Latest / The Modern Hotelier / #330: The Biggest Change in Hotel Distribution | with Oshick Shams
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- The Modern Hotelier #330: The Biggest Change in Hotel Distribution | with Oshick Shams === David Millili: Welcome to a special Independent Hotel Show Miami episode of The Modern Hotelier, the most engaged podcast in hospitality. Please make sure to follow, like, subscribe, and let us know in the comments what you think about today's episode. Steve, who do we have on the program? Steve Carran: Yeah, David, today we have Oshick Shams, the Partner Manager at SiteMinder. Thanks for joining us, Oshick. How are you doing today? Oshick Shams: Doing great. Thank you both for having me. Steve Carran: You bet. David Millili: It's good. All right, so we're gonna go through a lightning round. We're gonna get to know you better, your background, your career, and then we're gonna dive into some industry topics and thought leadership. Sound good? Oshick Shams: Sounds great. Let's do it. David Millili: All right. So when you were little, what did you wanna be when you grew up? Oshick Shams: Oh, that's easy, soccer player. Professional soccer player. David Millili: Okay. What's something you wish you were better at? Oshick Shams: Cooking. David Millili: Okay. What's a luxury you can't live without? Oshick Shams: Luxury can't live without. I think just caffeine, you know, like tea or coffee, whichever one, you know. David Millili: All right. So if you could take a person dead or alive to lunch, who would you take? Oshick Shams: That is a great question. Honestly, I would probably say Tim Howard, US Men's National Team goalkeeper, idol of mine growing up, still living. So still possible if for some reason he sees this. Love to take him out. But yeah. David Millili: We'll see what we can do. So if you could have a superpower, what superpower would you like to have? Oshick Shams: I was always a big fan of Flash when I was growing up, so probably super speed. David Millili: Okay. And let us get something that's on your bucket list. Oshick Shams: There is, and I can't think of the name of it off the top of my head, but there is this incredible ship. It's not so much like a cruise ship, but it's like a small ship that goes into Greece. And you stay on the ship, but they stop at some of the islands in the area, and that is on my bucket list to do with my wife someday. Steve Carran: Very cool. Sounds great. Yeah. So now we're gonna dive into your background, a little bit about what makes you tick. So you grew up in the Dallas area. How did growing up in Dallas shape you into who you are today? Oshick Shams: Yeah. I think just in general, not so much Dallas, but Texas, you know, Texas kind of, I'm sure you guys know, sees itself as our own nation sometimes, and you kind of grow up with that Texas history and that Texas pride, and I think that very much shapes how not only myself, but a lot of people from Texas are. Steve Carran: Yeah. David Millili: And so what made you decide to go to SMU and get your degree in sports management? Oshick Shams: Well, soccer. You'll probably hear me talk about that a lot. Yeah. So I actually got recruited to play soccer in college. Played my freshman year at Creighton University in Omaha, Nebraska, and then just wanted to be closer to home, so transferred to SMU to finish playing there. Steve Carran: Yeah. You were a standout goalkeeper at Southlake Carroll and helped your team to a Texas 5A state championship, and you were named the tournament MVP. So I was also a goalie, not in college though, but made it through high school. But what did that teach you, I guess, for your professional career, being a goalie? Any correlation there? Oshick Shams: First off, kudos for you on doing your homework. But as far as what that taught me, I mean, just a couple things. Just have pride in what you're doing and teamwork makes the dream work, you know? So just that team, being a part of that growing up, playing with my friends, things like that, still have made those lifelong connections, and that's helped me in my professional. Like, I work with some of those people that are actually in this industry and things like that. And then just having a close network outside of work helps myself just progress in general, so. Steve Carran: So now we're gonna dive into your career, how you got to SiteMinder. So you spent more than four years at Sports Marketing Monterrey in operations and promotions before moving to recruitment. What did those early days teach you that you still take with you today? Oshick Shams: A lot of things. So one, the company's based out of Monterrey, Mexico, so I speak a little bit of Spanish thanks to that. So that was first and foremost, helps me kind of get across in different scenarios, especially in Miami. Steve Carran: Yeah. Oshick Shams: But two, just learning about different things and different aspects of the business when it comes to event management, whether it's operations, sales, everything. And so learning those different aspects and working with a small company similar to a hotel owner, you're kind of doing everything. You know, you wear many hats. And so having that experience and that exposure early on really helped shape my career. David Millili: And so you then moved from recruitment consulting at Frank Recruitment Group to technical recruiting at the Judge Group. So how did those roles sharpen your ability to understand business needs and connect the right people with the right opportunities? Oshick Shams: Yeah, absolutely. I'm sure anybody that's done recruitment will tell you, at the end of the day, it's sales. It's still sales. Yeah. So big background in sales, and even before that did door-to-door sales and things like that. And so what those specifically did was just help me understand different industries that I wasn't aware of. So starting with Frank Recruitment Group was recruiting really in the AWS space. Did a little bit on the ERP side as well, working in the NetSuite world and things like that. And then in Frank Recruitment Group, moving over more into a lot of the IT side as well. But working with great organizations like Boeing and things like that on the defense side. And so those were all great learning experiences, learning about different industries. And then again, at the end of the day, it's all just sales as well, so just building those skills. Steve Carran: Absolutely. So then you went to Yooz, where you continued in sales as an SDR, but then you moved into the partner alliance manager. What made you get into the partnership side of things? Oshick Shams: Yeah. Very thankful that happened. So I went to Yooz, an AP automation company in the fintech space. Started on the sales side and quickly learned about the channel partnership side of the business. And I really when I first got exposed to it, really appreciated how companies come together and work together to make a better sales experience for their customers. And so having those warm introductions, having a trusted advisor in whatever industry you're in, I saw the real value in that and how it makes life easier for everybody. It's for the people who are doing the selling and for the customers who are buying, 'cause they're buying from a trusted resource at that point. David Millili: And so you're now the expert partner manager at SiteMinder. So what made you go to SiteMinder? Oshick Shams: I think just a change of pace. I was looking to move away from the fintech space, and I had heard about SiteMinder. We have one of our hubs in Dallas, and so I'd heard about the company. I have a few friends that have worked there previously and just heard amazing things, and they had a role opening for my exact job, so I was like, "All right. Well, let's give it a shot." David Millili: Yeah. Good timing. Oshick Shams: Yeah, very good timing. Steve Carran: Very cool. So for those that aren't familiar with SiteMinder, can you share a little bit more about what you do? Oshick Shams: Yeah. So we are a global distribution platform. So been around, this is actually our 20th anniversary this year. Check shirt. Yeah. But based out of Australia. And really what we do is we focus on distribution. So getting everything out for the hotels, whether that's connecting everything, whether that's direct bookings, whether that's connections to the OTAs, GDS, wholesalers, you name it, having all of that connectivity in one place. Steve Carran: So now we're gonna dive into the thought leadership section of the podcast. So one thing that has been coming up a lot is how guests are booking hotels, and it used to be viewed as kind of a straightforward path with channel management. But today, hotels are managing OTAs, direct bookings, metasearch, AI searches, and now we're even seeing third-party OTAs out there as well. What's changed the most, and how should hoteliers think about building a distribution strategy that is both broad and profitable? Oshick Shams: Yeah. Great question. So I think what has changed the most is just the view, 'cause there's always been those different avenues, those different channels, you could say, of how to get your availability of your hotel out there. And so I think what's changed is now it's no longer just looking at like how do I bring this in? It's managing the full path from discovery to booking and understanding, like you said, that it's now one strategy. It's not, "Okay, this is just what I'm doing for OTAs, this is just what I'm doing for wholesalers, this is just what I'm doing for direct booking." It's all one strategy. And so I would say that's the biggest thing that's changed is people are looking at it as one strategy, as they should. And for the second part, I would say the biggest thing is just to look at more so the total economic impact of every source, and not just looking at, "Okay, I'm getting more business out of this OTA, so I just need to stick with that." It's looking at the cost of everything, the commission costs, you know, the conversion rates, the cancellation rates, things like that, and taking all that into account to understand the economic value of each source. Steve Carran: Sure. So we're at the Independent Hotel Show. I have to ask, like, how can an independent hotel decide which channel is worth it and not? Oshick Shams: There's a couple different ways. One, a lot of, you know, SiteMinder included, but a lot of different companies that are working with these properties will be able to help them out with that. We give them that market research on the different channels that they're using, and show them what's working and what's not for others in the industry. But if they don't have that resource, it would be to start with the target customer, the ideal customer, and kinda work your way backwards. Who are you trying to attract? Where are they coming from? Okay, where do people coming from there, where are they booking from? What channels are they using, and am I visible on those channels? David Millili: So hoteliers often talk about increasing direct bookings. We've been hearing that for years. But the bigger issue is acquiring the right guest at the right cost. So how should hotels balance direct bookings and OTA demand while focusing on the total profitability rather than just simply shifting bookings from one channel to another? Oshick Shams: Yeah, absolutely. Great question. And for starters, it's different for every property, so there's not a clean cookie cutter answer. But with that being said, it kinda goes back to what I said previously about understanding the economic cost of each. And so understanding when even, and what channels to use. A lot of times, what a lot of properties need to understand is OTAs aren't the enemy. And they're great, especially for bringing that customer that first time. And then it's on the property to convert them into a direct booking and to create that loyalty and get them coming back. And then when they do come back, to get that direct booking. As far as what's the balance, hard to say. David Millili: Right. Oshick Shams: But it's understanding what your goal is and what you're looking for, and a lot of that is just through data and having a clear vision of success. David Millili: Gonna make this a two-parter follow-up. So what are some of the first steps that hotels can do to improve direct bookings? And is there something that hotels are just missing or doing wrong when it comes to getting direct bookings? Oshick Shams: I'd say the first step would just be making the booking journey simple. And so whether that's just the website and the booking engine, making it easy to use and things like that. And even just having that direct booking option visible. So when it comes up, you know, having metasearch capability so that it's visible when they're looking at the Booking.coms and the Expedias and things like that. Because a lot of times if people see it and it's there, they'll do it. Yeah. They wanna... You know, they understand that they can typically get a discount or something, and there's loyalty when you go direct. But if it's not there and it's not visible, then they're not gonna do it. David Millili: That's good advice. Steve Carran: Yeah. And the guest journey is changing, specifically in the booking process. AI is really starting to influence how travelers book and choose hotels. What does this shift mean for the visibility of hotels, and what should hoteliers be doing to make sure their properties can be discovered on AI-influenced booking journeys? Oshick Shams: Yeah, absolutely. So you're 100% correct. AI's taking over, especially at the discovery phase. And the biggest thing is that customers are now using natural language when they're looking. Like for example, I'm still a little old school. I'll be like, "Hey, what are the five-star hotels in this area?" My wife is like, "Hey, I'm traveling with three kids, ages X, Y, and Z. They wanna go here, here, and here. What's the best place that's under this?" You know, it's so much detail. Anyways, that's how most people are booking now. They're using that natural language. But the biggest thing for hotels, because there's gonna be, everybody's gonna be seeing, you know, which LLM can I be visible on? How do I be visible there? And that's all on the tech side. And the biggest thing is just to make sure that they still have correct and concise and accurate data and reviews in as many places as possible. And so making sure their digital footprint is accurate and concise and really tells the story. David Millili: All right, so many hoteliers are working with fragmented technology stacks with limited time and resources. What should hotel leaders look for when evaluating technology, and how can they make sure new tools simplify operations instead of creating just another level of complexity? Oshick Shams: I think the answer was kind of in the question and it's almost too obvious sometimes, but that's the first thing is that it should simplify operations. That's the goal. And so keeping that at the forefront. I think a lot of times people get caught up in like the features and all the bells and whistles, and really the first question they should be asking is, "What problem is this solving for me?" David Millili: Right. Oshick Shams: And two, when evaluating technology, they should be looking for something that will, one, eliminate manual tasks, and two, help them make decisions faster. David Millili: Are there any additional questions that hoteliers should be asking their technology providers? Oshick Shams: Yeah. Going beyond that, I think just, like you said, there are a lot of fragmented tech stacks. Right. And so that connectivity is a big play. And so understanding what in your tech stack, what tools talk to each other and how they talk to each other because having those tools talk to each other is a big deal, but understanding how is even better because when they talk to each other in the correct way, the data can flow, and then you really get the benefits out of it. Steve Carran: Yep. Agree. So the strongest hotels are bringing distribution, demand, guest acquisition, and revenue decisions closer together than we've seen before. Where do you see the biggest opportunity for hotels to become more responsive to market demand, and what role will connect data play in the future? Oshick Shams: I think this tails perfectly onto the last question because it is when something that people should be looking at when evaluating technology is, like I said, how these systems talk to each other. That is the biggest opportunity right now, is to make sure that all the technologies can talk to each other as much as possible in two-way because when that data goes back and forth, that's when you get the real value out of it, especially with people using AI more and having AI agents. The AI is only as good as the data that it's utilizing, and so the more access to data that you have at your fingertips or whatever AI you're using has, the more value you can get out of it. And so I think that's the biggest opportunity is to make sure that the data is connected everywhere, and then it can be utilized. Steve Carran: Yeah. So what advice would you give to the smaller independent hotels, since we're at the Independent Hotel Show, on how to access more sophisticated revenue and performance insight without needing that large commercial team? Oshick Shams: Yeah, absolutely. There's more and more options out there every day that are working towards that, that are tailored towards the small independent hotels. I think in the past it's been, on the tech side, it's been people who understand the engineering and the coding side, but don't necessarily understand the hotel side. And then it's been the hotel side, vice versa, that don't necessarily understand the tech side. And so I think that bridge is being filled and people are starting to understand each other and understanding, especially on the independent side, that these owners, they wear so many hats and they don't have time to be doing everything all the time. And so that is where people are moving towards, being able to bring the information and the data and the tools to their fingertips so that they can quickly make decisions that are gonna impact their business positively. Steve Carran: Agree 100%. All right, so we've been asking you questions this whole time. So this is where we turn the tables and let you ask David and I a question. Oshick Shams: All right. All right. Steve, I guess I'll start with you. We know each other a little bit outside of this, so I'll start with a softball. How is life as a new dad? Steve Carran: Oh, my gosh, great question. It is incredible. Six months old. Just like people always tell me, you know, every day something new happens. And now we're just getting to the she's about to crawl phase, so it's been very exciting. We're eating food now. She had her first steak, so we're having a lot of fun. Oshick Shams: Awesome. Awesome. All right, follow-up question, 'cause you told me you were a goalkeeper, okay? Steve Carran: Yes. Oshick Shams: So I know from experience anybody who decides to be a goalkeeper, they gotta have like a little bit of psychosis. They gotta be crazy. So what made you wanna be a goalkeeper? Steve Carran: Yeah, every goalie has a screw loose. I mean, you got people coming at you trying to kick a ball at you. I was terrible at soccer, but I loved it, and I could not kick a soccer ball, so in about first grade my coach was like, "Hey, why don't you go in goal? 'Cause I don't know where to put you 'cause you're terrible at everything else," and it stuck, and it was... Yeah, I loved it. It was always a rush for me. So yeah, that's how I ended up being a goalie. Oshick Shams: Awesome. And then question for you, Dave. Steve Carran: All right. Oshick Shams: Now, you're in Phoenix. There's a lot of great places to golf in Phoenix. David Millili: Yes. Oshick Shams: Are you a big golfer, and where's your favorite place to golf at? David Millili: No and no. Oh, man. I don't really have... I think just because from being, maybe not a good excuse, but from being an entrepreneur and spending most of my time in New Jersey, New York City, like, I just felt like I love golf, but I just never had time, and I felt like it was just one of those things where it's a big... It's not like you're gonna go, like, you know, I guess there's other, you could go play tennis, it's kind of easy, but if you're gonna golf, you gotta really commit to it. And so I guess I just didn't have the commitment. But if you're in Phoenix and you wanna go golfing with me, I'll make the time for you. Oshick Shams: I'm not a golfer either, so we can do something else. David Millili: Okay. All right. That's funny. That's great. Well, that does it for another episode of The Modern Hotelier. This is where you get to let people know about SiteMinder, how they can find out about SiteMinder, and how they can get in touch with you. Oshick Shams: All right. Well, yeah. First off, thank you guys for having me. Pleasure to be here. Always fun seeing you both. But yeah, check out SiteMinder. It is our 20th anniversary this year, been around for 20 years now. Incredible. But yeah, go to siteminder.com for more information. If you have any questions specifically on the partner side, reach out to me, connect with me on LinkedIn. It's just Oshick Shams. It is a pretty unique name, so I'm sure you'll be able to find me. David Millili: All right, good. Well, that does it for another episode of The Modern Hotelier, the most engaged podcast in hospitality. Whether you're watching or listening, we appreciate you and hope to be with you again soon. Thanks for joining us. Oshick Shams: Thank you, guys.