managing the hotel sales operation

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Managing the Hotel Sales Operation: What You Should Expect from Your Sales Team David L Jones, Ph.D. Associate Professor Hong Kong Polytechnic University 1

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What a hotel General Manager should look for in managing his/her sales operation more effectively. What should he/she expect from the sales team.

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Page 1: Managing the Hotel Sales Operation

Managing the Hotel Sales Operation:

What You Should Expect from Your Sales Team

David L Jones, Ph.D. Associate Professor

Hong Kong Polytechnic University

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Page 2: Managing the Hotel Sales Operation

What is Selling?

Page 3: Managing the Hotel Sales Operation

Responsibilities for Managing the

Sales Operation • Revenue Generation • Business Development / Account

Management • Customer Satisfaction • Sales Team Development • Administration

Page 4: Managing the Hotel Sales Operation

How Do You Get More Business in a Competitive Environment?

• Right Account

• Right Person

• Right Need

• Right Questions

4

Page 5: Managing the Hotel Sales Operation

Right Account

It’s About Priorities: Account Grid

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Page 6: Managing the Hotel Sales Operation

Account Grid100%

0% 100%

Potential Room Nights/Revenue

Pro

pen

sity

/Inclin

atio

n to

Use Y

ou

Page 7: Managing the Hotel Sales Operation

Account Grid Rating

Good

Target

Top

Marginal

100%

0% 100%

Potential Room Nights/Revenue

Pro

pen

sity

/Inclin

atio

n to

Use

You

Page 8: Managing the Hotel Sales Operation

Account Grid Rating

Good

Target

Top

Marginal

100%

0% 100%

Potential Room Nights/Revenue

Pro

pen

sity

/Inclin

atio

n to

Use

You

Page 9: Managing the Hotel Sales Operation

Right Person

Knowing the Decision Process

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Page 10: Managing the Hotel Sales Operation

Working Relationship Continuum

Transactional Collaborative

• Bidding for Business

• Price Sensitive

• Responding to RFPs

• Strategic Partners

• Long-Term Relationships

• Guanxi

[ Most of Our Accounts ]

Page 11: Managing the Hotel Sales Operation

Understanding the Roles People Play in Decision

Process• Many People Who Influence the Decision

• Hierarchy of Organization • Identify Roles

– Recommender – Final Decision Approver

• Need to Sell All of Them

Page 12: Managing the Hotel Sales Operation

Recommender

• Gatekeepers • Screen Out, As Well As

Recommend • Specifications are the Important

Issue • Not the One Who Can Give the

Final “Yes”

Page 13: Managing the Hotel Sales Operation

Recommender: Job Titles

• Administrative/Executive Assistant• Purchasing Manager/Director • Corporate Business Travelers and

Meeting Attendees • Third Party Organizer – Travel Agent, PCO

What is important to them is that the proposal meets the specifications for

the meeting or corporate rate negotiation

Page 14: Managing the Hotel Sales Operation

Final Decision Approver

• Gives Final OK to Sign Contract • Delegates the Specifications • Releases the Control of the

Dollars • Can Say “Yes”, Even if Others

Say “No”• Insulated by Recommenders

Page 15: Managing the Hotel Sales Operation

Final Decision Approver: Job Titles

• Managing Director

• Vice President of Sales/Group Director of Sales (Sales Meetings)

• Vice President of Human Resources /Group Director of Human Resources (Training Meeting)

• Chief Financial Officer (Volume Corporate Business Contracts)

Page 16: Managing the Hotel Sales Operation

What Does the Final Decision Approver Want?

What the meeting or corporate rate contract is intended to

accomplish and the resulting RETURN ON INVESTMENT

Page 17: Managing the Hotel Sales Operation

Recommender Attendee/ Traveler

Final Approver

Recommender Administrative Assistant

Purchasing/ Planner

Buying Decision

Group Buying Decision

Page 18: Managing the Hotel Sales Operation

Coaches

• Must be Developed

• Inside the Organization

• Outside the Organization

Page 19: Managing the Hotel Sales Operation

Coaches• Credibility (Guanxi) with the

Other Persons in the Decision Process

• You have Credibility (Guanxi) with Them

• Willing to Support Only Your Proposal

• Helps You to Sell the Final Approver

They support your proposal as the best solution to their needs and are willing to help you get the business booked

Page 20: Managing the Hotel Sales Operation

Recommender Attendee/ Traveler

Final Approver

Recommender Administrative Assistant

Purchasing/ Planner

Buying Decision

Group Buying Decision

COACHES COACHES

Page 21: Managing the Hotel Sales Operation

Right Needs

Knowing the Final Decision Approver’s Needs

Page 22: Managing the Hotel Sales Operation

Understanding Customer Needs

• Rates, Dates & Space– Specifications for the Corporate Rate

Contract or the Meeting

• Business Results • What They Want to Achieve/Accomplish

Page 23: Managing the Hotel Sales Operation

Beyond Specifications: Business Results

• What They Want to Accomplish • Purpose of the Meeting or Corporate

Rate Contract Negotiations • Their Objectives

Increase Profits/Revenues/Sales Reducing Costs/Expenses

Improving Productivity

Page 24: Managing the Hotel Sales Operation

Key Factors with Volume Corporate Customer

• Who is the Guest? –Company Employees –Customers –Vendors

• Where is the Final Approval Given?

Page 25: Managing the Hotel Sales Operation

Right Questions

Determining Final Decision Approvers and Business Results

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Page 26: Managing the Hotel Sales Operation

Questions That Need to Be Asked

• Right Person• How Will the Decision Process Be

Made?

• Right Need• What Do You Want to Accomplish

from this Meeting?• What is the Goal or Objective of

Your Company’s Corporate Rate Negotiation?

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Page 27: Managing the Hotel Sales Operation

How Can a You Stimulate the Selling

Process?

Page 28: Managing the Hotel Sales Operation

Stimulating Selling

• Knowing Top/Target Accounts

• Create Dialog with Final Decision Approvers

• Making Joint Calls with Your Team

• Acting As The Account Grid Master

• Integrating Front Office & Sales

• Recognizing “Key Selling Time”

Page 29: Managing the Hotel Sales Operation

Creating Dialog with FA- Social Media

• Linkedin Discussion Groups– Associations– Start Your Own

• Facebook Pages– Specific to MICE

• Blogs & Twitter• Mainland China?

Page 30: Managing the Hotel Sales Operation

Linkedin Discussion Group

Page 31: Managing the Hotel Sales Operation

Using Linkedin for Dialog

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Page 32: Managing the Hotel Sales Operation

Look Who is On Facebook

Page 33: Managing the Hotel Sales Operation

No, Look Who is On Facebook - My Mom!

Page 34: Managing the Hotel Sales Operation

Marketing

Page 35: Managing the Hotel Sales Operation

Starwood CEO Blog

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Page 37: Managing the Hotel Sales Operation

Which Social Media Option?

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Page 38: Managing the Hotel Sales Operation

The Possession of Facts is Knowledge,

the Use of Them is Wisdom

Thomas Jefferson

Page 39: Managing the Hotel Sales Operation

To Be Fond Of Learning

Is Near To Wisdom

Confucius

Page 40: Managing the Hotel Sales Operation

Thank You

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