Written on 3^rd March 2017

The benefits of a Corporate Hotel Programme

What is a corporate hotel programme and what are its benefits?

A corporate hotel programme is a list of specially curated hotels matching the specific requirements of any given company. The hotels offer discounted rates in exchange for an amount of yearly room nights booked. The hotels will be selected and approached by the Travel Management Company (TMC) on the company’s behalf and will match all of the specific requirements they have defined: location, budget, star rating, facilities etc.

Further benefits also include Duty of Care. Companies can set certain security parameters that any hotel in the programme will need to comply with, to be eligible for the programme, this ensures all selected properties are of a suitable and safe standard. Additionally, having a hotel programme in place can also facilitate the locating process of employees in any given city during an emergency situation.

Assessing the necessity of a corporate hotel programme?

Before launching into the creation of a corporate hotel programme it is vital to assess your requirements and establish if your business would benefit from such a scheme.

The starting point of such an assessments is to look into your past travel patterns. Any TMC should be able to provide you with detailed reporting on your completed and upcoming travel. This will allow you to get a clearer idea of the following:

• Where you have travelled to
• With what frequency
• If there is any periodicity in your travel patters
• Group or individuals travelling
• How many room nights are bought in any location annually
• Is there any loyalty to particular hotel group or chain

This type of information is invaluable when the TMC will commence the negotiating process with suppliers. In addition, an open dialogue with some of the key stake holders is also of great importance. Any travel pattern can be greatly affected by corporate changes or developments such as; the opening of a new operation, the launch of an overseas project etc. Regular analysis of a company’s travel pattern is essential to ensure the programme is kept relevant and working effectively.

Building the corporate hotel programme

Once the key information of the account has been collected the travel management company will have an in-depth understanding of your booking volume and your key destinations. This is where the TMC will use their hotel experts to source the best suppliers and properties.

An important part of the hotel programme is to establish what type of benefit is passed on to the client. This will usually be in the form of a set numerical discount, or a percentage, off the best available rate or others.

Should you require any particular facilities to be included in the rate, this is the time these would need to be clarified, for example:

• Rates must include WIFI
• Rates must include Breakfast

Furthermore the range of accommodation will also need to be discussed and agreed upon. For example:

• In each destination we need three, four, and five star options to cater for the travel requirements of the employees, managers and directors.
• For Stays of over 15 days serviced apartments will need to be suggested

How is a corporate hotel programme implemented?

Once a selection of properties has been finalised, it is key the information is communicated effectively. The Travel Executives dedicated to the account need to be fully familiar with the ‘ins and outs’ of the programme. More importantly, all bookers and travellers will need to be advised by their senior management about the implications of the newly implemented corporate travel programme, its objectives and function.

Printed documents with this information are usually offered to communicate the program but over recent years the industry has naturally started gravitation towards online equivalents.

Conclusion

A corporate hotel programme, when well prepared, researched and executed, can be an extremely valuable scheme. Not only will a corporate hotel programme support compliance to travel policies, it will also have beneficial ramifications on a companies’ travel expenditure and have a positive impact on their Duty of Care.