A Front Office employee must always keep in mind that his first job is to incur profit for the hotel. In order to do so, he may follow certain techniques and procedures. There are mainly two techniques applied while trying to sell a room. They are
- Up-selling
- Discounts
1. Up-selling
The word up selling is basically meant to describe the activity of the front desk staff is being able to sell a higher priced room to a guest who might have come with a concept of hiring a comparatively a lower category room. It is also called as selling high where a good receptionist with the ability to be a good salesman can persuade a prospective buyer to buy a higher priced room by projecting the features of the room in such a way that the prospective buyer is alluded to buy the proposed accommodation without raising many queries.
Upselling is also called suggestive selling. The role of a receptionist is very important. Upselling is an art and skill of good salesmanship.
Advantages of Up-selling
- Guests may not be aware of upgraded options, especially when the reservation was made by the third party such as a travel agent or administrative assistant.
- The guest’s needs might change while en route. Business travellers, for example, might have pop-up meetings or projects to work on, requiring additional work-space in their room.
- It’s possible to be very specific about what is offered by particular rooms or suites since the front desk knows exact inventory that day.
Successful up-selling programs have three components: a rate structure that makes upgrades a reasonable value, a staff training experience to expose them to the various techniques and tactics, and a recognition and incentive program.
2. Discounts
The word discounts mean a deduction of nominal value or price of anything for payment before it is due or for prompt payment. Discounts rates are of many types are offered to achieve maximum occupancy and ultimately maximum profits. The main aim of variance in the room rate from the rack rate i.e. discounting is to get more business and to make the product as closely as possible to the needs of the prospective buyer for e.g. to attract more business from companies and corporate offices the hotel may offer a specific percentage of discount may be given to travel agent for providing group business to the hotel.
The front office must be made aware and briefed about various categories of tariffs to enable them to identify as to whom to be is offered what rate when they come to the hotel. The principle of giving a discount is same in all cases.An organization which give the most of business to the hotel are given a discount. Discounted offers to various categories of guest in addition to corporate and conferences organizers, discounted rates are also given to senior citizen and government officials etc.