final review Flashcards
(104 cards)
1
Q
MICE
A
meetings, incentives, conventions/conferences, exhibitions
2
Q
three main components of the meeting industry’s overall economic impact
A
direct: consist of the direct spending & job that are involved in planning and producing meetings for participants to travel to meetings and other meeting related spending
indirect: represent downstream supplier industry impacts and also referred to as supply chain impacts
induced impacts: occur as employees spend their wages & salaries in the braoder economy
3
Q
where the revenue comes from a meeeting
A
various sources however registration fee brings in the lion’s share
4
Q
which meeting usually has the largest amount of attendees
A
tradeshow
5
Q
T/F: universities can also serve as meeting facilities
A
true
6
Q
boutique/lifestyle meeting facility
A
suitable to embody the interests, attitudes, and opinions of a group/culture
7
Q
airport hotels
A
usually have lower rates than comparable downtown hotels, planners and attendees can save on transportation costs
8
Q
conference center
A
a property specifically designed to handle group meetings, exhibitions, and shows - can accomodate larger groups; doesn’t have guest rooms but can be connected to large hotels
9
Q
convention hotel
A
focuses on room sales and other potential revenues, may provide extensive leisure facilities
10
Q
benefits of conducting a marketing plan
A
- helps managers to think ahead and set responsibilities
- coordinates and unifies sales efforts
- makes the best use of resources
- creates awareness of opportunities and problems faced by facility
- helps evaluate the results of marketing efforts
11
Q
4 steps of marketing plan
A
- conduct market research (property, competition, marketplace analyses)
- select target market and position the property
- establish objective and action plan
- reviewing and monitoring the marketing plan
12
Q
property analysis
A
an evaluation of the property’s facilities and services to determine the strengths and weaknesses, aka occupancy and activity analysis
- should be objective, include exterior and interior, location, rep., quality of service, asses property current market position
13
Q
which of the following should be included in a property analysis
A
SWOT analysis (strengths, weaknesses, opportunities, threats)
14
Q
competition analysis
A
- an evaluation of competitors in order to identify their strengths and weaknesses in comparison to your own
- a competitive facts sheet should be prepared for each competitor
- focuses on how your competitors’ strenghths and weaknesses compare to your property’s
15
Q
marketplace analysis
A
- an evaluation of the environment where the property operates
- identifies factors in the marketplace that impacts the property
- aka situation analysis
16
Q
environmental scanning
A
you should use this to monitor your environment in order to design strategies that will help you avoid potential problems while taking advantage of the opportunities in your marketplace environment
17
Q
franchised hotels
A
- individual property owners operate the hotel under branding standards of a larger chain
- they PAY fees to use brand name
- consistency can be a challenge
18
Q
brand owned hotels
A
- owned and operated directly by brand
- entire property and staff under control of brand
- higher level of consistency
19
Q
franchise hotel marketing strategy
A
- benefit from the brands marketing efforts like advertising campaigns, loyalty programs, reservation systems
- less control over marketing strategy
20
Q
brand owned hotels
A
- have complete control over their marketing strategies, allowing them to tailor to specific locations and customer segments
- they have direct access to the marketing resources and expertise
21
Q
which dept. does the sales office work most closely with in convention oriented-hotels
A
ALL: convention services dept., banquets/catering dept. & revenue mangmt. dept.
22
Q
standard operating procedures
A
- explain how recurring business activities should be handled
- provide a reference for sales and catering personnel
- is a great tool for training new salespeople
23
Q
yield/revenue management
A
a variable pricing strategy based on understanding, anticipating and influencing consumer behavior in order to maximize revenue profits from a fixed and time-limited resource
24
Q
yield/rev management is
A
multidisciplinary (blending elements of marketing, operations, and financial management) highly complex and ever-changing strategy; used with perishable commodities
25
dynamic pricing
combining past info and present trends to successfully forecast guest habits, purchases and behaviors; the goal of they dynamic pricing approach is to maximize both the percentage of available rooms sold and the average selling price of available rooms
26
occupancy rate
of rooms sold / # of rooms available
- the ratio of guest rooms sold to the number of guest rooms available for sale in a given period (%)
27
ADR (average daily rate)
total rooms revenue / rooms sold
- the average selling price of available rooms in a hotel for a specified period of time ($)
28
RevPAR (revenue per available room)
(OPR * ADR) or (total rooms rev. / available rooms)
- the average revenue generated by each room available during a specific period of time
29
methods to maximize revenue
- to raise OPR and ADR
- implement promotions, loyalty programs
- offer group discounts
- overbook rooms
30
most of the revenue from an associations annual convention comes from
registration fees
31
characteristics of association meetings
- held on regular time cycle (annual, biennial, semiannual)
- have bylaws requiring an annual meeting & rarely cancelled
- held Sun-Wed; or Thurs-Sun pattern
32
lead time
the time between the initiation and completion of a production process
conventions are usually planned 2-5 years in advance
the larger the convention is the longer the lead time
33
association meetings: sites desired
- depends on group size, complexity, taste & members affluence
- second-tier locations may offer price conscious/better service
34
associations: decision makers
- members meet altogether to make decisions for the good of the association
- not made by management
35
associations: budgets
less predictable, highly varied
36
associations: attendance
- is voluntary
- multiple reasons for association meetings - attendance
- locations and properties can help promote the meetings
37
convention duration
national conventions average 3-5 days
38
professional associations
more academia-oriented
attendance can be for enjoyment
39
trade associations
aka: business associations, sector associations
industry oriented
events are serious and therefore not for enjoyment
40
fraternal associations
may be gender specific
provide deep networks for members; friendly society
events = cause related
41
online associations
meetings are usually virtual
which of the following is difficult to find a central source that identified these
42
corporate meetings
- events that the company carries out to accomplish a certain goal
- one of the most fundamental methods of intracompany communicaiton
have no need/desire to publicize their meetings
expenses (transport., lodging, food fees) are tax deductable
deduct the cost of their meetings as professional/business expenses
43
training meetings
to improve participants knowledge/skills ppl expert to learn ex. safety training
44
stockholder/shareholder meeting
discuss variety of topics, on financial performance etc., varies w economic climate
- share wants and needs of stockholders
45
public meetings
to tell their stories, increase awareness of the corp & engage public involvement
46
corp meetings cycle and patter
irregular
as-needed basis
regularly throughout the year
usually midweek
47
geographic restrictions (corp)
no restrictions
no reason to vary the site to attract attendees; however convenience is the most important
48
corporate lead time
short compared to association meetings
49
corporate: kinds of sites desired
depends on the purpose of the meeting and the position of the attendees
meeting planners prefer downtown hotels, followed by resort hotels and suburban hotels
50
corporate meetings decision makers
management level
corporate meetings are discretionary
they are subject to the decisions of management
the market for meetings is higher in good economic times and lower in times of recession
51
budget (corp)
highly predictable as corporations typically develop a preset budget for events
zero registration fees
52
attendance (corp)
highly predictable
53
convention duration (corp)
one problem associated w/ corporate meetings is the risk of cancellation of the entire event
- for this reason, most hotels now require nonrefundable deposit & have included cancellation clauses
- irregular duration
54
sales meetings
national regional; to bring together key personnel & share all sales & mkt. information
55
sales meetings do:
A
review: sales target & expectations
discuss strategies on how to better meet sales goals
identify sales opportunities and customer needs
address sales challenges
share knowledge, resources and best practices
56
SMERF groups
(social, military, educational, religious, fraternal)
- cost conscious; meet during off-peak & shoulder seasons
- prefer family friendly cities
57
social groups
wide variety of interests & purposes
decision-makers are often inexperienced in meeting planning
source by local community
58
military reunion
market is highly fragmented and rarely work together
tend to choose family friendly oriented sites
short business meetings
require enough banquet space to seat the entire group and their spouses
59
educational groups
usually holds meetings in the summer months
the most likely segment to utilize university facilities
60
religious groups
tend to choose family-oriented sites
a very good reason to target this market
most of them are committed to giving back to the community and do service projects
often holds meetings in slow periods, including holidays and weekends
61
fraternal/family reunions
recreational amenities are important
high level of double occupancy
need less meeting space
62
government (agency) meetings
generally held on weekends
most government meetings are training meetings
price-conscious due to per diem allowances
short lead time
formal price submission procedures involve a request for proposal or invitation for bids
require meeting venues that are certified by FEMA (federal emergency management agency)
63
insurance/financial service meetings
spend more on meetings than any other industry
not as price conscious as most segments
64
medical meetings :
require sophisticated A/V technology
require a high level of presentation
typically held during peak periods for hotels
security-conscious and image-conscious
prefer quiet premises
the amount of function space they require is incredibly high relative to the number of guestrooms typically used
market growing rapidly
65
proposal letter
before offering a letter of agreement/contract send proposal letter
after site visit or receiving RFP
proposal should reflect professional image and no hotel jargon
66
negotiation
two or more parties try to reach an agreement for mutual benefit
67
why is it necessary for the meeting planner to guarantee the guest rooms
helps hotels meet their room to meeting space ratio
helps planners lower costs like room rentals & F&B minimums
68
termination clause
both parties excused from liability: Force Majeure
forces beyond control
69
cancellation clause liquidated
set $$ by meeting planner and hotel for set damage # in event of cancellation
high risk for HOTEL
70
cancellation mitigated damages
hotels wait until after event dates to collect damages (actual damages incurred by property to cancellation)
difficult to calculate
high risk for MEETING group
71
hotel-managed reservations
easiest & most efficient way for hotels to manage & control (receive directly)
72
convention center housing bureaus
beneficial if the meeting is spread out over several hotels (online housing system)
73
third party companies
ex. expedia
beneficial if group is complex
fees paid to 3rd party, reservations in several hotels
74
room block
the # of rooms needed for each meeting day specified by meeting planner
cutoff date = 30 days before meeting
75
pickup
guest rooms that are used
76
slippage
guest rooms that are unused
77
rack rate
official hotel room price
rarely used for conventions bc they negotiate group rate lower than rack rate
78
split rates
rates based on room types, better for larger groups
79
run-of-the-house rates
flat rates
common for small groups
all guest pay same
80
discount rate
spreadrates
common for large groups
81
guestroom problems
No shows: review group history (overselling could be an option)
more sig. at high demand resorts
82
overbooking
be prepared to “walk” guests to other hotels
plan ahead for overbooking
83
overstays
have guest initial departure date
new rate or eviction noted on check-in card
84
typical function space
ballroom
exhibit halls
breakout rooms
conference rooms
85
pre-function space
lobbies
foyers
hallways
outdoor areas
86
lobbies
spaces for both socializing and working
87
when meeting groups fail to fill rooms that have been blocked for them, the hotel loses money bc they are not able to resell rooms. to protect themselves hotels use *** clauses that outline potential damages that may be required in the event that room commitments are not met
attrition clauses
88
function room charges
depending on the space required and the time/date (specific dates on diff dates/times)
- guestroom to meeting space ration
89
auditorium theater
first row = 6 ft from the head table
space minimum of 2 inches between chairs
distance: 36 in. from chair center to chair center
center aisle most common setup
fire codes 6ft for large, 4 or 5 for small
90
schoolroom
most popular amongst small & large groups
most comfy for long session
not preferred for conversation
crescent often used when planner wishes to follow the meal function w/ presentation
91
U-Shape/Horseshoe
good for idea exchange and lend themselves well to A/V presentation
ideal for training meetings
92
hollow square & hollow circular
make efficient use of space in a room
easy eye contact
no sense of preferential seating
does not work well for sessions requiring audiovisuals
93
function room furniture
four general features to look for in function room furnitiure
- strength/durability
- ease of handling
- ease of storage
- flexibility
94
profitability of banquets
profit margin on banquet sales in ab 35-40%
food costs are lower for banquets due to volume prep
beverage costs are easily controlled
labor costs = lower
95
american/plated service
most common form of banquet service
an efficient way to control portions, amt. = predetermined
96
french service (aka cart/tableside)
generally used only for small groups
needs sufficient space
97
pre-set service
frequently used for luncheons where fast service is needed
first course of meal = set prior to guests arrival
98
buffet service
efficient bc large # of ppl can be served in a short period of time w a small serving staff
can be more expensive
360 degrees buffet:provides convenient and easy access to food
round buffet: more elaborate display with height, more elegant looks
99
butler service
used for receptions/upscale
100
most food functions are charged on
a per-head/per-person budget
overset safety margin = 3-5%
101
by the person pricing
A
flat rate is charged for each person for a specified time
simple but not always cheapest
102
by the bottle
can be cost effective for large groups
charges on all open bottles
103
by the drink
always includes the mandatory use of bartender service (include labor charge)
use standard drink sized
usually small groups
104
liquor liability and staffing
- many states have dram shop laws
- one bartender for every 75-100 ppl
