Exceeding Expectation while Improving Profit from Group Business
By Ram Mohan
Group business is unique in terms of having two sets of customers to satisfy , the meeting planner and the guest attending the meeting . In this article , we take a look at some ways hotels can improve profitability while exceeding expectations of both the customers .
Please the Planner
Following are some areas where hotels can exceed expectations of the planner while keeping an eye on profit
Quick Response
A Harvard study concluded that responding to a lead within an hour generates 7 times the conversations as compared to later responses . Finalizing the venue is one of the first decisions that impact many other activities and waiting on response from hotels is the last thing planners want to do .
Web Bookings
In many cases , especially with smaller meetings , planners today expect a quick way to book rooms , meeting space , F & B , A / V , etc . online . A recent survey by HSMAI , in fact concluded that some of the planners won ’ t even consider hotels that won ’ t allow them to book everything online for certain kind of meetings .
While major chains like Hilton and Marriott have implemented small meeting booking online on their websites , smaller chains and independent hotels still have an RFP form that gets planners a delayed response . Primary problem is that they don ’ t have the technology resources to develop such an application and third parties that have developed the systems are adding to the cost by charging a commission for booking on the hotel ’ s own website . While majority of the vendors charge a commission per booking , companies like GroupRevMax are disrupting the model by offering a flat-fee subscription for any number of bookings .
In short , the more channels you can provide a planner to book through , the better chance you have that they will not be dissatisfied and your own website is definitely the most important as it avoids commissions and gives more bang for the buck you spend on
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