Tuesday, February 17, 2009

This is What Vegas is Like During a Recession

What’s it like going to one of the most popular tourist destinations in a recession? Fun, affordable and absolutely vacant.

Although this was my first time in Las Vegas, it wasn’t hard for me to tell just how badly the economy was affecting its tourism. The hotel check-in lines were completely empty as were the shows and casinos. The Strip was also undergoing a large construction project that will most likely delayed. Did I mention I went on Super Bowl Weekend—supposedly one of the busiest weekends in Vegas?

During one of my numerous cab rides up and down The Strip, I asked the driver “So, has it been busy?” The cab driver, who had moved from New York City ten years ago to support the city’s booming tourism, pithily replied, “When you can drive up and down The Strip this fast, things aren’t good.” According to her, some hotels are going bankrupt and the only person she thinks will keep afloat in the sea of economic uncertainty is Steve Wynn.Link

Wynn, a multi-billionaire casino developer who has slowly taken over Las Vegas, recently opened his newest hotel, Encore, on Dec. 22, 2008. However, given the economy, the opening was much more subdued than previous ones. I took a stroll through Encore and if I could sum it up in one word it would be “palatial.” Encore houses some of the world’s most lavish restaurants, shops and entertainment. Although the lack of tourism isn’t great for the local economy, it sure is for the tourists.

Even though I was only in Vegas for the weekend, I attended the private Miller Lite Super Bowl party with some friends who had been there in previous years. Like the opening of Wynn’s newest hotel and resort, the party (according to them) was much more modest. It had all the free food and drinks anyone could ever dream of, but was much more intimate in terms of how many people were actually there. Miller Lite also scaled back on swag. Tough times call for tough measures.

After getting back from my trip, I did some research about how Vegas brands itself as a tourist destination and came across this. In response to the economic downturn, Las Vegas trashed its “What Happens in Vegas” campaign for a new one—“Vegas Bound.” This new campaign features real people from Cranfills Gap, Texas who venture to Vegas for a funfilled vacation.

Blogger Grant Johnson ponders if a tagline can really make a difference in terms of generating business. He writes: “Why not ditch the ‘Vegas Bound’ tag and really drive home the value people can get. “Vegas: The best vacation bargain around!” Sexy, heck no. Effective? With the right subhead and testimonials and pricing packages featured it sure would be.” Maybe Vegas just needs to hear what prospective tourists want and create some new key messages.

After being in this downwards slump for a few months, maybe Vegas tourism has decided to shuffle things around. I was speaking to a friend today who is going there in a few weeks and for two people, a roundtrip flight and accommodations at a 4.5 star hotel for a week, it’s slightly over $1,000 CDN.

So, what is the best solution for popular tourist destinations, like Las Vegas, in this economy? Or is there one? Or is it just a big waiting game?

Friday, February 6, 2009

On Transparency and Travel

I came across this when I was on Twitter this morning and it piqued my interest for two reasons.

One: It is a blog by a social media PR class.

Two: They wrote about travel and public relations in a completely transparent way.

I admire bloggers who can transcend honesty and be completely transparent. It gives the information being presented that much more credibility. So what’s the difference between honesty and transparency?

According to Chris Freedland, “’Honesty’ means I choose the topic, and speak honestly about it. . . ‘Transparency’ involves honesty, but the two words aren’t synonymous. Transparency is more than pervasive honesty; it’s open and honest about everything.”

At the end of January, LastMinuteTravel.com, a discount travel site, launched a campaign—The World for $1. Visitors who accessed the site within an undisclosed 15-minute period could select and book rooms at 15,000 hotels around the world for $1 per night. The campaign also included several interactive elements, including a viral video series on YouTube.

Shortly after the campaign launched, the company ran into a series of problems. Customers became frustrated because terms of service agreements were constantly changing, e-mail correspondence was not timely and hotels had limited availability (just to name a few). These problems were not dealt with in a transparent, timely manner. As a result, the company received negative buzz from major media outlets. Was this promotional campaign over-ambitious? Or was it just not dealt with in a transparent way by the company?

LastMinuteTravel.com attempted to remedy the situation by using social media tactics. They launched a last-minute blog, Facebook page and Twitter account. To date, they have written just a few short posts on the blog attempting to rectify the situation. In one, the company writes: “The purpose of this sale is to introduce people to the website – and the stand-out rates, availability, service and technology. Instead of simply refreshing, get to know the site a little better.”

From a PR perspective, LastMinuteTravel.com did not deal with this situation in a timely or transparent way. Even though the company has several social media outlets in place to deal with the mishaps, it has failed to communicate to its clients in a transparent way. Perhaps this will teach LastMinuteTravel.com a lesson in transparency.

Thursday, February 5, 2009

WestJet Finally Steps Up

As you can probably guess from the title of this post, I heard from WestJet right after I got back from Las Vegas. Fate?

There was a letter waiting for me. I ripped it open, shook it to see if there was a cheque and then anxiously read through the fine print.

WestJet basically said what I thought they would. They were sorry I wasn't pleased with the service I had received on their airline and hope I would continue to be a future client, despite what had happened. They even granted me a credit of $206 to be used on a future WestJet flight. The letter had obviously been handed down the corporate hierarchy and was signed by a customer service agent named Jenn. Perhaps that explains why the communication wasn't as timely as it should have been. I guess I'll be flying with WestJet again soon.

Stay tuned for a post about my recent trip to Las Vegas!