Hotel & Motel Management - September 18, 2007 - (Page 10)

10 Sales Clinic IN THE details Third-party planners work Planners have large network Commission usually 10% What about staff sales? H&MM September 18, 2007 | HotelMotel.com www.HotelMotel.com/digital_edition Independent meeting planners sell for hotels E By Howard Feiertag H&MM Columnist stimates have it that today there are more than 25,000 third-party, independent meeting planners at work, bringing loads of group meeting business to properties around the country. These people work independently or are independent contractors for meeting planner companies. For the most part, they receive 10- percent commission on room revenue generated to hotels by the groups they bring in. So aren’t these people really independent salespeople? Meeting planning companies like Experient (formerly Conferon), which has about 750 to 800 of these independent contractors, are working around the world, generating group busi- ness for hotel properties. Another company, Helms-Briscoe, has nearly 1,000 contractors. No question about it, this kind of set-up works well for all. Any new group business generated to a hotel certainly is worth the 10-percent commission paid. We see more and more property salespeople working directly with different inde- “If anybody can tell you how to control energy bills, it’s me.” “My guests are always opening the windows to look at the ocean, so I need to do everything I can to keep my energy bills low,” says Marcus Lewis, Vice President of Development, Tidewater Hotels & Resorts. “That’s one reason I use only GE Zoneline® units in all nine of our oceanfront properties. They help keep rooms comfortable, are very quiet and help me control energy costs…even if I can’t control my guests’ behavior.” GE Zoneline®, the most efﬁcient line of package terminal air conditioners and heat pumps in the industry pendent meeting planners to get them to bring business to their facilities. Some properties even arrange familiarization trips for independents to show off how well the product can meet the needs of groups. From the look of things, it appears that a heavy percentage of group business for many properties is brought in through these independents. It seems that more time is spent by property salespeople working on getting this type of group business, via third parties, than prospecting for and booking business directly with clients. These days, sales personnel, whether working directly for a single property or representing a group of hotels, have a major purpose in their jobs: protecting the owners’ assets by making sure that quality business with maximum revenue is generated through a variety of channels. More and more effort will need to be directed to work with companies like Experient (www. experient-inc.com), Helms Briscoe (www.helmsbriscoe.com) and Conference Direct (www.conferencedirect.com) as well as others because of their connection with hundreds of companies, associations and other organizations that have group business. Of course, salespeople still need to work on their own to prospect and book group business without going through third parties. It might not be a bad idea for property salespeople to start measuring their own effectiveness for their managers and owners by comparing how much of the group business is brought in by them, personally, with what is being brought in by the independents. How long will it be before we start thinking of independent meeting planners as independent salespeople? If there are enough of them out there doing the “selling” for a property, maybe they will be able to replace some sales staffers? Something to think about. hmm@questex.com Howard Feiertag is on the faculty of the Department of Hospitality and Tourism Management at Virginia Polytechnic Institute, Blacksburg, Va. He can be reached at howardf@vt.edu. CIRCLE NO. 129 http://HotelMotel.com http://www.HotelMotel.com/digital_edition http://www.experient-inc.com http://www.experient-inc.com http://www.helmsbriscoe.com http://www.conferencedirect.com http://www.conferencedirect.com

Table of Contents Feed for the Digital Edition of Hotel & Motel Management - September 18, 2007

Hotel & Motel Management - September 18, 2007 Contents Vista Inns Redefines Business Model Conley Applies Satisfaction Theory to Boutique Hotels Questex Acquires Oxford Publishing Perspective At Your Risk Consultant’s Corner Sales Clinic Travel Trends On Finance Franchise Law Cornell Insights HotelWorld Update Training Trends Satisfaction Trends Management Trends Speakers Named, Registration Open for IH/M&RS Going Green Saves Green Trends & Stats Vacuums Go the Extra Mile Transactions Offsetting Emissions is Newest Sustainability Initiative Minibar Advancements Supplier News People on The Move ADA Compliance Can Be Easier With Programs Business Travelers Interested in Remote Check-In/Out Awards Markets Dictate Renovations vs. New Builds More Development Opportunities Available Top Hotel Companies Survey The Lodging Conference Previews Ad/Editorial Index Marketplace Classifieds Checking Out

Hotel & Motel Management - September 18, 2007

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