employee satisfaction data ü holistic data pool: data of about 1000 hotels in Austria and Germany ü overview of different areas (ratios, guests, employees) within a system - possibility to combine/connect all these results - hence drawing accurate conclusions ü revenue management based on simple ratios ü flexible selection of time periods measurement of special offers within certain periods (e. g. easter holiday) ü simple to handle and efficient provision of information 7

Size of database 210 participants in the year 2009… current data volume ü about 3650 financial statements ~1150 financial statements in the year 2005 ~1000 financial statements in the year 2006 ~1000 financial statements in the year 2007 ~500 financial statements in the year 2008 (tentatively) ü trend data of about 200 hotels Lodging ratios of approx. 120 hotels (since January 2008) ü ~13000 guest opinions ü ~2500 employee satisfaction data 8

Balance Score Card … provides an overview of all relevant hotel areas! The detail information reveals what’s going on…. … provides objective information for e. g. consultants 9

How destinations may benefit … Tourism Cockpit by MANOVA & Fairmas contains … • daily benchmark • important revenue ratios of the hotel branch • forecasts regarding pricing and occupancies • data of guest surveys • e-mail reporting provides … • detailed quality checks for hotels and destinations • information about the competitiveness of products, new challenges and future trends • vital data for marketing and branding (product image, product placement, effective sales channels per target group, and many more) • reliable data for professional yield-management in hotels as well as a price check for destination managers in comparison to other destinations and competitors 10

Benchmarking between federal states … Tyrol evaluates development in comparison to Salzburg: Source: WEBMARK Hotels 11

Benchmarking between destinations … Ötztal evaluates development in comparison to Zillertal: Source: WEBMARK Hotels 12

Increase of satisfaction. . . … through investments Source: WEBMARK Hotels 13

Strengths were revealed … from: to: Source: WEBMARK Hotels 14

The number of regular guests was increased… Source: WEBMARK Hotels 15

Recognising employees´unsatisfaction Source: WEBMARK Hotels 16

Economic data Source: WEBMARK Hotels 17

Contact details MANOVA Gmb. H Trautsongasse 8 | 1080 Vienna | Austria T +43 1 710 75 35 - 0 | F - 20 office@manova. at | www. manova. at Klaus Grabler Heidi Kremsner Managing Director WEBMARK Hotels klaus. grabler@manova. at heidi. kremsner@manova. at 18

www. manova. at 19

Tool for categorization … Guest evaluation of a 4 stars superior hotel: back Source: WEBMARK Hotels 20