Are you set up for a great 2017?

Budgeting season for hotels for 2017 is drawing to a close and if history is a guide, many hotels budgeted revenues that reflect 2015 and 2016 demand. The question is what will real demand be in 2017?

 If you believe the experts (PWC, Smith Travel, etc.) overall demand will continue to soften in 2017 in most markets. New construction that was started at the peak of the market will continue to open dampening demand for existing properties. Business travel has been flat at best in most markets. Further, the corporate RFP season was interesting because buyers and hoteliers had very different views of what demand will be like in 2017.

 There is one segment that is forecasted to grow in 2017 and that is the group market. Please see the article from Hotel & Tourism Online regarding a piece about group travel:

 https://hotelandtourismonline.com/2016/12/02/group-bookings-outperforming-rest-of-market/

 For hotels that have group business on the books can yield higher rates with the reduced room inventory remaining at their hotel. Hotels that proactively pursue group business year in and year out usually score higher in market share and revenue generation.

 So, the question you should be discussing in your hotels is what group strategy are you deploying for 2017? A strategy that was hoping for peak demand for transient travel or one that assures your hotel’s success if the market softens?

 I urge hotels to do the following to have an even more successful year in 2017….

 1.      Look at your hotel’s group rate selling guidelines

2.      Make sure you are answering leads within an hour or better yet utilizing instant offer technology offered by Meetings.com and HotelPlanner so you are the first to respond to a customer that has business in your market

3.      Deploy e-contracting to make closing business simple and fast

 It is time to embrace group business in a new way and allow technology to help you win business.  Meetings.com and HotelPlanner have put technology to work to speed up the booking process. Hotels that embrace this functionality are winning above their fair share of the group market.