Corporate Account Management Flashcards
6 cards from real CHSP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Corporate Account Management flashcards as text
When a corporate account's travel volume falls significantly below the committed room night block, what should the hotel sales manager do?
Answer: Contact the account manager proactively to understand the cause and renegotiate terms if necessary
Proactive communication preserves the relationship and may uncover solvable problems, such as a change in travel policy or internal reorganization.
What is the role of a 'travel management company' (TMC) in corporate hotel sales?
Answer: TMCs manage corporate travel programs and influence hotel selection, making them key intermediaries for the hotel sales team
Building relationships with TMCs is essential because they guide corporate clients' hotel selection and booking behavior.
Which information is most critical to gather during an initial corporate account sales call?
Answer: Annual travel budget, primary destinations, number of travelers, and decision-making timeline
Understanding budget, destinations, volume, and timeline helps the sales manager craft a relevant proposal and prioritize the opportunity.
What does 'dynamic pricing' mean in the context of corporate hotel rate agreements?
Answer: Rates that fluctuate based on demand, typically offered as a fixed percentage below the hotel's best available rate (BAR)
Dynamic pricing agreements tie the corporate rate to BAR with a discount, meaning both parties benefit when rates are low and the hotel recovers revenue when demand is high.
How should a hotel sales manager prioritize their portfolio of corporate accounts?
Answer: By segmenting accounts into tiers based on current revenue and growth potential, focusing most attention on top-tier accounts
Account tiering ensures the sales manager allocates time and resources where they will generate the greatest return.
What is a 'last room availability' (LRA) clause in a corporate hotel contract?
Answer: A provision guaranteeing the corporate rate applies even when the hotel is near full capacity, as long as any room is available
LRA clauses are highly valued by corporate clients because they ensure rate access even during peak periods, though they command a premium.