Posted on
June 7, 2018
How to get the Lowest Hotel Group Room Rates
QUESTIONS:
*Aren’t hotels giving me their best rate?
*What can I do about lower internet rates?
- BE FLEXIBLE…Hotels have hot dates or need dates that they need to fill. If you are willing to move into those dates, your group rates can be substantially lower, just ask!
- KNOW THE DEALS…Every major hotel company has meeting incentives or specials that they are offering so stay informed.
- SWAP REVENUE…Having historical information on your total spend in food and beverage can help you swap food and beverage with a lower group room rate.
- CHECK THE WEB…We all know that attendees check the web for lower group rates so why don’t you? See what the hotel is quoting over your day/month pattern on Hotels.com, Expedia.com, etc. This will give you a great starting point on where your group rates SHOULD be.
- SHORT LIST…Once you have a final list of hotels and availability, make sure to short list at least two to three hotels and ask those hotels to “Sharpen Their Pencils” to rebid a lower group rate or additional concessions for your business before you ask for a contract.
- LEVERAGE CONCESSIONS…The concessions that you are originally quoted by the hotel can be used as leverage to give back to the hotel to lower your group rate during final hotel contract negotiations, so make sure you have something in hand from the hotel to give back if you need to.
GREAT CONTRACTUAL CLAUSES TO USE:
LOWEST GROUP RATE
The Hotel shall not advertise or otherwise offer to the public by any means, including the Internet, any room rate lower than Group’s negotiated rate. Should lower internet rates be extended at any time after the execution of this agreement, all room rates for the Group meeting attendees shall be reduced to match these lower rates.
ECONOMIC CONDITIONS
Hotel agrees that the confirmed Group rate will be competitive with the economic climate, and will be reviewed in <6 months out>. If between the contract signature date and <6 months out>, economic conditions dictate an adjustment due to a declining economy, based upon CPI, the confirmed rate shall be renegotiated between the Group and the Hotel.