In 2005 Ibiza Rocks started as an events business, organising rock music concerts in venues across Ibiza. Since then the organisation has grown to include a travel company, three hotels, two hostels, two bars and a fashion label. In 2010, the company opened a branch in the Balearic Islands with the launch of Mallorca Rocks, playing host to open-air pop, rock and dance concerts. It has also established a division to sell ski holidays to Meribel in the French Alps, known as Ibiza Rocks the Snow.
Ibiza Rocks sells holidays, hotels rooms and extras, such as airport transfers, event tickets and excursions, on its website [ibizarocks.com] and has contracts to sell its own inventory through Lowcostholidays and On The Beach. Packages that include flights are also sold via the UK’s major online travel agents (OTAs) and tour operators. The company is also linked to flight meta-search engine Skyscanner, though going forward the company plans to sell flights through the Ibiza Rocks website in order to provide consumers with a seamless, end-to-end booking experience.
Ibiza Rocks targets 18 – 25 year olds in the UK and Irish markets and describes itself as a lifestyle brand rather a concert-based holiday company. It is, therefore, extremely focused on online, mobile and social sales and marketing channels. The brand appeals to individuals, couples and groups who want to spend their holiday with like-minded people in a party environment.
Ibiza Rocks has experienced rapid growth since it was founded as an events business in 2005. Branching into the holiday market required its operation to be underpinned by dynamic, flexible and robust reservations technology. Initially, the company partnered with a hotel and tour operator, which managed bookings. Once it contracted its own hotel inventory, rooms were also sold through a partner travel company and bedbank. However, this model made it difficult for the company’s business leaders to obtain and process management information (MI) reporting.
The next step, therefore, was to partner a local travel IT firm, which provided a simple hotel booking system with modest reporting functionality. It allowed Ibiza Rocks to load rates, but little else. The functionality was slowly developed to meet the growing requirements of the business, but eventually the cumbersome nature of the data management and Excel-based accounting processes made it difficult for margins and upselling to be monitored and managed. The business needed to invest in a complete end-to-end technology solution to keep up with and scale its expansion.
The directors of Ibiza Rocks enjoyed a close professional relationship with their counterparts at lowcostholidays, who already had an association with intuitive. It was on their recommendation that Ibiza Rocks decided to pursue the intuitive iVector reservation platform. The seamless project implementation took only two months, and immediately introduced operational efficiencies and new selling opportunities. The company benefitted from slick MI reporting and accounting capabilities. The single most significant development was having real-time overview of bookings, which provided the ability to see the value and margin of each transaction, and to view the status of supplier invoices. This has enabled the business to improve its ability to accurately forecast, and to quickly alter rates in relation to demand.
Overall sales for the company’s Ibiza products have grown by 25% since the implementation of iVector. Hotel sales in Mallorca have increased by 40%, while confidence in potential growth enabled an increase of 30% in capacity. The company has also been able to cut costs in its call centre operation, as the majority of bookings are now made online. 16% of all customers are booking on tablets and smartphones, even though the company is only in the early stages of its mobile platform development with intuitive.
The project has so far helped enable Ibiza Rocks to take its business to a new level, with the full potential of the technology still to be realised as the company continues to grow and business requirements change. Ibiza Rocks has been given a designated account manager who works with the development team to ensure the technology fully underpins the needs of the business. For example, the reporting capabilities have transformed the way in which Ibiza Rocks operates. However, the need to break down individual product sales, such as extras and ancillary services still exists. Furthermore, the system at present is geared towards the sale of individual items as opposed to packaged or bundled products.
As social media is such an important channel for the company’s target market, Ibiza Rocks and intuitive are working closely to integrate sales and marketing functionalities into these channels. It will allow automated marketing campaigns to be launched and tracked from a central dashboard.
Mallorca Rocks is soon to be closed in order for Ibiza Rocks to concentrate on expanding the brand into other new exciting venues and destinations, where they will be working with intuitive to provide their reservation platform solution.
Lucy Greenhill, Ibiza Rocks’ commercial manager, said:
“A contemporary online business can only be successful if it is built upon dynamic technology. As our business experienced rapid growth we became acutely aware of the need to invest in a system that would provide the flexibility and power to manage every aspect of day-to-day operations. While our partnership with intuitive is still in its infancy, we have already taken important steps together. As the relationship matures we recognise that our technology partner will be an indispensable long-term partner to the business.”