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2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)
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© 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

Dec 26, 2015

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Page 1: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

© 2006, Educational Institute

Chapter 6 Selling Other Markets

Convention Management and ServiceSeventh Edition

(478CSB)

Page 2: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

2© 2006, Educational Institute

Competencies forSelling Other Markets

1. Describe the nonprofit organizations market, and explain how to sell meeting services and products to it.

2. Identify SMERF organizations and explain how to sell meeting services and products to them.

3. Summarize sales considerations for selling meeting services and products to the following markets: government agencies, labor unions, incentive meetings, insurance meetings, and medical meetings.

Page 3: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

3© 2006, Educational Institute

Nonprofit Organizations—Structures & Leads

Structures of Nonprofit Organizations• Structured like associations• Have members• Formed for a common purpose

Lead Sources• Directories: see the Guide to American

Directories• HSMAI's Affordable Meetings

Exposition and Conference

Page 4: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

4© 2006, Educational Institute

Nonprofit Organizations

• Many exist through fundraising• Similar to trade associations• Central source difficult to find• Solicit local chapters of national groups• Permanent staff, volunteer, board of directors• Shorter lead time• Offer to assist local chapter• Economic community benefit• National organization has experienced meeting

planners

Page 5: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

5© 2006, Educational Institute

Nonprofit Organizations—Sales Tactics

• Start with local chapters

• Expect short lead times (1 to 2 years)

• Assure planners of hotel’s assistance

• Point out economic benefits to community of holding national meetings locally

• Expect to deal with professional planners at the national level of nonprofit organizations

Page 6: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

6© 2006, Educational Institute

Characteristics of SMERF Groups

SMERF stands for• Social groups• Military and other reunions• Educational groups• Religious groups• Fraternal groups

SMERF Groups• Nonprofit groups• Tend to be price conscious• Good source of business for slow months

Page 7: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

7© 2006, Educational Institute

SMERF Groups

• Price Conscious

• Good numbers

• Fill soft spots

• People like to join social groups

Page 8: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

8© 2006, Educational Institute

Social Groups

Characteristics• Local, regional, and national in scope• Wide variety of interests and purposes• Hold both large and small meetings• Examples: chess clubs, ethnic groups, bowling

leagues

Lead Sources• Yellow pages of phone book: Clubs; Social,

Political, and Athletic Organizations • Property’s employees• Property’s suppliers

Page 9: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

9© 2006, Educational Institute

Military and Other Reunions

Characteristics

• Rapidly growing market

• Planners becoming increasingly knowledgeable

Military Reunions

• Combine reunions with vacations

• Price conscious/double occupancy

• Meet in September or October and on weekends

(continued)

Page 10: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

10© 2006, Educational Institute

Military and Other Reunions

Family and Class Reunions• Recreational amenities very important• Often hosted by nonprofessional planners• Need less meeting space than other markets

Lead Sources• THE Reunion Network: TRN News• Reunions, The Magazine• Military Reunion News• The Military Reunion Handbook: A Guide for Reunion

Planners

(continued)

Page 11: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

11© 2006, Educational Institute

Military & Other Reunions

• Flexible weekend business

• Military

• Sept/Oct.

• Annual, biennially

• Banquet, Service, Meeting

• Price conscious

• Share rooms

• Class & Family

• Recreational amenities

• F&B, no meetings

• Pay own way

• Double occupancy

Page 12: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

12© 2006, Educational Institute

Educational

• Broad & Diverse• Fill summer slow periods• Teacher associations• Continuing education• Accessibility & Value• Short• Extremely price sensitive

Page 13: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

13© 2006, Educational Institute

Educational Groups

Characteristics

• Fill rooms in summer months

• Local, regional, and national meetings

• Short in length

• Accessibility and value considered important

(continued)

Page 14: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

14© 2006, Educational Institute

Educational Groups

Lead Sources

• Educational Associations and Directories (pamphlet)

• National Directory of College Athletics

• Local board of education

• Alumni offices and divisions of continuing education at universities

• Administrative offices of schools

(continued)

Page 15: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

15© 2006, Educational Institute

Religious

• Small & Large• Summer months• Family oriented locations• Pay own way• Price sensitive• Double occupancy• Community Service projects• Example: Promise Keepers

Page 16: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

16© 2006, Educational Institute

Religious Groups

Characteristics• Local, regional, and national meetings• Tend to choose family-oriented sites• Price conscious/double occupancy• Meetings last from 3 days to 2 weeks• Often meet in summer months

Lead Sources• Religious Conference Management

Association (RCMA): Highlights• Yellow pages: Churches; Religious

Organizations; Synagogues; Mosques

Page 17: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

17© 2006, Educational Institute

Fraternal

• The Greeks

• Multiple occupancy

• General membership, retreats, institutes, board or council meetings

• Professional honorary societies

• Service Groups

• Elks, American Legion

• Holiday parties

• Fund raising

• Annuals

Page 18: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

18© 2006, Educational Institute

Fraternal Groups

Lead Sources• Fraternity Executives Association• National Panhellenic Conference• National Interfraternity Council• Alumni associations, Student Activities

divisions at schools• Yellow pages: Fraternal Organizations;

Fraternities & Sororities

(continued)

Page 19: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

19© 2006, Educational Institute

Government Agencies

Characteristics• Per diem allowances; price conscious• Mostly training meetings• Slow to pay bills• Short lead time• Request for Proposal (RFP)• Invitation for Bids (IFB)

(continued)

Page 20: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

20© 2006, Educational Institute

Government Agencies

Lead Sources• Phone book: Blue pages or other special pages• Society of Government Meeting Professionals

(SGMP)• Society of Travel Agents in Government (STAG)• Commerce Business Daily• List property in Official Airline Guide—

Government Edition

(continued)

Page 21: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

21© 2006, Educational Institute

Labor Unions

• 150 in U.S.• Regular, repeat business• National Conventions

• East/west, spouses, social programs, F&B, high dollars, every two years

• Regional Conferences• Central locations, 200-500, 2-3 days

• Executive & Committee meetings• Many a year, small, headquarters city

Page 22: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

22© 2006, Educational Institute

Labor Unions

Characteristics• Usually hold meetings only at unionized properties

National Conventions• Held every 2 years; alternate between East and West• High spouse attendance, high expenditures• Need lots of meeting space, sophisticated AV equipment

Regional Conferences• Held annually near center of region; last 2 to 3 days• Attendance: 200 to 500

(continued)

Page 23: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

23© 2006, Educational Institute

Labor Unions

Executive and Committee Meetings• Up to 4 meetings per year; last 2 to 3 days• Held in union’s headquarters city• Hosts of these are considered for larger meetings

Lead Sources• National conventions: general secretary of union• Executive and committee meetings: secretary-

treasurer

(continued)

Page 24: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

24© 2006, Educational Institute

Other

• These are part of corporate and association market…….but deserve attention

• Incentive• Insurance• Medical

Page 25: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

25© 2006, Educational Institute

Incentive Meetings

Characteristics

• Offered as reward to motivate employees

• Recreation is key value

• Most programs mix business and pleasure

• High spouse attendance, high expenditures

• Key industries: automobile parts and accessories, electronics, and insurance

(continued)

Page 26: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

26© 2006, Educational Institute

Incentive Meetings

Incentive Travel Houses

• Represent several different companies

• Can provide repeat business

Lead Sources

• Society of Incentive Travel Executives (SITE): annual directory, trade show

• International trade shows

(continued)

Page 27: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

27© 2006, Educational Institute

Insurance Meetings

Characteristics• Spend more on meetings than any other industry• High expenditures; not very price conscious• Most programs mix business and recreation• Spouses often attend the largest meetings

Lead Sources• Start with the insurance company’s home office• Meeting Professionals International (MPI)• Insurance Conference Planners Association (ICPA)

Page 28: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

28© 2006, Educational Institute

Medical Meetings

Characteristics

• Market growing rapidly

• Usually 200 attendees or fewer

• Great potential for repeat business

• Held during peak periods for hotels

(continued)

Page 29: © 2006, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Seventh Edition (478CSB)

29© 2006, Educational Institute

Medical Meetings

Reasons for Rapid Growth• Changing technology and reform in health care• New treatments and cures developed• Continuing education requirements• New medical areas emerging• Globalization

Lead Sources• Professional Convention Management Association

(PCMA)• Medical periodicals and journals

(continued)