Strategies to Win in the Corporate Transient Segment

A hotel’s ability to influence and increase market share requires a thoughtful, well-researched strategy. Winning a targeted segment begins months if not years in advance of the annual RFP process. It requires a combination of investment in business intelligence tools and grassroots efforts that are addressed in The Hotel Sales Playbook: Winning Strategies for Success, the study guide for HSMAI Global’s new Certified Hotel Sales Leader (CHSL) certification.  

Here we share excerpts from Chapter 7: Business Transient and Other Contracted Sales Segments, contributed by Kaaren Hamilton, CMP. 

Strategies to Win in the Corporate Transient Segment 

The travel buyer for each organization has unique objectives for each account. A successful hotel sales professional will invest the time to understand what’s important to the account. There is no single priority across the segment. Hotels frequently assume price is the driver. However, that is only one component of the purchase. 

Once a hotel has conducted thorough account research and investigation of their market to understand demand, they should compile a well-thought-out business case that directly speaks to fulfilling the travel program objectives. Frequently, the resources provided at the brand level will assist with this understanding. That information, combined with the local intelligence and, if possible, a local account sponsor, are all the ingredients needed to compile a solid business case. 

Most large accounts buy at the brand level, so building a relationship with the brand account manager, often in the national sales organization, is critical. Clear compelling information based on research, business intelligence, and the account objectives are key to inclusion in the annual solicitation process. 

As the hotel category supplier, we must sell in the way the account purchases. The RFP process can be complex and overwhelming; however, technology supports this effort. Hotel sales professionals must be trained and comfortable with the solicitation process and tools, as speed and response times are a factor in winning inclusion into preferred hotel programs. 

Key components to the solicitation include pricing, distribution health, marketing, relationships, and delivering the brand promise, among other factors. 

1. Pricing: Pricing is driven by the market. It is critical to understand your hotel’s positioning and ability to meet its top-line revenue goals based on market performance.  

Pricing in this segment is no longer limited to a static negotiated rate. The hotel sector, along with air and car rental, has been messaging the benefits of dynamic pricing for a decade. The pandemic helped the hotel sector evolve to a more dynamic model. Be prepared to offer a blended pricing solution with floors and ceilings and ensure your revenue technology supports these models. 

Once your hotel has been accepted to a preferred hotel program, and rates are loaded and bookable, your work begins. It is the hotel’s responsibility to build volume with the account, which is the single most important factor in remaining in the preferred program. Understand the reality that there is NOT any person in the procurement process who will drive this to the degree that the individual hotel needs to. 

 2. Distribution health: Require frequent audits for parity, display, preferencing, and availability. 

 3. Marketing: Consider the options for messaging on the OBT (online booking tool), messaging to the travel counselors, messaging directly to the travelers via the OBT, and utilizing your brand’s loyalty program to run account-specific campaigns. 

 4. Relationships: Working with the national sales contact is key to ensuring your hotel remains a focus. Keep that person well informed on changes in the market, tractions with the account, challenges, etc. Equally important is your local account contact who is a key influencer and often works directly with the travel buyer in the annual RFP solicitation. 

 5. Delivering the brand promise: Review the daily arrivals list and personalize experiences. Win one traveler at a time by building ambassadors within the account. 

HSMAI Global’s Certified Hotel Sales Leader (CHSL) certification is designed to recognize the expertise of hotel sales leaders, emphasizing the most up-to-date sales and commercial principles, practices, and strategies.    

The CHSL certification is tailored for hospitality sales leaders who are proficient in leading high-performing teams, demonstrating overall commercial acumen, applying best practices in hotel sales to drive revenue growth, and more.     

Approved applicants will receive a digital copy of the study guide, The Hotel Sales Playbook: Winning Strategies for Success, and complete an online examination covering essential functions of hospitality sales.  

This article originally appeared on HSMAI.