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24 Mar, 2012

Report Claims IPTV can Boost In-room Hotel Entertainment Revenues


DENVER, March 20, 2012 /PRNewswire/ — iBAHN, a supplier of IP-based entertainment and information services for the hospitality and meeting industries, today published a whitepaper: IPTV:  Delivering a Higher Return on HDTV Investments.

It is compiled from research and input from the hospitality industry, and responds to common pain points heard from hotel clients: despite investments in high definition televisions, add-on video revenues are decreasing as guests turn increasingly to laptops and mobile devices for entertainment. The whitepaper examines how IPTV can optimize hotels’ investment in HDTVs, while bridging the gap between the technologies they currently provide and the newer technologies that guests demand.

Says the report, “IPTV presents an enormous opportunity to improve guest satisfaction as well as to generate incremental revenue. More than a new sales channel to deliver video offerings, it is a powerful vehicle that opens the door to an entirely new kind of personalized guest experience and allows properties to offer nearly unlimited media content, interactive services and targeted messaging to the guest.

“The IPTV system is a one-to-one sales and information system in the privacy of the guestroom. Take into account that the average restaurant tab is five times more per person than the typical VOD movie rental. The average spa treatment is about $160, ten times the VOD movie revenue. Now imagine running an HD video of the hotel chef describing the featured items on the menu, or a tip from the golf pro, or a feature about a spa treatment, or a targeted message to individual rooms (for example, confer- ence attendees) that can help the sales staff sell group business. Such promotional videos and targeted messaging can increase revenue from the most valuable add-on services.”

Internet Protocol Television (IPTV) is the delivery of network or studio programming in either broadcast or on-demand form via the Internet.  IPTV provides access to an expansive roster of HD channels and enables delivery of Over the Top (OTT) content via the Internet to the television or any other Internet-connected screen (laptop, smartphone, tablet, etc).  Examples of OTT programming providers include Netflix™, Xfinity™, Hulu™ and HBOGo™.  IPTV allows for a truly interactive experience between the viewer and provider.

“Leveraging an existing hotel IP network opens the door to an entirely new kind of personalized guest experience and allows hotels to offer nearly unlimited media content, interactive guest services, and targeted advertising,” said Roger Crellin, iBAHN President of Americas.  “IPTV allows guests to access personalized and interactive entertainment that includes broadcast, cable, premiums, on-demand, gaming, web surfing, and social media. We believe IPTV will keep pace with the evolution of guest expectations.”

Although high definition televisions have proliferated rapidly throughout the hotel industry, an HDTV without an HD signal actually yields a poorer image than a standard definition TV, resulting in an unsatisfactory entertainment experience for guests. IPTV allows hotels to deliver the clear and crisp HD resolution that guests expect from HDTVs, while providing virtually limitless entertainment options.

In addition to expanding entertainment options, IPTV allows hotels to deliver guest information via in-room television screens, parlaying a more eco-friendly and modern communication method, and saving costs.  Links to amenities pages and special offers can drive loyalty and incremental business.

iBAHN’s whitepaper, IPTV:  Delivering a Higher Return on HDTV Investments, includes data exemplifying the guest satisfaction and return on investment that hotels can expect from IPTV. It additionally includes research on the proliferation of IPTV and the shifting trend in hotel guest entertainment demands. To download the whitepaper free, click here.

For more information, please visit www.ibahn.com