The Proactive Approach to Hotel RFPs: Turning Preferred Status Into Room Nights
Top 3 Takeaways
1. An RFP award is an opportunity, not a guarantee of business. Being selected as a preferred hotel puts you in the game. A proactive sales strategy is what turns that opportunity into room nights and revenue.
2. Go beyond the RFP contact and find the people who actually drive hotel bookings. Identify local offices, travel managers, procurement teams, executive assistants, meeting planners and other employees who influence where travelers stay.
3. Use LinkedIn to identify and build relationships with corporate decision-makers. LinkedIn can help hotel sales teams find the people behind corporate accounts, understand their roles and create relationships that can lead to new business.
The Proactive Approach to Hotel RFPs
Corporate RFPs remain an important source of business for hotels, but winning the RFP is only one part of the process.
The real opportunity begins after your hotel is selected. Most RFP activity typically occurs between September and January; corporate travel programs can change throughout the year. Companies add offices. Employees change roles. New projects begin. Travel patterns shift.
Hotels that take a proactive approach are positioned to capture those opportunities and remote hotel sales support may be an option.
The question is not simply: “Did we win the RFP?”
The better question is: “What are we going to do with the account now that we have it?”
Start With a Proactive Account Strategy
Once a hotel is accepted into a corporate program, the sales team should immediately develop an account strategy. Don’t wait for the reservations to appear. Start researching the account…ask:
- How many offices does the company have?
- Where are those offices located?
- Is there a local office near the hotel?
- How many employees travel?
- What departments generate the most travel?
- Who manages corporate travel?
- Does the company use a travel management company?
- Does it use an online booking tool such as Concur?
- Who influences where employees stay?
- Are there meetings, training sessions or projects that create additional hotel demand?
Find the People Behind the Account and If You Need Help, Consider Our Remote Hotel Sales Support Services
One of the most important elements of proactive hotel sales is understanding that the person who negotiated the corporate RFP may not be the person generating the reservations.
A national travel manager may establish the program, but local employees, project managers, executive assistants, administrative teams and travelers may influence which hotel gets booked. That’s why hotels need to look beyond the RFP contact. If the company has an office five miles from your hotel, that office should become part of your local sales strategy. Find the people who can tell you:
- Who is traveling?
- Why are they traveling?
- Where are they staying today?
- What do they value in a hotel?
- What would make your hotel a better option?
Make LinkedIn Part of Your Hotel Sales Strategy
LinkedIn can be a powerful prospecting tool for hotel sales teams. Instead of having only a company name in your CRM, use LinkedIn to identify the people who may influence travel decisions. Search for titles such as:
- Corporate Travel Manager
- Global Travel Manager
- Travel Program Manager
- Procurement Manager
- Strategic Sourcing Manager
- Office Manager
- Executive Assistant
- Administrative Manager
- Meeting Planner
- Event Manager
- Project Manager
Then narrow your search by location. For example:
- Company + Orlando
- Company + Travel Manager
- Company + Procurement
- Company + Meeting Planner
This can uncover people who may be directly connected to the travel activity your hotel is trying to capture. And the objective isn’t necessarily to send a sales pitch immediately.
The objective is to start a relationship. A simple introduction can open the door to a much more valuable conversation.
Don’t Sell the Hotel…Learn the Account
One of the biggest differences between a passive and proactive sales approach is the type of questions being asked.
- A passive approach says: “We’re a preferred hotel. Let us know if you need anything.”
- A proactive approach says: “Help me understand your business.”
Ask questions such as:
- How often do employees travel to our market?
- Which departments travel most frequently?
- Where do travelers typically stay?
- What are the most important hotel amenities?
- Do you have extended-stay travelers?
- Do you have project teams coming into the market?
- Are there training programs or meetings that require overnight stays?
- How does your booking process work?
- Are there times when your travelers have difficulty finding availability?
Understand the Booking Process
Corporate travelers don’t all book hotels the same way. Some use a travel management company. Others use an online booking platform. Some book directly. Others rely on executive assistants or administrative teams.
- Understanding the booking process is critical because it tells your sales team where to focus its efforts.
- If travelers are booking through an online booking tool, for example, the hotel needs to understand how the property is presented within that environment.
- If a local office relies heavily on an executive assistant, that person may be an important relationship to develop.
- If a travel management company controls reservations, understanding that relationship becomes part of the strategy.
- The booking process should determine your sales strategy.
What If You Don’t Win the RFP?
A proactive strategy doesn’t stop when your hotel isn’t selected. Instead, find out why. Was the rate too high? Was the hotel outside the preferred location? Was the property missing an amenity? Was there not enough historical production? Was the company already committed to other hotels? Then look for business outside the formal program.
A local office may still need:
- Project team accommodations
- Temporary employee housing
- Training stays
- Relocation accommodations
- Contractor rooms
- Executive travel
- Meetings
- Small groups
You may not have won the national program, but you can still win the local business. And if you generate production during the year, you have a much stronger story to tell during the next RFP cycle.
Our Remote Hotel Sales Support Thinks Beyond the RFP Calendar
RFP management shouldn’t be limited to the months when companies are requesting proposals. Hotels should be working their corporate accounts throughout the year. That means:
- Research in advance.
- Build relationships.
- Monitor production.
- Identify new contacts.
- Visit local offices.
- Stay connected on LinkedIn.
- Look for new projects and travel opportunities.
- Review the account regularly.
Measure More Than Whether You Won
Winning an RFP is easy to measure. Generating business is more important and having the right sales support is key!
Hotels should monitor:
- Room nights
- Revenue
- ADR
- Account production
- Production by office
- Production by department
- New contacts
- Sales calls
- Office visits
- LinkedIn connections
- Account activity
- Booking patterns
If an account is producing very little, don’t immediately assume the RFP wasn’t worthwhile. Ask:
“Have we actually activated the account?”
There is a major difference between an account that isn’t producing and an account that hasn’t been actively sold.
The Proactive RFP Mindset
Successful hotel RFP management requires a change in mindset. Don’t wait for the traveler to find you. Don’t wait for the reservation to appear. Don’t assume preferred status automatically produces business.
Go find the business.
- Find the offices.
- Find the decision-makers.
- Find the travelers.
- Find the influencers.
- Find the projects.
- Find the relationships.
- Then stay connected.
Frequently Asked Questions About Securing Hotel RFPs
1. How can a hotel improve its chances of winning an RFP?
Start well before the proposal is submitted. Research the company’s travel patterns, understand its priorities, identify local demand and make sure your proposal clearly communicates the value your hotel provides. Relationships built before the RFP can also give your sales team a better understanding of what the account actually needs.
2. What should a hotel do immediately after winning an RFP?
Create an account activation plan. Identify local offices, find the people who influence travel, understand the booking process and begin building relationships. The objective is to turn preferred status into actual room-night production.
3. How can LinkedIn help hotels secure corporate RFP business?
LinkedIn allows hotel sales professionals to identify travel managers, procurement professionals, executive assistants, office managers and other potential influencers within target companies. It can be used for research, prospecting and relationship development throughout the year not just during RFP season.
4. Should a hotel continue pursuing a company after losing an RFP?
Absolutely. Losing an RFP does not necessarily mean losing the account. Local offices, project teams, meetings, contractors and individual travelers may still provide opportunities. Building relationships and generating local production can also strengthen the hotel’s position during the next RFP cycle.
5. How often should hotels review their corporate RFP accounts?
Throughout the year. Corporate travel patterns change constantly, so hotels should monitor production, identify new contacts, communicate with key decision-makers and look for new opportunities. Waiting until the next RFP cycle to revisit an account is often too late.
If you need help with our Remote Hotel Sales Support Services, contact us today!