Maneuvering Room

Navigating the post-pandemic hotel program landscape will require a fresh outlook and savvy negotiating skills
Flexibility. Nimbleness. Dynamic. Fluid.

In a time of uncertainty, those are the kinds of words buyers and sellers are using as companies work to put together their hotel programs for 2022. But even as uncertainty rules, trends are emerging that may remain for the medium to long-term, including a different way of looking at negotiations, changing traveler behaviors, an enhanced focus on social and environmental issues, and concern among some travel managers that big players may be shouldering them out in the “Volume=Rates” game.

In response to the volatility, many observers see the best path forward is to take a “holistic” approach to the marketplace – relying on multiple channels including suppliers, aggregators, TMCs, etc. – to put together a comprehensive program that may not always put the priority on price.

Meanwhile, amidst all the flux, business must get done, and the way it is being done now is the same way it has in the past, e.g., negotiations and RFPs are in process. But in many aspects it is different – with a growing reliance on dynamic rates and continuous procurement, a market-by-market or even hotel-by-hotel approach, and a return to basics, including a revitalized attachment to buyer-seller relationships.

Categories: Special ReportLodging

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