Hotel Contracting, How to do Hotel Contracting, with Tips & Tricks, Things to Keep in Mind, Market Manager Basics, Hotel Contracts

1. Satguru Travel Group
Introduction to Contracting

2. Identifying Hotels / Key Hotels
• Online Travel Portals – Expedia, Orbitz etc
• Hotel listings on local yellow pages
• Hotel rating websites – Tripadvisor, Holidaycheck etc.
• Web search with appropriate keywords
• Referrals from local hoteliers & colleague
recommendations.
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Key Hotels : Hotel that support us or are willing to support us

3. Approaching Hotels
• Finding contact person – Professional Networking website -
Linkedin, Plaxo, calling hotel, Usually sales & marketing manager,
owner etc.
• Email, Call, Visit – Dependent on the market
• Establishing a repo with the representative
• Advising the concerned person on our network, What we are
looking for and why we command the same.
• Follow up on the contract issuance request on regular basis.
• A good negotiation end when we both the party involved are
happy. Offer what the hotel is looking for but provide the same
to them on your own term.

4. Contract Negotiation / Renegotiation
• Advise global advantage
• Provide advantage to chain / excellent hotels with
preferential positioning
• Use leverage of office locations & global tie ups.
• Do not commit on room nights
• Use market conditions to your advantage. Sudan – No
Credit Card, Kenya – Low occupancy rate, South Sudan –
Low Internet Visibility.
• Partner & offer hotel to tie up on various marketing &
promotional activities.
• In case we already have a contract from the hotel, Review
the room nights generated and potential of renegotiation.

5. Contract Negotiation / Renegotiation
• Price comparison with equivalent hotel & direct
competitor of the hotel
• Always revisit the hotel for renegotiation in case of
lean season, environmental factors, any unrest, etc.
• Check if any connections from previous interactions
can be established, Hotel is a small industry people
who change jobs and you enjoy good relation can be
used in future.
• Be ready and open to walk away in case the hotel /
contract is not suitable or competitive.
• Revisit the hotel depending on the requirement, i.e.
conference, number of rooms required.

6. Contract Negotiation / Renegotiation
• Concentrate specially on MICE segment.