Jan 17, 2017 | by Minahil
Should Small Hotels Go With Paid Advertising?

Along with the speedy growth in digital era, paid advertising has grown too. The major reasons for businesses getting inclined toward online paid advertising is that:

  • Every Dollar spent online is trackable
  • You can spend as little as $5 (in some case $1) daily

The two key features make online advertising a better option then advertising on conventional mediums such as Television, Radio etc. According to the stats,

  1. Integrating PPC with SEO efforts results on average in a 25% increase in clicks. In addition, there is a 27% increase in profits. (Digital Marketing Philippines).
  2. It was expected that Google will remain the dominant player in worldwide search ad spending. It was expected that Google will capture $47.57 billion (in search ad revenues) in 2016.
  3. Google was expected to generate $10.23 billion in display ad revenues which is next to Facebook.

The stats show that more and more businesses trust the online paid advertising. Not to forget small businesses in any given industry are benefitting too from this luxury of advertising at minimum budget, however the question is, “what is the situation for small hotels and guest houses in Pakistan”. Shall they invest in online paid advertising? Will it be fruitful for them?

We checked out 5 hotels of Murree and their search volume in Pakistan.

  1. Hotel Faran in Murree has a monthly average search volume of 210
  2. Shangrila Resort Murree has a monthly average search volume of 320
  3. Brightlands Hotel has a very low search volume of 40 only
  4. Holiday Express Inn again has a low search volume of 20 only

Apparently it doesn’t seem feasible to invest in paid advertising as the search volume is low.

However, that is actually not the correct picture.

Hotel Faran and Shangrila resort not only have a decent search volume but in peak seasons the search volume rises up to 320 (in July and December) and 880 (in July) respectively. It means if advertised on the right time, small hotels can generate quality leads and higher sales. Interestingly the CPC is low too which will not burden the small hotels and guest house owners.

 

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