Travel buyers this month told Business Travel News that tougher hotel rate negotiations for 2005 have made them rethink their approach to negotiations this fall for 2006 rates.
Strategies run the gamut from seeking chainwide deals to providing negotiated rates in more markets to better ensuring the equitable application of last room availability provisions.
Previously, for instance, a chainwide deal didn't make a lot of sense for San Jose, Calif.-based Adobe Systems. "In 2005, we began focusing on driving room nights to a couple of chains and it's been successful for us," said Janice Coley, Adobe worldwide travel manager. "Rates in 2005 went up in a number of markets, but we were fortunate to be able to hold the line in our headquarters city because of new supply coming into the market. We understand that hotels are entitled to a reasonable rate increase, but I'd like to keep a lid on price increases as much as possible. There's no way we want to go back to the days when spending was a bit out of control."
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Source - BTN
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