Exam 3 - Lodging Management Questions with Complete
Answers.
What is marketing? - Correct Answer Activities designed to increase consumer awareness
and interest by promoting and advertising the hotel.
What is sales? - Correct Answer Activities related directly to servicing consumer demand
and booking clients.
Job description of the sales and marketing staff - Correct Answer -Planning the hotel's
sales and marketing strategy
-Preparing and issuing sales contracts
-Focus on group sales: Group sales are mostly processed in a contract form
-Maintaining accurate sales records and histories
-Coordinating and communicating special clients requests
-Conducting site tours
Importance of networking - Correct Answer -Developing personal or official relationships
with important clients for a business-related purpose.
-Active, aggressive, and visible sales teams will create more opportunities to improve the
hotel's sales volume by acquiring promotional and networking opportunities.
S & M segments - Correct Answer -The Products and Services Sold
-The Reservation Source
-The Market (client)
The products and services sold - Correct Answer -Group guest rooms
-special packages
-Conferences
-Catered events
-Meetings
-Conventions
-Weddings & Special events
By Market (A subset of guests, or potential guests, who have common needs or
characteristics) - Correct Answer -Corporate
-Leisure
-Long-term stays
-SMERF (social, military, educational, religious, or fraternity organizations) & Others
Focus of sales by market segment
1. Corporate: Business traveler - Correct Answer -The room rates paid by them are among
the highest
-They make up a large portion of the travelling public
, -They are likely to become a loyal customer! (less novelty-seeking tendency-destination
and hotel decision)
Focus of sales by market segment
2. Leisure travelers - Correct Answer -Vacation, events, visiting friends and family, etc.
-Role of travel agents (TA): TAs book their clients in a hotel, the hotel pays a commission to
the TA for the booking
Focus of sales by market segment
3. Long-term stay - Correct Answer Providing larger rooms, cooking facilities, and
refrigerators.
The guaranteed occupancy but often sold at very low ADRs because of long-term stays.
Examples of Reservations - Correct Answer -By Reservation Source
-Based on how the hotel's sales are made
-Drop-Ins (walk in)
-Meeting Planners
-Travel Agents
-Consortia
-Internet
Segmentation by SOURCE (distribution channel) - Correct Answer Meeting planners:
meetings, caterings, group sales
Travel agents: Commission - 5% to 20% of the room rate
Online distribution channel: hotel websites, OTA websites, etc
Marketing Plan Development
Typically prepared on an annual basis
PROCESS: - Correct Answer -Market analysis (Occupancy trend, ADR, Performance)
-Competitive analysis (SWOT, pricing structure
- BAR)-Market forecast (market growth condition, performance goal, etc.)
-Specific marketing strategy (STP strategy, advertising, promotion)
-Budgeting
-Evaluation
Marketing activities: on-property activities
A complete sales cycle - Correct Answer presale, during sale, and post sale
•Pre-sale: attracting potential customers, bid, request for proposal (RFP), group sales
•Post-sale: Thank You note, account receivable, be included in the preferred client list
Trace system - Correct Answer A process to record what has been done and what must be
done in the future to maximize sales effectiveness => Marketing Data Management
STP strategy - Correct Answer Segmentation, Targeting, Positioning
Answers.
What is marketing? - Correct Answer Activities designed to increase consumer awareness
and interest by promoting and advertising the hotel.
What is sales? - Correct Answer Activities related directly to servicing consumer demand
and booking clients.
Job description of the sales and marketing staff - Correct Answer -Planning the hotel's
sales and marketing strategy
-Preparing and issuing sales contracts
-Focus on group sales: Group sales are mostly processed in a contract form
-Maintaining accurate sales records and histories
-Coordinating and communicating special clients requests
-Conducting site tours
Importance of networking - Correct Answer -Developing personal or official relationships
with important clients for a business-related purpose.
-Active, aggressive, and visible sales teams will create more opportunities to improve the
hotel's sales volume by acquiring promotional and networking opportunities.
S & M segments - Correct Answer -The Products and Services Sold
-The Reservation Source
-The Market (client)
The products and services sold - Correct Answer -Group guest rooms
-special packages
-Conferences
-Catered events
-Meetings
-Conventions
-Weddings & Special events
By Market (A subset of guests, or potential guests, who have common needs or
characteristics) - Correct Answer -Corporate
-Leisure
-Long-term stays
-SMERF (social, military, educational, religious, or fraternity organizations) & Others
Focus of sales by market segment
1. Corporate: Business traveler - Correct Answer -The room rates paid by them are among
the highest
-They make up a large portion of the travelling public
, -They are likely to become a loyal customer! (less novelty-seeking tendency-destination
and hotel decision)
Focus of sales by market segment
2. Leisure travelers - Correct Answer -Vacation, events, visiting friends and family, etc.
-Role of travel agents (TA): TAs book their clients in a hotel, the hotel pays a commission to
the TA for the booking
Focus of sales by market segment
3. Long-term stay - Correct Answer Providing larger rooms, cooking facilities, and
refrigerators.
The guaranteed occupancy but often sold at very low ADRs because of long-term stays.
Examples of Reservations - Correct Answer -By Reservation Source
-Based on how the hotel's sales are made
-Drop-Ins (walk in)
-Meeting Planners
-Travel Agents
-Consortia
-Internet
Segmentation by SOURCE (distribution channel) - Correct Answer Meeting planners:
meetings, caterings, group sales
Travel agents: Commission - 5% to 20% of the room rate
Online distribution channel: hotel websites, OTA websites, etc
Marketing Plan Development
Typically prepared on an annual basis
PROCESS: - Correct Answer -Market analysis (Occupancy trend, ADR, Performance)
-Competitive analysis (SWOT, pricing structure
- BAR)-Market forecast (market growth condition, performance goal, etc.)
-Specific marketing strategy (STP strategy, advertising, promotion)
-Budgeting
-Evaluation
Marketing activities: on-property activities
A complete sales cycle - Correct Answer presale, during sale, and post sale
•Pre-sale: attracting potential customers, bid, request for proposal (RFP), group sales
•Post-sale: Thank You note, account receivable, be included in the preferred client list
Trace system - Correct Answer A process to record what has been done and what must be
done in the future to maximize sales effectiveness => Marketing Data Management
STP strategy - Correct Answer Segmentation, Targeting, Positioning
