Plan Your Meetings

Visit Florida has launched a really interesting ad campaign encouraging state residents to invite friends to visit in order to boost tourism dollars.

Check out the video:

Last month, I spoke to a group of incentive industry professionals about proving the value of meetings and events. At the end of the speech, one planner stood up and asked, “Do you think that we, as an industry, should pull our advertising dollars from the newspapers, radio and TV stations to punish them for destroying our industry?”

He was referring to the negative press coverage of meetings that began with the “scandal” surrounding the AIG program held at Monarch Bay last year. It was an incentive program paid for by the revenues generated by high achievers, but it was mischaracterized as an executive retreat taken on the taxpayer’s dime, and got tied into the issue of executive compensation.

Overnight the meetings industry became front-page news. From then on, any company that had received bailout money was publicly eviscerated for holding meetings, events or incentive programs. And many companies with no relation to Troubled Asset Relief Program funds canceled meetings, too.

Some of the examples held up in the media were pretty damning, but a lot of the meetings that canceled after being criticized were legitimate business expenses essential to the company and its economic recovery.

Then policy makers (and the president) started getting into the act — there was talk of making it illegal for some companies to use money on meetings, events or incentive travel without it being approved by the government. That’s just ridiculous, and I’m glad that industry lobbyists were able to get the verbiage in the Kerry bill changed.

But you get the idea. A lot of the hysteria and havoc was wreaked on the industry because sensational, factually inaccurate stories were published, picked up, blown out of proportion and considered fact. And it was people like this gentleman, city workers, hotel staff and other hospitality industry veterans that were suffering as a result.

I like the idea of reporters objectivity examining all the angles of a story and fact-checking before just running a sensational headline. I also like the idea of punishing news companies that encourage their writers to be tabloid scribblers, not true journalists. So, I said, “If you can get a coalition together that will make any difference, do it.”

A few weeks later, I tuned into a Web-based conference held with industry leaders both national and international. One of the speakers was President and CEO of Maritz Travel Christine Duffy, whose company put together the Monarch Bay incentive for AIG. She said a Maritz Marketplace poll, conducted after the press censure began, found that 56 percent of corporate planners had canceled one or more meetings, and 56 percent of Fortune 1000 managers were postponing or eliminating at least a portion of their incentive programs scheduled for 2009.

So I asked her, “Do you think it would be a good idea for hotels and destination organizations to use their advertising dollars (withdrawing funds from TV news or newspapers) as retaliation for poor journalistic standards and sensational reporting that has damaged the industry?”

What she said surprised me. “I don’t think so,” Duffy said. “I think that we have to take responsibility for why the press reacted the way they did. And it goes back to the lack of education advocacy we’ve done as an industry to ensure that people understand what we do. [With] those advertising dollars, maybe the focus of those ads might shift so that part of what you’re investing in is telling the story of how these meetings, events and incentives matter.”

What do you think?

When we were in Austin in April, we had the pleasure of meeting Leah Lambracht. She had been told about PYM by a co-worker and was attending her first PYM LIVE Event. After the event ended at the Mansion at Judges’ Hill, we went to do a site tour of The Crossings. The site tour ended on their amazing patio, where we filmed this short interview with Leah. She had just joined our LinkedIn group, and went home and joined our PYMConnect social group that night. We hope you enjoy meeting Leah as much as we did.

Do you have a PYM story to tell? Or want to be interviewed at a future PYM LIVE Event? Let us know, and we’ll make your the subject of an upcoming PYM Planner Profile piece.

On May 12, meeting and tourism industry professionals are hitting the streets to talk about how much travel matters to the U.S.

In Atlanta, where the industry provides 270,000 jobs and has an annual estimated impact of $11.4 billion, the Atlanta Convention & Visitors Bureau is holding a celebration and panel discussion about how to generate business in a down economy.

At North Carolina Welcome Centers throughout the state, a series of events are scheduled to take place from May 11-15. In Charlotte, state legislators will participate in a Pit Crew Challenge in Raleigh. The tourism industry in North Carolina generates more than $1.3 billion a year and provides jobs for 190,000 North Carolinians.

In Clearwater/Tampa, at the PYM LIVE Event May 12, we’re taking pictures of our PYM Planners with Keep America Meeting signs to show our support for U.S. Travel Rally Day.

What are you doing? Tag a tweet with #rallyday and let us know.

Another group of Twitterers are using #ntw09 to disseminate information about National Tourism Week:

Here’s a cool trickle-down illustration of how tourism dollars help Americans:

If you couldn’t be at today’s PYM LIVE Event in Atlanta, no problem. Here’s Twitter stream of what people were talking about:

From @ChecklistQueen

• golden rule #1 from kevin johnston- advantage event group: price, quality, or speed…pick 2 #pym
• specific is always more profitable (and creates less risk) than general
• Be careful with hotel contracts – based on taxes and gratuities, a $100 item may be $130
• just had the BEST celery -yes, i said celery- soup from chef jeff mcgar at opera event center #pymlive
• david nour is on deck. Whoo hoo!!! #pymlive
• had a great time at pym live #pymlive

From @jdthompson:

• The hospitality industry swings between buyers and sellers market every 7-8 years. #PYMlive
• Looking forward to hearing David Nour’s preso #pymlive.
• @davidnour has some great insight on social networking. #pymlive

From @davidnour:

• @jdthompson Thanks for the kind note ; what a fun group and PYM folks are really nice as well! #pymlive

From @LisaKraus:

• Everyone should follow David Nour, a social network guru, and overall genius: http://twitter.com/davidnour

From @PYMLive:

• hotels make $ on rooms, food&beverage and alcohol #pymlive
• to have negotiations where both parties are treated fairly, need to know how hotel makes money #pymlive
• take more time with those contracts, amend them in your favor, protect group #pymlive
• from kevin johnston’s session: hotel buyer/seller markets swing every 7-8 yrs #pymlive
• warren buffet says the best time to buy is when blood is running in the streets #pymlive
• corp. bookings down 70% on avg across country #pymlive
• primerica had to pay a cancellation fee of $70,000 for one venue #pymlive
• simplified contracts are gone, more one sided, hotels are taking gray areas out #pymlive
• 75-85% of room rate is profit #pymlive 25-35% of F&B is profit; 80-85% profit on drinks
• tip from kevin: don’t focus on one item, build a package that will satisfy you and the venue. #pymlive Know what your meeting is worth.
• biz rules: Dates, rates & space. Pick 2. asking before u sign is negotiating; asking after is begging #pymlive
• tips for negotiating the deal: 1. Relationships are king. 2 Ask for more than u expect. 3 Keep perspective #pymlive
• tips for negotiating: 4. understand TOTAL cost/value/worth. 5 Don’t focus only on price; think value. #pymlive
• comissionable rate has cmmission blt in for third party, but that shouldn’t affect your rate. ask about all the xtras & room taxes #pymlive
• Put in contract that no other group in the hotel will pay less than you will. #pymlive
• key contract clauses: attrition; cancellation; construction; quiet enjoyment; change of ownership/management #pymlive
• word attrition clause to count cumulative, not daily cancellations; get credit for unused comp rooms; provide for rebooking credit #pymlive
• planners should rewrite cancellation clauses to be more specific to you group’s particular circumstances. swine flu, riots, etc. #pymlive
• planner should negotiate attrition clause to pay profit on rooms only, not 100% of cost #pymlive
• other attrition clauses to help planner: credit rooms bought by group members through other means; no tax paid on attririon. #pymlive
• put in cancellation clause right to move if construction, ownership, quiet will be disturbed #pymlive
• quiet enjoyment clause, put in peanltie: i get 25% discount off F&B, etc. #pymlive
• highlight any vague, one sided, questionable, no-way clauses #pymlive Cross out, make changes to doc
• look for what’s missing, and put that in to your contract #pymlive
• some of the freebies you can get include upgraded linens, free cocktail party for board members, free coffee break, cash cards #pymlive
• great session today on contract negotiations by Kevin Johnston. Now to the trade show & confessional booth. #pymlive
• at confessional booth, xperienced planners shared advice for new planners: patience, persistance is key. #pymlive
• atlanta taste is a team of caterers/event designers that do phenomenal work @ town I love Cathy Desroches #pymlive
• Jamie Vosmeier does group sales for the Fox Theatre ATL, can buy tix for groups a year in advance #pymlive
• Birmingham Bad Boys got a huge round of applause. Taking a FAM over in Oct. #pymlive
• Renaissance Concourse Hotel Atlanta Airport has 387 rooms; $5 million renov of mtg space; known for culinary team #pymlive
• Opera set out a great lunch, unexpected tastes like coconut milk soup, greek style green beans, custard beignets #pymlive
• David “Google Me” Nour is speaking on Relationship Economics & Social Networking #pymlive
• twitter has gained over 10 million users in the past year. #pymlive
• “Everyone has a story” what’s the story of the people you’re working with? #pymlive
• your most valueable asset is the diversity and reach of your portfolio of relationships. #pymlive
• if you always hang out with the same people, that’s as good as you are going to get. #pymlive
• http://www.wiwih.com is a network for who is who in hospitality. #pymlive
• http://www.slideshare.net is the youtube of presentations #pymlive
• social networking strategy: how to engage and influence, often without authority? #pymlive
• 1. use social networks to identify key relevant stakeholders (linkedin search, etc.) #pymlive
• 2. you can’t date everyone, so find & identify influentials w/in the organization #pymlive
• engage those people and offer them a unique value add #pymlive Read “experience economy”
• Deliver exceptional experiences, consistently. #pymlive
• use social networks to identify, capture and leverage best practices for future success. #pymlive
• if you’re a rock star, but your team can’t deliver, you’re going to have a hard time. don’t friend everybody. #pymlive
• what comes up when you google yourself? your name is your biggest brand. protect it. #pymlive
• if someone tells you the work you did was great, ask them to write a recommendation on linkedin. #pymlive
• people on the web are browsers, not readers, so use bullet points; specificity builds credibility in linkedin profiles #pymlive
• what’s everybody’s favorite topic? Themselves #pymlive
• http://www.uservoice.com can help you get insights from the community on what you’re doing. #pymlive
• social networking is there for connecting, engaging not selling #pymlive
• there are relationship givers, takers and relationship investors. which one are you? #pymlive
• find out how you can be an asset, what you can do to help before asking for a favor. #pymlive
• http://www.relationshipecon… is where you can get more information on David Nour great speaker
• @lisakraus @PYMConnect @davidnour @jdthompson @checklistqueen So great seeing you! Here’s event Twitterfountain: http://ow.ly/4i3k #pymlive
• @ChecklistQueen Thanks! We had a blast too!

The theme of Atlanta’s new Hotel Palomar is “art in motion,” and that is conveyed through every aspect of its design — from meeting space to hotel décor. The Kimpton property is scheduled to open in midtown this Wednesday; its grand opening will be May 14, 2009. I was lucky enough to get a pre-opening site tour, and this is what I found:

Location:

Guests of the hotel are within walking distance of many of Atlanta’s fine art attractions, including Woodruff Arts Center, which is home to the Atlanta Symphony Orchestra, Alliance Theatre and High Museum. The Arts Center MARTA train station is steps away, giving attendees an easy way to get to and from the airport, downtown’s convention venues and tourist attractions, and Buckhead’s luxury shopping malls. Valet parking is available 24-hours a day.

Public spaces:

The lobby has a living room feel; complimentary wine tastings occur nightly from 5 to 6 p.m. The hotel is family and pet-friendly. A fitness center offers personal training, by appointment. On-site dining is available in Pacci, which is connected to the lobby by a long corridor. Chef Keira Moritz helms the Italian steak house, which has private dining space and a rooftop event/dining space called Alto Rex. Art throughout the hotel features images of Atlanta.

Meeting rooms:

The hotel boasts more than 10,000 total square feet of event space, including a 4,400+-sq. ft. ballroom (capacity: 350 reception-style) that’s divisible into thirds. The meetings wing also has 2,000 square feet of pre-function space, six break-out rooms and a 13-person boardroom. All the rooms are named in honor of arts organizations or venues (i.e., High Ballroom, Alliance Room, Fox Room, Chastain Room, Woodruff Boardroom and the Rialto Room). Like all Kimptons, signature meeting packages focusing on elements of fun, wellness, sustainability and continuing education are available.

Bedrooms

The hotel has 304 rooms, including 16 suites and one presidential suite. Each guest room is decorated with local art, and has amenities like L’Occitane en Provence toiletries and animal-print robes (the giraffe print is for the extra tall). The suites are stacked on top of each other on the same side of the hotel, so they all overlook the Academy of Medicine and have the same footprint. Bathrooms have a spa feel; each suite has a deep plunge bath. In-room wellness and spa programs are available to all guests.

Harris Rosen
President & Chief Operating Officer
Rosen Hotels

On June 24, 2009, Rosen Hotels & Resorts will celebrate its 35th birthday. Its success has enabled Rosen to create the University of Central Florida’s Rosen College of Hospitality Management, and provide scholarships for Rosen Hotel employees as well as local children.

How did you get your start in the hospitality industry?

My dad was in the business and he worked at the Waldorf Astoria. He was a safety engineer, and he also worked for the banquet department. He did place cards. He was a calligrapher. He would do those cards in pencil and then go over them with a very fine pen and India ink. My job on the weekends was to erase the pencil, fold the cards and alphabetize them. He gave me a penny for every card I did. So if it was a banquet for 500, I made $5, which was huge back then.

What attracted you to hotels?

When I would visit with him and go up and down the elevators into these beautiful banquet facilities at the Waldorf, we would, on occasion bump into some very important people, which was really fascinating to me. I remember meeting Marilyn Monroe, and I remember meeting General MacArthur and Ty Cobb and Jackie Robinson and Pope John. And so, when I applied to college, (although I hoped to become a fine artist or art director for an advertising company), I applied kind of tongue-in-cheek to Cornell. I was accepted, and I decided that was where I wanted to go. So that was the beginning of my career in hotel management. Then I went into the army for over three years. [Afterwards], I went back to the Waldorf, and started my career with Hilton at the Waldorf.

::

Rosen worked in Waldorf Astoria’s convention sales department, and then moved around to Hilton hotels in Acapulco and California. Eventually, he landed a job with Disney World in Orlando, from which he was fired.

::

Why did Disney fire you?

They told me that the reason they were letting me go is because I would never be a Disney person. I responded by asking if it was because my ears were too small, and they said, “That’s the kind of stuff we’re talking about.” I guess I didn’t take the Disney culture to heart as much as I should have. So we have our own culture now, and I’m quite comfortable with it (laughs), and my ears are just the right size.

How did Rosen Hotels & Resorts start?

When I was fired from Disney, it was the middle of the oil embargo. I started looking for a job. Then I decided that I wasn’t going to work for anybody anymore and I would look for a hotel. I bought a little Quality Inn on I-4 (International Drive) and paid $20,000 for it. It was all the money I had. So I settled in and had a plan to book as much motorcoach business as I could. I knew most of the top motorcoach companies were in the northeast, but I had no money to fly, so I hitchhiked to New England (Massachusetts) with some business cards I made up. I would visit motorcoach operators and give them a card and ask them to write a room rate that they were comfortable with. I would sign my name and that would be sort of a preliminary contract until I got back to Orlando and was able to send a more formal contract. They were so kind and considerate that when I had to leave, after we had that little contract signing, and go to another motorcoach operator, they would often drive me in one of their buses to their competitor. I [even] got a beautiful ride back to Orlando with a couple. They were my guests for a week, and they remained my guests for a week every year until they passed away. And that was the beginning of my hospitality career. I came back with enough business to keep us busy for the remainder of that year. We actually made a profit that first six months. I bought another hotel a year later [and] then I built another one. Every four or five years we would build and then add rooms and build and then add rooms, until we grew from 250 rooms to close to 6,500 rooms. That’s where we are today. We have four leisure properties that cater to tourists and small meetings, and we have three meeting hotels that cater to meetings and conventions.

What rates did you agree on with those first motorcoach operators?

The rates were anywhere from $8 to $9/night. Back in those days, if you could get double digits, you’d be very happy.

You mentioned that you have your own culture at Rosen that you’re quite happy with. How would you describe that culture?

I was kind of teasing when I said that, but that’s a good question. I think we have a great concern about our associates [employees]. We have a benefits package that I suspect is amongst the best in the industry. We have our own primary care medical center where all our associates can go. We offer scholarships to associates who want to continue their education and to their children. We offer free Weight Watchers programs and substantially reduced club memberships at [YMCAs] and fitness facilities. … Every day, I find out whose birthday it is and I call and personally wish them a happy birthday. We have 4,000 associates, so some days I’m on the phone for a little bit.

Turnover is very, very, very low. So, when you book business with us and come back, you’ll see the same faces year after year. I meet with all the hourly associates every two weeks, in small groups so I can find out how they’re doing. We have our own insurance company and provide very reasonable insurance rates to all of our associates. We [also] have attorneys and mortgage brokers and real estate people that work with all of our associates on a continuing basis. I think we are available when anyone needs us for anything. I return all e-mails and phone calls every day. We have a program called “Shares of Success” where we distribute profits to hourly associates. It’s a little bit different. No shareholders, no partners, just a little company dedicated to doing the best it can for its guests and its associates.

When you first started your hotels, how did you want to distinguish them from other chains?

At the very beginning, we determined that empty rooms didn’t serve any purpose at all. All of our efforts were focused on filling every room, every night, even if we had to discount our rooms as the day went on. One of our hotels, the Comfort Inn at Lake Buena Vista, ran at full occupancy for five years, and it’s not a small property. The first two years it had 320 rooms and the next three years it had 640 rooms, without carrying a vacancy. So we focused our attention on that. We wanted to keep everyone working. We knew that if we didn’t have someone in a room … it would be impossible to generate additional revenue. If we had someone in a room, even if they paid a discounted rate, there was a chance they’d have breakfast or dinner, buy a gift in the gift shop [or] buy something at our deli, so it seemed to make sense. Because we’re a debt-free company, we’re able to do those things and still make profits.

There’s been a lot of discussion among hotels about the importance of maintaining price integrity in this economy. Where do you stand on that?

We’ve been discounting steadily for 35 years, so we don’t know what price integrity really means. For us, price integrity is really finding a price that people want to pay and getting those rooms full. Even during these very difficult times, our occupancy is still in the mid-to-upper 80s. [But] it’s not nearly the 99 percent occupancy we enjoyed for 25 years.

What’s the biggest challenge?

People aren’t traveling the way they were. Companies aren’t meeting the way they once were. Associations and conferences are canceling events and coming in with some substantial attrition. So, we’re trying to be as fair and reasonable as possible with our friends. Everything is on the table: discussing cancellation fees, discussing attrition fees, discussing rate adjustments. We’re working with everyone right now. We believe this decline will be short-lived and when it comes back, our hope is that people will reflect and remember our kindness during these difficult times. But we do believe there is going to be a change, a sea change. That value is going to drive decisions made — personal decisions and business decisions. People will be looking for value as opposed to glitz, and I think their behavior will change, perhaps for the next decade.