© 2011, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Eighth Edition (478TXT or 478CIN)

© 2011, Educational Institute

Chapter 6 Selling Other Markets

Convention Management and ServiceEighth Edition

(478TXT or 478CIN)

© 2011, Educational Institute 2

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/financial service meetings, and medical meetings.


Nonprofit Organizations—Structures & Leads

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

Lead Sources• Directories: see the National Directory of

Nonprofit Organizations• HSMAI's Affordable Meetings Exposition and

Conference


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



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• Generally more recession-proof than other types of meetings




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• Decision-makers are often inexperienced in

meeting planning

Lead Sources• Yellow pages of phone book: “Groups and

Organizations” listing • Property’s employees• Property’s suppliers



Military Reunions • May combine reunions with vacation, so family-

and/or military-oriented locations are popular• Military towns have an edge in marketing• Price-conscious groups• Double occupancy is common• Meet in April–October; on weekends; hold a Saturday

night banquet and memorial service; length of stay three nights

• Hotels with planned spouse programs have a competitive edge

(continued)


Military Reunions

Lead Sources• THE Reunion Network: TRN News• Reunions, The Magazine• Military Reunion News

(continued)



Class and Family Reunions• Recreational amenities are important

• Cost-conscious; high level of double occupancy; meet in the summer months

• Length of stay: class reunions, one night; family reunions, two nights

• Planners are becoming increasingly knowledgeable

• Need less meeting space than military reunions

Lead Sources

• familyreunionhotels.com

• greatreunions.com

• Reunions magazine

• National Association of Reunion Planners



Educational Groups

Characteristics

• Fill rooms in summer months

• Local, regional, and national meetings

• Short in length

• Accessibility and value considered important to educational meeting planners

(continued)


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

• Blue Book of College Athletics

• TEAMS Conference and Expo

(continued)


Religious Groups

Characteristics• Local, regional, and national meetings• Tend to choose family-oriented sites• Price-conscious/double occupancy common• Meetings last from 3 days to 1 week• Often meet in summer months and other slow periods,

including holidays and weekends• Need a wide selection of meeting and convention space

Lead Sources• Religious Conference Management Association (RCMA)• Yellow pages: Churches; Religious Organizations;

Synagogues; Mosques




Fraternal Meetings—College and Service Groups

Fraternities and Sororities• National meetings: summertime• Educational retreats and leadership training

institutes• Board and council meetings

Professional and Honorary Societies and Service Groups• Examples: The American Legion, Sigma Delta

Chi (a professional journalism society)• Some hold large annual events• Hold parties for special events and fund-raisers

(continued)


Fraternal Meetings—College and Service Groups

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

divisions at schools• Yellow pages, fraternal organizations,

fraternities and sororities

(continued)



Government Agencies

Characteristics• Price-conscious due to per diem allowances• Mostly training meetings• Slow to pay bills• Short lead time• Meeting planners look for direct flights at

discounted rates• Formal price submission procedures involving a

Request for Proposal (RFP) or an Invitation for Bids (IFB)

(continued)


Government Agencies

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

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

Government Edition

(continued)


Capturing Government Meetings Business

1. Must become certified by FEMA

2. Must be listed with Central Contractor Registration

3. Must be able to comply with per diem rates

4. List property on government-related websites

5. Join organizations for government planners



Labor Unions Characteristics

• Usually hold meetings only at unionized properties• Excellent opportunity for repeat business

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)


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• Directory of Unions and Labor Organizations• Directory of Labour Organizations in Canada

(continued)


Incentive Meetings

Characteristics• Offered as reward to motivate employees/clients• Recreation is key value• Safety and security now more important• Most programs mix business and pleasure• High spouse attendance, high expenditures• Key industries: automobile parts and accessories,

electronics, and insurance• May be group or individual travel

(continued)


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)






Insurance/Financial Service Meetings

Characteristics• Spend more on meetings than any other industry• High expenditures; not as price-conscious as most

segments• Most programs mix business with pleasure• Spouse attendance is common at largest meetings• Most business comes from the life insurance segment• Over 6,000 insurance companies in the United States

and Canada; each holds about 20 meetings per year

(continued)


Insurance/Financial Service Meetings

Lead Sources• Meeting Professionals International (MPI)• Financial & Insurance Conference Planners

Association• Life Insurance Marketing Research Association

(continued)



Medical Meetings Characteristics• Medical and health care groups hold over 35,000

meetings annually• Market growing rapidly• Usually 200 attendees or fewer• Medical groups have higher-than-average expenditures

per delegate per stay than all other types of groups• Meetings typically held during peak periods for hotels,

and demand for function space is high relative to number of guestrooms used

(continued)


Medical Meetings

• Prefer quiet premises• Often use poster sessions as a space-saving technique• Require sophisticated A/V technology• Are security and image conscious• Great potential for repeat business

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

(continued)

(continued)


Medical Meetings

• New medical areas emerging• Globalization

Lead Sources• Professional Convention Management

Association (PCMA)• Medical periodicals and journals

(continued)


Example of a Poster SessionCommon at Medical Meetings



© 2011, Educational Institute Chapter 6 Selling Other Markets Convention Management and Service Eighth Edition (478TXT or 478CIN)

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