FlyerTalk Forums - View Single Post - Using corporate code for non-business
View Single Post
Old Jul 15, 2006, 6:08 am
  #7  
carlitos
 
Join Date: Sep 2004
Location: The World!!!
Programs: Some of them not all ...
Posts: 1,532
I can tell you that the owner of that corporate rate will really apreciate that. I use to work for a bank and always booked some IC hotels with their corporate rate in a non business trip. But after a couple of years I went to work for the Revenue Management department of a Hotel Company and believe me, the RFPs of Corporate Rates are negotiated in terms of how many rooms did the company booked the previous year. So actually the company will get access to a much better rate next year if they recount the number of nights linked to that corporate rate. Lets say, your company has a 100 USD corporate rate at hotel X. Ok, that is subject to a 1000 nights a year minimum so that next year the hotel company does not increase that rate to let say 120 USD. Soy if the company manages to make 990 nights in the year and gets 30 from their employees or friends of employees then they will meet the cuota and will have 1020 nights so they will be able to keep the rate for another year. The thing is, I as a Revenue Manager prefer to keep that employee with the discounted rate of the company even if it isnīt a business trip than letting the hotel in front get the business. Remember that a hotel room is like a airline seat. If you donīt use it today, you lost the posibility of selling it for ever. So go ahead and use the rate as the hotel will prefer to sell you that room at that price instead of you booking another hotel that is cheaper. Donīt worry, the RFP usually are negotiated to last room availability although sometimes they can close that rate if they know they will be full of Rack Rate paying customers. Always a win win situation in this industry. Enjoy.
carlitos is offline