HOTEL BUSINESS REVIEW

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Brenda Fields

Ensuring that the sales team is highly motivated and productive is an ongoing process, regardless of the size or type of property. There are many ways to ensure success, one of which is incentive plans. But, to achieve the desired results, it is important to know that when it comes to incentive plans, one size does not fit all. Effective incentive plans take on many shapes and sizes, depending on the needs of the property and the business mix of the property. This article addresses key components to consider in customizing an effective plan which motivates and rewards the sales manager and/or sales team and at the same time, produces the optimal financial results for the property. READ MORE

Brenda Fields

Hotels across every segment of the industry today are faced with the challenge of delivering profits in an ever-changing environment of declining revenues and profitability. Independently owned and operated hotels have the added challenge of limited marketing resources. As a result, owners and managers of independent properties, now, more than ever, have to ensure that each marketing expense is justified and that it produces the best return on investment. Case in point: Direct Sales typically represents 40-50% of the entire marketing expense budget. As a result, with up to 50% of the marketing budget devoted to this one line item, it is critical to ensure that each sales person is effective and productive in achieving short term results and in laying the foundation for success in the long term. READ MORE

Brenda Fields

For hotel staff working on Christmas morning, either behind the front desk or in the housekeeping department, a rooms sales position may look like a pretty cushy job! Sales people don't have to work holidays or weekends and have the freedom to come and go as they please. But, in reality, a sales position is (or should be) challenging. They have the primary responsibility to generate room revenues for the property. Sales is responsible for building occupancy in low demand periods and by increasing average rates in peak times. But, in order to do this successfully, it is important that a sales person is at the top of his/her game. An effective sales person should be able to produce results despite market conditions and product drawbacks and to develop existing business by taking one meeting and turning it into four. READ MORE

Andrew Freeman

Your sales team can target an increasing number of potential outlets to book business and fill your hotel nowadays. New sales opportunities, like online advertising and third-party e-channels, are as viable a source of business as traditional targets, like print advertising and corporate travel planners. However, this increasing number of potential outlets also means stretching your sales team's limited resources over a greater area. Trying to develop relationships in all of these target markets can be overwhelming, if not impossible, for any hotel sales effort. So it's time to take a creative look at how you can extend your sales and marketing team without increasing the number of people with "sales" on their business cards or making your sales budget balloon with added expenses. READ MORE

Shaun  Burchard

2009 saw U.S. RevPAR drop 16.7% to $53.71. Occupancy dropped to a national figure of 55.1% (down 8.7%) from 2008 levels. Average Daily Rate (ADR) dropped 8.8% nationally to $97.51. Certainly, the sky is falling. That is, unless, these are not the numbers that define your performance. Yes, they provide a barometer of sorts against which to gauge your own growth or erosion, but beyond that, what are you going to do with them? In an industry filled with almost endless metrics, which are the ones that should define success or be used as a valid measurement of performance? Here's a hint: not the ones above. Take control of what you can control and use only meaningful metrics to define, pursue and achieve the win. READ MORE

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