News for the Hospitality Executive |
Ask For The Sale To Increase Bookings By 440%
By
Doug Kennedy
August 1, 2012 After more than 20 years in the business of
front desk and
reservations sales training, I’m extremely excited that a new white
paper study
has confirmed what we trainers have known all along: training our staff
to ask
for the sale will increase the likelihood of getting the business. The study which is entitled “The Factors
That Lead to More
Reservations: A Statistical Analysis of
Scored Phone Calls and Bookings,” is a collaborative effort between
ContactPoint LLC and Dr. Kyle Wells, PHD, MBA, of the Udvar-Hazy School
of
Business at Dixie State College. ContactPoint and Dr. Wells analyzed 4400
recorded actual
phone calls from 30 hotels in 14 states.
The population included hotels from market segments
including economy
through upscale. The calls analyzed were
not “staged” mystery shopping calls, but rather real calls from
real
hotel prospects recorded using ContactPoint’s LogMyCalls call tracking
and
monitoring tool. The researcher’s
objective
was to find out what specific actions, words, and tactics increased the
likelihood of the caller committing to a reservation.
As a hotel sales trainer, what stands out
the most for me is
that the simple act of offering to secure the reservation made the
caller 4.4
times more likely to book the reservation.
Put another way, that means the hotel or call center has a
440% greater
chance to get the sale if the agent just asks.
Yet the study also found that hotel Guest Services Agents
(GSR’s) in the
study only asked for the sale 52% of the time; call centers ask even
less
frequently at just 42%. With
a sales tactic as important as this, it
makes one wonder why this is not used 100% of the time.
The results also found another huge area of
opportunity,
which is to train the staff to overcome resistance to booking. The study found that in 610 of the 4400 calls
analyzed, the potential guest exhibited some resistance to reserving a
room. This resistance ranged from the
price being
too high, to the property not being centrally located, to the potential
guest
just calling for “information.” Regardless of the reason for the
caller’s
resistance, the findings show that persistence pays off more than any
other
single thing a GSR or reservations agent could do.
When agents refuse to give up and instead
use any number of methods, such as reiterating the value, creating
urgency, or
removing barriers to booking now, callers who initially resist are 12.6
times
more likely to book the room. It goes without saying that simply asking
for the sale and
overcoming resistance alone will not alone increase call conversation
rates,
and the study confirmed the influence of other factors as well. As a trainer I’ve often said that closing the
sale starts with the opening greeting and a positive first impression. The study seems to support this
philosophy. The results revealed advantages to using
other sales basics,
such as using the caller’s name, which made it 2.5 times more likely
that the
caller would want to secure the reservation.
The findings also
suggested that
rather than simply reading a list of features, using vivid adjectives
when
describing the rooms, the grounds, the views, and the room attributes,
results
in the caller being 1.6 times more likely to book the room. Taken collectively, if all of these sales
essentials are
used consistently by all GSR’s or reservations agents, the potential
impact on
call conversion can be very significant.
Even if your hotel, resort, vacation rental,
or call center
is not within the demographics of the survey’s mainstream population,
the
results seem to prove a direct correlation between the use of basic
sales
tactics and increased call capture rates.
It is a great reminder of the importance of
training and
coaching every associate who is staffing “The Storefront Window” of
your hotel
or resort. Take a moment to calculate
the potential ROI on even a small increase in call conversion. First calculate the potential value of every
transient phone
call you receive:
Here are some training tips for your next in-house meeting:
Note: To download a free copy of the study for your hotel, management company, or call center, just click on the following link: http://logmycalls.com/hotel-study
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Contact:
Doug Kennedy
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