Make OTAs Your 24/7 Marketing Engine

"Future Of Hospitality (00:03) Welcome to the Future of Hospitality podcast. I'm your co-host Gabi and today we have the awesome Califa here. Hi Califa! Khalifa (00:14) Hi, Gabby. How are you? Future Of Hospitality (00:16) I am doing good. I'm excited for this episode. You have done so much in the industry. do consultancy, you're currently growing HostelHop. I think you're a jack of all trades, to be honest. Khalifa (00:30) Yeah, I love to do multiple businesses. I've been a consultant for the last 13 years and now also have been quite a ride and it's amazing to see it grow and to bring it to a fruitful stage. Future Of Hospitality (00:45) Yeah, if an hostel has 10 hours this week for growth, where should they spend it all in? Khalifa (00:54) Hmm. I think the first thing, what I call is the window shop. So basically you have to focus on your profile, your visibility. And I would say either it's your website or your OTA listing. Most of hostels, I think, especially the smaller ones should focus on their profiles, on their OTAs to make sure the pictures are good. ⁓ This is the first thing will drive conversion to the hostel. Future Of Hospitality (01:17) Mm. Khalifa (01:23) Because if you have outdated pictures, not that attractive, usually people will look at your product and just move away. So if you have something attractive, it's not the price that they will be attracted to, it's what do you have? So I think the profile is first thing you should focus on. So yeah, that's. Future Of Hospitality (01:44) Yeah, think, yeah. I think the profile is like candy for the eyes, right? You are locking like people to your hustle and or even your accommodation. You also say like OTAs are often in marketing engine that is 24 seven on right? People are 24 seven seeing your product. What is like the mindset change that Khalifa (01:57) Yeah. Yeah. Yeah, basically it's your first impression. ⁓ Future Of Hospitality (02:11) What needs to be the mindset change for property owners to really understand that OTAs are not only taking margins, but they're also really like this magnet for new visitors. Khalifa (02:25) Yeah, feel like especially like if you're trying to get into the market, you need visibility. And the biggest visibility available right now is the OTAs. This is how you're going to attract the customer. This is your first ⁓ impression in the market. And then people get to know you, you'll be more ⁓ visible to other customers. Slowly you grow your own customers by making sure you put the value that you have. You put your products, your services. ⁓ Future Of Hospitality (02:54) Yeah. Khalifa (02:54) Also make sure to ⁓ have a description of your hustle so people would actually read and be interested to book with you. And then slowly you grow customers, you grow your own direct bookings and stuff like that. Future Of Hospitality (03:12) Yeah, we're already diving into it, but I always do a quick rapid fire with my guests to have a little bit of a fun time. So are you ready? Khalifa (03:24) Yes, sir. Let's do it. ⁓ Future Of Hospitality (03:28) What is your favorite hostel city to wake up in? Khalifa (03:34) Hmm, hard one. I would say a hostel. It's kind of a two question, like a hostel or a city. So I think I'd say Barcelona or Belgrade. have, I have very strong ties with Belgrade. I met my partner there and I stayed the longest, I think, in a hostel in Belgrade. So yeah, the traveling theater, hostel. So yeah. Future Of Hospitality (04:01) So Belgrade is a beautiful city. What is the most underrated amenity in the middle soul? Khalifa (04:05) Yeah. most underrated I would say Kitchen, communal kitchen or toilets. But I think kitchen is the most underrated. Like it's something really backpackers do need and they want to save money and have this service available. Future Of Hospitality (04:29) Yeah, yeah, totally agree. What is the most overused buzzword in hospitality? Khalifa (04:38) Buzzword. think local or maybe authentic. This is like mostly, which is not, yeah, sometimes it doesn't show it's local or authentic, but they just use it a lot, I guess. Future Of Hospitality (04:45) Yeah, yeah. ⁓ good one, really good one. The founder you would love to swap playbooks with. Khalifa (05:05) Hmm. I think Matt, the CEO of Muse maybe or maybe Brian, Brian Airbnb. I think they most align with my vision maybe. Good question. Future Of Hospitality (05:19) Cool. Yeah. Yeah, would also love to do that. Yeah, I also would love them. Okay, the last question here. Photos or reviews, what wins more bookings today? Khalifa (05:39) Photos or reviews? People do like to see nice photos. As I said earlier, it's the first impression, but reviews are more important because this is the reality of what's happening behind those photos. I think photos. Future Of Hospitality (06:01) Okay, okay. So I think you have a really impressive story how you became an entrepreneur within hospitality and you're now the CEO of HostelHop. I think it's one of the coolest stories that I heard. So you started really young. Can you tell me something how you started that young and what were your first motivation to come in this hospitality industry? Khalifa (06:26) Wow, this is actually a very long answer, but I'll try to make it concise for this. So as you can see in my profile, I've been into multiple businesses. I started my career in India, actually. I started my first actual, my own business at Kohl Center in India. And then... While traveling, I learned more about hospitality, came back home to Bahrain and then started my real estate company, construction company, slowly grown to manage the properties. And then I liked the hospitality management. And then I started the hospitality management for around six, seven years. Then I used to recruit for people, for the hotels or whoever, like companies slowly grown to a very big. recruitment company actually, and then I expanded to Europe. I think that's where my life changed. Then I came to Europe, I was traveling, exploring, just having fun. ⁓ One day I met ⁓ the founder of HostelHop and that was my first time in a hostel. I used to be a hotel person, a business consultant that has nothing to do with hostels and only managing hotels and stuff. And then Future Of Hospitality (07:33) Mm. Khalifa (07:45) That's when I met the founder and we spoke about it and I was like, wow, what is this? Like I've never stayed in a house. So then I tried it. I met people. I discovered how amazing this community is to make friends, to do experiences together and the freedom of exploring with no limits. Like every journey felt like a story to be told. And I just wanted everybody to have the same experience. thought this is where I should actually. Future Of Hospitality (07:53) Hmm. Yes. Khalifa (08:15) ⁓ start. Like I want to make people have the best experience and Hostelhop Hub isn't just a booking, ⁓ hustle booking engine. It's about supporting the travelers, the backpackers to explore hostels that they like and support this community of travelers who want to see the world and keep traveling. So I think this is how I end up with Hostelhop Hub. Future Of Hospitality (08:19) Mm. you . Khalifa (08:44) And it's been amazing to see how people think. I think people mostly nowadays think about what to do more than where to go. And this is something challenging to actually provide as a service because a lot of people have different demands and different views and different wants. I think this is what excites me. to work on, guess, with HostileHot. Future Of Hospitality (09:18) Yeah, why do you think there is this change between where I'm so usually it was like okay I'm just going to Mexico but now it's why am I going what can I experience there why do you think there is that change and I think is that change also really especially in the hostel world or throughout whole hospitality? Khalifa (09:40) I think it's in general, like personally I do travel as well since the beginning I always think, okay I'm going to let's say, I don't know, Mexico as you said, but what I'm gonna do there. So I think people, especially now with the social media and online presence, like there's lots to do, lots to see. So people are like not only thinking where to go because there's a lot of things similar, let's say, or... Future Of Hospitality (10:00) Mm. Khalifa (10:07) a lot of experiences to experience. So they start to choose depending on what they want to do and then they decide where to go. So I think, yeah, this is how it works. Future Of Hospitality (10:18) Yeah. No, yeah, really interesting. And I also heard you talking about like the community aspect that's becoming really important. Could you tell me maybe something more about it? Khalifa (10:34) What I think about community is... So you want travelers to experience and be connected and be in a community. So basically what I think about community is you provide the space, the experience and the facilities that the travelers will actually create this community because I think we don't create the community. Like most of people post and use the word community, join our community. Future Of Hospitality (10:53) Hmm. Hmm. Khalifa (11:10) and they're trying to build communities. think the most important part of making a community or creating it is actually not by focusing on creating it, it's focusing on providing the elements and services and things that those people that you're targeting need to bring them into your space. And that space becomes ⁓ your community. Future Of Hospitality (11:34) Yeah, so rewarding is also really important to do that. get them into the space. Khalifa (11:43) Right. ⁓ Future Of Hospitality (11:45) ⁓ What works and what doesn't work? Khalifa (11:50) What works and what doesn't work. Future Of Hospitality (11:53) Yeah, for the community. What is something you're doubling down on, on building the community behind Also Hop? Khalifa (12:04) I think first, I said, like giving the experience, ⁓ like providing the actual value for the audience, like for the targeted market, like what they need, what they want and how they want it, where they actually lack, ⁓ give them the full support. This is how you attract them towards you, how you make them like come towards you, I think. ⁓ Future Of Hospitality (12:12) and Khalifa (12:32) give them the feeling of safe trust and ⁓ belonging. And I think having those elements is where your community grows and builds, I think. Future Of Hospitality (12:37) Mm-hmm. Yeah, really interesting. think that's also like really tactical what you're saying also for hostels and for people building communities, how they can do that. I know you're also a big fan of partnerships. For example, you and Hostelhop Hub and flixbus have this partnership. Why is partnership so important in hospitality? Khalifa (13:10) Personally, I love doing partnership. believe in, like since I'm young, I believe in partnerships because you support other companies that can support you as well. And having more partners means having more to offer. So for example, and if we take the Flixbus example, it's like we are partnering with Flixbus to provide the hostels and add-on to provide to the travelers. And by doing that, we're we're actually providing travelers ease and discounts on traveling. So it's like we're bringing in the benefits for both and we're creating this attachment between the hostels and the traveler and also to our platform. So yeah, I think this is the best way to having more partners, having more to offer is actually. ⁓ Future Of Hospitality (13:55) Hmm. Khalifa (14:08) the key of success. This is what I used to do since the start. And I think you have to ask yourself, like, what is the value of this partnership? What would it bring to me? ⁓ Can this partnership redeem itself? ⁓ Redeem to the travelers or to the hostile? Does it align with my targeted audience? have to think, like, who to partner with, how to partner with them. ⁓ Choose the right partner to your ⁓ targeted market. I think this is also something important. And by doing that, you're saving efforts, you're saving ⁓ costs for everyone, like hostels, travelers, and yourself. Future Of Hospitality (14:54) What are ways that hostels are like then cutting costs or maybe even making more profits from such partnerships? Khalifa (15:05) Hmm. Like hostels, like I don't have many examples of this, but I hostels having those kinds of partnerships, basically they're driving more traffic to, to their, to their own hostel. ⁓ Let's say in the case of HostelHop, this is reducing their efforts into marketing by just using this partnership element that they have with HostelHop. Future Of Hospitality (15:16) and Mm. Khalifa (15:35) to promote it and just use it for their own benefit, think. Future Of Hospitality (15:42) Yeah, should hostels and platforms or should people in hospitality do it more? And why don't you think people are doing it currently? Partying up with each other. Khalifa (15:57) I think nowadays because the competition is so this is what one thing that I think about the competition shifted from the price to value. So now it's not about the price anymore. think I whoever focuses on price competition is actually not the right way of doing this. ⁓ should be with value and this is what it's shifting right now. ⁓ It's faster. Future Of Hospitality (16:11) ⁓ here. Yeah. Khalifa (16:27) to plug into existing ecosystems. And for the long run also, it helps you to build faster, to build quicker, having those partnership with other ⁓ industry providers. while you're doing that, both time you're building your own ⁓ direct, let's say, customers and loyalty loop. You build yourself through the partnerships. Future Of Hospitality (16:43) and Hmm. Yeah. Yeah, I think it's interesting. So what you're saying is like don't push the price but push the value, right? Yeah, and that's maybe like one of the things that are like hostels are not really doing for building their loyalty. Would you say like, with hostile brands like build their loyalty in house or piggyback from partner ecosystems then? Khalifa (17:24) Yeah, like for example, if you see nowadays people are focusing so much into direct booking and not depending on OTAs. My view on this is like you need those kind of partners, OTAs or transportation or whatever it is to actually bring on more customers and convert those customers to direct booking ⁓ your own customers. Having those OTAs is actually a free advertising. Yes, you're paying a commission. Future Of Hospitality (17:52) Yeah. Khalifa (17:53) but still you're, let's say you're having 30 to 50 % occupancy, direct occupants, direct bookings, but still you need the other 50. So keeping those open to fill up the remaining 50%, that will give you an extra opportunity and a bigger window to convert those to your direct channels by time to get even higher from 50, let's say to 80 or 90%, depend. Future Of Hospitality (18:01) Yeah. when Khalifa (18:22) depend on what your value is, what you're offering, how much, ⁓ like, of course, every hostel is different. What is your ⁓ offer there? is your value? People will like different things. You might not go to 100%. I don't think any hostel will go to 100 % always, but at least you maximize your profits using those partners and, you know, driving more traffic. And also, You have to make sure that you have enough ⁓ features, elements, add-ons, descriptions of value that you have to convert those travelers to your own travelers. Future Of Hospitality (19:05) Yeah, yeah, no, I totally get it. So the OTAs can be important. You need to see it like a partnership with the OTAs. You're giving them a commission meter like 24 seven on and that's why you also need to optimize your profile on there. Really show your brand, really, like you say, shop window, make it as beautiful and tell your story via the OTAs, right? Khalifa (19:29) Right. Like you're having this opportunity to showcase your product, your value, your hostile. So also one comment I need to add to this is like, you have to make sure to communicate to the travelers. Like I've seen this in multiple hostels, like their listing or their description is it's not targeting the travelers, targeting the owners or managers or it's like talking to a hostile person. So you have to talk to a traveler, to a backpacker. You have to make your description more attractive to the kind of travelers that you're trying to target. ⁓ Most of people go for statics, like just describe the immunity is very basic. You have to showcase them in a way to attract the people that you want to come into your hostel. If it is a boutique hostel, you have a different description style. If it is party hostel, it's different. If it is... depends on what you have, you just show it in a very ⁓ good way that people will just be attracted to it. Future Of Hospitality (20:38) Yeah, I think that's an interesting thing because that's brand, right? It's storytelling, telling your story through the shop window, which is saying the brand is important, but also the brand is connected to the experience that you're going to get there. So those are related brands and experience. Khalifa (20:58) So basically the brand is okay. Let's say experience is what the brand is providing, right? So you have your name, you have your brand, your brand is what are you providing? It's not just your name. So the experience is what they are actually getting from your brand. So those are like. Future Of Hospitality (21:06) Mm. Yeah. ⁓ Yeah. Khalifa (21:24) I think hostels having the brand, for example, a big hostel or let's say a small hostel, they have the similar values. They have the similar services, but the experiences that they provide could be different. And that's what builds the brand. That's how you build your ⁓ market awareness and attract more customers by giving more values and experiences. Reviews are really important to build your brand, for example. Future Of Hospitality (21:42) Yeah. Khalifa (21:54) This is the experience that people had, how they had it. It shows who you are. It's like an identity. Your brand is your identity, I'd say. Future Of Hospitality (22:00) Yeah. Yeah, yeah, no, I think that's totally true. What would be like your ideal world of like a hostile customer journey like or yeah, how do you see that for you? So they see this shopping window, it's perfect, they come there, they feel the experience, they... Yeah, what would you add in this ideal world? Khalifa (22:32) So yeah, from the start, like you have a beautiful shop, let's say ⁓ people pass, they see your shop from your window. ⁓ They see your products, your value. They like it. They come in, they stay, they feel your product. They buy your product. They use it. They enjoy it. ⁓ They leave. They recommend other people to your product. They say, ⁓ I had this experience, which is kind of the review or the word of mouth or Future Of Hospitality (22:37) Good. Khalifa (23:02) post or a video on Instagram or something. And then this is like the cycle. Like then other people come in curious about it, see your shop again. And that's the cycle. The more you attract people in a good way, like the more presentable and ⁓ let's say beautiful your shop is, the more people will come in and experience what you have. And if your experience is what they are expecting, then this is how they will refer you or drive more traffic towards you. And it just goes on. Future Of Hospitality (23:41) Yeah, and would you say that personal, like that the branding is personal or based on, we already said it, right? It needs to be based on the brand. If you talk with a boutique hostel, it needs to be different than for example, party hostel. Is it also in a way you communicate with your guests important? So being really focused on the persona that is coming in. Khalifa (24:05) Yeah, I think it's very important to, to be clear to your ⁓ audience because as I said, for example, if you're a party hostile, there are people that don't like, for example, noise, they will give you bad reviews and they will affect your rating. Not because, ⁓ your hustle necessarily is not good. It's because they're not, they didn't expect it. And there, there was no clear communication that. Future Of Hospitality (24:20) Yeah. Right. Khalifa (24:34) your hostel as a party hostel. I think having a clear description of make you avoid this kind of situation that you get a bad review or a bad experience ⁓ from people. Like if I'm looking for something active, I'll find something like a party house. So if I'm looking for something just cozy and be to myself, I'll look for like a boutique hostel or let's say Future Of Hospitality (24:40) Hmm. where Khalifa (25:03) If I'm working or if I'm a digital nomad, let's say I look for a hustle, which has like a common space, a co-working area. I have to kind of, you just need to put on your products or make sure you describe it in a way to make it clear for people who are looking for you to be easier to find you and to be easier to understand what they're going to experience, what to expect in your hustle. Future Of Hospitality (25:15) Mm. Yeah. Yeah. Yeah, and those reviews then tell the story also from a different side. What would be like one of the biggest ways to have like an uplift in reviews? Is like nailing that storytelling that you're saying? Khalifa (25:48) Okay, so I think to uplift the reviews. I would say the way you react to reviews, the way you, for example, what I think, what came up to my mind is like responding to the reviews by showcasing your value and say, for example, somebody said, I liked the hustle. have a nice common area. Then you can, as a response to this, you show what you have in your common area. So this will make the review look more. strong when people are reading through before they book. they have, let's say, I don't know, they have a machine to buy stuff. They have a restaurant. They have a working space. They have this. They have that. So whatever you have, try to mention it in the response and your review. So people, when they read, they will know, ⁓ this hostel has this, this and that in case they didn't go through your description. Because I think travelers, first thing they do, they will see the pictures. They would see the reviews. and then they would decide if they wanted to read through what you have. So mentioning those kind of values that you have in the review, it will actually bring up your ⁓ hustle and your, like your, it will ease the booking flow to your hustle. Future Of Hospitality (27:18) Yeah. It's so interesting. So I learned a lot. think this podcast really shows how, yeah, you can optimize your shopping window, that brands of storytelling are so, so important and really understanding where you position and taking them on that experience, right? And then having them also tell the experience to other people that want to go to the hostel so you get more travelers in that way. My last question is always about the future. Khalifa (27:49) next Future Of Hospitality (27:51) And my question to you is what will never change about the great hostile world no matter how smart the tech gets? Khalifa (27:59) ⁓ Like I think it's the connections, the experiences, the journey that the people wants to go through. This will be always ⁓ something that won't change because people want to meet people. People want to ⁓ experience places, experienced ⁓ hostels, experienced countries, cities, ⁓ activities, events. So think this is something will never change because it's been there since years and decades. Hostels will actually grow. Maybe I see some change in the hostel demand from travelers. They're looking for a little bit more, let's say not luxurious, but a little high level, let's say. But I feel like the experiences, the connections, the stories. that happen in this industry will never change. Future Of Hospitality (29:00) I love that answer. I love that. And Khalifa, big thanks for telling us so much about hostels and optimizing your shopping window and how you can gain traffic and how you can also gain traffic from the parking ships. I really loved our talk. Khalifa (29:19) Thank you so much. appreciate it. was a pleasure. ⁓ I hope I answered most of the questions with all the information needed. I hope people seeing this video will benefit from it. And for sure, yeah, glad to share. Future Of Hospitality (29:34) Yeah. Again, huge, huge thanks and to the listeners, I want to ask if you want to connect with us on socials or on the website, you can just subscribe and remember, focus on your shopping window, have good photos, have good reviews and gain traffic to your websites for your hostel. I want to thank you all for listening and I wish you all great, great day... "