Products and Services

chulavistajuniorMobile - Wireless

Dec 10, 2013 (3 years and 8 months ago)

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Products and Services

Connect

Similar in function to Facebook,

Connect will function
as
Room Remote

s
main feature
.

This will be a free private social network for guests of
luxury hotels
,
and i
n order to use Connect, guests
will have to
create a
profile that

can be
broadcast

and seen by other guests.

The profile will consist of pictures and other general information
, such as

age, nationality, occu
pation, workplace, city of residence,

interests and
more
. Much like Facebook, Room Remote will be the social network of
the luxury hotel industry. Guests can message one another to organise
appointments for leisure or business. Connect will
also display a
newsfeed with posts from guests and hotel staff, keeping them up to
date with what

s going on in and around the hotel.


Finally, the affluent will be connected in a fun

and
entertaining way within
the walls of their luxury hotel. Hotels wi
ll be able to post news on
Connect as well as advertise

such

things

as "Happy Hour at the Lobby
Bar from 5pm
-
9pm" and so forth.

Flash sales will be placed on the newsfeed offering the hotel the
opportunity to sell gifts from its gift store, or hotel f
urniture such as

pillows, beds, mattresses, silverware
,

and many more. Lastly, local
companies will have the ability to advertise on the Connect newsfeed
with profits being split between Room Remote and the partnering Hotel.

If

a
gue
st
check
s

into a hotel that

s not a Room Remote partner
,

a link
encouraging the guest to ask for Room Remote will be sent to them.
Hotel staff will
constantly
be
reminded of this application
, which

will
translate into a very valuable m
arketing tool that
not only increase
s

brand awareness but save
s

money within the marketing budget.



Note: Please refer to Room Remotes Functionality Document for a
highly detailed description of Connect and the other parts
of
this
applicati
on.

Do Not Disturb

Nothing can disrupt a
stay at a hotel
more than an unexpected
visitor.


Through Room Remote, guest
s

will be given the opportunity to
simply click a link and request
that
a Do Not Disturb sign be placed on
the outside of their door.


This
will ensure they get the privacy they want
while
at the same time

enhancing
their overall
hotel
experience.


What’s
more, t
his feature will be offered at no cost.

Wakeup Call

Wakeup Call
s
ar
e a
staple of
hotel stay
s,

but all too often

the wakeup
call never comes.


This can
ruin

the level of satisfaction the visitor
feels
with a hotel
and negatively impact their stay.


Room Remote offer
s

guests the option of a desire
d time and date for their wakeup call through
a drop down menu
, making problems with wakeup calls a thing of the
past. And it’s offered

at no
additional
cost.


Room Requests

Room Requests will give
guest
s

access to a variety of key accessories
without leaving the comfort of their room.


From extra room keys to a
toothbrush, toothpaste

to more
pillow
s, guests will have it all at the tips of
their fingers.

Maintenance

The Maintenance feature will allow guest
s

to directly request
main
tenance in their room in
a timely and
efficient manner.


All
areas
of
the room will be covered under the maintenance solution from
bathrooms to beds, lighting to electronics and beyond.

Clean My Room (Dependent on Hotel)

The typical guests most c
ommon complaint has to do with clean rooms.
T
heir room can
often
only be serviced during one portion of the day
,
causing needless hassles and frustration
.


Through Room Remote and
par
ticipating hotels, guests will be given the option of having their room
cleaned on a schedule that meets their needs.


Minibar

Refill

Guests can request that their minibar be refilled at any time
.



Adult Services

Special deliveries

of prophylactics and related items can be requested

with complete

discretion and delivered to the guest

s room at any
time.


Romance Packages



Various romantic packages will be listed in this offering and
will
range
from having

rose petals set up in bath tubs or scattered across the bed,
to delivering champagne, strawberries
,

and chocolate
s
.


Room Service

The entire hotel menu will be imported into the Room Remote
application.


The user will receive an email or an SMS upon order
ing

room service
with an expected delivery time.



No longer will guests be left guessing as to when their purchases will be
delivered.


With Room Remote, guests
have a clear understanding

of
their room service options

and have the ability to plan
ah
ead
accordingly.


Reviews will also be a part of this feature
,

aiding the guest
in their
selections
.



Bottle Service

Just like the VIP service in a nightclub, bottle service will be set up in the
guest

s room with their choice of alcohol, m
ixers
,

and other assorted
items.


Dining

A full list of local and hotel restaurants will be accessible through Room
Remote.


Menus, photos
,

and prices will be illustrated
while also giving
guests
t
he ability to book a table at the
location of their choice.



Daily specials will be

highlighted

through a fully customizable hotel menu
interface
which
allows restaurant staff members to edit their specials on
a daily basis.


This
place
s

the restaurant in a pos
ition to develop
targeted marketing and gather data that could ultimately impact their
revenues.



A review area will also be made available, and for restaurants within the
hotel, guests will be able to write their own reviews, comment on other
reviews
,

an
d 'like' and post reviews to Room Remote

s social network
newsfeed.



Spa

Local and hotel spas will also be featured in this area
, giving guests

the
option to book a reservation
at the location of their choice
.


The planned
m
enu will feature photos, price lists
,

and a detailed description of the
packages

available
.



Entertainment


Finding entertainment in a new city
used to be a challenge, but with
Room Remote those problems are a thing of the past.

A
complete
rundown
of the local entertainment options will be available, from shows,
theatre, gaming
, and
night life

activites

including the latest bars and
clubs. Room Remote will provide

gu
ests with an unprecedented level of
knowledge and access

to better show them a good time
.


Transportation

A variety of transportation options will be offered to book shuttle bus
e
s,
taxis
,
or SUV’s.



Luxury Transportation

In addition, the option to book
luxury transportation will also be available
and include
s

limousines, luxury cars, yachts, helicopters
,

and private
jets.

Hotel Information

A map of the hotel will be uploaded
to
give the guests a clear
understanding of their surroundings.
The contact
information of
k
ey hotel
staff
will also be featured and made available through one click dialing or
voice/text messaging.

A list of hotel amenities and other location specific information will be
provided.


In the event
that
a staff
member receives a message from a
hotel guest and the staff

they’ll have plenty of options. If they don’t

want to reply with a Google type answer
,

but instead
with an answer
derived
more
from personal experience
,

they can type

the “@” symbol
followed by the username of another staff member
.

This will add that
person to the conversation creating a group message thread.


All 3
members wou
ld now be in the conversation addressing the question in
the most personalized manner possible; hence increasing customer
satisfaction.



Send Postcard
s

This is a
n advertising tool for our customers

which allows
them
to create
customizable hotel
themed postcards and post it to their friends across a
number of social media platforms
,

or send
directly via email or SMS.



Checkout

Guests can select their desired check out time and have it validated by
the concierge. Verification will be emailed t
o the guest upon confirmation.
The guests can then have their bags collected from their room, stored
,

and made ready for pick up at a set time of their choice.

Laundry

Guests can have their shoes and laundry picked up from their room,
cleaned
,

and delivere
d. They can also have suits and dresses pressed
and steamed.

FedEx

The concierge will arrive at your room to collect any package
s

guests
need
delivered via FedEx.

Medical Assistance

A certified medical practitioner will be on call to serve the

guest, arriving
at their room to provide consultation and treatment.


The doctors
credentials will be displayed along with reviews and other pertinent
information needed to
ensure
customer confidence and loyalty.


Bubble Bath

Guests will have the l
uxury of requesting their bath be filled to their
desired temperature with decorative candles

and an added selection of
bath salts.


Flight Gateway

Just like the live screens within airports displaying arrivals and
departures, this information will now c
ome direct to the guest via Room
Remote. There will be no more confusion of wondering if a flight has
been delayed or when
’s the best time t
o head to the airport.

Once you enter an airport

airlin
e
,
flight number
, and all other

relevant
in
formation will be illustrated about that particular flight. Room Remote
will also allow you to check in, print
,

or view your boarding pass right on
your smartphone or tablet.

Temperature & Lighting Controls (Dependent on Hotel)

Guests will be able to adjus
t the temperature and lighting of their room
via the mobile application. If remote control blind technology is available
in the hotel this option will be available as well.

Babysitting

Guests can request to have a babysitter watch their children
whi
le
they’re
busy. Credentials and reviews will be
shown
to ensure guests
have complete confidence
in

who

they

re leaving their children
with
.

Pet Care

Guests can
choose
a variety of pet care options such as washing &
groomin
g, walking, pet sitting, pet whispering, shopping
,

and veterinary
services.

Floral Services

Guests can request a variety of flowers
be sent anywhere within the city.

Interpretation & Translation Services

A
n interpreter
can
me
et
guests
to assist them with navigation, shopping
,

and/or general communication.

Gifting

Guests can gift any product or service to any other guest staying at the
hotel. Guests receiving gifts will
get
a notification prompting them to
accept o
r deny the gift. The gift will only be delivered upon accepting
such a gesture.


Contact Room Remote

Any individual will be able to submit an email to our staff at Room
Remote with feedback, a business enquiry, or simply to just say
hello
.

PRIOR TO DEPL
OYMENT, ROOM REMOTE WILL ENSURE EACH
AND EVERY PARTNERING HOTEL HAS EXTENSIVE SKILL
S AND

TRAINING TO ENSURE OPTIMAL USAGE AND RESULTS IN ORDER
TO DELIVER EACH AND EVERY PRODUCT AND SERVICE WITH
THE UTMOST LEVEL OF

EXCELLENCE.


Future Products
and Services


Room Remote will continuously add to and update its application

s
features in order to
better serve
targeted customers and remain
competitive within the ever changing marketplace.

Market leadership
has been set as a
core objective of
Room Remote
’s,
and the strategic
integration of these features will place the company on a path
to

achieving this.

Several of
our

future plans are as follows:



Extended partnerships th
at include

integrating Room Remote
with

market leading hospitality, media
,

and entertainment
solutions such as LodgeNet to facilitate Room Remotes global
footprint.



Remote check
-
in and checkout options.



Introduce near field communication (NFC) technology s
o that
guests can have their room key digitally sent to their phone in
order to bypass the hotel lobby during check
-
in.



Develop a Room Remote web
-
based customization platform that
allows partnering hotels

to
easily tailor the

application

to
their

unique needs
, and

without requiring the assistance from
integration specialists.




Offer loyalty programs that incentivize

guests and reward them for
using the application to make purchases.



Give

guests and staff
the ability
to communi
cate via audio notes
similar to the mobile applications Voxer and HeyTell.



Develop a full analytics suite

that allows hotel

partners to develop
a more accurate consumer profile based on guest tendencies
,
ensuring

hotels are getting
the
maximum re
turn on investment
from each and every guest.




Offer Inter
-
hotel communication that allows users to sync

and
communicate with guests staying at other Room Remote hotels
and

to
exchange

messages and gifts with these guests.



Develop a FAQ database

that allow
s

guests to ask questions
which
they’d

normally
have to
ask staff members
, and all easily
viewable
in real time via

audio, text
,

or video.



Develop an

auto synchronization feature which
scan
s

guest

s
smart phones and
analyzes

their music and photos
so as to

recommend local attractions based on the
ir

tendencies.



Include business center functions that allow guests to conduct
business on
-
site
, such as

meetings, teleconferences and
webcams, remote

printing
,
among other things.




Introduce

an exclusive membership fee
so

non
-
hotel guests
can

log onto the social network and communicate with
more

affluent
travelers. Non
-
hotel guests will be able to gain access on
a

24
-
hour, mo
nthly
,

and yearly recurring basis.




Introduce profile status (bronze, silver, gold, & platinum) for
members who spend a certain amount via Room Remote. Users
would receive a badge next to their profile name and access to a
variety of special Room Remote ev
ents.



Partner with Clubscore (already in
negotiation
)

and offer vetted
guests (dependent on expenditure) exclusive access to Clubscore
VIP concierge services, celebrity events, and private functions.

Competitors


Room Remote has identified 3 mai
n competitors working within our
marketplace
:



Quadriga



Runtriz



Intelity

Quadriga

Owners of Q
-
Valet and Lobby Friend
, this is the

only company which
offers an interesting temporary social network within the hotel industry.
Lobby Friend, despite being
first to market, lacks a lot of
the necessary
components
critical to driving

guest satisfaction, revenue
,

and
increases
in

efficiency and effectiveness for hotels. One strength Quadriga has is
its customer base,
although

their c
ustomers are not all an ideal fit for
Q
-
Valet or Lobby Friend as mobile applications.


Runtriz


Runtriz predominately offers an informative mobile application to
partnering hotel guests which allows them to educate themselves on the
hotel
’s

offerings, orde
r products and services
,

and make requests to
hotel staff. Runtriz does not offer a social network and has not gained
great traction in the marketplace.



Intelity


Owners of Conrad Concierge, a mobile application developed to cater
for the Hilton Group
, t
his application offers a virtual concierge

well
equipped with products and services. Conrad Concierge does not
include a social network and has ordinary ratings on the Apple App Store.
Intelity is a large provider of mobile solutions to the hospitalit
y industry,
and therefore has a strong reach in the marketplace
,

but this particular
concierge service is specifically focused and has been developed for the
Hilton Hotel Group.


Market Analysis


Local Market Overview


While Room Remote will not turn away
business from international
hotels interested in implementing its software, the initial introductory plan
is to focus on introducing Room Remote to hotels within the United
States
. T
herefore this market analysis will focus predominantly on the
US marke
t.


The hospitality industry is the world’s fastest growing industry, adding 1
new job every 2.5 seconds. Hotels are a major contributor to this
industry
,
and throughout the world there is estimated to be upwards of
202,842

hotels with a total of

17.5 million
rooms.

According to the American Hotel & Lodging Association, the United
States houses 52,214 of these properties, consisting of 4,874,837 rooms
and bringing in an astonishing $137.5 billion in sales in 2011, based on
the 2011
average occupancy rate of 60% and $61.05 revenue per
available room (RevPAR).


The chart below illustrates a breakdown of all the hotels in the United
States derived from the American Hotel and Lodging Association. Room
Remote
;
s concentration will be towar
ds top tier hotels, with concierges
on staff. Analysing the data below we can estimate that Room Remote
will primarily cater, at least in its initial stages
,

to a portion of the 17,140
hotels with 2,364,395 rooms in the United States which charge $85 or
mo
re per night. The portion of these hotels that Room Remote will be
targeting, despite being difficult to determine
,

are the luxurious and
boutique hotels which staff concierges and appeal to the affluent
traveler.




Lodgers of the above hotels can be separated into business trave
lers
and leisure travel
ers. In 2011, 40% of all trave
lers, travelled for business,

and 60% for leisure.


The typical “business room night” stay is by a male (67%), age 35

54
(51%), employed in a professional or managerial position (50%), earning
an average yearly household income of $116,388. Typically, these
guests travel alone (68%),
make reservations (94%), and pay $129 per
room night.

The typical “leisure room night stay” is by two adults (50%), ages 35

54
(40%), and 55+ (35%), earning an average yearly household income of
$89,736. The typical leisure traveler also travels by auto (8
1%), makes
reservations (91%), and pays $109 per room night.

40% of all business travelers spend one night at a hotel, 22% spend two
nights, and 38% spend three or more nights.

Of leisure travelers staying in a hotel, 47% spend one night, 27% spend
two nig
hts, and 26% spend three or more nights.


Room Remotes functionality targets both leisure and business trave
lers
and is not limited to age (similar to social networks such as Facebook).
As we know today, the use of social networks are ever increasing with

200 million active users on Linkedin (44 million mobile users), and over 1
billion active users on Facebook.

Travel
ers, like anybody else
,

love to stay connected, meet new people
for business and/or pleasure, and interact on a daily basis. 680 million
Facebook
s active users are mobile users and 66% of these
are
spending an average of 46 minutes a day using the application. Room
Remote aims to capture these guests by leveraging the
need

people
feel

to use and spend time on social
networks
. This will help increase

the
time used on the Room Remote

s private social network to influence
hotel

product and service purchases.


To fully understand our target market and define our audience to a
greater degree
it is

nece
ssary to understand how many of these
trave
lers use smart phones

and actively download and use applications
on a daily basis. It

s noted that in the US there are 91.4 million
smartphone owners, of which 28.8% use iOS, 46.9% use android,
16.6% use RIM (
blackberry)
,

& 5.2% use Microsoft.


The below chart itemizes each function smart phone users are using by
percentage. Room Remotes functionality covers several of these factors;
Internet Browsing (by way of users researching information on local
destinatio
ns, events, and activities), Emails (by way of users contacting
hotel staff to address an issue, or ask a question), Used Downloaded
Apps (by way of users downloading Room Remote and spending time
using the application), Social Networking Site (by way of u
sers
connecting to Room Remotes private social network to fulfil their needs
to stay connected and create relationships whilst lodging at the hotel).

Another equally important characteristic is understanding which
hotels, of the 17,140 in the US charging more than $85 per night and
attracting a demographic earning upwards of $89,000 per annum
,

are
familiar with mo
bile applications and favor innovative technological
advancement within their walls. It

s difficult to state, despite thorough
research
,

how many of these hotels meet all the above criteria but it

s
known that the following list of major global hotel g
roups are definitely
adhering to technological innovation and would most certainly look
favorably upon an application of Room Remote

s nature.



Intercontinental Hotel Group


-



4602 hotels / 675,982 rooms



Hilton


-



3992 hotels / 652,378
rooms










































Marriott International


-



3672 hotels / 638,793 rooms



Wydham Hotel Group


-



7342 hotels / 627,437 rooms



Choice


-



6198 hotels / 497,023 rooms



Accor


-



3515 hotels / 450,199 rooms



Startwood Hotels and Resorts


-



1121 hotels /

328,055 rooms



Best Western


-



4024 hotels / 311,611 rooms



Carlson Rezidor Hotel Group


-



1077 hotels / 166,245 rooms



Hyatt


-



492 hotels / 210,000 rooms



Four Seasons Hotels & Resorts


-



90 hotels / 19,800 rooms



Caesars Entertain
ment Corporation


-



10 hotels / 27,027
rooms














TOTAL: 31,533 hotels / 4,604,550 rooms


Within the upper class,
Room Remote will be targeting
more expensive
hotels
,
meaning
occupancy rates and revenue per occupied

room
(RevPAR) must be analysed. This will allow us to determine seasonal
trends which will
affect

our advertising revenue

and
customer usage
rates

while at the same time allowing

us to develop appropriate pricing
structures for ad spa
ce and additional future features. “Occupancy rates
for luxury, upper
-
upscale, and upscale hotels are forecast to be in
excess of 70 percent from 2013 through 2017”. In 2012, RevPAR was up
6.5% to $60.34 which is set to rise by roughly 6.1% in 2013. In 201
2,
$3.33 of the RevPAR was derived from room service.


It can be drawn from the statistics previously outlined that the average
hotel within Room Remote

s target market consists of 140 guest rooms.
To determine the potential user base of the Room Remote ap
plication,
we analyse these statistics
while

working off a 70% occupancy rate.
Conservatively speaking, in the first 6 months after launching Room
Remote aims to convert 30% of guests of each partnering hotel into
users. This translates to 1
,
411 new

users per month, per hotel. After 6
months we strongly believe we can increase the percentage to between
50%
and

70% meaning each hotel would see anywhere between 2
,
353

to
3
,
293 unique users per month.

After launch, Room Remote aims to expand at a ra
te of 10 hotels per
month, meaning post year 1
of
each hotel could potentially see a yearly
user base of 39,516, if not more. Hotels can obviously leverage on this
user base with Room Remote

s functionality and increase their room
service orders, concierge

requests, efficiency and effectiveness, sales of
miscellaneous in room or gift store items, and also generate revenue
from implementing flash sales on the hotel

s newsfeed or
by
selling
targeted localized advertising. As recent trends illustrate, flash sa
les are
tremendously lucrative, with the market leaders profiting as follows:



Wayfair
-

$ 600 Million
-

2012



Hautelook
-

$ 130 Million
-

2012



Vente
-
Privee
-

$ 1.5 Billion
-

2010



Ideeli
-

$ 175 million
-

2010



Ruelala
-

$ 200 Million
-

2010

With Room Remote,

hotels now have a
new
way to generate higher
profits by selling products they

d
hadn’t

sold, or had sold but had
n’
t
informed their guests
of
in a proper manner.


Currently

in the highly competitive hotel industry each and every hotel is
ada
pting different methods in an
endeavor

to increase customer
satisfaction and loyalty,
which
in turn increas
es

revenue. All the major
global hotels
,

essentially Room Remote

s target market, are currently
communicating with their consumers and
guests via Facebook, Linkedin,
Twitter
, and

Tripadvisor
. They’re also

integrating social media into
hotel operations to
further
enhance customer relationships and to
analyze guest satisfaction and brand reputation by tracking and
resolving gues
t complaints presented on social media outlets.

Some hoteliers are also combining the power of social media sites with
customer relationship management (CRM) technology to develop guest
profiles that are used to provide enhanced service to customers.
Acco
rding to the Cornell Hospitality Report, if a hotel enhances its review
score by one point on TripAdvisor’s five
-
point scale, it can increase its
rate by 11.2%, while maintaining the same occupancy or market share.
Not surprisingly, a different study, cond
ucted by PhoCusWright, found
that 53% of respondents would not book a hotel if it did not have any
TripAdvisor reviews, and 87% agreed that TripAdvisor reviews
increased their confidence in the selection of a property.

Similar to the customer relationship

management currently in place by
several hotels, Room Remote offers the ability to review its products,
services, staff, efficiency
,

and effectiveness amongst other things with
one key differentiator
:

reviews can only be placed by hotel

guests during
th
eir stay. This therefore

means reviews can not be manipulated by the
public like they can on sites such as Tripadvisor, Yelp
,

and so forth.
Reviews will not only be ‘real’, but will also have a higher chance of
being positive due to the proactive nature o
f Room Remote

s software in
addressing concerns, making changes, and fulfilling the needs of
customers in real time, before their guests decide to transfer their
reviews to any 3rd party sites.


In our digital world, it
’s becoming increasingly

evid
ent that consumers
want convenience, content
,

and control. Hotels want happy guests and
advantages over
competing

properties; Room Remote addresses all of
these factors
while at the same time

increasing revenue.

Global Market Overview

Re
search gathered through The 2013 Luxury Hospitality Report states
that the luxury hotel market has witnessed major activity over the course
of the past decade.


This activity is projected to continue unabated for
some time with several key findings
directly

impacting

the entire industry
,

including:



Global interest in luxury hotels remained stable over the course of
the last five years and is projected to remain that way with
annualized growth of 1.5% across the industry.



The United
States remains the dominant luxury hotel industry with
75% of the
world’s
hotels calling America home.


This is a key
finding as the primary
area of
operations for our brand will be
domestic before moving into foreign markets.



In terms of foreign markets,
Russia, The United Kingdom
,

and
China are the fastest growing luxury hotel markets.


This is
valuable information and will provide us with a template for
expansion in the coming years.



United States consumers represent 66% of the luxury consumer
base
.



New
York is the unquestioned top destination for luxury
hospitality.


Other destinations that are seeing rapid growth
include London, Dubai
,

and Paris.

As previously mentioned
,

United States consumers represent the largest
interest for luxury hotel brands
,

comprising

66.3% of the total
demand.


Russia is running a distant second with 12.8% of the market
,

followed by The United Kingdom and China with 8.5% and 3.3%
respectively.


Declining markets include Italy, Brazil
,

and Japan;
more

infor
mation that can be used to also determine the direction of

our
brand’s

expansion
.

In addition to the United States consumer being the largest consumer of
hotel luxury brands, cities in the United States are the most sought after
and fastest g
rowing destinations worldwide.


Cities like Los Angeles and
New York are attracting a large segment of international travelers. While
New York is the leading and most searched destination, Washington
D.C. is the fastest growing luxury destination worldwide
.


As previously mentioned, Miami, New York, Los Angeles,
and
Las
Vegas will be targeted, as they constitute the 4 largest markets within
the United States.
Based on these findings, o
ur future plans
include

exploring the Was
hington D.C. region
.


On a global basis the fastest growing hotels include:



Shangri
-
La Hotel in Brazil
,
with increases of 72% over the course
of the past year
;



Hyatt Regency Russia
,

with an 89% growth increase from 2011 to
2012
;



St
. Regis in China
,

with growth of 56%
.

The most popular destinations for travelers were New York and Miami
for Brazilian consumers and those of Latin descent.


Dubai ranked as
the highest destination for Russian travelers
,

with Singapore and Hong
Kong ranki
ng high among Chinese consumers.

The Hotel industry is on the road to recovery. After fighting through a
decline in 2009, revenue picked up from 2010 to 2012 and is expected to
continue
rising

in 2013, with growth rates approaching pre
-
recession
lev
els. Over the
next
five years to 2018, IBISWorld forecasts that
revenue will increase at an average annual rate of 3.3% to $162.2 billion.
This growth will include an anticipated 2.2% increase in 2014
, bringing

r
evenue to $140.6 billion.



The i
ndustry will also benefit from general improvements in the economy

as unemployment rates decline and consumers begin to spend more
freely, particularly on recreational activities like vacations and traveling.
Consumer spending is expected to increase over

the next five years
at
an average annual rate of 2.9%, including a rise of 2.3% in 2014.
Business spending is also forecast to increase, contributing to a rise in
demand for hotels and resorts.

With consumers enjoying larger incomes and businesses

replenishing
their budgets, travel spending is projected to increase over the next five
years

as well
. In 2014, international arrivals are projected to rise 4.3%,
while domestic travel is expected to grow 3.0%
at the same time
.
IBISWorld e
xpects that these rates will remain steady over the next five
years, with international arrivals and domestic travel rising at annualized
rates of 3.7% and 3.2%, respectively.

With a greater number of tourists needing accommodation from this
industry, hot
els are expected to benefit from the influx of tourist dollars
and business travel.


Changes in the relative price of domestic and
international travel also play a large part in determining travel patterns.
Other non
-
economic demand determinants include co
nsumers' available
travel times,

cultural links
,

and age. The price of
fuel

also factors directly
into travel costs, such as airline tickets and auto
-
related travel costs.

Over the next five years, investment in new hotels will gradually

accelerate because of a sustained rise in
demand for tourist

accommodation
s
. Investment will likely take place at a faster pace in the
early part of the five
-
year period as operators compensate for the
dramatic decline in investment of the
past few years. Operators in the
Hotels industry are expected to increasingly focus on opportunities
abroad to satisfy demand in international travel markets like Russia,
Easter
n

Europe, the Middle East, Latin America, Asia, China
,

and India.
Domestically,

however, an oversupply of rooms is expected to slow
investment in certain geographic areas, leading to a more subdued
recovery.

According to the United Nations World Tourism Organization's (UNWTO)
Tourism Towards 2030, international tourist arrivals in em
erging
economies of Asia, Latin America, Central and Eastern Europe, Eastern
Mediterranean Europe, the Middle East
.

and Africa will grow at double
the pace of advanced economy destinations. The most robust growth is
forecast to be in Asia and Oceania, wher
e arrivals are forecast to
increase at an annualized rate of 4.9% through 2030. The Middle East
and Africa are also expected to more than double their arrivals in this
period.

International arrivals in emerging economies are expected to surpass
arrivals i
n advanced economies by 2015. In 2030, 57.0% of international
arrivals will be in emerging economy destinations (versus 30.0% in 1980)
and 43.0% in advanced economy destinations (versus 70.0% in 1980).
As such, international hotel chains are projected to g
ain the majority of
their revenue growth from emerging economies.

The continued growth
of higher
-
margin
specialty

operations, such as extended
-
stay boutique
hotels, spa and health retreats, and resorts, are expected to assist
improvements in pr
ofitability.


Social Network Sites

Social networking sites (SNS) are projected to benefit from a continued
increase in advertising revenue and online activity during the next five
years. Mobile platforms, in particular, are expected to drive sales as the
m
arket penetration of devices like smartphones and tablets grows.

Higher disposable income will also benefit the industry as consumers
spend more on discretionary purchases through SNS. Industry revenue
is forecast to grow at a 25
% five
-
year annualized r
ate to $20

billion in
2018; including 30
% estimated growth in 2014. However, quick network
expansion and the entrance of new companies will result in significant
investments by SNS. As a result, the average company in this space is
projected to earn on
ly a slightly higher profit of 6
.8
% of revenue in 2018,
compared with 6.1% in 2013.

The proportion of consumers with mobile devices is quickly increasing,
and the market is expected to enable SNS to generate more revenue
from advertisers. According to a
2012 study conducted by Comscore, a
market research firm that focuses on digital media,
40
% of Americans
own a smartphone device. Comparatively, only 14
% of Americans
owned a smartphone in 2008, according to a Wire Study by Nielsen, a
co
nsumer research firm. Furthermore, sales from mobile devices
doubled in 2011, totaling 11
% of total sales in December 2011,
compared with just 5
% in 2010, according to IBM research.


This shift to online sales through mobile devices benefits SNS that
generate advertising revenue mainly from online retailers and partly
represents the purchases that consumers make through SNS. According
to a report from Comscore, about 40
% of smartphone users accessed
SNS nearly every day in October 2011, while 64
% o
f smartphone users
connected with an SNS at least once during the month.

Niche SNS experience a lower level of competition because their target
markets are so narrowly defined. As a result, revenue within this
segment is more stable and companies can attra
ct certain advertisers
that are also targeting that market. On the other hand, companies can
also attract direct consumer purchases. For example, a social network
revolving around fashion could sell clothes directly to consumers and
earn a markup on those
clothes, much like what Room Remote
proposes to do.


Regulation changes which may be coming into effect could make it more
difficult and expensive to enter the industry. There are now several bills
in Congress, which, if passed, could result in more requi
rements
regarding the manner in which certain personal information and other
user data is stored and managed. Room Remote is confident that it will
be able to successfully navigate around these issues.

Marketing Plan


Each of the marketing methods that wi
ll be implemented
is

structured to
target both hotels and their guests.


The targeted audience is broken into three main segments including:



Luxury Hotels



Luxury Serviced Residences



Cruise Ships

The following methods will
apply

only

to the luxury h
otel segment as this
is the primary focus of Room Remote until market positioning allows for
expansion.


Exhibitions and Events

The Room Remote team will attend trade shows and events and
advertise using a 20” X 10” booth.


This space will provide our comp
any
with an adequate amount of room to effectively operate and drive
traffic.


The areas will include LCD monitors that offer customers
insight
into the key functionalities of the solution.


In addition, there will be
testing areas that allow customers
to demo the product using
smartphones or tablets.


The four shows initially being targeted include:



SXSW, Austin


March 7th


13th 2014, 2015



CTIA Convention, Las Vegas


May 21st


23rd 2014, 2015



HITEC Convention, Minneapolis


June 24th


27th 2014,201



International Hotel/Motel Restaurant Show, New York City 2014,
2015

Company decision makers and buyers generally plan trade show time
s

in advance. The Center for Exhibition Industry Research (CEIR) found
that 76% of attendees use pre
-
show information for
this purpose. We will
implement several direct marketing tactics
so that our prospects

become
aware of our booth prior to the show and attend our booth
while there
.

We will also utilize methods to acquire the

contact information of each
and every visitor we receive at our booth. These tactics will include but
are not limited to:

Direct Mail

If possible, a registered buyer list will be obtained from the event
management
and analysed for Room Remote prospects.
Once
determined
,
a postcard will be sent directly to the buyer/decision maker
including a creative ‘call to action’ statement which will entice buyers to
visit our booth.


Free Product Demo & Customization

During the show, Room Remote will offer the abili
ty for hoteliers to demo
the application at our booth and run through some customization
practices so that decision makers understand how easy it is to integrate
and customize the Room Remote application for any given hotel or
resort.

Email Blast

Email add
resses of all key decision makers will be purchased from event
management prior to the exhibition/event and an introductory email will
be sent inviting specific buyers to our booth. Again, we will use a ‘call to
action’ message to entice buyers to engage w
ith our email blast and visit
our booth during the show.

In Show Digital Display Advertising

Room Remote will run ads on all the digital advertising screens scattered
throughout the exhibition/event site during the length of the entire trade
show.

Bus Adve
rtising

We aim to purchase in
-
bus digital advertising space to target all key
decision makers commuting from the trade show or hotel car parks to
the exhibition centers via the free shuttle buses. This is one very
effective way of obtaining last minute att
ention from key executives and
is offered by the majority of large trade shows around the nation
who
have

set up off site parking.

Public Speaking

We aim to secure time slots within each exhibition/event
and

speak
about our application, its advanta
ges, innovation
,

and space in the
market to educate new customers

and increase the likelihood of vetted
customers attending our booth.


Public Relations

Room Remote will contract Spark PR Agency (www.sparkpr.com) as the
public relations arm of choice. Thi
s agency is highly recommended and
recognized as one of the leading PR agencies in the technology space.
Their methodology includes:



TV & Radio



Newspaper and Print Coverage



Bloggers (in tech, travel, and luxury sectors)



Journalists (in tech, travel and lux
ury sectors)

Social Media

Social media will be driven by an in
-
house marketing specialist. This
specialist will deliver a consistent message that is representative of our
brand at all times, across all platforms.

Four social media platforms will
be used.



Facebook will be used extensively
. All

public relations coverage
being directed back to our Facebook page
, allowing

us to better
engage the target audience.


Application launches, updates,
videos, trade shows
,

and festivals will

all be posted on the landing
page
, making

it our primary information hub.



Room Remote will utilize

Twitters

live chat options to create real
relationships and develop brand loyalty with the market.


B2B
strategies, loyalty programs
,

as w
ell as calls to action will also be
communicated through this platform.



Linkedin

will be used by our sales team to

send direct mail to
targeted hotels and other key industry personnel.



Instagram will give Room Remote the opportunity to use hash
tagging to
drive interest and awareness.


These hash tags will
become the norm when users begin to take photographs and help
drive interest regarding our brand.



Soft and Hard Launch Parties

When launching Room Remote, we will host a launch party in Miami,
Florida a
s this is one of our initial
target
markets
.


This event will be
used as
a key networking and educational opportunity to reach potential
partners while informing them on our innovative platform and the
benefits it offers.


Additional
launch parties will be done in New York,
Las Vegas
,

and Los Angeles.

Competitive Edge


The primary competitive advantage Room Remote will have over the
competitors currently
in the market is the scope of innovative features
included
in
the application. Whereas competitors do offer a fragment of a
total solution, none have fully integrated a true
,

revenue
-
driven
,

private
social network linked with a virtual
concierge
.

These features can be
broken down within the sub categories l
isted below.


Please note: See attached “Room Remote Feature List.pdf” for an
elaborated list of competitive features.


Additional Revenue Stream


Interactive In Room Menu
s

Room Remote

s customizable platform will allow hotels to include photos
of each me
al offered
on
their room service menu and other photos of
items listed for sale
.
. According to Joe Adkissons from Ascension,
seeing images of food and other images of purchasable items presented
in a non
-
intrusive

way often leads to more orders, adding that

room
service orders at his hotels have increased 15% to 20% with the use of
their app.



News Feed Advertising

Room Remote

s customizable news feed will allow hotels to offer live
promotions
,

such
as

happy hour at the bar, buy 1 get 1 free spa
treatment, 10% off dinner at the restaurant
,

and so forth. Advertising will
also be seasonally targeted
,

such as offering guests discounts on floral
services during Valentine

s Day and so on.

Increased aware
ness

Room Remote

s easy to navigate software interface will enable guests to
browse

purchasable products and services they may not have known
existed in the past, (e.g. Bed Linen, Mattresses, Paintings, Medical
Assistance, FedEx Services
,

and so on..) max
imizing purchases of
products and services which may not have been purchased
before
,
simply due to
a
lack of information.

Flash Sales

Hotels have the ability to post flash sales of their products and services
via their news feed. Recent trends
show
flash sales to be tremendously
lucrative, with market leaders

Wayfair realizing $600 Million dollars profit
in 2012; Vente
-
Privee realizing
$1.5 Billion in 2010
;
Ideeli realizing $175
million in 2010
;

Hautelook $130 Million in 2012
; an
d

Ruelala $200 Million
in 2010.

Offering Unmatched Service

Room Remote

s private social network will become so viral that trave
lers
will use it as a deciding factor when booking their hotels; e.g. “I’m not
going to book that hotel, it has no social int
eraction
,
” or “Let

s book this
hotel, we can stay connected to all the guests

and
staff and have a more
enjoyable time
.”

As a result, all Room Remote hotels will have increased
occupancy rates compared to their competitors.

Entertainment Value

Due to it
s social, entertaining
,

and other valuable features, Room
Remote entices guests to spend more time using the app, in turn
increasing visibility of the hotel’s products and services and increasing
the chance
for
customer purchases.

3rd Party Advertising

The hotel will get a split of ad revenue generated from ads placed on the
Room Remote

news feed via
G
oogle admob.
It’s good to point out

that
Facebook’s revenue from advertising in the first quarter of 2013 was
$1.25 billion, 30% of which was d
erived from mobile ad revenue.


Upselling

When guests are making a purchase

additional items

will
automatically
be
suggested
to them
at checkout
. This

may complement their order, e.g.
g
uest
s

orders a burger and

fries and a drink

are suggested
. Images will
also be displayed to enhance Point of Sale purchases.

Cost Reduction

Less Printing

Expenses related to printing compendiums, brochures, notes, flyers etc
will be dramatically reduced by maintaining all thi
s information online.
According to Intelity, printing costs can be reduced by up to $500 per
room, per year.


Reduced Electricity Usage

Hotels can opt to allow guests to have complete access to regulate their
room

s air conditioners, heaters and/or lights
via Room Remote when
outside of their room. This will reduce the
number
of guests
who
leave
hotel cards in the power slots for hours on end
or
run the air
conditioners/heaters
while
outside
their room
.
W
ith the simplicity of
Room Remote, guests will be able to pre set their
thermostats
from any
given location
.

Les
s Dissatisfied Customers

Room Remote will offer product and service reviews, (generated by
other hotel guests) throughout the entire application
’s

offerings. This will
give guests
greater
confidence in purchasing
while at the same time
reducin
g complaints, dissatisfaction, and returns
.

Online Baggage Storage

By changing the traditional method of ticketing bags for storage with
paper tags, Room Remote

will offer the delivery of a digital ticket number
to the guest so that the hotel can reduce costs related to purchasing and
printing paper and tagging each and every bag upon check
-
in

and
checkout.

Efficiency and Effectiveness

Reduced Staff Labour

Staf
f
won’t have

to answer calls from guests requesting products and
services
as guests will have access to these things via their mobile
devices. This will allow staff to concentrate on other tasks
ma
ximizing
their productivity
at work.

Less confusion

Guests w
on’
t have to spend time browsing the app store to download an
individual Room Remote app for each hotel they check in
to. Room
Remote will offer users the ability to select f
rom
any hotel in the world
that is partnered with Room Remote; the application will then instantly
customize the selected hotels features and be ready for use.

Language Automation

Room Remote enables guests to select their language and currency
a
llowing them to see all hotel products and services, as well as their cost
in any format of their choice. This will entice users from all parts of the
world to use the app
without

language barriers.

Favorites Menu

At the top of

Room Remote guests will
have access to “favorites
,”

which
are
frequently used products and services added by the guest. This will
enable guests to
make purchases easier
and more quickly
.

Guest Satisfaction

Application P
unctuality

Upon partnering with Room Remote, hotel staff will go through a
rigorous training day
so as to
fully understand the features

and how to
execute such
when a customer requests them. This will deliver
exceptional service to any Room Rem
ote customer.

Dictionary

As much text as possible within the app will be selectable text to take
advantage of the native iPhone and Android “define” feature which will
aid Room Remote users in understanding any word
they wish
. There will
also be a multilingual dictionary ap
p

which will work as our own
translation service.

Instant Gratification

If for any
reason the guest is unsatisfied with any experience related to
their stay
at the hotel they can express their concerns by pinging hotel
staff. Hotel staff can then access the guest

s profile including current and
past stay orders; this will enable the hotel to send guests some type of
compensation
to best address their current dissatisfaction. This will
measurable
reduce the amount of negative reviews on sites such as
TripAdvisor.com, Booking.com
,

and other major travel sites.

Information 24/7

Room remote wants to diminish the proble
m of losing concierge’s
knowledge when there is position turnover or if they are not currently on
the schedule; therefore each concierge will be asked to backup their
relevant personal knowledge to a database so that at any given time

the
concierge on shi
ft can access that information to address any question
s

a hotel guest may have.

Analytical Information

Menu Reviews

Hotels can improve their menu by having the ability to read the guest
reviews on each
item listed and change the item if necessary to enhan
ce
guest satisfaction.

“The chicken parmigiana could have been great, the breast was very
generously portioned..
if only it had less cheese…it completely ruined it!”

“The fruit platter contained some of the most exotic fruits I’ve ever seen,

but the
only
problem was they were far from ripe!”

Trending Interests

Room Remote will automatically notify hotel staff if any guest is seen to
search reviews on a specific topic more than 3 times on the applications
news feed. This will allow hotels to understand thei
r guest

s interests,
wants
,

and needs
and
adapt accordingly

by

pro
-
actively
addressing
these factors on arrival, during their stay
,

or upon checkout.

For example, a

guest is
seen searching

Michelin restaurants. Upon t
he
next check in and use of Room Remote, staff will both verbally advise
guest
about the local Michelin restaurants and send the guest the
appropriate information to their Room Remote inbox.

Purchasing Habits

Purchasing trends filtered by gende
r, age, marital status, hometown,
current town, reason for visit and so on will be stored on the back end for
hotels
to better

understand
and serve
their customers
.

Per Room Expenditure

Every transaction will be logged so that hotels can pull (per room dollar
expenditure) analytics on each and every product and service offered via
Room Remote. Having this information will allow hotels to better
understand their product and service offerin
gs, seasonal purchasing
influences, and areas in which they should focus their sales and
marketing efforts.

Enhanced Marketing and Visibility

Increase in Occupancy Rates

Room
Remote’s
‘post card’ feature will offer free advertising to hotels by
all
owing guests to instantly post their cards across any desired social
media platform. According to survey results derived from the Marriott,
more than two in five (44%) of Americans who use social media agree
that seeing vacation pictures or posts make them

want to go to that
destination.

Exit Strategy


After careful consideration, Room Remote has developed the following
scenarios for the investors and management to recover their
investments.

Scenario One: Repayment

Room Remote chooses to remain a privately

owned company.


All
investors are repaid in full, consolidating ownership to the founders.

Scenario Two: Merger

Room Remote merges with another company to expand its market reach
and development capabilities. Room Remote management would
maintain majority

control of the Company and combine its operational
and sales efforts with its merger partner.

Conclusion

Room Remote may entertain merger or acquisition scenarios by a major
company upon the realization of anticipated operating results and
favorable marke
t conditions.


Aside from merger or acquisition, the
Company may instead strive to sell its interest through the sale of stocks
on the open market, likely reaping outstanding reward for investors if
IPO
-
status is achieved and potentially handing control of

the brand over
to the new majority stockholders. The Company will entertain all
scenarios that could be lucrative for the Company and investors. The
final decision will depend on market forces and the wishes of the owner
and investors.

Sales Forecast


T
he current sales revenue grows year after year based on us adding 10
hotels per month charging each a $15,000.00 setup, licensing and
integration fee. We also will be charging each hotel a $10.00 per room
per month fee for server and support costs which wi
ll be recurring
monthly revenue.