Incentive - February 2009 - (Page 33)

TRAVEL IMEX Draws Some Wild Cards PAGE 34 Changing Fortunes in Las Vegas PAGE 39 The trade show honors up-and-coming destinations As the city’s economy sags, a silver lining for incentives A Buyer’s Market Properties are revising the rules to accommodate the challenges faced by incentive planners By Alex Palmer n the face of a struggling economy, properties are becoming more open to flexible arrangements with group travel, bending over backwards in some cases. “We’re in a situation right now where price is coming down, terms and conditions are getting better, flexibility has increased radically,” says Dave Gabri, president and CEO of Associated Luxury Hotels International. As companies cut back on their incentive spending and become more cautious in booking incentive trips for which fewer than expected may qualify, properties are increasingly willing to soothe concerns if it helps make the sale. “It truly is a buyer’s market right now,” says Vivian Shaw, regional director of sales for Hinton + Grusich, the Chicagobased company that serves as the national sales office for dozens of incentive-level prop- I The Naples Beach Hotel & Golf Club has announced special incentives for groups erties throughout the United States. “You’re seeing some really unprecedented offerings by the hotels. They can’t lose money and they can’t give rooms away, but you’re seeing some very aggressive and very creative ways to help out the business community in executing these incentives.” One of Hinton + Grusich’s hotel partners in Hawaii recently offered an incentive buyer a no-risk cancellation policy for the first quarter of 2009. The client was encouraged to go forward with promoting their program to employees, and even if no one qualified, the property would allow them to cancel without having to pay the usual fees. “The contract is a binding agreement, but there is a lot of flexibility and loopholes in the contract, much more than there used to be,” says David Tyler, director of sales for The Naples Beach Hotel & Golf Club, which has been loosening its penalties on attrition and postponement in order to keep clients from canceling trips altogether. The Naples Beach Hotel also recently began offering incentives for new group bookings. Incentive groups that book before May 1st are offered complimentary daily meeting room rental and a complimentary guestroom for every 25 paid, among numerous other options. Though it is a sign of the times that properties are having to do what needs to be done to make additional sales, some see the challenges as the opportunity for strengthening relationships. “What you’re seeing is a true spirit of partnership,” says Shaw. “If you don’t share the risk, there is no reward to share on either side.” | February 2009 | Incentive | 33 incentivemag.com http://www.incentivemag.com

Table of Contents for the Digital Edition of Incentive - February 2009

Incentive - February 2009
Contents
Editor's Note
Headlines
The Incentive Survival Guide to 2009
Strategies: Nature vs. Nurture
Strategies: Thank God for the Recession
Research: Industry Trends 2009
Travel News: Where To Go and What To Do
Travel Strategies: Make It Work
Las Vegas: Changing Fortunes
Potentials Here and Now
Merchandise Strategies: Success in Small Steps
The Economy's Down; You Don't Have to Be
Gift Cards Strategies: Flexibility Is the Word
Advertiser Index
On the Web

Incentive - February 2009