WINNING @ THE

MOMENTS OF TRUTH

George Corb inS V P , D i g i t a l

M a r r i o t t i n t e r n a t i o n a l

1@ G e o r g e C o r b i n 1

WE ARE AT AN INFLECTION POINT

9 0 Y E A R S O L D

T E C H N O L O G Y I S D I S R U P T I N G O U R I N D U S T R Y

W E A R E B E I N G I N T E R M E D I A T E D

O U R C U S T O M E R I S C H A N G I N G

THE MILLENIAL

WAVE

50% of US work force by 2018

1.8 BILLION worldwide

0

25

50

75

100

125

150

175

200

225

1990 1995 2000 2005 2010 2015 2020 2025 2030

Mill

ions (

Age 1

8 –

65)

Baby Boomers

Generation X

Generation Y and later

THE MILLENIAL

WAVE

More purchasing power in the next 10 yearsthan any generation in history

2X more likely to travel vs. Boomers

Half of all travel purchases by 2020

0

25

50

75

100

125

150

175

200

225

1990 1995 2000 2005 2010 2015 2020 2025 2030

Mill

ions (

Age 1

8 –

65)

Baby Boomers

Generation X

Generation Y and later

NEXT GENERATION

TRAVELERS

76% of room nights by 2018

3x the use of technology

powering theTRAVEL MOMENTS with DIGITAL

powering theTRAVEL MOMENTS with DIGITAL

W I N T H E B O O K I N G W I N T H E S TAY

CONSIDER &

EVALUATE

SHOP &

BOOKGO RETURN

PRE-

DEPARTUREARRIVE STAY | WORK | PLAY

CONVERT SERVE & DELIGHT ACQUIRE

HALOMOMENTS

find the

MOMENTSthat matter most…

… and serve those

moments

FLAWLESSLY

marriott.com

W I N T H E B O O K I N G

CONSIDER &

EVALUATE

SHOP &

BOOKGO RETURN

PRE-

DEPARTUREARRIVE STAY | WORK | PLAY

mobile

responsive design

SE

O

hotel

reviewssort order

redeem onlinemerchandising

targeting

click-to-chat

MVT ho

te

l

we

bsit

es

retargeting

chinese app

russian site

fr

en

ch

sit

earabic site

globalization

MDS

affiliates

instant booking

tripadvisor

paid search

sp

an

ish

sit

e

german site

Dynamic bid management

DIGITAL PLATFORMGROSS BOOKED REVENUEin billions

$13.4B+11% YoY

MOBILE APPGROSS BOOKED REVENUEin millions

$197M

$358M

$628M

$1B

+70% YoY

$1.7B

2012 2013 2014 2015 2016

W I N T H E B O O K I N G

CONSIDER &

EVALUATE

SHOP &

BOOKGO RETURN

PRE-

DEPARTUREARRIVE STAY | WORK | PLAY

W I N T H E B O O K I N G W I N T H E S TAY

CONSIDER &

EVALUATE

SHOP &

BOOKGO RETURN

PRE-

DEPARTUREARRIVE STAY | WORK | PLAY

CONVERT SERVE & DELIGHT ACQUIRE

the value of

WINNING the

STAY

+35%

+52%

1st stay 2nd stay 3rd stay

life

tim

e va

lue

of

cust

om

er

?

W I N T H E B O O K I N G W I N T H E S T A Y

CONSIDER &

EVALUATE

SHOP &

BOOKGO RETURN

PRE-

DEPARTUREARRIVE STAY | WORK | PLAY

CONVERT SERVE & DELIGHT ACQUIRE

CONSIDER &

EVALUATE

SHOP &

BOOKGO RETURN

PRE-

DEPARTUREARRIVE STAY | WORK | PLAY

72%“Upgrade my room before I arrive”

73%“Where

should I go eat?”

75%“How do I

get there?”64%

“I need to text the hotel; alert

me if my room is fixed”

69%“Allow me to check-in in advance”

71%“I need a

ride”

70%“Alert me when my

room is ready”

57%“I want to pre-order

room service”

63%“Is there a

hotel special today?”

73%“I need to check out on the go”

66%“I want more TV options in

my room”

Sources: *Marriott IPSOS study 2011 (N = ~1,500 travelers). Scores are top-2 box.

Marriott IPSOS study 2013 (N = ~3,000 travelers). Scores are top-2 box. First number is FBTs, second is Gen Y.

CONSIDER &

EVALUATE

SHOP &

BOOKGO RETURN

PRE-

DEPARTUREARRIVE STAY | WORK | PLAY

And it’s working…

20,000,000MOBILE CHECK INs/OUTs

AND GROWING

4.5%16%MOBILE CHECK-IN PACE

TRIPLED

+2.5 ptsHIGHER SATISFACTION

MOBILE vs. NON-MOBILE ARRIVAL EXPERIENCE

GEN Y GUESTS HAVESTRONGER IMPRESSION OF

MARRIOTT VS. COMPETITION BASED ON APP EXPERIENCE

find the

MOMENTSthat matter most…

… and serve those

moments

FLAWLESSLY

easy, right?

HOTELS ROOMS

COUNTRIES

LEGACYSYSTEMS

1/3 MANAGED2/3 FRANCHISED

EMPLOYEES

th i s jou rney i s no t about

technology …

i t i s about t rans fo rm ing

a serv ice model

6 THINGSthat can block

digital

transformation … and how we

overcame them

NO

1. Create clarity and urgency around the problem

War games make it real … and break mindsets

“Problem? What problem?”

2. Make the destination clear, relatable, achievable … and inspiring

Vague, superficial, or overly technical “strategies”

marketing

brand

IT

digital

operations

3. Break the si loes…

• Develop the strategy & tactics together• Joint execution teams• Retool key jobs

bra

nd

digitaloperations

ma

rke

ting

hunt as a pack

4. Align your Goals… ceil ing to f loor

• Shared purpose• Joint accountability• Clear priority across depts• Affects compensation

bra

nd

digitaloperations

ma

rke

ting

digital

5. Ride the existing rails where you can

• Use the familiar as the vehicle for the new

• Reduces how much unfamiliar change employees must absorb

6. Use pilots to de-risk 3 critical factors

@ S C A L E

CUSTOMER ADOPTION

RISK

TECHNOLOGY

RISK

OPERATIONS

RISK

risk aversion

!

focus on the

real

threat

outdated

technology

revenue

market share

RELEVANCE

“We tend to over-estimate

what will happen in the

next 2 years…

… and underestimate what

will happen in the next 10.”

thank you

@ G e o r g e C o r b i n 1

/ G e o r g e C o r b i n

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