This email letter was distributed to the media of another $25 billion industry. It is right on the money.
I have used several aggregator websites (3rd Party Marketing Sites) in the past. I use them no more. My comments are in no way personal. I have no ill will against any particular business. I just have a huge set of concerns about the proliferation of these sites and the industry’s acceptance of them with open arms.
In short, here are 5 reasons why I believe we should see these aggregator websites as more of a hindrance than a help to our industry.
1. Utilizing the 3rd party online customer capture model will reduce revenue for the operator. Since the main differentiation on these sites is price, we are conditioning the consumer to think price is the only basis in choosing a facility. Lowest price wins (we all lose).
2. In the yellow-page days, at least we’d get a phone call and a good manager could deflect the price question and entice a potential renter in. In the aggregator environment, we’ve lost direct contact with the consumer. These aggregator sites add a layer of “insulation” between us and the consumer. We lose the ability to out-shine the competition.
3. Indiscriminate use of these aggregator sites will damage what brand equity you have built. You cannot tell the difference between 1st generation facilities or 3rd generation facilities. If you run an outstanding operation, you’re brought down to average on these sites.
4. If you already have good online visibility, these aggregator sites are now competing against you. The aggregator now has become your competitor, trying to capture potential renters and direct them to their site and send them to you for a fee (and many 'a fee' to the consumer).
5. These aggregator sites have inserted themselves between us and the consumer as the middle man. Ask people in the hotel industry or airline industry their opinion of these aggregator sites in their industry and what it has done to pricing. They HATE them.
If you doubt that, then read this article at portfolio.com about why airlines are now fighting third-party reservation sites. Make the analogy to our industry and imagine what it looks like today and then 5 years from now.
http://www.portfolio.com/business-travel/2011/01/05/why-legacy-airlines-are-warring-with-expedia-and-orbitz
I’m not telling you what is best for your particular situation. Only you know. I only ask you to consider what the blind acceptance of these sites means to the industry. I believe in capturing business online, but from your own website, not another’s.
To our parking clients, if you allow any company to use your trade name on their website with or without out your permission, you will be competing against your brand.
Please don't get grossed out by this next story, but to my surprise one day last week, I found ticks on my two dogs about the size of an aspirin. Although our pups receive monthly dosages of medicine, these resilient pests did serious damage from head to toe within 24 hours. Unimaginable damage to their skin. These pests hopped on and sucked a serious amount of blood from their healthy bodies. Who knows what the real damage would have been if we did nothing to help them.
Your brand is your greatest asset. Please protect it.
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