Studies on How Event Planners Help Negotiate Group Travel Contracts

​Hotel Contract Strategies

1. Everything is negotiable. Not only are room rates and food beverage costs negotiable, but other items that may not be obvious are on the table, as well, including phone/Internet access charges, fax send/receipt feeds, overnight mail surcharges for sending/receiving packages through the hotel, bellhop and housekeeper gratuities, resort fees, established banquet menus/pricing and more.

2. Beware: hotels can cancel your meeting. If a better piece of business comes along, a hotel can cancel your meeting or event.

3. Keep hotel profit margins in mind when negotiating. If agreeing to attrition or cancellation, don’t pay full price for unused rooms or uneaten food. Profit margins for sleeping rooms and group food/beverage are high, so there is plenty of room for negotiation.

4. Require post-event reports. Use historical spend data to leverage better deals for future meetings with hotels and other suppliers.

A Look at Partial Force Majeure Strategies

1. While force majeure clauses are probably raised most often when a meeting has to be entirely canceled, meeting planners should not assume that cancellation of a meeting is the only time the clause can come into play. Instead, given the right circumstances, it is possible for a properly drafted force majeure clause to also save an organization from having to pay attrition and other types of contract damages.The concept is sometimes referred to as “partial force majeure,” and the idea is that a party should be excused from paying damages not only when there is the complete cancellation of the event, but also if any portion of a contract cannot be complied with due to circumstances beyond that party’s control.

5 Tips for Creating a Bulletproof Hotel Contract

1. Last year, the average hotel daily room rate and revenue per available room (RevPAR) was the highest ever recorded by STR, a global provider of competitive benchmarking, information services, and research to the hotel industry. Occupancy for the first quarter of 2015 was also the highest ever recorded by STR for hotels worldwide.

2. According to Freitag, a 66.8 percent occupancy rate in the U.S. is the highest STR has ever recorded for March. The industry also set a record with more than 100 million rooms sold worldwide, and RevPAR increased in the U.S. for the 61st consecutive month.

3. “Hotels are no longer bending over backwards to win your business,” explains Brooklyn, NY-based Roxane Kramer, a global account executive at ConferenceDirect, a full-service meetings solution company. “Plus, they are tightening their contract terms. Distinctly less flexibile, hotels are writing their contracts in their best interests.”

4. “When the hotel issues the contract, it is typically one-sided and missing key cost savings and risk-reduction clauses,” she adds. Clauses that are missing in hotel issued contracts according to Woodin include resell, so in the event of cancellation, the group and the hotel shall negotiate to establish mutually acceptable dates for a subsequent meeting to be held no later than twelve months after the original meeting dates and the hotel shall credit 50 percent of any cancellation paid against the subsequent meeting.

Tags: event planners, Event Planning, incentive travel, research, studies, Travel Incentives​

Negotiate Group Travel Contracts

​One of the major challenges of corporate events and group travel is contract negotiation. With large groups come large responsibilities, so hotels and resorts want to secure their profits and liabilities with contracts.

 If you’re part of an organization that hosts one group travel event a year, you might be able to establish a mutually beneficial relationship with one hotel or resort after patronizing it year after year, building up a reputation as a reliable, safe client. 

Consider another option, though: a group travel service can negotiates thorny contracts on your behalf, because they have experience and deal with travel contracts all the time. They can use their large network of hotels, resorts, agents, and cruise lines to your advantage. 

http://www.incentivesolutions.com/2015/12/15/5883/

How Can an Event Planner Help You Negotiate Group Travel Contracts?

​One of the major challenges of corporate events and group travel is contract negotiation. With large groups come large responsibilities, so hotels and resorts want to secure their profits and liabilities with contracts. If you’re part of an organization that hosts one group travel event a year, you might be able to establish a mutually beneficial relationship with one hotel or resort after patronizing it year after year, building up a reputation as a reliable, safe client. Consider another option, though: a group travel service can negotiates thorny contracts on your behalf, because they have experience and deal with travel contracts all the time. They can use their large network of hotels, resorts, agents, and cruise lines to your advantage. With group travel planners’ expertise, they can be on the lookout for clauses that can be renegotiated in your favor.

Some incentive providers, such as Incentive Solutions in Atlanta, GA, can provide travel planning services along with their travel rewards. Because Incentive Solutions offers hotels the promise of repeat business, they have more influence and can often negotiate much more favorable contracts. Here are just a few of the tricky, group travel contract clauses, listed by the Global Business Travel Association, that event planners can help you with:

• Cancellation Cancellation fees and clauses are in place to protect establishments from losing money should you cancel your trip. That’s understandable—hotels and resorts lose quite a bit of money if you cancel a large block of rooms and they don’t have time to rebook them. Beware of other cancellation policies in your contract, however.Travel and event planning services can help you avoid clauses and policies that could disrupt your trip. If the above example should happen when you’re planning a group outing, experienced travel planners know how to quantify what the hotel will pay you if they cancel your event. They also know it’s best to centralize and automate the room reservation process through an online registration system. That way, you can ensure that wait-listed attendees will fill in any reservations that are cancelled, keeping your room block booked and fulfilling your contract commitment.Cancellation clauses and fees are usually unavoidable, but event management experts can help with registration and contract negotiation so that you can reduce potential losses.
• Attrition Attrition is very closely related to cancellation. Specifically, it’s the term used for the compensation establishments receive for rooms or cabins that are removed from the market when your group reserves them. Attrition clauses, like all things in a group travel contract, are negotiable. Establishments may be open to the idea of removing an attrition clause, especially if they are dealing with a trusted, repeat client such as an incentive travel planner. Even better than no attrition clause, you may be able to include a clause stating there will be no attrition penalty.If you do pay attrition, an event planner can help you make compromises such as paying it on a cumulative basis, rather than per-night. This way, you can avoid paying full price for any rooms you don’t use or food and beverages you don’t consume.
• Force majeure A force majeure (French term meaning “superior force” or “great force”) clause is meant to absolve both parties (hotel and attendee) of liabilities in the event of an emergency beyond their control. Extreme weather, government regulations, and disease threats are all considered force majeure events. If hotels, resorts, cruise lines, etc. are prevented from fulfilling their duties by force majeure events, they rarely offer a refund provision.Force majeure clauses typically come into play when an event or trip has to be cancelled in its entirety. However, an event planner can help you establish policies such as “partial force majeure” in which you can protect yourself from paying extra attrition fees if an event out of your control disrupts—but doesn’t entirely cancel—your trip. For instance, you may be hosting an event in Florida in February, a trip most attendees can make without disruption. A blizzard in the northeastern U.S. may detain attendees from that part of the country, however, forcing you to cancel 25% of your reservations. It may not be sensible to cancel the entire event, so you can rely on a partial force majeure agreement to avoid being penalized with attrition fees.
• IndemnificationIndemnification clauses exist to protect one or both parties from financial loss, and to place responsibility of damage or neglect on the party most capable of preventing it. Most contracts include provisions requiring you to indemnify the hotel for any claims or liabilities they incur as a result of negligence or omission by your organization or people associated with it.Travel planners can help you tweak and negotiate this clause so that, for instance, you can specify whether the hotel will be indemnified for negligence or gross negligence. Event planners can help you push back against strict indemnification clauses as, ultimately, you can’t control your attendees’ actions. You may also be able to require the hotel to indemnify your organization against claims asserted against you that result from the hotel’s acts of omissions or negligence.

Cancellation, attrition, force majeure, and indemnification are just a few clauses typical in group travel contracts. While many of the basic clauses themselves are unavoidable, there are still ways to protect yourself and avoid being subjected to biased provisions and preventable fees. Incentive group travel and corporate events should be about learning, networking, getting to know colleagues, and having a great time. An event planner’s expertise can help negotiate a contract that works out best for you, in the end, so you can focus on hosting the best event possible.

Savannah Bobo
Copywriter at The Incentive Solutions Group of companies, consisting of:

• Incentive Solutions, Inc.
• Loyaltyworks
• Travel Solutions

Direct Contact: 678-514-0248
Sales Hotline: (800)-844-5000

Tags: corporate events, Event Planning, Group Travel, incentive travel, Travel Incentives

Mattie Logan’s Incentive Travel and Event Planning Blog is Here: AhoyMattie.com

Peter Island

Have you heard of Peter Island? The place dreams dream of, that not even story books could give justice to? Neither had I. The luxury of my job is sometimes being able to visit the tiniest corners of the Earth that I might not have ever even imagined before. Peter Island is one of them and personally now my favorite place on this planet. The island is 1800-acres of pure paradise, in the Atlantic Ocean, surrounded by British Virgin Island oasis’s and a hop, skip and jump away from the U.S. Virgin Islands. Arriving on a private ferry is truly an experience in itself, as not many places can only be accessed by small boat, or helicopter. The palm tree and hammock flanked beaches and crystal clear turquoise waters surrounding Peter Island only add to the splendor of this Caribbean gem. Hidden away on this slice of private island bliss, is the Peter Island Resort & Spa.

A luxury haven getaway that gives true meaning to the words unbelievable, astonishing and splendid. As a guest of the resort, you can take in the surrounding wonder on any one of the five pristine white sand beaches, including a spot on the coveted Honeymoon Beach which allows only one couple a day access, or while exploring the breathtaking views atop a mountain and the sunset along the five-mile loop. The food is absolute perfection and the drinks are to die for.

 I don’t know if it was the love put into making my Pain Killers or the fresh nutmeg topping that kept me coming back for more but I would gladly fly back to Peter Island for that refreshing island concoction alone. Opt for a luxury private villa, such as the Falcons Nest. This sprawling mansion on the tip top of Peter Island, which could possibly be the most jaw dropping property I’ve ever seen, has six bedroom suites, a three story waterfall grotto and an infinity edge pool overlooking the surrounding Caribbean Islands. For a mere several thousand dollars a night you could live like a true king! Every single guest room at the Peter Island Resort is truly remarkable! Whether in an ocean view room or beach front suite,

 the comfort and furnishings will leave you relaxed and rejuvenated like never before. The only thing that could rival Peter Island’s accommodations, dining, and setting is the service. I have been to countless destinations and worked with hundreds of vendors, hoteliers and suppliers all over the world but nothing compares to the genuine compassion Peter Island employees show each and every guest of the island. It is truly one of a kind and makes you leave the island a better person for ever even meeting the lovely people of Peter Island Resort & Spa.

I know a woman that once told me she wanted her ashes strewn at Peter Island. I thought it to be such an odd statement until I visited that sacred place. I get it. I believe it.

I stand by Peter Island, the people, the resort and all the memories made there. Now it’s your turn. Get out there and start planning your own Peter Island adventure…just don’t forget to pack me in your suitcase when you go!
To learn more about the Peter Island Resort & Spa, CLICK HERE

Why Incentive Travel Is the One Reward That Can Never Be Replic?

​ou know all those things you’ve always wanted to do? All the things you wanted to see and experience firsthand? You should go do them, see it and live it! With incentive travel, they’re possible! The promise of winning a trip to a far-off land ones always dreamed of, based on performance, will not only encourage employees to work that much harder, but ultimately positively reflect back on the company as whole.  The drive, determination and workmanship of those participating will be valued companywide, and rewarding that behavior with incentive group travel will not only be appreciated but cherished for a lifetime.

• 
• 

Encouraging relationships and teamwork among employees in the workplace are part of most companies’ daily culture. Strengthening employee engagement and togetherness should be worked on in the office all year round, but until you’re thrown on a fishing boat off the coast of the Baja Peninsula, fighting to pull in a 1,200lb Marlin with your coworker, or whipping through the streets of Italy during an exhilarating company road rally race, you will not grasp the full concept of employee unity.

There is a little wanderlust in us all, and what better way to experience a far off corner of the world you never thought you could visit, than with an incentive travel program chock full of interesting itineraries, once-in-a-lifetime excursions and breathtaking sights?

Not only will attendees participate in corporate meetings and events much more alert, refreshed and enthused, but the memories made from onsite experiences will remain forever. Those memories will be always entwined with the company whose incentive rewards made it all happen.

Ensure company-wide solidarity, encourage employee morale and deliver an experience with group incentive travel that will not only drive hard work now, but in the future as well.

• 
 
• Associate Account Manager for The ISI Group of companies, consisting of:
  Incentive Solutions, Inc.
  Loyaltyworks
  Travel Solutions
  mlogan@isicorporate.com
  Direct Contact: 678-514-0219
  Sales Hotline: (800)-844-5000

http://www.incentivesolutions.com/2015/08/14/pick-an-incentive-company-that-will-handle-your-money-appropriately/

CEO Steve Damerow – Boost ROI For Your Business by Picking an Incentive Company That Will Handle Your Money Appropriately from The ISI Group of Companies on Vimeo.

Are you worried that you do not know what questions to ask before doing business with an incentive company? Incentive Solution’s CEO, Steve Damerow, explains the importance of making sure your third party incentive provider is financially responsible before signing the contract. Drive ROI for your business and increase the productivity of your sales incentive program by choosing Incentive Solutions as your third party incentive provider today.

Articles of Interest:

• Get The Most Out of Your Sales Incentive Program
• Steve Damerow: Learn How The Benefits Of A Sales Incentive…
• How A Sales Incentive Program Can Drive ROI and Increase…
• CEO Steve Damerow – Get The Most Out of Your Incentive
• How Technology Increases Incentive Program ROI
• Motivate Your Sales Force The Right Way

INCENTIVES TO GET DISTRIBUTORS TO SELL PRODUCTS |

1.  How to land a distributor for your product

There are three basic ways to sell your product:

1. Sell directly to customers via your website
2. Sell to retail stores, which then sell to customers
3. Sell to a distributor, which sells to retail stores that then sell to customers

A distributor is mostly concerned about:

1. The level of profit they can make on your product
2. The cost of stocking and fulfilling your product
3. Whether your product is scalable
4. Whether you sell multiple products
5. The reasoning behind the first two points is obvious. Retailer or distributor, profits and costs are paramount.

2. The 10 most common mistakes manufacturers make when dealing with distributors & how to avoid them

• You need to view your distributor not as your customer, but as your “channel partner”who is, in effect, your teammate in making sure the needs and expectations of the “true” customer are met
• You need to structure the relationship you maintain with your distributors in a way that will enable you to best meet the customer’s needs and expectations in a way that’s profitable for both you and your distributors.
• You need to work closely with your distributors to clearly identify what you expect of them and what they can expect from you. By carefully defining each other’s specific roles and responsibilities together, you can maximize your respective profitability by avoiding costly duplication of effort and preventing the problems that frequently arise from unreasonable expectations
• Distributors frequently respond by offering their customers more and more services from which to choose. But in today’s highly competitive, fast-paced marketplace, more choices may be one of the last things that customers want
• Real value for customers comes from helping them reduce their overall costs and/or improving their own performance.Therefore, before you and your distributors can truly begin to add value for your mutual customers, you need to gain a clear understanding of the customers’ businesses — especially those activities that they perform as they acquire, store, use, and dispose of the products they purchase. Then you and your distributors can tailor your service offerings accordingly.
• Most distributor salespeople understand the importance of learning about a product and how to sell it. But if you take into account how many different products the average distributor carries and how much training would be required to effectively prepare them to sell all these different items, you’ll see that your distributors’ ability to effectively sell your products may be minimal at best.
• Too often, a distributor salesperson’s approach to sales is to wait for the phone to ring and ask, “How many do you need?” When it’s a customer on the line. That method may work very well for a distributor with a lot of products that tend to sell themselves. But if your product involves considerable pre-sale work or a complex sell, you need more than a bunch of order-takers.
• The key is to build distributors’ commitment to your company And you can do that by taking steps to make your products more important to the financial success of the distributor while at the same time reducing the costs and “hassles” incurred by the distributor when selling them.
• Incentive programs are a staple of many manufacturer-distributor arrangements And a well-crafted incentive program can be instrumental in helping a manufacturer boost sales, expand its market share, and increase its leverage with its distributors.
• Programs offering discounts, junkets, merchandise, and other spiffs to distributors should be structured so that they encourage distributors to continually sell your products rather than simply build their inventories when they can get a better price. Another important element of a good incentive program is to reward distributors for improving their sales proficiency
• 
  
• 
  
• It’s also important that any incentive programs be tied directly to your company’s goals and the strategy being employed to realize those goals. And even more importantly, remember that spiffs alone aren’t enough. They have to be supported with customer-oriented marketing efforts, training programs, and other support.

Google+

Loyaltyworks
2299 Perimeter Park Drive
Suite 150
Atlanta, GA 30341
Loyaltyworks