| | 8 HOSPITALITY BUSINESS REVIEWJUNE 2024By Danny Rose, SVP, E-Commerce, Advertising & Digital Marketing, Playa Hotels & ResortsCONSUMER-DIRECT BUSINESS STRATEGYWhen I took the role of senior vice president of e-commerce, advertising & digital marketing at Playa Hotels & Resorts, the expectation was simple ­ grow Playa's consumer-direct business. While the expectation was simple, the task at hand was no small feat and could only be accomplished with the support and coordination of the entire organization. The early days were challenging as we built the infrastructure to service consumers knocking at our door while simultaneously levelling the playing field with third-party distribution channels that had historically filled the demand void. While we still have more work to do, the results to date have added significant revenue and profit for our company through lower cost-of-sale, reduced number of distribution channels that added little value and, most importantly, simplified consumer decision-making by ensuring price parity across all distribution channels.And we did all of this prior to a worldwide pandemic that brought global travel to its knees.The impact of COVID-19 on our business was immediate and catastrophic as we shuttered resorts and stopped sales and marketing efforts almost overnight. However, as we began to navigate our recovery, it became evident very quickly that our direct consumer channel was leapfrogging third-party distribution channels. There was an early opportunity to gain momentum and share, and we seized it. Two years removed, that momentum has sustained, and we continue to be on track to achieve 50 percent of our business coming through our direct channel by the end of 2023.To meet our primary goal of increasing high-rated, consumer-direct business, we took a four-tier approach. We began by building a strong base, followed by controlling onward distribution, then focused on a holistic marketing plan, and lastly ­ but certainly not least ­ we developed deeper relationships with our global hospitality brand partners that include Hyatt, Hilton, Wyndham, and Marriott.IN MY OPINIONDanny Rose
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