Convention Management Exam 1
______% of planners for associations are _______ and the average age is ______
*75%* of planners for associations are *females* and the average age is *50*
Types of planners
*Full-time meeting planners* on the staffs of corporations and associations -Work for national associations and corporations -Know what is exactly required to stage a successful event and will be thourough + timely when presenting info + instructions to hotel *Single-event or part-time planners* -Work for small companies + associations -May or may not be knowledgable of the mechanics of running this *Committees* -Work for associations and nonprofit groups -Experience may vary again -Often puts one person in charge *Third-party planners* -Works with many meetings -Deals with an intermediary -experienced
Characteristics of Corporate Meetings
*Small meetings* -52% of meeting booked had an attendance of 100 or less *Attendance* -Mandatory -Highly predictable -Use of rooming lists and VIP lists common *Duration: average 3 days*
Sales Forms
*Tentative booking sheet:* -Documents that the meeting planner has been *given an option on the space and a hold has been placed on the room(s)*; used if a date has not been confirmed or if details have not been worked out *Definite booking form:* -Used after business has been *confirmed* *Working file* -Established once a grouop goes definite; includes ony info relevent to the event
Panel
*Two or more speakers* offering their viewpoint
Conferences
*usually implying much discussion and participation*
Association Meeting Characteristics
-*Associations fill 30 to 40 percent of the rooms annually at major hotel chains* -Typically includes a trade show and generates considerable revenue for the host hotel and city -Associations derive 32 percent of their annual income from conventions, exhibits, and meetings -Receive income from convention registration fees, subleasing space to exhibitors at a profit, and by selling advertising space to exhibitors in publications and program
Conference
-*usually implying much discussion and participation* -Frequently used in technical and scientific areas; more meetings and more discussions
Incentive Meetings
-85% of all incentive trips include a meeting -Attendees and planners look for first-class service and accommodations -B0okings usually guaranteed -Participants use all of the facilities of the hotel -Usually indicates high revenue -Group incentive travel averages 130 attendees for a 5 day trip -Individual incentives are growing in importune
What do association planners look for?
-Adequate meeting space (prefer to use only one property) -Enough guest rooms -Adequate exhibit space - should be close to housing -Attractive location -Service= reassurance that whatever problems arise during a group's stay, the property will be able to handle them. *NEGOTIABLE* food, beverage and room rates
Apps
-Allows meeting planners to control their meeting space -Used a lot in conferences -Contains the event's entire program -Visually build your schedule,itenerary -Use it for directions, interactive floor plans -Take notes -Networking too
Exhibition/ Trade Show
-An exhibition with displays generally held within a trade industry or discipline. May be impendent or in conjunction with a convention, *not open to the general public* -*money maker!!!* -*showing off your product* -10 by 10 space -around $5000 -many buy multi booths
Convention Patterns
-Conventions are held on a regular time cycle (annual, biannual, semiannual) -Cycles often supplemented by regional conventions -*Usually held in a Sunday-Wednesday or Thursday- Sunday pattern* -*Most events held in September, October, or April-June*
Association Lead Time
-Conventions are usually planned *2 to 5 years* in advance -The larger the convention, the longer the lead-time
SOP: Standard Operation Procedures
-Describe how business actions should be handled -Act as a reference that helps banquet and sales staff handle functions -Cover such things as function book control, booking policies, organizational chart, and reservation cut-off dates -*this STANDARDIZES everything*
Where is the money spent at meetings?
-F&B = 29.5% -Hotel Rooms and incidentals = 47.1% -Transportation = 9.5% -Retail stores = 10.9% -Entertainment = 3%
Educational Groups
-Fill rooms in summer months -Local, regional, and national meetings -Short in length -Accessibility and value considered important to educational meeting planners
Seminars/ Workshops
-For training or continuing education -Usually repeated in several locations
Benefits of a Marketing Plan
-Forces managers to think ahead -Coordinates and unifies sales efforts -Makes best use of resources -Helps managers set responsibilities -Helps to avoid misdirected advertising and fruitless sales calls -Creates an awareness of opportunities and problems faced by the facility -Helps evaluate the results of marketing efforts
Fraternal Meeting Lead Sources
-Fraternity Executives Association -National inter fraternity conference -National Panhellenic conference -Alumni associations, student activities divisions at schools -Yellow pages, fraternal organizations, fraternities and sororities
What is SOP responsible for
-Function book control -Guest room control book procedures -control book *prevents double booking* -Booking policies -Rate guidelines for high and low demand periods -Credit/ deposit/ cancellation policies -Policies regarding VIP and complimentary rooms -Meeting room rental fees and procedures -Banquet and room reservation cut-off dates -Convention service standards and procedures -Organization chart and job description for sales department
Types of Non-Profit Organizations
-Government agencies -Labor Unions -*SMERF groups: social, military, educational, religious, and fraternal groups* *NOT included* -*Corporations*
Association Geographic Restrictions
-Groups sometimes limited to region or state by constitution -Interests of program may further narrow location options
Sales Structure
-Hotel chains with multiple brands are *consolidating and relying more on regional and national sales offices* -Chains are assigning a *single salesperson* to represent all brands in their company to meeting planners -*Revenue managers and revenue departments are becoming common* as hotels look to maximize revenue—property wide—from convention groups
All-Suite Hotels
-Hotels that feature rooms larger than typical guest rooms, with a living or working space separate from the bedrooms -Rates are competitive even though all-suite hotels offer features not available at standard hotels -They are ideal for meetings because suites can act as breakout rooms -They solicit to smaller meetings -All delegates are assigned suites
Boutique (Lifestyle) Hotels
-Hotels with unique architecture and decor -Typically 150 guest rooms or less -Attractive to corporate meeting planners because they can buy out entire property -Most hotel chains offer a boutique brand
Professional Meeting Planners
-Independent meeting planners -*Association management companies*: work for smaller association that do not employ a full-time professional staff -*Destination management companies*: offer meeting planning and arrangement services at the destination; specialize in the design and delivery of convention events, activities, tours, staffing, and transportation, utilizing local knowledge, expertise, and resources -*PCOs*: Professional congress organizers- what destination management companies are called in Europe -Incentive Travel Houses -Travel Agents
Clinic
-Involves drills and instruction in specific subjects -*often by just one expert*
Local Influences
-Local chapter often bid for national events -Salespeople can appeal to local members' civic pride -Hotels often cover expenses for local delegate to present bid to national board -Emphasize hotel staff's expertise and desire to execute meeting properly
Social Groups Characteristics
-Local, regional, and national in scope -Wide variety of interests and purposes -Hold both large and small meetings -Decision makers are often inexperienced in meeting planning Examples: chess clubs, ethnic groups, bowling teams
Religious Groups
-Local, regional, and national meetings -Tend to choose family-oriented sites -Price conscious -Double occupancy common ( 2 in 1 room ) -Meetings last from 3 days to 1 week -Often meet in summer months and other slow periods, including holidays and weekends
*Management Meetings*
-May be regular events, or in response to specific situations -Usually small in size, but premier facilities are required -Attendees are prospects for divisional or company meetings -Geographic location varies greatly -Commonly last two days
State and Regional Conventions
-May be sponsored either by national association or by state/regional associations
Military Reunions
-May combine reunions with vacation, so family and/or military oriented locations are popular -Military towns have an edge in marketing -Price-conscious groups -Double occupancy is common -Meet in April-October; on weekends; hold a Saturday night banquet and memorial service -Length of 3 nights -Hotels with planned spouse programs have a competitive edge
Convention
-Meeting of delegates for action on a particular matter, *usually involves a general session and supplementary smaller meetings.* -are produced *with and without exhibits:* boards and stations walking around to see what you want to -common on an *annual basis*
Conference Centers: Design and layout
-Meeting rooms offer conveniently located breakout areas, are designed for endurance and comfort, have AV equipment -Guest rooms have extra work space, on site offices, libraries, and computer centers
*Stockholder/ Public Meetings*
-Meetings for non employees -Public relations and industrial relations hold exhibits and meetings
Corporate Meeting Characteristics
-More regional rather than national meetings -Looking for second-tier cities -Usually telepresence or webinars to save on travel -Less flamboyant and more strategic and practical -Corporate meetings offer the greatest potential for growth -Have fewer than 50 attendees, making it ideal market for small properties
Annual Convention
-Most held with trade show or exhibits -Usually include general session(s) with breakout sessions -Usually include food functions -Several hotels may host them
New Product Introduction/ Dealer Meetings
-National and regional in some -Method of creating enthusiasm -Vary greatly in size and duration -Attract top company management, stockholders, and the press -Excellent chance to show off the property and attract new business
*Convention Duration*
-National conventions average *3 to 5 days* -*Smaller events last 2 to 3 days* -*Seminars and committee meetings last 1 to 2 days* -Auxiliary events before and after conventions -When exhibits are part of convention, convention lasts at least 3 days
Fraternal Meeting Characteristics
-National meetings: summertime -Educational retreats and leadership training institutes -Board and council meetings
Corporate Geography
-No pattern -No reason to vary site to attract attendees, since attendance is mandatory -Convenience is the most important geographic criteria
Board and Committee Meetings
-Often held in premier properties to reward members
*Professional/ Technical Meetings*
-Often take seminar and workshop formats -Lecture and demonstration by consultants, educators, and/ or vendors
*Corporate Sales Meetings*
-One of the largest sectors of the corporate meetings market -National attendance about 150, duration 3-4 days -Regional attendance about 65, duration 2-3 days -Meetings may involve new product introductions, sales training or morale building -Good source of repeat business for hotels -Generally staged by the sales and marketing department of each division of a company
Association President and Other Officers
-President's power varies greatly among different associations -Mostly involved in the final decision -Vice presidents, secretaries, and treasures often become presidents in the future, so relationships with such offers should be carefully cultivated
Government Agencies
-Price-conscious due to *per diem* allowances, they get an X amount to spend -Mostly training meetings -*Slow to pay bills* -Short lead time -Meeting planners look for direct flights at discounted prices -Formal price submission procedures involving Request for Proposal (RFP) or an Invitation for Bids (IFB)
Conference Centers
-Property specifically designed to handle *group meetings* -Often located outside metropolitan areas, prevents distraction -May provide extensive leisure facilities -They offer complete meeting *packages*
Class and Family Reunions
-Recreational amenities are important -Cost-conscious; high level of double occupancy -Meet in summer months -Length of stay: class reunions, one night; family reunions, two nights -Planners are becoming increasingly knowledgable -Need less meeting space than military reunions
Association Director
-Screens all suggestions and solicitations -Smaller associations are often serviced by association management firms -Meeting professionals are often employed by larger associations -Executive director is a key person for initial screening -Site selection committee is often appointed by executive director -Convention management firms work on a fee or percentage basis
Corporate Lead Time
-Short compared to associations -Incentive meetings; 8-12 months to 2 years -Annual sales meeting: 8-12 months -Most others: 3-6 months -Crisis meetings: virtually no lead-time
*Economic Impact of meetings*
-The average assosiation delegate spends $283 per day -Approx $122 billion is generated annually is generated from meetings, conventions, expositions, and incentive travel -$315 billion is generated indirectly from the convention business ~Supports nearly 4 million jobs
Demographics of meetings
-There are *more female business travelers* -Attendees are *just as likely to be single as married* -Attendees are *younger and more affluent* than those of the past -Attendees' spouses include husbands as well as wives -*More women are attending both association and corporate meetings than did in the past*
*Training Meetings*
-Training meetings in hotels account for the largest number of corporate meetings -Attendance is usually less than 50 -Duration is usually 3 days -Special requirements: AV capabilities, minimal distractions, adequate light, and prompt service -Rarely require prestigious locations -Trainers tend to return to hotels where everything worked out well
Corporate Kinds of Sites
-Variety; depends on purpose of meeting and position of attendees -Each property has the right features to host some kind of corporate meeting
Social Groups Lead Source
-Yellow pages of phone book: groups and organization listings -Propertys' employees -Propertys' suppliers
Trends in the meeting industry
-popularity of second-tier cities -growth of third-party meeting planners -increased use of technology -changing demographics -complex contract negotiations -"green" meetings and social responsibility -strategic meeting management (SMM)
Function Book
A master control of all banquet space; each page or computer screen lists the property's meeting space and allows for recording of meeting activity by day -A page for every day of the year -All function rooms represented on each page -Entries under function rooms include name of organization, type of function, attendees, rates, etc. -Most hotels have computerized their function book -One person should control and maintain the function book (manual version) -Prevents double-booking
Forum
A meeting featuring much back and forth discussion, generally led by panelists or presenters
Yield Management
A technique used to maximize hotel revenue/profits by basing *prices for guestrooms and banquet space on supply and demand*
Congress
A term *commonly used in Europe*, refers to an event similar to a conference
Marketing Plan Overview
A written marketing plan sets responsibilities, coordinates events, and helps evaluate the results of marketing and sales efforts -Ideally should cover a 3-year period broken down into yearly segments -Develop detailed objectives and action plans for year one and broad objectives for years two and three -It is the property's roadmap; should be in writing and describe objectives and action steps in detail, not in broad terms -A marketing team or sales committee approach is recommended for preparation
Competition Analysis
An evaluation of competitors' strengths and weaknesses in comparison with your own so you can *emphasize your strengths in areas where the competition is weak* -should be *quarterly* -Answers 3 questions: Who are your competitors (your competitive set)? What are their strenghts and weaknesses? How do their strenghts and weaknesses compare with those of your property?
Market-Place Analysis
An evaluation of the environment in which the property operates; assess the uncontrollable variables in the marketplace -known as *situation analysis*
Property Analysis
An evaluation of the property's facilities and services to determine strengths and weaknesses -Include location, reputation, and quality of service -Assess the property's current market position; look into its sales history, guest files, and operating statistics -should be objective
Complex contract negotiations
Both hoteliers and meeting planners are spending an inordinate amount of time on legal issues
Corporate Meetings- Cycle/Pattern and Lead time
Business or company meetings (take everyone in company down to Orlando for 3 days) *Cycle/Pattern* -Irregular -As-needed basis -Usually midweek *Lead Time* -Short compared to associations -Incentive meetings: 8-12 months to 2 years -Annual sales meeting: 8-12 months -Most others: 3-6 months -Crisis meetings: virtually no lead time
Conference Centers: Booking Policy
Can be made on 24 hour basis, if meeting runs longer than expected, group won't incur additional rental costs or asked to leave
Per Diem
Certain amount of money dedicated per day for them to spend
Lecture
Even more formal or structured, *involving individual presentation,* often by just one expert
Association Meetings
Groups that have a common element or theme
Extended use of revenue management
Increasing use of revenue management (computerized setting of prices based on demand) to forecast revenues and evaluate alternative prospective meetings
Increased use of technology
Internet, fax, e-mail, video conferencing, in-room technology, bar boding for guest room security, ease in convention registration and accessibility, and inventory control of AV and other equipment
Seminar
Involves much give-and-take and sharing of knowledge -Much smaller groups and much direct interactions
Workshop
Involves small groups that deal with specific problems or assignments
Which of the following organizations offers a program through which professionals can achieve the designation of Certified Meeting Manager (CMM)?
Meeting Professionals International
Option Date
Meeting space or guest rooms that are reserved by the meeting group but are not yet under contract -A hotel extends a right of first resale to either confirm or release the space if there is a demand from another group
Institute
Offers *extended educational and training* opportunities
Growth of third-party meeting planners
Planners are leaving their associations and corporations to set up shop as independents
Key Account Management
Prioritizing accounts based on their profit potential Important because -generally 20% of a salesperson's accounts generates 80% of the business -looking at accounts individually to determine which ones have the highest potential for generating business and organize time to service and sell these accounts
Rooming Lists
Provide the hotel a list of names and VIPs or pair peopled up
What do corporate meeting planners look for?
Quality of food service -Very important to planners and attendees Adequate meeting space -Business centers Service -Most important element in repeat business -Enough guestrooms -Prefer to use only on host property Convenient Location -Downtown, airport, certain suburban properties, and conference centers Attractive location -Consistent with image of the corporation Security -Prefer to meet away from busy areas -Often prefer to be the only group in the hotel
Symposium
Similar to a forum except *more formal and less give-and-take*
Retreat
Small meetings in *remote locations for bonding* and/or intensive planning
Second- tier cities
Smaller cities and suburbs of major cities that offer the meeting planner an attractive location at the same time provide less costly accommodations and transportation -Example: Philadelphia, Milwaukee, and Pittsburg
Breakout Sessions
Smaller meetings outside of the main convention; educational questions and prototype demonstrations
Committee Chair
Sometimes gets involved in initial suggestion/ screening
"Green" meetings and social responsibility
The meetings industry is taking an active role in environmental issues, and is promoting ways to give back to local communities. -*Place an emphasis on conserving natural resources*
Revenue Management
The practice of assessing *a groups overall contribution to hotel revenue/profits* by measuring its impact on guestroom, meeting space, resturant, and retain revenues, as well as its potential for future business
Meeting Periodicals
There are a number of periodicals that serve the market advertising hotels, convention bureaus, airlines, and other suppliers in the industry -Associations Now -Successful Meetings -Meetings and Conventions -Meeting News
Popularity of second-tier cities
These are smaller cities and suburbs of major cities that offer meeting planners attractive locations, lower room rates and transportation costs, better service, unique recreation activities, and friendlier attitudes
Continued Globalization
This is the international consolidation of big business and the growing trend for countries to allow free transfer of goods and services across national boundaries. It has impelled a boom in travel, increasing attendance at more meetings and conventions at domestic properties. Additional competition for both foreign and domestic convention business.
Board of Directors
Usually have power of approval -*a final list of canidates to host an assosiation's meeting is present to this person*
Conference Centers: Pricing Policy
Usually offer the Full American Plan, a package price that includes rooms, meals, breaks, meeting rooms, AV equipment, and other needs
Association Attendance
Voluntary -Properties can help promote the event -*Promoting spouse attendance means double-occupancy revenues, increased length of stay, and additional spending in the facility*
Multiplier Effect
X amount of money is spent directly relating, which then gets funneled out to other areas -how many times money is *spent and circulates* through the economy
Business Center
a facility that offers key equipment and services typically found in a business traveler's home office, including computer access, fax machines, and copy machine. many offer secretarial and other services, such as shipping
Complete Meeting Package
an all-inclusive pricing plan (including lodging, all meals, and support services) offered at conference centers
a final list of canidates to host an assosiation's meeting is present to this person
board of directors
