Hostelworld’s marketing strategy to attract new hostel customers

Hostelworld have traditionally focused on keyword marketing and displaying properties side by side with reviews to sell accommodation. Now the focus is on the experience, not the product.

Here is the idea that HW are going for now, and why.

Festival of Marketing 2015: Hostelworld CMO, Ottokar Rosenberger on emotional storytelling, street casting backpackers and moving away from showing the product in ads

… Hostelworld’s alternative travel approach is indicative of current trends: we no longer want to buy souvenirs we want to buy experiences, live as locals, with unfamiliar cultures, and take unpredictable journeys.
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“how come, in such an emotional category that is travel – you work all year to go and have that unforgettable moment when you go on a journey – how come all the advertising is about the product?”

“Emotionally differentiating your brand” is the only thing you can do to compete in the industry, Rosenberg says. Moving away from functional product demonstration – showing the accommodation – and towards emotional storytelling.
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They carried out research and spoke to millennials, who told them that yes decisions were still partly based on price, location and reviews but that it was also about new ways of living, new cultures, meeting locals, along with issues of safety and cleanliness, and top of the list being the sociable aspect.

In response, Hostelworld took away any “brochure-like” imagery from their marketing material, and the new imagery, along with the recent ad shown on TV and online, was created through street casting with an open call for “backpacking lifestyle subscribers”.

You may have already seen the ad:

The ad certainly captures the essence of adventure, excitement, and meeting new people on a trip. Given what they were trying to portray, I think they nailed it.

While it’s a good idea (and quite effective) to move away from “brochure-like imagery” and towards emotional storytelling, I feel like including at least a hint of a hostel would be appropriate. If this video had a one second clip of the same backpackers walking under a sign that says “hostel” at the very beginning as an indication of how they met, then this ad would be perfect.

At least the description under the video says, “Stay in a hostel and create unforgettable travel experiences with new people from around the world.”

Another HW video that went viral shows a “Skypediving ” adventure - jumping out of an airplane while having a conversation on Skype.

Here is the complete ad (that even shows the hostel!)

And here is the video of the guy with the swearing parents, because it’s everyone’s favorite. :)

Both videos elicit an emotional response and we can reasonably believe that viewers might say, “I want to have an experience like that!” Experienced travelers and fresh newbies alike may be inspired to pack a bag and head out on their own adventure. And since the reach goes far beyond current travelers looking for accommodation, this kind of marketing had a great chance of driving new business to all of us. I like it, and I can’t wait to see what else they put out.