Discovering Italy engaged Storm Software Solutions to design and develop a web application and mobile app that would allow them to disrupt the crowded global online travel agency market.
We ran a number of workshops with the team at this startup to develop ideas that could potentially disrupt the market while offering the client or booker a great customer experience.
One of the primary ideas we developed focused disrupting the way hotels paid for advertising rooms on website and mobile app. OTA’s such as booking.com and Expedia charge a commission and sometimes publishing fees to list hotels which does offer hotels the comfort that they will not pay fees unless rooms are booked. The model we developed with discovering Italy would see the hotel offering a complimentary room for 1 or 2 nights as payment for a year of promoting the hotel or venue to website and app users. The basis of the complementary room was that the hotel would receive all of the income from any additional night’s stay or upsell that the hotel did at check in. Fundamentally the hotel would not pay any additional commission or listing fees on top of the complimentary night’s stay they had agreed to.
The business model for Discovering Italy relied on them leveraging the income they generated from the client for the complementary stay. If the value of the room was 200 Euros for 1 night and the client was looking to stay for 3 nights the system needed to work out what revenue it would achieve from the booking while remaining competitive. The application design included an option for the user to “Make an Offer” for the booking which would then be used a reference for what the client was looking to pay. Using dynamic pricing technology developed by Storm an automated process would be used to optimise revenue for the booking.