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Case Studies Montage Hotels & Resorts Case Study

Montage Hotel

Company Background

Montage is a hospitality management company that operates luxury resorts serving affluent travelers in locations such as Beverly Hills and Deer Valley.

Challenge

Montage has worked with KeywordFirst since 2013 to build its business with pay-per-click (PPC) marketing such as paid search. The client has worked continuously with KeywordFirst to achieve its goals and then raise the bar for success. Initially KeywordFirst collaborated with Montage to increase its brand awareness in the crowded luxury hospitality industry, and then our joint focus shifted to driving online bookings directly through the client’s site rather than through online travel agencies. After two successful years developing a search engine marketing presence, Montage challenged the KeywordFirst team to develop an innovative approach to take PPC growth beyond increases in volume and toward a significant increase to the client’s return on ad spend.

Solution

The KeywordFirst team employed a creative approach to increase return on ad spend by applying an understanding of the client’s ideal target market through emerging paid search capabilities:

Focused Montage’s paid advertising on its most profitable audiences. Doing so meant undertaking a number of steps. We expanded the use of audience remarketing lists (a collection of people who visit a website) by identifying several audience segments based on the actions people took on the Montage website. Consequently, we understood how likely each audience was to complete a booking. We also deployed Google’s new remarketing lists for search ads (RLSA) layering capabilities (which make it possible for businesses to customize search ad campaigns for people who have previously visited their websites). Consequently, KeywordFirst was able to allocate more budget to the most qualified customers while limiting ad spend for those who were least likely to book a room.

Tailored online advertising by guests’ devices and locations. We implemented bid modifiers for each device people use to book a room — desktop, mobile, and tablet. By analyzing device-specific data, KeywordFirst was able to determine that the likelihood of a person booking a room was dependent on the device the person uses and the location of the resort. This understanding, and the use of new device-level bid features, allowed our team to modify PPC bids for each device by resort location according to past performance. KeywordFirst also created device-specific text ads and expanded text ads in order to cater messaging to the device on which a person sees the Montage ad.

Focused Montage PPC ads to the target audience using geographic location. Our team identified the geographic locations of Montage’s target audience by analyzing booking data by designated market area (DMA) region as well as the new household income tiers available from Google AdWords. By adjusting spend for these audiences based on their likelihood to book a room, KeywordFirst was able to increase budget in the geographic areas that perform best and reduce cost in locations with low performance.

Results

KeywordFirst increase volume and efficiency, providing Montage with a 33.5% increase in bookings, a 15.2% increase in revenue, and a 13.4% increase in return on advertising spend year over year. These results occurred largely due to the focus of PPC on a target audience and the implementation of new Google search marketing features such as RLSA layering capabilities and AdWords household income targeting.