Docstoc

Slide 1 - USAID Competitiveness Project - USAID Serbia

Document Sample
Slide 1 - USAID Competitiveness Project - USAID Serbia Powered By Docstoc
					How Hotels Approach the
   Meetings Business
HOTELS APPROACH TO MEETINGS




       “Hotels must make an
extraordinary impression on Clients
   to distinguish themselves in a
  highly competitive marketplace”
      HOTELS APPROACH TO MEETINGS


Hotel Attributes - Givens

• Quality and style

• More than friendly service

• Postive cost-benefit ratio

• Meaningful credentials (stars /points)
     HOTELS APPROACH TO MEETINGS


Hotel Attributes - Givens

•    Innovation – creating unique and exciting
     programmes

•    Ecological and ethical values

•    Developing customer loyalty – customer
     surveys
     HOTELS APPROACH TO MEETINGS


Hotel Attributes - Givens

•    Review pricing structures – remain
     competitive

•    Modernization

•    Technology / high speed Internet access
       HOTELS APPROACH TO MEETINGS


Hotel Types and Yield Mix

Yield Management:
   • Hotels are judged by stakeholders on the
       Return on Capital
   •   Yield Management optimises revenue and
       occupancy over different market segments,
       through seasonal fluctuations
   •   Most hotels have Yield Management Criteria
   •   YM helps hotels fix prices and the ideal
       business mix
     HOTELS APPROACH TO MEETINGS


Hotel Types and Yield Mix

Yield Management:

  • Corporate business
  • Inbound groups
  • Airline Crew
  • FIT
  • C&I
  • Internet inventory
      HOTELS APPROACH TO MEETINGS


Hotel Types and Yield Mix

Rates linked to Yield:

   • Crew rate – repeat business
   • Inbound rate – repeat business
   • Corporate rate – repeat individual
   • C&I rate – size, season, value
   • Rack rate
   • Internet rate – excess room stock
       HOTELS APPROACH TO MEETINGS


Hotel Types and Yield Mix

Rates linked to Yield:

• C&I mainly 4 – 5 star
• Some 3 star accommodation used
• Limit on conference room blocks
• Link to meeting space
• Seasonality
• Mid week versus weekends
• Resorts approach vs. city hotels
          HOTELS APPROACH TO MEETINGS


Hotel C&I Structure
                  General Manager



   DOM/DOS                            Operations



   Sales Team     Rooms Division    Banquet/Meeting         Financial Operator
  C&I sales rep      Manager            Space               Accounts/contracts



                                                      C&I Manager



                                                   F&B Manager



                                              Banquet Floor Manager
     HOTELS APPROACH TO MEETINGS


Hotel – C&I Process
    HOTELS APPROACH TO MEETINGS


Negotiations and Yield Management

•   Experienced hotel staff know how to
    maximize return from a piece of MICE
    business

•   Experienced organisers know how to
    maximize value when negotiating with
    venues
      HOTELS APPROACH TO MEETINGS


Negotiations

• On-site vs. Off-site functions
• FOC accommodation
• Upgrades rooms
• VIP welcomes
• In room gifts, pillow drops and amenities
• Early/late check in/out
• Upgrade/Up sell menus
• Storage space
      HOTELS APPROACH TO MEETINGS


Negotiations

• Office equipment
• Turn-down / pillow gift
• Porterage
• F&B trade offs
• Bump in and out
• Room drops
• Happy hour
     HOTELS APPROACH TO MEETINGS


Negotiations

•   In-house theming
•   Airport transfers
•   Parking rates
•   Security
•   FOC policy includes all rooms booked by
    delegates (including direct)
•   Attrition charges on net profit, not on
    stated room rate
     HOTELS APPROACH TO MEETINGS


Negotiations

•   What Hotels love to hear
    • Client is flexible on days / dates
    • Client requires minimal set up / pull
      down time
    • Client can guarantee minimal room take
      up, minimal day delegate numbers
    • Client can guarantee specific on site
      functions
    HOTELS APPROACH TO MEETINGS


Booking Space

•   1st Option
    provisional booking with release day

•   2nd Option
    second in line provisional booking

•   Contract
    firm contract with financial guarantees
    HOTELS APPROACH TO MEETINGS


The Contract

•   What’s fair for all?
•   See a standard contract and
    terms/conditions before final selection
•   Adjustments for special needs
•   Read carefully, everyone aware
•   Clear understanding, both parties
•   Important at the outset to raise issues,
    before signing
    HOTELS APPROACH TO MEETINGS


The Contract

•   Deposit and payment schedules
•   Link to registration deadlines
•   Credit card? Extra fee?
•   Deadlines for F&B numbers, AV, special
    requirements
    HOTELS APPROACH TO MEETINGS


The Contract

•   Cancellations/abandonment,
    postponements or variations
•   Non refundable deposit
•   Resold space policy
•   Charges for late changes to numbers,
    room setups
•   Ensure client signs off
    HOTELS APPROACH TO MEETINGS


The Contract

•   Surcharges and penalties
•   Labour - public holidays
•   A/V charges and restrictions
•   Insurance
•   Minimum security
    HOTELS APPROACH TO MEETINGS


The Contract

•   Separate contract for accommodation
    unless linked
•   Room deposit schedule
•   Penalties for washes
•   Cancellations, early check outs
•   Porterage
•
    HOTELS APPROACH TO MEETINGS


The Contract

•   Shoulder / peak nights included?
•   Turn down included? (Pillow gift
    charges?)
•   FOC ratios and upgrades stated
      HOTELS APPROACH TO MEETINGS


Accommodation Blocks
Issues:
• Size of block
• Key deadlines for washes / deposits
• Cancellation / penalty clauses
• Conference room rates vs. online / off the
  street
• More delegates going direct – effect on room
  blocks
• Sub-blocks, 3rd parties
      HOTELS APPROACH TO MEETINGS


Hotel Liaison with Client
• Pre event …. build rapport
• Accommodation blocks
• Meeting room changes
• A/V requirements
• Special needs e.g. security
• Copy conference brochure, relevant info
• Promo assistance
• Meet deadlines
• Discuss problems openly - it’s a team effort!
      HOTELS APPROACH TO MEETINGS


On-Site Management
• Pre opening meeting of all key staff with client
• Client working program
• Hotel’s daily event sheets
• Risk management plan/s – client/hotel
• Identify all ‘challenging’ areas e.g. timings,
  VIPs, rush periods for breakfasts, check-
   in/check-out, porters, etc
• Late hours for bars?
     HOTELS APPROACH TO MEETINGS


On-Site Management
• Daily morning meetings between key Hotel
  Operations Staff and Client/Organizer
• Daily accounts for checking
• Easy paging system for hotel assistance
• Immediate feedback on problems from both
  sides
• Client advice re late changes to program
  on-site
• Alert hotel security to arriving VIPs
      HOTELS APPROACH TO MEETINGS


De-Briefing
• If possible, face-to-face with client before
  leaving venue
• Or telephone follow up
• Encourage constructive criticism /
•recommendations
• Client should give credit where due
• Hotels can learn from every event and should
       debrief own staff
      HOTELS APPROACH TO MEETINGS


Professional Hotel Staff
Key attributes of valuable C&I staff:
• Flexible
• Responsive
• Professional
• Experienced
• Eye for detail
• Understands client’s objectives and expectations
• Over delivers!
        Good staff are key to attracting C&I business
                    and securing repeat business
      HOTELS APPROACH TO MEETINGS


Hotel Collaboration – Case Study
‘The Five Star Conference Mile’
Four Barcelona hotels (Hilton, Princesa Sofia, Rey
Juan Carlos and Melia – all situated in Avenida
Diagonal, Barcelona) have partnered with the Palau de
Congressos de Catalunya Convention Centre to sell
their combined resources to the meetings market.

The alliance, presenting one price to Clients, with one
 person coordinating requests, has secured business
      that was too big for each individual hotel.
Thank You

				
DOCUMENT INFO
Shared By:
Categories:
Stats:
views:4
posted:2/26/2010
language:English
pages:31