HRT 390 Test 2
Cold calls
(aka prospect calls) can either be made in person or by telephone are usually made within a small geographic with a minimum amount of time spent on each call. Little is known about person or organization being called on, strictly fact finding call objective is not to make sale but to gather info so a selling strategy can be developed and a follow up visit made.
Suggestive selling
(employee sales skills) influencing a guests purchase through sales phrases
Cross-selling
(employee sales skills) suggesting to a guest they take advantage of a different part of property
What is necessary for Revenue Management to be successful?
Knowledge of Market Segments, Knowledge of their buying behavior (lead time), Knowledge of the Prices the Market Segments are willing to pay, Identify the strategy for controlling room rates and availability through rate and stay restrictions, Position rates as soon as possible to ensure solid base of business, Select reservations that will help achieve highest possible revenue; identify high yield guests, Compare rack rates vs transient discounts
What is relationship selling? Why is it so important to a hospitality firm?
Less expensive to retain guests than to acquire new ones, focus on building relationships with their current guests, can be defined as building guest loyalty
What is the goal of Revenue Management?
Maximize room revenue
What is a central reservations system?
Part of an affiliate reservation network, typically deals directly with the public, advertises a toll free central telephone number, provides participating properties with necessary communications equipment and bills properties for handling reservations.
What problems are unique to hotel restaurants and how can these be addressed to ensure greater success?
Positioning- guests feel that restaurants within a hotel aren't as good as outside ones. These locations must be positioned in a way to compete with freestanding eateries, Drawing guests from outside the hotel, Drawing more people to restaurants-carry well known brands or partner up with brands already established, create separate entry to restaurant
What are three basic types of objections?
Price or rate, product or service, lack of interest
what are some of the techniques used to overcome objections?
Price or rate-Deferred until the end after having the opportunity to further detail the benefits offered for the price quoted. Say putting price aside what else concerns you? Product or Service-Restate objection and offer positive response (benefit) to the objection or Agree with objection but then present a benefit. Lack of Interest- Question client about his or her feelings about present arrangements
What is key account management?
Ranking accounts according to their profitability, prioritizing helps you allocate time to the most promising accounts
What are some of the ways hotel employees can apply sales skills?
Recommending and offering a benefits,Positive interaction, Upgrading
ADR
Room Revenue/Demand
RevPAR
Room Revenue/Supply
What are some sources for prospect research
Sales office files, prospect books, records from previous years, referrals from past an present clients, other departments within large corporations or groups that the property is currently serving, local organizations and companies, business directories, chamber of commerce, publications, industry reports, community contacts, front desk personnel, other property employees, property's competitors, key contacts
What are some low demand tactics?
Sell value and benefits, Offer packages, Keep discount categories open, Encourage upgrades, Offer stay-sensitive price incentives, Remove stay restrictions (no nights minimum), Involve your staff, Establish relationships competitors, Lower rates (always last thing to do)
what are three basic criteria for qualifying prospects?
Size, proximity, and type of business
How can using the proper telephone etiquette lead to additional sales?
Telephone if used properly can be one of the most economical ways to find and sell to prospective guest and clients
Why should product features be converted to benefits?
To try to influence the client's interpretation by always linking how features or services will benefit them and enhance their meetings.
When should a sale be closed?
When the client is continuously agreeing, agrees to a response to an objection, repetition of benefit from client, positive nonverbal signs, use major close then give client chance to think.
What are the four types of sales calls?
cold calls, public relations calls, presentation calls, inside calls
Banquet/ Catering checklist
designed to aid the catering director or salesperson in determining specific client needs, can be used when dealing with the client face to face or over the phone and be used to customize details to properties
French service
items prepared table side from a cart and requires specialized skills food servers, sufficient space needed
Inside Calls
made to walk-ins inquiring about the property or group buyers, such as tour operators, travel agents, and meeting planners who have been invited to tour the property.
Banquet setup
meal setup
Rate category alternatives method
middle rate rooms selling; front desk or reservations agent provides guest with three or more rate category alternatives with no pressure
Herringbone setup
more informal meetings
Plate service
requires large kitchen and serving staff, plated at time of service
Internal marketing
seeks to sell employees on the property and their importance to its success
preset service
set on table before guests sit down
Theater setup
short lecture or larger groups
How does the design of the menu influence food sales?
An attractive design will draw guests to featured items and specials, each menu layout offers different eye focus areas, items listed first in a category usually sell best, or anything with a box around it or picture by it
What are the techniques that can be used to get past intermediaries?
Appeal to a need, verify the validity of the need, determine the most important need
Why is the profit margin for banquets often greater than the profit margin for a hotel's restaurant?
Banquet sales volume often exceeds restaurant volume at a larger hotel, Allow flexibility in pricing, increase in prices due to added cost of setting up and clean up, Food costs lowered due to volume preparation, predetermine price, know number of people going to serve, Beverage costs more controlled, Labor costs lower, additional income with suppliers
Occupancy
Demand/Supply
What types of incoming calls can lead to sales?
Inquiries, telephone telephone sales blitzes,
Why is telephone etiquette important?
It is often the first point of contact a customer has with a company and it can build or destroy good relations and trust in seconds
Function book
Kept up to date to ensure that function rooms are used to best advantage, when date requested a member of catering department checks the function book for day and time requested. Each entry includes name of organization, contact person, type of function, and sale person name
What are the four areas that should be covered in employee training to better equip employees to assist guests and build rapport?
Knowing the property, Knowing the community, Interacting with guests, Learning sales skills
how does having a CSR system add to sales?
Can help with yield management, measures sales and marketing efforts, provide detailed reports of where business is coming, easier to make reservations and track sales efforts
What are some high demand tactics?
Close or restrict discounts, Apply minimum length of stay restrictions carefully, Reduce group room allocations, Reduce or eliminate 6pm holds, Tighten guarantee and cancellations policies, Raise rates to be consistent with competitors, Consider raising package rates, Apply full price to suites and executive rooms, Select dates that are to be closed-to-arrivals,Evaluate the benefits of sell-throughs (certain nights closed for arrival, but maybe people wanna stay longer walk those only staying for one or two days)
What are the five basic steps of a presentation sales call?
a. Opening the sales call- intro, purpose, benefit, b. Getting client involvement- Questioning, listen, rewarding remarks, c. Presenting your property- organization, effective speaking, visual aids, close for asking questions, d. Overcoming objections- should be handled immediately, restate it, may be verbal or nonverbal. Price or rate, product or service, lack of interest, e. Closing and following up- positive signs, client's agreement, repetition of benefit
What are types of outgoing sales calls?
a. Prospect calls b. Qualifying Calls c. Appointment calls d. Sales calls e. Promotional calls f. Service calls g. Public relations calls
What components are most important for creating a successful catering office?
a. Staffing (the employees and knowing all are sales people), responsibilities, role in relation to overall hotel sale, b. Knowledge of sales, service, use of facilities and function space, food production, menu planning, and cost control, c. Marketing plan, developing leads, promotions,
Public relations calls
aka service calls, made on companies and individuals who are already clients. Calls serve to promote goodwill and indicate willingness to meet future needs of clients.
V-shaped setup
allows discussion among small groups of participants during or immediately after a larger group activity. Chevron creates a more enclosed type of feel for the presenter and audience.
Presentation calls
also called appointment calls since appointments must be made with busy prospects, made to individuals, committees, or groups to explain how your property can meet their needs and to ask for their business. Therefore you should obtain as much information as possible about prospects before presentations. Important to target decision makers and use effective visual aids, must be organized and confident ready to make a strong presentation overcome objections and ask for sale.
Banquet event order
also called function sheet or banquet prospectus. This sheet acts as a final contract for the client and serves as a work order for the catering department. Includes time and place of function, physical arrangements of, menu, prices quoted, beverage requirements, special requests, service notes, personnel required, cashiers, tax, gratuity, payment arrangements, guarantee clause
English service
food on platters or bowls is placed on table and guests help themselves, main meat cut by host or server
Russian service
food served from platters or other large dishes by servers
Schoolroom setup
for long lectures
Hollow-square setup
groups fewer than 40 where there is a group leader or panel seated at the head of the set up
Bottom up method
guest made reservation but requested low price room, use but only for x amount money more you can get this too!
buffet service
guest walk up and help themselves
butler style
hors d'ouevres style
Internal sales
is directed towards guests already at the property, and is a systematic plan to meet guest needs and increase revenues
What factors determine the type of service needed?
size of room, size of tables, type of function, number of people attending, Seating arrangements may also effect
U-shaped setup
small groups that require conversation
Board-of-directors
small meetings
a la carte
two or three items offered and guests choose what they want
Top down method
used to encourage guests to reserve middle or high rate rooms, suggest higher then move to next level and discusses merits of and so on and so forth