Hoteliers Consistently Lose Revenue Without Measurable Benchmarks in Contact Center Performance, Says Cloud5 White Paper Based on a Survey of More than 8,300 North America Hotels

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Chicago, IL (November 7, 2017) — Cloud5 Communications released data from a survey of more than 8,300 hotels in the North American market, concluding that Hotel Operators have forgotten, or overlooked, the profit-generating power of a major direct channel—the Contact Center.
The White Paper demonstrates that when managed properly the Contact Center, or Call Reservation Office (CRO), can be a thriving, high-value revenue center. In a time when revenues are challenged by the rise of online travel agents, the increasing complexity of social and mobile channels and a dramatically changing guest demographic, hoteliers should leverage the voice channel to take advantage of incremental revenue opportunities and implement the proper CRO operation and training processes to foster brand advocacy. Prior to the release of the White Paper, no accepted industry standards for measuring CRO revenue impact existed.
About the Research
Cloud5 commissioned independent third-party consultant, Hospitality Technology Consulting (HTC), to help establish a benchmark for measuring hotel reservation call performance – including conversion rates achieved at both self- and third-party operated contact centers. The survey found a lack of consistency in measuring Contact Center investments and results, an inconsistency that makes it difficult for hotel owners and operators to understand how CROs impact revenue performance, particularly revenue conversion.
Robert Post, President and CEO of Cloud5 Communications, said: “The CRO has become a forgotten distribution channel. Without standards for measuring Contact Center performance, hotel owners and operators have developed a financial ‘blind spot’ that is costing them millions of dollars in untapped revenue. Whereas today CROs are perceived as a cost center, in today’s complex marketplace it can – and should – become a revenue-rich channel. We are pleased to share data toward the development of benchmarks that can help hotel professionals take control of, and leverage these underutilized revenue sources.”
A full copy of the white paper can be downloaded from the Cloud5 website.
Key findings of the White Paper, include:

  • Absence of measurable benchmarks has created a financial blind spot – Some Contact Center operations convert calls more than others, for a range of reasons. The factors behind conversion discrepancies should be better identified and understood. Centers with lower conversion rates are frequently leaving money on the table, often to the benefit of competitor hotels, and hotels in adjacent and/or similar markets.
  • 100 percent of respondents reported only one conversion metric, either net or gross conversion– Hotel executives have little statistical data with which to evaluate their Contact Center’s conversion performance. Nor do they have the data they need to assess the merits of in-house call answering versus outsourced call handling.
  • Lack of authoritative and comparative information for Contact Center operations – 62.5 percent of respondents did not know the average tenure of their call agents, and 50 percent of respondents reported attrition, while 100 percent did not have the data needed to report involuntary vs. voluntary attrition. This data is a clear indicator that the industry continues to struggle with staffing and brand advocacy in the voice channel. By implementing the proper processes, CROs’ can increase revenue conversion rates by up to 10 points, and dramatically increase brand advocacy.
  • The Need for a Revenue Conversion Index – Today’s service delivery standards from the Contact Center perspective only look at caller satisfaction as implied from conversion rates. An industry-wide Revenue Conversion Index would provide standard benchmarks that can overlay explain existing data, and create measurable satisfaction and return caller (loyalty) metrics for both converted and non-converted calls.

For more information on how Cloud5 can increase direct sales through higher conversion rates, request a free Contact Center consultation by emailing
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