hitec tech talk-2014-final-ls-2 with notes
TRANSCRIPT
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Optimizing & Monetizing Guest Networks
With a preview of guest Internet usage trend data!
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Dan Lulich Chief Technology Officer |
Eleven
Coleen CareyVP, Marketing | Eleven
PRESENTERS
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
ABOUT ELEVEN
• Eleven is a trusted software provider to the hospitality industry since 2002
• Approved by all the major brands and used by top boutique brands, management companies, and ownership groups
• ElevenOS is a guest Internet management platform; we are not a HSIA vendor
The Guest Technology Standard
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
MOBILE & MULTI-DEVICE USAGE
mobile data traffic growth year-over-year1
81%
average # of mobile devices carried by business travelers 2
2.68
DEMAND FOR FREE WI-FI
of hotels offer free Wi-Fi 4 and you have to compete, BUT….
64%
of business travellers would pay for a faster connection 6
35%
NETWORK COSTS
average cost of hotel Wi-Fi installation 4
$125k
estimated monthly cost of delivering 100MB of data per second 5
$3 - 4k
GUEST INTERNET TRENDS
BANDWIDTH CONSUMPTION
the year video reached half of total mobile data traffic 1
2011
more Wi-Fi data is used by iPads than other devices 3
400%
Mbps
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Elements of
Bandwidth Optimizati
on
Reliability Utilize
enterprise grade
infrastructure
ConsistencyAllow usage across guest
rooms, lobbies, etc.
PowerUse more APs
to better handle mobile
devices
Intelligence
Deploy smart antennas and
radios
ControlKeep an eye on
usage and adjust settings
FairnessShare
bandwidth across guest
devices
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Groups and conferences should get bandwidth priority
Consider offering priority and/or discounted plans to loyalty guests
Use load balancers to maximize reliability
Bandwidth is King: Get as Much as You can Afford
RESULT: Better Guest SatisfactionProvide adequate
amounts of bandwidth to keep guest satisfaction up
OPTIMIZATION
Mbps
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Use a guest Internet management platform, like Eleven, to help optimize your existing infrastructure for better performance.
Leverage the Latest Technology
Plug into your current Property Management System and other third party applications for best results.
Integrate into Existing Systems
Measure and monitor performance with bandwidth and usage reports to maximize and preserve your bandwidth.
Measure, Monitor, Maximize
1
2
3
OPTIMIZATION
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Preview of Guest Internet Usage
TrendsBased on sample data from properties using ElevenOS
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
1 FREE + 1 PAID PLAN
Select Service Segment
DATA SETS
2 PAID PLANS
Luxury Segment
1 FREE + 2 PAID
PLANSMixed Market
Segments
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
88%
100%
50%
0%
Who chooses the FREE
plan?
How much can a hotel make?
$10average per room, per
month
Enough to cover cost of delivering Internet to each
room12%
100%
50%
0%
Who chooses the PAID plan?
1 FREE + 1 PAID PLAN (SELECT SERVICE)
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
How much can a hotel make?
$100average per room, per
month
In some cases, guest Internet
revenue was as high as $100k 67%
100%
50%
0%
Who chooses the LOW plan?
33%
100%
50%
0%
Who chooses the HIGH
plan?
2 PAID PLANS (LUXURY)
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
How much can a hotel make?
$20average per room, per
month
“Starbucks Effect” – if a guest is willing to
pay, they’re more likely to choose the
higher plan86%
100%
50%
0%
Who chooses the FREE
plan?
Who chose the PAID plans?
10%
100%
50%
0%
4%
100%
50%
0%M
IDD
LE
HIG
HES
T
1 FREE + 2 PAID PLANS (MIXED)
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Our data shows that having more than one Internet plan can help you recoup your network infrastructure costs and even earn some significant revenue
Offer Tiered Bandwidth Plans
1
RECOMMENDATIONS
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
How Should I Price My Plans?
>$9.95
<$6.95• Initial findings show there is not much price elasticity at $6.95 and under
• The percentage of people choosing the plan goes down at $9.95 and above
• Ultimately, this depends on your market segment, location, and more %
Choose
Paid
Pla
n
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Create fair plans with meaningful descriptions to help guests choose a plan that is right for them; plans with clearer value propositions had a higher percentage of guests choosing a paid plan.
Create Clear Value for Guests
2
RECOMMENDATIONS
Our data shows that having more than one Internet plan can help you recoup your network infrastructure costs and even earn some significant revenue
Offer Tiered Bandwidth Plans
1
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Our data shows that having more than one Internet plan can help you recoup your network infrastructure costs and even earn some significant revenue
Offer Tiered Bandwidth Plans
Create fair plans with meaningful descriptions to help guests choose a plan that is right for them; plans with clearer value propositions had a higher percentage of guests choosing a paid plan.
Create Clear Value for Guests
1
2
RECOMMENDATIONS
Make sure all plans are displayed on the first screen and don’t require extra clicks. The continuing rise of mobile use also means your Internet login screen should be mobile-friendly!
Design for Easy Decision-Making
3
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Plans are all on one page to easily compare and choose based on needs
Internet login screen automatically adjusts based on guest device
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Our data shows that having more than one Internet plan can help you recoup your network infrastructure costs and even earn some significant revenue
Offer Tiered Bandwidth Plans
Create fair plans with meaningful descriptions to help guests choose a plan that is right for them; plans with clearer value propositions had a higher percentage of guests choosing a paid plan.
Create Clear Value for Guests
1
2
RECOMMENDATIONS
Make sure all plans are displayed on the first screen and don’t require extra clicks. The continuing rise of mobile use also means your Internet login screen should be mobile-friendly!
Design for Easy Decision-Making
3
@elevenbiz
tel.: +1 (503) 222-4321
elevenwireless.comsales@elevenwireless.
com
Thank YouContact Eleven
www.elevenwireless.com
HITEC Booth #1441