the hotelier

Maureen Callahan
Confidence, integrity and a competitive spirit
Spring 2007

MAUREEN CALLAHAN is the vice president of marketing for Destination Hotels & Resorts, the fifth largest independent hospitality management company in the U.S., and recently joined the board of directors of Hospitality Sales & Marketing Association International.

MPG: Please describe the ideal hotel sales manager.

Maureen: The ideal sales manager leads by example. They possess self confidence, integrity, a competitive spirit and an innovative approach. They demonstrate the ability to create strong and productive relationships with both external and internal customers and go above and beyond to build satisfied clients and achieve their goals. They exhibit strong strategic thinking skills, the ability to multi-task, and to organize, plan and effectively manage their time.

Above all, they have excellent verbal and written communication skills, the ability to change and learn to meet market demands, and they provide the ultimate in customer care and service. They understand their customers and strive to learn more about them to help build long term, professional relationships.

What is the most important issue that should be addressed by professional organizations industry like HSMAI?
There are so many challenges facing the industry today including “the war on talent,” technology, the economy, terror threats and ongoing career development.

HSMAI has evolved into a global, highly-professional sales and marketing organization. It will be critical that HSMAI continues to influence senior leadership who will integrate HSMAI’s resources, best practices, development opportunities and marketing solutions into their organizations.

As a new member of the HSMAI board, what is your top priority?
My priority is to support the growth of these educational programs that drive professional career growth. I want to ensure that DH&R continues to optimize property and corporate participation and support of these efforts.

How has technology changed the hotel sales process?
The meetings industry has been revolutionized by technology. Web sites are now the ubiquitous solution for meeting research, planning, and booking. Current web technology allows access to detailed property data; 3-D, interactive site tours; rate planning; site comparisons; and an experiential orientation to hotels and resorts. Web cams provide real time views of properties and with the advent of Travel 2.0, planners can “chat” with other planners on key issues, gather information meeting experiences at properties, and obtain referrals and recommendations. The business of planning and booking meetings is very transparent with these ever evolving tools.

While technology is defining new ways for both suppliers and planners to work, it does not replace the fundamentals of creating strong relationships and building trust. The number one concern for planners is service – it is critical that service, throughout the hotel, supports the successful meeting.

Is there meeting industry technology that can be improved or one that should be developed?
I think we can continue to improve the RFP process - it’s not as seamless and as “virtual” as it could be. There is a technological gap between the submission of an RFP by the meeting planner, the evaluation of the group, and the property’s response. While “rooms only” groups can be booked more efficiently, the technological process of integrating RFP submission and the evaluation and booking of complex meetings can be improved.

How do your owners feel about their cost of sales, in particular third-party commissions?
We continually strive to provide the most competitive return to our owners and investors. This requires that we continually evaluate and analyze the most productive (third party) partnerships and maintain those and eliminate others. Even with the advent of technology, the client relationship is the most important aspect of sales. Third party organizations that can supply new clients to hotels and resorts can provide that service and properties need to be diligent in analyzing where and when they need to form these partnerships.

What meeting trends are you observing?
According to industry research and our hotel collection, the meetings industry is definitely shifting to smaller meetings with almost two thirds of all corporate meetings of less than 50 participants. I think more corporations are scheduling smaller meetings that allow for more interaction and the ability to accomplish key goals in a more focused environment.

Corporate profitability was strong in 2006 and the conference center properties were very successful in 2006. Hotel contracts are much more consistent and legally binding and companies are demanding accountability and consistent service and product delivery in return.

Environmental, “green” issues are becoming more important. DH&R is encouraging their properties to define and implement programs that support the environment.

What is DH&R predicting over the next 2 - 3 years in terms of rates, occupancy and the growth or decline in meetings?
I don’t have a crystal ball, but we are generally predicting a solid 2007 with ADR increases in the 7.5% range and slower demand growth with 2 to 3% occupancy increases.

Face to face meetings will continue to be a substantial part of group business but there will be changes. Future competition for meetings will begin to be seen via sophisticated new videoconferencing systems. The older products are being replaced by HDTV quality systems. While these are still quite expensive, there are users who are installing them in their corporate headquarters and regional offices (particularly financial and consulting firms). They provide opportunities to communicate much more effectively than in the past. As good as videoconferencing is getting, it still does not replace the face to face meetings and all the benefits being together in person.