Open for Business Podcast: Re-Thinking Corporate Hotel Rates Post-COVID
The role of corporate negotiated rates has significantly shifted in the past six months. For those unfamiliar with the concept, corporate negotiated rates - known as CNRs - are the discounted room rates agreed on between an organization and hotel for a specific period of time. The best TMCs and consulting agencies organize them on behalf of enterprises.
These long-standing rates are not quite as valuable as they once were with temporary hotel closures, aggressively priced OTA (Online Travel Agency) rates, and even publicly-available rates that undercut CNRs. There are also new challenges around the RFP process as understaffed hotels might not be able to manage RFPs, leaving corporations without a clear path forward.
With personnel limited on the hotel and corporate sides, the ROI of building large hotel programs is called into question. Enterprises require reliable information in order to set negotiation terms, but our unique situation and future uncertainty makes this task seemingly impossible.
We’re sitting down with Elaine Kennedy, Vice President of Hotel Market Planning at Pegasus, Calvin Anderson, Chief Commercial Officer at Domio, and Tara Stangel, Head of Lodging Supply at TripActions, to talk through these changes, what to expect from the future of corporate negotiated rates and hotel RFPs, and what you need to do to properly prepare for this new reality.
This corporate T&E podcast covers:
- How COVID-19 has and will continue to impact hotel rates
- Hotels’ revenue strategies that you should be aware of
- How to approach the RFP process in the current climate
- What changes you should expect from hotel negotiations in 2020
- Ways a TMC can help you navigate this unconventional RFP season
If this is your first time tuning in, check out our previous Open for Business: A Corporate T&E Podcast episodes:
- Episode 11: “The New Normal for Road Warriors” - Hear directly from the business travelers already taking to the roads and skies in the safest ways possible.
- Episode 10: “Driving Business Continuity and Recovery” - Hear the inside story of how TripActions built new products in the days and weeks following the travel shutdown.
- Episode 9: “The Future for Rail and Business Travel” - Learn about the future of train travel in Europe and beyond.
Subscribe to Open for Business: A Corporate T&E Podcast Powered by TripActions today on your preferred podcast platform and join us every Tuesday morning for the latest conversation on corporate travel and expenses. We’ll be sitting down with big-picture thinkers and decision-makers from around the globe to address the many T&E topics on the minds of business travelers, corporate travel managers and finance, operations and HR leaders.