By: Kristi White
Recently we surveyed over 900 hoteliers about the sources of business that they rely on to book group. We heard from on-property and above-property respondents representing the full spectrum of roles in the industry (Owners, President/Principal/CEO, Property Managers, Regional Managers, General Managers, Directors of Sales/Marketing, Revenue Managers, Catering Manager and Group Sales Managers).
In general, our survey findings are around five dimensions:
- Group Contribution to Revenue
- Source of Business
- Commissions Paid
Some of the responses are predictable but others we found a bit surprising. One key finding is that most hotels self-reported that they are on pace to meet their year-end group goals, yet when we looked at the data by roles, the level of confidence shifted. Those actually selling group reported with more confidence (48%) that they are on pace, while only 22% of Revenue Manager and General Manager roles responded that they thought their properties were on pace. This discrepancy could mean that there isn’t enough communication and we encourage everyone to get on the same sheet of music.
Also interesting was the actual source of business mix. Respondents are showing an over-reliance on inbound leads, risking revenue shortfalls in a downturn.
- 42% Repeat Business
- 22% Proactive Selling Group
- 36% Inbound Reliance to Sell Group
We highly encourage properties to really challenge how you are sourcing new business and what it is costing you. Your source of business mix should be optimized for all economic times:
Click here for an overview of the survey results.
Knowland has been in the forefront of changing how group business is sold which starts by shifting to a Proactive Group Sales Strategy and deploying the right tools to win and maintain repeat business.
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