cwt and the world of intermediaries - Carlson

carlson.com

cwt and the world of intermediaries - Carlson

G.T. Dhillon

Vice President, Global Travel Industry Relations

Carlson Hotels, Americas

1


Carlson Wagonlit Travel and

the World of Intermediaries


Objectives of Session

• To review strategies on how to maximize room revenues through the

Travel Agency channel

– Through Travel Agents for Leisure Travel

– Through Travel Management Companies (TMCs) for Managed

Business Travel

• To highlight how our partnership with Carlson Wagonlit Travel will

yield premium performance

3


Agenda

• Organizational Update

• Travel Agency Strategy

• Results

• Travel Agent “Flow Chart”

• Travel Management Companies & Consortia‟s

• CWT

• Look To Book

• Top 10

4


Global Organizational Update

Revenue Generation

Fredrik Korallus

Global Revenue Council

Marketing & Loyalty

Heather Passe

Sales

Shelly Irrgang

Travel Industry Relations

GT Dhillon

Distribution & Res Svc

Chris Brosnahan

Revenue Optimization

Fred Deschamps

TMC & Consortia

Samantha Jones

Look To Book

Heidi Veire

GDS & OTA’s

Audrey Murante

5


Global Travel Agency Strategy

• To grow our market share (vs. the segment in general and vs.

our comp set)

• To grow our room revenues through the Travel Agency channel

• To control/minimize our distribution costs

• To distribute our product via any and all distribution channels that

are cost viable

6


Agency Intermediated Travel

Managed Corporate Travel

Leisure Travel

Traveler

Traveler

SBT

T/A

• Look To Book

• Agency Visits

• Marketing

Agent

• Look To Book

• Agency Visits

• Marketing

TMC

TA

GDS

GDS

Carlson Hotels

Hotel

Check Out

Legend

SBT: Self Booking Tool

T/A: Travel Agent

TMC: Travel Management Company

GDS: Global Distribution System

PFP: Pay For Performance

Carlson Hotels

Hotel

Check Out

Commission PFP Analysis

Commission PFP Analysis

7


What is a Consortia?

• Membership organization.

• Independently owned travel agencies

• Business mix is typically 60% leisure / 40% business

• Who are they?

– CCRA, Travelsavers, Thor, ABC Global Services,

Hickory/Custom Travel Systems, Travel Leaders, and

Travel Graphics.

8


Benefits of our Relationships

Our relationships with TMCs and Consortias provide the following

benefits to hotels:

• Hotel product “on the shelf”

• Screen biasing / positioning

• Access to agencies, point-of-sale messaging and marketing opportunities

• BTC (Business Travel Center) visits

9


Best Practices for Working With

TMCs and Consortias

• Know who your top agencies are (reports can be accessed via Connect)

• Make sales efforts on these top agencies (i.e. go visit them, educate them on

your product/brand)

• Invite them to come stay at your hotel … a valuable selling tool

• Participate in the right programs that have potential for your hotel / market

• Make sure your parity rate is priced appropriately versus your comp set (there

are several tools in the industry that can help you do this effectively & efficiently)

• Market your hotel‟s promotions to/through the TA channel

• Monitor production on an ongoing basis so that there are no surprises when

business shifts

10


Advertising Opportunities –

Hotel Programme Shopping Tool

• Audience

– Over 20,000 Travel

counselors

– Millions of frequent travelers

• Creative options

– Banners

– Button

– Map

• Advertising costs

– From USD1,200 per quarter

11


Agency Intermediated Travel

Managed Corporate Travel

Leisure Travel

Traveler

Traveler

SBT

T/A

• Look To Book

• Agency Visits

• Marketing

Agent

• Look To Book

• Agency Visits

• Marketing

TMC

TA

GDS

GDS

Carlson Hotels

Hotel

Check Out

Legend

SBT: Self Booking Tool

T/A: Travel Agent

TMC: Travel Management Company

GDS: Global Distribution System

PFP: Pay For Performance

Carlson Hotels

Hotel

Check Out

Commission PFP Analysis

Commission PFP Analysis

12


Look To Book: Program Re-branding

2 page ad in CWT Times

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Look To Book

How does the program work?

• Earning

– All rate codes eligible for bookings made through GDSs or

brand web sites

– Members earn 10 points per USD for consumed room revenue

• Members can redeem points for:

– Airlines miles

– Free nights

– Pre-paid Cards

• Operationally easy for your hotel

– 3% hotel fee for room revenue on consumed Look To Book stays

14


Look To Book Reports

LTB Promotion Summary Report

LTB Monthly Top Agent Report

Report Location: Carlson Connect > My Applications > KNT - Reports

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Top 10 “To Do’s”

1. Start a „Travel Agency Plan‟ for your hotel

2. Find out what your hotel‟s GDS, TMC and LTB contributions are

3. Consider purchasing data tools sold by TravelCLICK (Hotelligence) and Rubicon

4. Make sure your TMC/Consortia “parity” rate is priced appropriately

5. Maximize the CWT relationship

6. Visit a travel agency

7. Know who your top Look To Book agents are - thank them for the business

8. Check and update your GDS content and images quarterly. Verify that your

negotiated rates are loaded and bookable for 2011.

9. Consider TMC/Consortia marketing/advertising and GDS placement/advertising

opportunities (are they right for you?)

10. Commit to learning more about the Travel Agency segment

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G.T. Dhillon

Vice President, Global Travel Industry Relations

Carlson Hotels, Americas

17

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